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Article
Publication date: 4 November 2020

A moderating role of halal brand awareness to purchase decision making

Erny Rachmawati, Suliyanto and Agus Suroso

The purpose of this study is to determine the relationship between product knowledge and product involvement with purchase decision-making. In addition, this study also…

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Abstract

Purpose

The purpose of this study is to determine the relationship between product knowledge and product involvement with purchase decision-making. In addition, this study also determines the role of halal brand awareness as a moderating variable in influencing the relationship between product knowledge and product involvement with purchase decision-making.

Design/methodology/approach

Five major cities in Indonesia were chosen as study locations because they are student cities, and also cities with more population and more famous in Indonesia, so the sample is more heterogeneous. A total of 500 questionnaires were distributed using a convenience sampling method with an effective rate of 93%. Hypotheses are tested by structural equation modeling procedures using analysis of moment structure 22.0.

Findings

The empirical results suggest that product knowledge and product involvement have a positive and significant effect on consumer purchase decision-making; halal brand awareness is a moderating variable in the relationship between product knowledge and product involvement with purchase decision-making.

Research limitations/implications

This study adopts convenience sampling with the sampling area restricted in five cities, so it may not be suitable to be concluded as a consumer in general. This study only conducts research on halal food products in general. Future research may choose to use one brand of halal food product or compare several other halal food product brands. The results of the study support that the heterogeneity of respondents (age, education, gender and religion) has always been an important component in the study of consumption behavior. So that future research can examine the effect of different characteristics of respondents on the relationship between product knowledge, product involvement, halal brand awareness and purchase decisions.

Practical implications

The findings have significant implications that can help producers to develop strategies suitable for halal brand awareness and heighten the decision to purchase halal products by consumers in both Muslim and non-Muslim countries. So that the branding of halal products can enable businesses to access new markets for non-Muslim consumers in both Muslim and non-Muslim countries, so as to increase producer profitability by selling products at higher prices thereby providing higher profit margins.

Originality/value

In accordance with the author’s knowledge, this study is the first study to examine the moderator role of halal brand awareness variables in the relationship of product knowledge and product involvement with purchase decision-making.

Details

Journal of Islamic Marketing, vol. ahead-of-print no. ahead-of-print
Type: Research Article
DOI: https://doi.org/10.1108/JIMA-05-2020-0145
ISSN: 1759-0833

Keywords

  • Product knowledge
  • Product involvement
  • Purchase decision-making
  • Halal brand awareness

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Book part
Publication date: 14 July 2006

Using Knowledge Management Systems to Manage Knowledge Resource Risks

Nabil Elias and Andrew Wright

One of the emerging roles of management accountants in organizations is the design and operation of their organization's knowledge management system (KMS) that ensures the…

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Abstract

One of the emerging roles of management accountants in organizations is the design and operation of their organization's knowledge management system (KMS) that ensures the strategic utilization and management of its knowledge resources. Knowledge-based organizations face identifiable general risks but those whose primary product is knowledge, knowledge-products organizations (KPOs), additionally face unique risks. The management accountants’ role in the management of knowledge is even more critical in such organizations. We review the literature and survey a small convenient sample of knowledge-products organizations to identify the general risks knowledge-based organizations face and the additional risks unique to KPOs. The general risks of managing knowledge include inappropriate corporate information policies, employee turnover, and lack of data transferability. Additional risks unique to KPOs include the short life span (shelf-life) of knowledge products, the challenging nature of knowledge experts, and the vulnerability of intellectual property. The paper includes recommendations for management accountants in KPOs to develop and maintain competitive advantage through their KMS. These include developing enterprise-wide knowledge policies, fostering collaboration and documentation, addressing knowledge security, and evaluating the effectiveness of the KMS.

Details

Advances in Management Accounting
Type: Book
DOI: https://doi.org/10.1016/S1474-7871(06)15009-1
ISBN: 978-1-84950-447-8

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Article
Publication date: 9 July 2020

Adoption, diffusion and consumer behavior in technopreneurship

Broto Rauth Bhardwaj

The purpose of this paper is to study the adoption and diffusion of technology including SAAS software and cloud computing for facilitating knowledge management (KM) in…

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Abstract

Purpose

The purpose of this paper is to study the adoption and diffusion of technology including SAAS software and cloud computing for facilitating knowledge management (KM) in product innovation based on understanding of consumer behavior. Technopreneurship can drive sustainable product innovation by studying the patterns of consumer behavior. Sharing of consumer intelligence on cloud using SAAS is being used by several companies to drive innovation such as call centers in South Asia. However, there is no understanding role of knowledge management for understanding consumer behavior for product innovation.

Design/methodology/approach

The methodology uses case method of action research technique coupled with grounded theory development. Further, the study uses interpretive structural modelling (ISM) technique for interpreting the results for understanding consumer behavior patterns for enabling product innovation.

Findings

The findings suggest that enhancement of creative design based on consumer's study can lead to sustainable product development. The findings revealed that consumer behavior patterns embedded in the firm's intelligence captured in KM portal including customers' preferences and choices that can be developed into products. Knowledge management facilitated flexible manufacturing process, optimized capital expenditure using agility principles as per the study. Techniques and processes such as reactive scaling top down and bottom up and applying flexible APIs (Application Programming Interface) allowed the efficient automation of infrastructure orchestration and resource allocation. The involvement of vendors’ knowledge base facilitated creation of market ready product offers leading to sustainability.

Research limitations/implications

The implications include the adoption of inter-disciplinary and inter country understanding of knowledge management application for understanding consumer behavior to lead to sustainable product development.

Originality/value

The scope and scale of technology entrepreneurship include the application of knowledge management for consumer behavioral studies that have huge contributions to make product development sustainable using greener planet, purpose and product (3P model).

Details

International Journal of Emerging Markets, vol. ahead-of-print no. ahead-of-print
Type: Research Article
DOI: https://doi.org/10.1108/IJOEM-11-2018-0577
ISSN: 1746-8809

Keywords

  • Knowledge management
  • Innovation
  • Engineering
  • Entrepreneurship

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Book part
Publication date: 8 April 2005

CO-CREATING SUCCESSFUL NEW INDUSTRIAL NETWORKS AND PRODUCTS

Magnar Forbord

In every industry there are resources. Some are moving, others more fixed; some are technical, others social. People working with the resources, for example, as buyers or…

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Abstract

In every industry there are resources. Some are moving, others more fixed; some are technical, others social. People working with the resources, for example, as buyers or sellers, or users or producers, may not make much notice of them. A product sells. A facility functions. The business relationship in which we make our money has “always” been there. However, some times this picture of order is disturbed. A user having purchased a product for decades may “suddenly” say to the producer that s/he does not appreciate the product. And a producer having received an order of a product that s/he thought was well known, may find it impossible to sell it. Such disturbances may be ignored. Or they can be used as a platform for development. In this study we investigate the latter option, theoretically and through real world data. Concerning theory we draw on the industrial network approach. We see industrial actors as part of (industrial) networks. In their activities actors use and produce resources. Moreover, the actors interact − bilaterally and multilaterally. This leads to development of resources and networks. Through “thick” descriptions of two cases we illustrate and try to understand the interactive character of resource development and how actors do business on features of resources. The cases are about a certain type of resource, a product − goat milk. The main message to industrial actors is that they should pay attention to that products can be co-created. Successful co-creation of products, moreover, may require development also of business relationships and their connections (“networking”).

Details

Managing Product Innovation
Type: Book
DOI: https://doi.org/10.1016/S1069-0964(04)13002-0
ISBN: 978-1-84950-311-2

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Article
Publication date: 19 December 2019

How do product involvement and prestige sensitivity affect price acceptance on the mobile phone market in Vietnam?

Ngoc Minh Nguyen and Huyen Thi Nguyen

The aim of this paper is to incorporate the theoretically and practically appropriate affecting factors of customers’ price acceptance to develop an integrated model…

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Abstract

Purpose

The aim of this paper is to incorporate the theoretically and practically appropriate affecting factors of customers’ price acceptance to develop an integrated model explaining customers’ price acceptance on the mobile phone market in Vietnam.

Design/methodology/approach

This current research applied the cross-sectional design. Data was collected via questionnaires and 605 responses were left after refining. The exploratory factor analysis, confirmatory factor analysis and structural equation modeling methods were applied to analyze the collected data.

Findings

Prestige sensitivity and product involvement positively affect product knowledge and price mavenism. In turn, these two latter factors together with prestige sensitivity positively affect price acceptance. Besides, product knowledge and price mavenism mediated the effects of product involvement and prestige sensitivity on price acceptance in the context of complex products, rapid product innovation, social setting of using mobile phones, highly competitive market, the low purchasing power of customers and the typical cultural values of Vietnam.

Practical implications

The high product involvement and high prestige sensitivity customers could make up attractive market segments, especially important in the case of launching new products; concentrating marketing efforts on building product knowledge and price knowledge for these market segments may enhance price acceptance, speed up market penetration as well as improve price communication.

Originality/value

This is one of the first studies explaining price acceptance on the mobile phone market in Vietnam and clarifying the mediating effects of knowledge (product knowledge and price mavenism) on the causal relationships between product involvement/prestige sensitivity and price acceptance.

Details

Journal of Asia Business Studies, vol. 14 no. 3
Type: Research Article
DOI: https://doi.org/10.1108/JABS-07-2017-0096
ISSN: 1558-7894

Keywords

  • Vietnam
  • Product involvement
  • Product knowledge
  • Prestige sensitivity
  • Price acceptance
  • Price mavenism

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Article
Publication date: 14 January 2019

Product knowledge and information processing of organic foods

Julie V. Stanton and Laurel Aynne Cook

This paper aims to examine how product knowledge influences consumers to consider available information before choosing between organic and non-organic options. As…

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Abstract

Purpose

This paper aims to examine how product knowledge influences consumers to consider available information before choosing between organic and non-organic options. As “certified organic” is based on a complex standard in the USA, many consumers have only partial understanding of the term. This research shows how that knowledge influences consumer evaluation of the options presented in the market.

Design/methodology/approach

A two-study experimental survey that offers respondents a choice between two canned soups, one organic and one not, along with front- and back-of-label information which they can decide to use is utilized. The two studies differ in inclusion of national brand.

Findings

Consumer behavior with respect to information significantly affects rationale for product choice, and higher levels of knowledge are associated with choice rationale. Objective and subjective knowledge influence information processing differently. Inaccurate knowledge displayed by consumers influences their information processing behavior.

Research limitations/implications

While the survey stimuli are a realistic representation of two products, the online survey abstracts from in-store distractors that might influence behavior. The product chosen, while familiar and commonly consumed, is a low-involvement product which may reduce consumer effort.

Practical/implications

Marketers of organic foods must understand the level of knowledge held by consumers, as well as the information that most influences their choices if the industry is to grow further.

Originality/value

This study contrasts subjective and objective knowledge about organic foods and calculates the degree to which consumers under- versus over-estimate “organic” in their ignorance. As such, the research offers insight into a well-established label claim that has yet to achieve significant market share.

Details

Journal of Consumer Marketing, vol. 36 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/JCM-07-2017-2275
ISSN: 0736-3761

Keywords

  • Information processing
  • Organic food
  • Heuristic v. systematic processing model
  • Product knowledge
  • Product label claims

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Article
Publication date: 7 March 2016

Consumer knowledge and religious rulings on products: Young Muslim consumer’s perspective

Nazlida Muhamad, Vai Shiem Leong and Dick Mizerski

This study aims to provide insights on the influence of Muslim consumers’ knowledge on products subjected to contemporary fatwa ruling and their subsequent cognitive and…

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Abstract

Purpose

This study aims to provide insights on the influence of Muslim consumers’ knowledge on products subjected to contemporary fatwa ruling and their subsequent cognitive and behavioural responses.

Design/methodology/approach

MANOVA and MANCOVA were used to examine the influence of religious orientation on young Malaysian Muslims’ product knowledge, and the extent of religious orientation and gender on Muslim consumers’ attitude and behaviour towards three contemporary fatwa rulings of products.

Findings

Respondents’ religious orientation differentiates their knowledge on fatwa prohibition ruling of selected brand and behaviours. Consumers’ religious orientation and gender explain consumers’ behavioural responses to variables of the Theory of Planned Behaviour for three behaviours. Evidence suggests that ruling types affects (conditional and unconditional) consumers’ responses.

Research limitations/implications

Greater insights are provided on Muslims’ motivation to search information of controversial products, and their subsequent perception and behavioural reactions to controversial products. Findings are limited to the Malaysian Muslim consumers.

Practical implications

The fact that contemporary fatwa reached young Muslim generations indicates that managers have to be wary of fatwa to predict Muslim consumers’ marketplace behaviours.

Social implications

A significant number of young Malaysian Muslims are keeping abreast with contemporary fatwa. This suggests that they received an early and substantial exposure to Islamic way of life through their socialisation.

Originality/value

This study offer insights into the understandings of the young Muslim generation regarding contemporary fatwa on products, and revealed significant findings in relation to consumer product knowledge and religious influences on consumer behaviour.

Details

Journal of Islamic Marketing, vol. 7 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/JIMA-08-2014-0056
ISSN: 1759-0833

Keywords

  • Halal market
  • Islamic marketing
  • Islamic law and marketing practices
  • Islamic markets
  • The Muslim consumer
  • Selling to Islamic markets

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Article
Publication date: 1 August 2005

Product and process knowledge in the performance‐oriented knowledge management approach

Suk‐Gwon Chang and Jae‐Hyeon Ahn

The paper proposes first, to understand how and how much knowledge contributes toward explicit business performance improvement and, second, through the understanding of…

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Abstract

Purpose

The paper proposes first, to understand how and how much knowledge contributes toward explicit business performance improvement and, second, through the understanding of knowledge contribution, to provide a guiding principle for the effective knowledge management activities.

Design/methodology/approach

The authors use a Cobb‐Douglas type production function to model the relationship between knowledge and performance. Then, regression analysis is used to estimate the knowledge elasticity of performance. Finally, a laboratory experiment is used to demonstrate the whole process.

Findings

A performance‐oriented knowledge management approach was developed. Through the analysis of knowledge‐intensive production function, it is shown that the knowledge elasticity of performance for each knowledge entity (product knowledge and process knowledge) can be estimated and can be used with great managerial implications.

Research limitations/implications

Extensive empirical analyses in the real world business environment would be helpful to verify and generalize this approach.

Practical implications

The paper demonstrates the specific process of how to measure the contribution of knowledge to performance, and provide a guiding principle for the effective knowledge management activities.

Originality/value

As far as the authors understand, this is the first systematic and complete approach to analyze and estimate the contribution of knowledge to performance. Using the production function approach, it was possible to estimate the knowledge elasticity of performance, which provides valuable insight on the resource allocation for knowledge management activities.

Details

Journal of Knowledge Management, vol. 9 no. 4
Type: Research Article
DOI: https://doi.org/10.1108/13673270510610378
ISSN: 1367-3270

Keywords

  • Knowledge management
  • Business performance
  • Product innovation
  • Process management
  • Management strategy

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Article
Publication date: 2 March 2010

Purchase availability and involvement antecedents among financial products

Yael Steinhart and David Mazursky

The purpose of this paper is to offer an integrated approach for understanding the relations among the theoretical and operational antecedents of consumer involvement in…

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Abstract

Purpose

The purpose of this paper is to offer an integrated approach for understanding the relations among the theoretical and operational antecedents of consumer involvement in the context of financial products. The theoretical antecedents of involvement have been conceptualized as the consumer's personal profile, purchase situation, and target product; the operational antecedent includes the purchase availability manipulation.

Design/methodology/approach

The research is based on a field study among private customers of a leading financial institute and on two experimental designs within lab settings. The independent variables include the theoretical and operational antecedents and the dependent measure comprises the involvement measure.

Findings

The findings emphasize that the theoretical antecedents constitute an effective manipulation of involvement, whereas the operational antecedent has only limited effect.

Practical implications

Financial managers should consider the type of financial service, distribution channel, social context and advertising medium, in conjunction with the consumer's profile, to increase the overall involvement.

Originality/value

The research provides a new view at the way predictions of involvement are formed within the financial context. This view is enabled by including the antecedents of product involvement along with the manipulation of product availability. When these components are considered jointly, a richer set of predictions can be offered than previously conceptualized. To this end, the research calls for a more comprehensive approach for manipulating involvement that bases its activation on the theoretical antecedents.

Details

International Journal of Bank Marketing, vol. 28 no. 2
Type: Research Article
DOI: https://doi.org/10.1108/02652321011018314
ISSN: 0265-2323

Keywords

  • Financial services
  • Consumer behaviour
  • Finance companies

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Article
Publication date: 1 February 1997

Consumer knowledge and country of origin effects

Anja Schaefer

Consumer knowledge has frequently been mentioned in the literature as a potential mediating factor in consumers’ use of country of origin as a product information cue…

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Abstract

Consumer knowledge has frequently been mentioned in the literature as a potential mediating factor in consumers’ use of country of origin as a product information cue. However, there is little agreement on the appropriate definition and measurement of consumer knowledge in this context, nor on the likely direction of its impact. Reports of empirical findings concerning the issue are even scarcer. Looks at various dimensions of consumer knowledge and how they impact on consumers’ use of the country of origin cue in evaluations of alcoholic beverages. Finds that neither brand familiarity nor objective or subjective product knowledge has a general main effect on consumers’ use of the country of origin cue but there are significant interaction effects. Shows that objective product class knowledge can, under certain circumstances, increase consumers’ reliance on country of origin when evaluating products with unfamiliar brand names but not with familiar brand names.

Details

European Journal of Marketing, vol. 31 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/03090569710157034
ISSN: 0309-0566

Keywords

  • Alcoholic drinks
  • Consumer behaviour
  • Country of origin
  • Product information

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