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Article
Publication date: 12 July 2013

Stephan M. Liozu and Andreas Hinterhuber

The purpose of this paper is to identify a set of specific activities and a set of competencies associated with above‐average firm performance.

2113

Abstract

Purpose

The purpose of this paper is to identify a set of specific activities and a set of competencies associated with above‐average firm performance.

Design/methodology/approach

Quantitative survey of 748 respondents.

Findings

It was found that four key competencies differentiate high performing from low performing companies: organizational confidence; pricing capabilities; organizational change capacity; and championing behaviors by top management. The research also identifies a set of specific activities that are linked with superior firm performance: activities directed at the improvement of pricing effectiveness (e.g. trainings, pricing tools; pricing performance reviews); improvements in product differentiation and product quality (e.g. through innovation and research aimed at identifying and creating customer value); increased sense of organizational confidence (e.g. optimism, resilience, “can do”‐attitude); improved support of top management; improved ability to stick to list prices and minimization of discounting behaviors; and finally, enhanced cultural adaptability to respond to changing market conditions.

Research limitations/implications

Through a quantitative research design, the authors document the link between pricing capabilities, organizational confidence and superior firm performance.

Practical implications

The authors identify both specific activities, as well as higher order competencies, practising managers need to develop in order to increase firm performance via pricing. Taking a hypothetical company as example, the authors' data show that, on average, a one point improvement on a seven‐point scale in organizational confidence leads to a 4 per cent improvement in return on sales.

Originality/value

Our research highlights which organizational competencies drive firm performance. Specifically this research is the first quantitative survey which documents a positive relationships between organizational confidence and firm performance.

Details

Journal of Business Strategy, vol. 34 no. 4
Type: Research Article
ISSN: 0275-6668

Keywords

Article
Publication date: 1 February 2005

Giovanna Padula and Bruno Busacca

To investigate the theoretical foundations of price as a multi‐dimensional component of value and to examine the nature of the relationship between price‐attribute perception and…

3469

Abstract

Purpose

To investigate the theoretical foundations of price as a multi‐dimensional component of value and to examine the nature of the relationship between price‐attribute perception and overall price evaluation.

Design/methodology/approach

The economic theory of the distribution of surplus across customers and the equity theory are used to develop the hypotheses about the multi‐dimensional nature of the price construct. Prospect theory is used to predict the relationship between price‐attribute performance and overall price evaluation. Data were collected through a structured questionnaire regarding mobile communications operators in Italy. After carrying out a principal factor analysis, several regression models were run to test the hypotheses.

Findings

The results confirm that price is a multi‐dimensional construct (i.e. made up of cheapness, fairness and variety), yet they do not fully support the prospect theory predictions.

Research limitations/implications

Multi‐item price measurement scales need to be further developed and validated. The theoretical framework needs to be further validated in other industries to assess the external validity of these findings.

Practical implications

Different dimensions of price represent different “evaluation categories”, all related to importance, yet vastly different in how one ought to respond to each of them. For price dimensions showing an asymmetric relationship with overall price evaluation, relative importance is a function of performance.

Originality/value

This paper extends the price conceptualization from a uni‐dimensional to a multi‐dimensional construct and suggests an integration of prospect theory. It offers a contribution for research on evaluation measurement procedures as well as on price and value management.

Details

International Journal of Service Industry Management, vol. 16 no. 1
Type: Research Article
ISSN: 0956-4233

Keywords

Article
Publication date: 10 May 2018

Lars Hendrik Achterberg, Maktoba Omar, Ambisisis Ambituuni and Oliver Roll

The purpose of this paper is to analyse the external antecedents of pricing information acquisition in an integrative manner. The study develops understanding of determinants of…

Abstract

Purpose

The purpose of this paper is to analyse the external antecedents of pricing information acquisition in an integrative manner. The study develops understanding of determinants of information acquisition as a crucial prerequisite of successful pricing strategies within German small and medium enterprises (SMEs).

Design/methodology/approach

A large scale survey of sampled 2,542 SMEs was conducted. A total of 220 questionnaires were completed, reflecting a response rate of 9 per cent. This was acceptable considering the sensitivity of pricing issues. A final sample of 173 usable questionnaires were obtained.

Findings

The result indicates that external antecedents of pricing information acquisition practices have a positive impact on SME pricing performance, and pricing performance is positively related to firm performance.

Practical implications

The study indicates that external antecedents of pricing information acquisition are strategic pricing capabilities, which should receive attention by SME managers.

Originality/value

This study bridges significant obstacle to knowledge generation and theory development of the important issues of pricing information acquisition in SMEs.

Details

Journal of Small Business and Enterprise Development, vol. 25 no. 6
Type: Research Article
ISSN: 1462-6004

Keywords

Article
Publication date: 10 April 2018

Aluisius Hery Pratono

The purpose of this study is to develop a structural equation model to explain the complex relationship between social network and firm performance by introducing the mediating…

2407

Abstract

Purpose

The purpose of this study is to develop a structural equation model to explain the complex relationship between social network and firm performance by introducing the mediating role of trust, selling capability and pricing capability.

Design/methodology/approach

The research model with hypothesis development was derived based on the literature. To provide empirical evidence, this study carried out a survey in which the data were equated with a list of questionnaires with a random survey of 380 small and medium enterprises (SMEs) in the Indonesian context.

Findings

This study indicates that the use of social media in management process will not affect the increasing firm performance, unless the firms build trust upon social networks. The social network with trust allows the firms to gain a pricing capability and a selling capability, which brings a positive impact on firm performance. The results also show that the selling and the pricing capabilities become essential following the utilizing the social media, which concerns on trust building.

Research limitations/implications

This study focused on the small-to-medium context, which has conventionally provided an exemplary site for the development of social capital theory but raises issues of generalizability across different contexts.

Practical implications

To the managers, it is advisable to encourage their employees to consciously exploit the selling capability by enhancing the business networks via social media to achieve the firm performance.

Originality/value

This paper contributes to the social capital theory by explaining the mediating role of trust in the complex relationship between social network and firm performance. This study provides evidence that trust plays a pivotal role in social networks, which enable the observed firms to achieve the performance.

Article
Publication date: 22 March 2013

Stephan M. Liozu and Andreas Hinterhuber

How do pricing methods affect firm performance? From both an academic as well as a managerial perspective this question is important. The literature is silent on the relationship…

6346

Abstract

Purpose

How do pricing methods affect firm performance? From both an academic as well as a managerial perspective this question is important. The literature is silent on the relationship between pricing approach and company performance. The aim of this paper is to address this research gap.

Design/methodology/approach

To address this practical and theoretical deficit, the authors surveyed 1,812 professionals involved in pricing to measure the influence of pricing approach on firm performance.

Findings

The authors find a positive relationship between value‐based pricing (but not competition‐based pricing) and firm performance. Furthermore, the authors find that the three pricing orientations differently influence firm pricing capabilities, which in turn are positively related to firm performance. This paper is thus the first paper documenting a positive relationship between value‐based pricing and firm performance through a quantitative research design.

Originality/value

These findings have important theoretical as well as practical implications and suggest that all firms, regardless of size, industry or geography, benefit from value‐based pricing.

Details

Management Decision, vol. 51 no. 3
Type: Research Article
ISSN: 0025-1747

Keywords

Article
Publication date: 26 October 2023

Gopal Kumar, Felix T.S. Chan and Mohit Goswami

The coronavirus (COVID-19) is the worst pandemic in recent memory in terms of its economic and social impacts. Deadly second wave of COVID-19 in India shook the country and…

Abstract

Purpose

The coronavirus (COVID-19) is the worst pandemic in recent memory in terms of its economic and social impacts. Deadly second wave of COVID-19 in India shook the country and reshaped the ways organizations functions and societies behave. Medical infrastructure was unaffordable and unsupportive which created high distress in the Indian society, especially for poor. At this juncture, some pharmaceutical firms made a unique social investment when they reduced price of drugs used to treat COVID-19 patients. This study aims to examine how the market and the society respond to the price reduction announcement during the psychological distress of COVID-19.

Design/methodology/approach

Market reactions have been analyzed by conducting an event study on stock market data and visual analytics-based sentiment analysis on Twitter data.

Findings

Overall, this study finds positive abnormal returns on the day and around the day of event. Interestingly, this study finds that returns during the time of high distress are significantly higher. Sentiment analysis conveys that net sentiment is favorable to the pharmaceutical firms around the day of event and it sustains more during the time of high distress.

Originality/value

This study is unique in contributing to the business and industrial management literature by highlighting market reactions to social responsibility of business during the time of psychological distress in emerging economies.

Details

Industrial Management & Data Systems, vol. 124 no. 1
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 4 August 2022

Nazar Habeeb Abbas

The purpose of this research is to determine the nature of the relationship between sporting, financial performance and a stock price of football clubs by adopting the quarterly…

Abstract

Purpose

The purpose of this research is to determine the nature of the relationship between sporting, financial performance and a stock price of football clubs by adopting the quarterly financial statements of the European clubs that represent the research sample: Juventus, Borussia Dortmund and Olympique Lyonnais, which helps clubs’ managers in evaluating the sporting and financial performance effect on the share price at the quarterly level.

Design/methodology/approach

The research is performed using the panel data technique, for Juventus, Borussia Dortmund and Olympique Lyonnais (2007–2016). The sporting performance is represented by the quarterly rate of the number of goals scored by the club to the number of goals scored against it; the quarterly rate of the number of wins to the total number of matches played by the club in local and international competitions. At the same time, financial performance is represented by the quarterly rate of current ratio, the quarterly rate of the leverage ratio, and the quarterly rate of earnings per share (EPS).

Findings

The analysis of the results was distributed at two levels: macro and micro. The analysis at the macro-level dealt with the correlation and influence between the sports performance indicators and the financial performance indicators of the three clubs combined on the share prices of those clubs. The micro-level performance is analyzed separately from the macro analysis. The results indicated that there was an effect on macro analysis. As for the microanalysis, the results showed no effect of the sporting performance of the three clubs on their share price.

Research limitations/implications

The main implications of this research reveal the weakness of the correlation between the clubs' share price in the financial market, possibly due to the quarterly rate of the data. But there is a slight change for Juventus. There is a moderate correlation between the quarterly sporting performance indicators of this club and the quarterly average of its share price in the market.

Practical implications

The main implications of this research reveal the weakness of the correlation between the clubs' share price in the financial market, possibly due to the quarterly rate of the data. But there is a slight change for Juventus. There is a moderate correlation between the quarterly sporting performance indicators of this club and the quarterly average of its share price in the market.

Social implications

The social implications of the current research are clear by dealing with the relationship between the sports and Financial performance of football clubs and its relationship to the price of its shares in the financial market. The success of football clubs in achieving sporting victory attracts more fans. This leads to an increase in the club's profits and consequently to an increase in the price of its shares in the financial markets. Therefore, the societal benefit will be achieved by increasing the enjoyment of the audience and increasing the revenues of the club and the city to which it belongs.

Originality/value

The originality of this research is represented in its use of quarterly data to clarify the relationship between the sporting and financial performance of a sample of European football clubs with the price of its shares in the financial markets. Therefore, this research differs from previous research that used only daily and annual data for clubs to clarify the relationship between their sporting and financial performance.

Details

Review of Behavioral Finance, vol. 15 no. 3
Type: Research Article
ISSN: 1940-5979

Keywords

Article
Publication date: 1 September 2000

Index by subjects, compiled by K.G.B. Bakewell covering the following journals: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17; Property Management…

27433

Abstract

Index by subjects, compiled by K.G.B. Bakewell covering the following journals: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17; Property Management Volumes 8‐17; Structural Survey Volumes 8‐17.

Details

Facilities, vol. 18 no. 9
Type: Research Article
ISSN: 0263-2772

Article
Publication date: 1 March 2000

K.G.B. Bakewell

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17;…

23736

Abstract

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17; Property Management Volumes 8‐17; Structural Survey Volumes 8‐17.

Details

Property Management, vol. 18 no. 3
Type: Research Article
ISSN: 0263-7472

Article
Publication date: 1 May 2000

K.G.B. Bakewell

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17;…

23745

Abstract

Compiled by K.G.B. Bakewell covering the following journals published by MCB University Press: Facilities Volumes 8‐17; Journal of Property Investment & Finance Volumes 8‐17; Property Management Volumes 8‐17; Structural Survey Volumes 8‐17.

Details

Journal of Property Investment & Finance, vol. 18 no. 5
Type: Research Article
ISSN: 1463-578X

1 – 10 of over 107000