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1 – 10 of over 121000
Article
Publication date: 8 February 2018

Yajing Zhang and Guotai Chi

The purpose of this paper is to split loan customers to different credit ratings to ensure the results that show that customers with lower credit ratings have higher loss rates…

Abstract

Purpose

The purpose of this paper is to split loan customers to different credit ratings to ensure the results that show that customers with lower credit ratings have higher loss rates, and the number of customers that satisfies the bell-shaped distribution. Hence, the number of credit ratings, the distribution of the rated obligors among ratings can achieve a meaningful differentiation of risk, which can avoid the loan pricing confusion.

Design/methodology/approach

The authors introduce a multi-objective programming to establish the credit rating model. Objective function 1 minimizes the absolute difference between the obligor number proportion and perfect client proportion, following a standard normal distribution. Objective function 2 minimizes the total difference of the deviation between two adjacent credit ratings’ loss rates. This study combines the two objective functions to ensure the obligor number distribution and the monotonicity of the loss rate, and applies genetic algorithm to solve the model.

Findings

This study’s analysis is based on data from 6,155 enterprises, provided by a Chinese bank and Prosper P2P loan data. The empirical results reveal that the proposed approach can ensure the balance between both criteria and avoid undue concentration of obligors in particular grades.

Originality/value

The proposed credit model could help building a reasonable credit rating system, which is the prerequisite of loan pricing; thus, inaccurate credit rating can cause incorrect loss rate estimates and loan pricing.

Details

Management Decision, vol. 56 no. 5
Type: Research Article
ISSN: 0025-1747

Keywords

Article
Publication date: 1 January 2006

Norbert Schumacher

This paper sets out to explore how the principles developed by Sir Ronald Aylmer Fisher, FRS (1890‐1962), a gifted British evolutionary biologist, geneticist and statistician, can…

1241

Abstract

Purpose

This paper sets out to explore how the principles developed by Sir Ronald Aylmer Fisher, FRS (1890‐1962), a gifted British evolutionary biologist, geneticist and statistician, can be applied in today's retail environment to estimate new customers becoming visible through your loyalty or database marketing program – customers whom we like to call “faux‐new” customers. Here, we have used the word “faux” to mean “fake” or “false” – customers who look new in the next month (because we did not observe them in the first month), but are indeed customers (because they made a purchase before the first month, a month for which we do not have data). That is, there are “faux‐new” customers and “actual‐new” customers whom we will observe in the second month.

Design/methodology/approach

The paper uses data and statistics from numerous loyalty‐marketing programs to support its conclusions. It investigates a technique discussed by R.A. Fisher in counting species and applies the technique toward counting customers. It showcases the Poisson distribution assumption in modeling customer frequency of purchases.

Findings

The study found the technique to be robust against a large real‐world data set: the technique was predictive despite some dubious assumptions.

Practical implications

When statisticians and marketers attempt to estimate new customer growth rates, they must be careful. It is tempting to estimate the monthly growth in your customer base by observing the number of customers in July, and then observe the number of “new” customers in August. In this case, however, the results would be overestimated. Many customers who transacted in August but not in July are not actually “new” customers – they are “faux‐new” customers. They could very well have transacted in April (assuming that one does not have the luxury of observing months before July). To estimate the actual number of new customers, it is necessary first to need to strip out the number of customers that were estimated “zero‐purchase,” or “faux‐new,” customers in July.

Originality/value

This paper explores innovative statistical techniques for marketers and business analysts who estimate customer growth based on multiple periods of customer transactions.

Details

Journal of Consumer Marketing, vol. 23 no. 1
Type: Research Article
ISSN: 0736-3761

Keywords

Article
Publication date: 1 May 1980

David Ray, John Gattorna and Mike Allen

Preface The functions of business divide into several areas and the general focus of this book is on one of the most important although least understood of these—DISTRIBUTION. The…

1412

Abstract

Preface The functions of business divide into several areas and the general focus of this book is on one of the most important although least understood of these—DISTRIBUTION. The particular focus is on reviewing current practice in distribution costing and on attempting to push the frontiers back a little by suggesting some new approaches to overcome previously defined shortcomings.

Details

International Journal of Physical Distribution & Materials Management, vol. 10 no. 5/6
Type: Research Article
ISSN: 0269-8218

Article
Publication date: 3 June 2020

Bahar Tasar, Keti Ventura and Ural Gokay Cicekli

The purpose of this paper is to investigate the effects of capacity decisions regarding the number of servers/chefs and tables on identifying a change in the number of…

1349

Abstract

Purpose

The purpose of this paper is to investigate the effects of capacity decisions regarding the number of servers/chefs and tables on identifying a change in the number of wait-related anxious customers, customer losses and customers served to meet the waiting time standards of an actual upscale restaurant.

Design/methodology/approach

The authors applied a simulation model to present the consequences of restaurant capacity decisions based on waiting time standards. Arena Simulation Software, licensed by Rockwell Automation, was used for modeling and identifying distributions of the data set provided by the restaurant. An experiment was designed for an upscale restaurant with existing five servers/chefs and 50 tables by changing these resources to measure the changes in customers' wait-related anxiety and other service performance indicators.

Findings

The results showed that an additional server/chef on weekends decreases the daily average number of anxious customers by nearly 33% and increases the daily average number of customers served by nearly 3% and has a little positive effect of decreasing customer losses. Table insertion for high- and low-requested seating areas had an only positive effect on decreasing customer losses.

Originality/value

In this study, the service capacity is dependent on waiting time, and it is addressed to study the relationship with customers' wait-related anxiety, which is a subjective metric. This study developed a point of view for identifying anxious customers whose waiting times are much longer than their cooking and delivery duration expectations regarding their meal preferences in the cooking stage and waiting experiences in the service entry.

Details

British Food Journal, vol. 122 no. 9
Type: Research Article
ISSN: 0007-070X

Keywords

Article
Publication date: 13 March 2009

Ewan Sutherland

The purpose of this article is to identify policy issues arising from discrepancies between the various sources of numbers of customers for mobile networks.

2353

Abstract

Purpose

The purpose of this article is to identify policy issues arising from discrepancies between the various sources of numbers of customers for mobile networks.

Design/methodology/approach

This paper reviews and analyzes a range of statistics, and then draws out policy implications.

Findings

Survey data report much lower numbers of customers than operators, indicating delays in achieving MDGs and market distortions.

Research limitations/implications

There is a lack of data on the reasons for ownership of multiple mobile SIM cards.

Practical implications

There is a need for more extensive surveys to identify reasons for ownership of multiple mobile SIM cards. The analysis can be incorporated into policy and regulatory decision making.

Originality/value

The paper takes an analytic approach, suggesting areas for further work.

Details

info, vol. 11 no. 2
Type: Research Article
ISSN: 1463-6697

Keywords

Article
Publication date: 1 February 1990

Gordon Wills, Sherril H. Kennedy, John Cheese and Angela Rushton

To achieve a full understanding of the role ofmarketing from plan to profit requires a knowledgeof the basic building blocks. This textbookintroduces the key concepts in the art…

16054

Abstract

To achieve a full understanding of the role of marketing from plan to profit requires a knowledge of the basic building blocks. This textbook introduces the key concepts in the art or science of marketing to practising managers. Understanding your customers and consumers, the 4 Ps (Product, Place, Price and Promotion) provides the basic tools for effective marketing. Deploying your resources and informing your managerial decision making is dealt with in Unit VII introducing marketing intelligence, competition, budgeting and organisational issues. The logical conclusion of this effort is achieving sales and the particular techniques involved are explored in the final section.

Details

Management Decision, vol. 28 no. 2
Type: Research Article
ISSN: 0025-1747

Keywords

Article
Publication date: 1 June 2002

George K. Chacko

Develops an original 12‐step management of technology protocol and applies it to 51 applications which range from Du Pont’s failure in Nylon to the Single Online Trade Exchange…

3650

Abstract

Develops an original 12‐step management of technology protocol and applies it to 51 applications which range from Du Pont’s failure in Nylon to the Single Online Trade Exchange for Auto Parts procurement by GM, Ford, Daimler‐Chrysler and Renault‐Nissan. Provides many case studies with regards to the adoption of technology and describes seven chief technology officer characteristics. Discusses common errors when companies invest in technology and considers the probabilities of success. Provides 175 questions and answers to reinforce the concepts introduced. States that this substantial journal is aimed primarily at the present and potential chief technology officer to assist their survival and success in national and international markets.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 14 no. 2/3
Type: Research Article
ISSN: 1355-5855

Keywords

Article
Publication date: 1 March 1995

Moutaz Khouja and Robert Conrad

Addresses an actual problem of assigning customers to employees ina mail order firm. The management of the firm groups customers based onthe first letter of the last name. To make…

540

Abstract

Addresses an actual problem of assigning customers to employees in a mail order firm. The management of the firm groups customers based on the first letter of the last name. To make assigning responsibility for handling customer orders easier, management specifies that no letter group can be broken up. In other words, all customers with last names beginning with the same letter must be assigned to the same employee. Management also desires a fair assignment among employees. A perfectly fair assignment entails assigning the same number of customers to every employee. A lower bound on the solution to the problem is established and two approaches to the problem are developed. First, it is formulated as a zero‐one goal programming problem and thus commercially available computer codes can be used to solve it. Second, a heuristic approach which assigns customers to employees based on rules similar to assembly line balancing is developed. The zero‐one goal programming approach yields slightly better results. However, it requires longer computer running time.

Details

International Journal of Operations & Production Management, vol. 15 no. 3
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 1 February 1994

Stanley C. Gardiner and Amitava Mitra

A major US bank has determined that none of its customers should have towait more than three minutes for service. Presents a procedure thathelps management allocate tellers to…

954

Abstract

A major US bank has determined that none of its customers should have to wait more than three minutes for service. Presents a procedure that helps management allocate tellers to prevent any customer waiting time from exceeding the three‐minute limit. Uses X¯ and s charts to monitor the average waiting time and the standard deviation of waiting times. Customer waits exceeding three minutes and customer arrivals are monitored using c charts. The approach integrates the analysis of the c charts along with that of the X¯ and s charts to determine the number of tellers necessary to maintain customer service at the desired level. The lobby operations are simulated and the procedure illustrated using operational data supplied by the bank.

Details

International Journal of Quality & Reliability Management, vol. 11 no. 1
Type: Research Article
ISSN: 0265-671X

Keywords

Article
Publication date: 20 October 2021

Enping (Shirley) Mai and Ying Liao

Building on the expectancy value theory, the purpose of this paper is to examine the effects of word-of-mouth (WOM) and customer value (i.e. functional value and…

1461

Abstract

Purpose

Building on the expectancy value theory, the purpose of this paper is to examine the effects of word-of-mouth (WOM) and customer value (i.e. functional value and ease-of-doing-business value) on B2B business performance in the B2B sales process.

Design/methodology/approach

The authors develop a framework to understand how B2B WOM and customer value influence supplier sales performance. This model was tested using structural equation modeling with a sample of 220 suppliers on Alibaba.com.

Findings

The empirical findings demonstrate that B2B WOM valence and volume have positive influences on the number of quotations and the number of transactions, respectively. Additionally, B2B WOM volume mediates the relationship between operational performance and the number of transactions. Response rate mediates the relationships between response time and both the number of quotations and the number of transactions, respectively.

Originality/value

This study contributes to the industrial marketing of B2B sales on the digital platform by investigating two influencers on sales performance: WOM and customer value.

Details

Journal of Business & Industrial Marketing, vol. 37 no. 7
Type: Research Article
ISSN: 0885-8624

Keywords

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