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Article
Publication date: 16 April 2024

Hongyu Hou, Feng Wu and Xin Huang

The development of the digital age has made data and information more transparent, enhancing the strategic perspectives of both buyers (strategic waiting) and sellers (price…

Abstract

Purpose

The development of the digital age has made data and information more transparent, enhancing the strategic perspectives of both buyers (strategic waiting) and sellers (price fluctuations) in their decision-making. This research investigates the optimal dynamic pricing strategy of the content product developer in relation to their consideration of consumer fairness concerns to elucidate the impact of consumer fairness concerns on the dynamic pricing strategy of the developer.

Design/methodology/approach

This paper assumes that monopolistic content developers implement a dynamic pricing strategy for the content product. Through constructing a two-period dynamic pricing game model, this research investigates the optimal decisions of the content developer, contingent upon their consideration or disregard of consumer fairness concerns. In the extension section, the authors additionally account for the influence of myopic consumers on these optimal decisions.

Findings

Our findings reveal that the degree of consumer fairness concerns significantly influences the developer’s optimal dynamic pricing decision. When a developer offers content products with lower depth, there is a propensity for the developer to refrain from incorporating consumer fairness concerns into a dynamic pricing strategy. Conversely, in cases where the developer offers a high-depth content product, consumer fairness concerns benefit the developer. Furthermore, our analysis reveals a consistent benefit for the developer from the inclusion of myopic consumers.

Originality/value

Few studies have delved into the conjoined influence of consumer fairness concerns and strategic behavior on dynamic pricing strategy. Our findings indicate that consumer fairness concerns can enhance the efficiency of the value chain for content products under specific conditions. This paper not only enriches the existing literature on dynamic pricing by incorporating consumer fairness concerns theoretically but also offers practical insights. The outcomes of this research can guide content product developers in devising optimal dynamic pricing strategies.

Details

Industrial Management & Data Systems, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 1 February 2024

Permata Wulandari and Muhammad Nadhif Ubaidillah

Islamic home financing products with Murabaha contracts are widely favored among the Muslim community in Indonesia, given that the country has a population of over 230 million…

Abstract

Purpose

Islamic home financing products with Murabaha contracts are widely favored among the Muslim community in Indonesia, given that the country has a population of over 230 million Muslims. To facilitate the development of products and enhance public interest, it is important for Islamic banking institutions to comprehend the elements that may impact the intents of Muslim communities in Indonesia when selecting Islamic home financing products with Murabaha contracts. The purpose of this study is to ascertain the many aspects that may have an impact on the decision-making process of Muslim communities in Indonesia when selecting Islamic home financing product that use Murabaha contracts.

Design/methodology/approach

The partial least square-structural equation modeling data processing techniques will be used to process and evaluate these components. The data used in this study was acquired by administering questionnaires to a sample of 298 Muslim communities, which were randomly selected from a pool of 301 possible customers of Islamic house finance in Indonesia.

Findings

The results of this research show that attitude, subjective norms and perceived behavioral control have positive influence on intention to choose an Islamic home financing scheme with Murabaha agreement, while price fairness of Islamic home financing and Islamic altruism have direct and indirect influence on intention to choose Islamic home financing.

Research limitations/implications

Analyzing factors that affect intention to choose Islamic home financing product under Murabaha contract is essential. Future study is required to analyze other Islamic home financing products, such as istisna, ijarah muntahia bi tamlik and diminishing musharakah. This study only serves as a foundation for further investigations into conventional approaches to home financing in emerging nations. The areas can be expanded to be implemented in other countries.

Practical implications

It is anticipated that Islamic banks have the capacity to cultivate a favorable and constructive perception, hence fostering a positive disposition among the Muslim populace in Indonesia. Furthermore, it is essential for Islamic banks to guarantee that all stakeholders within the sharia-compliant institution, particularly the frontline staff, have enough expertise and understanding of the intricacies of Islamic home financing products including Murabaha contracts, which are intended for prospective customers. In the foreseeable future, it is anticipated that the Muslim population in Indonesia would exhibit a greater intention toward the use of Islamic home financing solutions that use Murabaha contracts, facilitated by the establishment of a conducive environment.

Originality/value

This research integrates the impacts of pricing fairness and Islamic charity as a modified model, alongside the theory of planned behavior model, to examine the influence of these factors on individuals’ intentions to use Islamic home financing in Indonesia.

Details

International Journal of Housing Markets and Analysis, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1753-8270

Keywords

Article
Publication date: 23 May 2023

Yunmiao Gui, Huihui Zhai, Feng Dong and Zhi Liu

This paper aims to investigate how user expectations affect value-added service (VAS) investment and pricing decisions of two-sided platforms. It draws on the information…

Abstract

Purpose

This paper aims to investigate how user expectations affect value-added service (VAS) investment and pricing decisions of two-sided platforms. It draws on the information asymmetry theory and offers suggestions on how platform operators can manage user expectations.

Design/methodology/approach

According to the game theory, this study considers three user expectations (responsive, passive and wary). By framing the Hotelling duopoly model and comparing the VAS investment, price and platform profits, the optimal platform decision is analyzed and discussed.

Findings

The conclusions demonstrate that the monopolistic two-sided platform obtains more profits from the informed users with responsive expectations than uninformed users with passive or wary expectations. The marginal investment cost and cross-network externalities are two key factors that determine the platform's VAS investment and pricing strategies of passive or wary users. Furthermore, considering the expectation preferences, i.e. the uniformed users hold wary expectations with more information and hold passive expectations with less or no information, the results suggest that the proportion of wary users to all uninformed users increases the platform's VAS investment, profits and the price of informed users, and increase (decrease) the price of uninformed users when the cross-network externalities of informed users are relatively small (larger).

Practical implications

These results can provide insightful enlightenment into how platform operators utilize bilateral users' expectations and information level to guide their VAS investment and pricing decisions.

Originality/value

This paper is one of the first to explore the impact of three user expectations and the heterogeneity of preferences in informing users' passive or wary expectations, based on different levels of information on the decision-making of two-sided platforms regarding VAS.

Details

Kybernetes, vol. 53 no. 2
Type: Research Article
ISSN: 0368-492X

Keywords

Article
Publication date: 15 December 2023

Tak Jie Chan, Norazah Mohd Suki, Phoebe Suet Yin Ho and Muhammad Farooq Akhtar

Companies with corporate social responsibility (CSR) practices care about customers, society, the environment and workers. This study aims to examine the impact of CSR practices…

Abstract

Purpose

Companies with corporate social responsibility (CSR) practices care about customers, society, the environment and workers. This study aims to examine the impact of CSR practices (i.e. economic CSR, environmental CSR and societal CSR) on consumers’ purchase intention of apparel products, with the mediating role of consumer-retailer love on this relationship.

Design/methodology/approach

Data gathered using purposive sampling technique from 300 young online consumers using purposive sampling were analyzed using partial least squares structural equation modeling via SmartPLS3.0.

Findings

The results reveal that CSR practices (i.e. environmental CSR and societal CSR) have a positive influence on purchase intention for apparel products. Moreover, consumer-retailer love mediates the relationship between CSR practices (i.e. economic CSR and environmental CSR) and consumers’ purchase intention for apparel products.

Practical implications

Apparel retail marketers should focus on key determinants when designing CSR campaigns and communicating these CSR initiatives in social media and annual reports. They should also focus on their service quality to create a good perception (images) that helps measure the emotional response (love) between the retailer and consumers.

Originality/value

By applying the triple bottom line framework and the stimulus-organism-response model in a single framework, this study is unique and highlights the role of consumer-retailer love as an important mediator on the impact between CSR practices (i.e. economic CSR, environmental CSR, societal CSR) and consumers’ purchase intention of apparel products. The findings represent a new contribution to the existing literature, as there has been very limited research on this relationship in a developing nation context.

Details

Social Responsibility Journal, vol. 20 no. 5
Type: Research Article
ISSN: 1747-1117

Keywords

Article
Publication date: 26 February 2024

Jianping Hu, Xinjiang Ye and Shengyu Gu

The study advances an enhanced model encompassing psychological involvement, denoted as the psychological continuum model (PCM) and perceived customer service quality as…

Abstract

Purpose

The study advances an enhanced model encompassing psychological involvement, denoted as the psychological continuum model (PCM) and perceived customer service quality as intermediaries in the association between subjective customer knowledge (SCK) and behavioral loyalty. The purpose of this study is to assess the mediating role of psychological engagement and consumers' perceived service quality in the relationship between SCK and behavioral loyalty among members of nonprofit sports service organizations. Additionally, the study aims to examine the impact of membership duration on the relationship between consumer knowledge and behavioral loyalty.

Design/methodology/approach

The study used a quantitative research design, and primary data were collected through a structured questionnaire from 527 members of nonprofit Chinese sports clubs who were selected using a simple random sampling technique. A 5-point Likert scale questionnaire was developed to measure all constructs in the intended research model. The suitability of the measurement model was analyzed by performing confirmatory factor analysis (CFA). Structural equation modeling (SEM) was used to analyze the data using AMOS-24.

Findings

The results of the overall direct effect indicate a significant influence of subjective knowledge on perceived service quality, perceived service quality significantly and positively influences psychological engagement; psychological engagement was found to be an important predictor of consumer behavioral loyalty.

Originality/value

The results offer information for nonprofit sports club (NPSC) managers who seek to increase the attractiveness and retention of their clubs' members by establishing the importance of subjective consumer knowledge.

Details

Asia Pacific Journal of Marketing and Logistics, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1355-5855

Keywords

Article
Publication date: 28 November 2023

Maren Busch, Daniel Mühlrath and Christian Herzig

The authors analysed fairness as an antecedent of trust to understand how trust building can be actively managed to facilitate collaboration in buyer–supplier relationships.

Abstract

Purpose

The authors analysed fairness as an antecedent of trust to understand how trust building can be actively managed to facilitate collaboration in buyer–supplier relationships.

Design/methodology/approach

A case study was employed to buyer–supplier relationships of five organic food companies from three different sectors. The research was developed with data collected in 2022 through qualitative research interviews and analysed using a structured content analysis. A practitioner workshop served to complement findings and confirm the interpretation of data by discussing interview results from a managerial perspective.

Findings

A conceptual model based on organisational trust and justice theory was developed to examine causal relations between fairness and trust. Findings show that perceived distributional, procedural and interactional fairness mutually interact with the perceived trustworthiness of business partners and that both contribute to building personal, organisational and institutional trust. Qualitative data support the conceptual model and show that trust is a valuable relational resource that affects relationship quality and the willingness to collaborate and to take risks in times of uncertainty.

Practical implications

High trust levels developed through positive fairness perceptions can lower risk perceptions whilst increasing the willingness to collaborate in supply chain relationships. This can help deal with market uncertainties.

Originality/value

Through the lens of organisational trust and justice theory, this study extends the literature on collaboration in supply chains by including a comprehensive view on the formation of trust in business-to-business (B2B) relationships.

Details

British Food Journal, vol. 126 no. 2
Type: Research Article
ISSN: 0007-070X

Keywords

Article
Publication date: 15 February 2024

Bokolo Anthony Jnr

Presently, existing electric car sharing platforms are based on a centralized architecture which are faced with inadequate trust and pricing issues as these platforms requires an…

Abstract

Purpose

Presently, existing electric car sharing platforms are based on a centralized architecture which are faced with inadequate trust and pricing issues as these platforms requires an intermediary to maintain users’ data and handle transactions between participants. Therefore, this article aims to develop a decentralized peer-to-peer electric car sharing prototype framework that offers trustable and cost transparency.

Design/methodology/approach

This study employs a systematic review and data were collected from the literature and existing technical report documents after which content analysis is carried out to identify current problems and state-of-the-art electric car sharing. A use case scenario was then presented to preliminarily validate and show how the developed prototype framework addresses the trust-lessness in electric car sharing via distributed ledger technologies (DLTs).

Findings

Findings from this study present a use case scenario that depicts how businesses can design and implement a distributed peer-to-peer electric car sharing platforms based on IOTA technology, smart contracts and IOTA eWallet. Main findings from this study unlock the tremendous potential of DLT to foster sustainable road transportation. By employing a token-based approach this study enables electric car sharing that promotes sustainable road transportation.

Practical implications

Practically the developed decentralized prototype framework provides improved cost transparency and fairness guarantees as it is not based on a centralized price management system. The DLT based decentralized prototype framework aids to orchestrate the incentivize monetization and rewarding mechanisms among participants that share their electric cars enabling them to collaborate towards lessening CO2 emissions.

Social implications

The findings advocate that electric vehicle sharing has become an essential component of sustainable road transportation by increasing electric car utilization and decreasing the number of vehicles on the road.

Originality/value

The key novelty of the article is introducing a decentralized prototype framework to be employed to develop an electric car sharing solution without a central control or governance, which improves cost transparency. As compared to prior centralized platforms, the prototype framework employs IOTA technology smart contracts and IOTA eWallet to improve mobility related services.

Details

Smart and Sustainable Built Environment, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2046-6099

Keywords

Article
Publication date: 4 March 2024

Melby Karina Zuniga Huertas, Thais Rubia Ferreira Lepre and André Torres Urdan

This paper aims to clarify the effect of discount discrepancy (DD) on consumers’ purchase intention (PI). The authors propose, test and provide evidence and explanations about the…

Abstract

Purpose

This paper aims to clarify the effect of discount discrepancy (DD) on consumers’ purchase intention (PI). The authors propose, test and provide evidence and explanations about the moderation of justification in the relation between consumers’ perceived DD and PI.

Design/methodology/approach

The authors conducted three experimental studies with a 2 × 2 factorial design, focusing on consumers’ processing of price discounts. Participants were informed that this study aimed to gather opinions on fashion, clothing and retail sales promotions. They accessed the questionnaire via Qualtrics. Each participant took part in only one study. The experimental conditions were manipulated through scenarios.

Findings

Study 1 tested and supported the moderation of justification on the effect of DD on PI. Study 2 tested and supported the moderation of the type of justification for the effect of DD on PI. Study 3 confirmed the findings in Study 2 and revealed the more effective type of justification.

Research limitations/implications

The authors focused on a typically hedonic product category (fashion clothing). Further research should include a wider variety of goods and services, which could lead to different explanations or generalizations.

Practical implications

Sales promotions must refrain from generating DD between the initial price discount and the subsequent smaller discounts. Practitioners must evaluate the gains of an initial, more considerable percentage discount to attract consumers to the store and sell them other products versus the cost of losing sales because of DD. Management should recognize the importance of giving the correct justification for perceived DD, aligning the firm’s justification with the consumer’s motivation to buy the product.

Social implications

The authors offer subsidies for effective consumer protection policies.

Originality/value

By studying the influence of justification on the effect of DD on PI, the authors propose a mechanism that would reduce the negative effect of DD on consumers’ PI.

Details

Management Research Review, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2040-8269

Keywords

Article
Publication date: 29 September 2022

Sze Ling Ng, Sajad Rezaei, Naser Valaei and Mohammad Iranmanesh

The objective of this study is to examine the drivers of retail apps satisfaction and continuance intention. An integrative theoretical framework was developed based on the IS…

Abstract

Purpose

The objective of this study is to examine the drivers of retail apps satisfaction and continuance intention. An integrative theoretical framework was developed based on the IS success model, E-S-QUAL and expectancy and disconfirmation model to explain retail apps users’ satisfaction and continuance intention.

Design/methodology/approach

A total of 359 useable data were collected from the targeted Malaysian respondents who had experience in using retail apps services. Data were analysed using the partial least squares technique.

Findings

The results indicate that system quality and e-service quality positively influence retail apps usage satisfaction and have positive direct and indirect effects through satisfaction on continuance intention. The price level has a negative effect on retail apps usage satisfaction. Even though price level has no direct effect on continuance intention to use retail apps, it has an indirect effect on continuance intention through satisfaction.

Originality/value

Although the success of a marketing channel mainly depends on its continuance usage rather than first-time usage, few studies have paid attention to retail apps services. This study contributes to the advancement of knowledge on retail apps by explaining the roles of system quality, e-service quality and price level on retail apps satisfaction and continuance intention. Interestingly, the findings of multi-group analysis imply that female Gen Y app users are more satisfied than males while such differences do not impact their continuance intention to use the retail apps. The findings also suggested that frequency of using apps has no relevance to retail apps user satisfaction, but highly relevant to their continuance intention to use retail Apps services.

Details

Asia-Pacific Journal of Business Administration, vol. 16 no. 2
Type: Research Article
ISSN: 1757-4323

Keywords

Article
Publication date: 22 April 2024

Jasper Grashuis, Ye Su and Pei Liu

Food service establishments and online food delivery companies use a revenue share model based on a commission rate. Because of the asymmetry of bargaining power, many food…

Abstract

Purpose

Food service establishments and online food delivery companies use a revenue share model based on a commission rate. Because of the asymmetry of bargaining power, many food service establishments are vulnerable to a high commission rate. What is missing in the ongoing discussion about the revenue share model is the perspective of food consumers, who are the third party in the multi-sided market.

Design/methodology/approach

Within a willingness-to-pay (WTP) framework, we study if food consumers have preferences for the commission rate charged by food delivery companies to food service establishments. With 456 random consumers in the United States, we conduct a controlled experiment in which information is used as treatment in two groups. In the first group, the provided information only relates to the revenue share model (i.e. economic). In the second group, participants also received information about price control initiatives (i.e. economic and political).

Findings

Based on WTP-space mixed logit model results, there is a significant effect of information on preferences for the commission rate. While participants in the control group exhibited no aversion to the commission rate, participants who received treatment had a significant and negative WTP. The magnitude of the effect is estimated at -$1.08 for participants in the first treatment and -$2.28 for participants in the second treatment.

Originality/value

To date there is no applied research on the preferences of consumers in the online food order and delivery industry with respect to upstream conditions (i.e. commission rates).

Details

British Food Journal, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0007-070X

Keywords

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