Search results
1 – 10 of over 47000David Cavazos, Mathew Rutherford and Ali Shahzad
This study examines how firm product reputation functions as an internal and external expectations-setting mechanism shaping firm and external stakeholder behavior.
Abstract
Purpose
This study examines how firm product reputation functions as an internal and external expectations-setting mechanism shaping firm and external stakeholder behavior.
Design/methodology/approach
Longitudinal analysis of 17,879 recalls from 15 automobile manufacturers operating in the United States between 1967 and 2016.
Findings
Applying the behavioral theory of the firm (BTF) and signaling theory, this study’s findings suggest that product safety reputation creates variability in the likelihood of both voluntary and government-ordered recalls.
Research limitations/implications
Performance expectations set by past product performance influence managerial decision-making such that products with a higher reputation for quality are more likely to be voluntarily recalled than are their less reputable counterparts. Similarly, regulators are more likely to order the recall of higher reputation products, suggesting that past product performance also influences enforcement behavior. Finally, the scope and severity of product defects are shown to interact with product reputation to influence the likelihood of government-ordered recall.
Practical implications
Firms and firm stakeholders make distinct decisions based on performance variations within firm product portfolios.
Social implications
Overall firm reputation is important, but there are distinct dynamics that result in product performance variability within firm product portfolios that have important implications on issues such as product safety recalls.
Originality/value
This study's findings reveal that as an internal signal, managers' expectations of product performance can change their behavior following product safety defects. Specifically, voluntary product recalls are more likely for higher-reputation products than those with lower reputations for product safety. This suggests that firm behavior regarding product safety recalls is not consistent within their own product lines. Externally, this study’s findings suggest that product reputation also influences relationships with key stakeholders. Product reputation for quality was shown to be associated with an increased likelihood of government sanctions. Regulators will also be more likely to initiate punitive sanctions against higher-reputation products as the severity and scope of safety defects increase. Under such circumstances, higher-reputation products are more likely to face government sanctions than lower-reputation products. Hence, government regulatory behavior is subject to influence from performance signals such as product reputation.
Details
Keywords
Boryana V. Dimitrova, Daniel Korschun and Yoto V. Yotov
The purpose of this paper is to examine the relationship between bilateral country reputation and export volume to the country in which that reputation is held.
Abstract
Purpose
The purpose of this paper is to examine the relationship between bilateral country reputation and export volume to the country in which that reputation is held.
Design/methodology/approach
The unique bilateral data set consists of 861 country pairs. Country reputation measures are from a global survey, in which respondents in 20 countries rate the reputation for products and people of 50 other countries. This data set is then analyzed against actual export data for each country-pair using the well-established structural gravity model of international trade.
Findings
The authors find that each improvement in a world ranking of a country’s reputation for products (in a target country) is associated with a 2 percent increase in exports to that particular country; the effect is equivalent to the importing country decreasing a tariff by as much as 2.9 percent. Furthermore, the authors find that different aspects of country reputation – for its products and its people – attenuate distinct forms of uncertainty, and thereby stimulate export volume in distinct ways.
Research limitations/implications
This study shows that the relationship between country reputation and export volume is a substantive and empirically valid topic of study. For public policy makers looking to stimulate exports to a specific country, improving their respective country’s reputation in that country appears to be a viable alternative to other levers (e.g. trade negotiations, free trade agreements). For business leaders at international companies, the findings suggest that companies may consider country reputation as a factor when choosing to which countries they wish to expand.
Originality/value
The notion that country reputation can contribute to aggregate export volume has intuitive appeal. Yet, aside from research on country-of-origin effects which has concentrated on the individual consumer level, the notion of country reputation contributing to aggregate effects has so far been based mostly on conjecture and anecdotal evidence. This is the only study to the authors’ knowledge that empirically tests this relationship using a bilateral measure of reputation as a determinant of export volume within one of the most successful empirical frameworks, the structural gravity model of international trade. The findings suggest that for many countries, their reputation may contribute to billions of dollars in export volume.
Details
Keywords
The purpose of this paper is to identify the rate of recall for new products vs established products and to explore the simultaneous impact of a firm’s reputation and a product’s…
Abstract
Purpose
The purpose of this paper is to identify the rate of recall for new products vs established products and to explore the simultaneous impact of a firm’s reputation and a product’s reputation on the market response to a product recall.
Design/methodology/approach
The authors first use an accelerated hazard model to establish that new products are more vulnerable to damage than established products. Once this is established, the authors use a hierarchical linear model to explore the simultaneous impact of the firm and product reputation on the market response to a product recall.
Findings
The findings indicate that new products have a greater probability of recall over time than existing products and after a product recall a positive firm reputation can negatively impact the firm and hence becomes a liability. However, when the product is first introduced, the product reputation can help offset any negative market response; the product reputation can therefore be an asset.
Research limitations/implications
New products are more flawed than their established counterparts. A positive reputation can be a liability but a positive product reputation can offset the negative impact of the firm reputation and this is especially pertinent to new products.
Originality/value
The majority of prior research has focused on the reputation and assumed that the firm represented the product as well; the findings of this study reveal that the reputation of the product can have contrasting effects to the reputation of the firm.
Details
Keywords
Hu Xue, Shanshan Jin, Qianrong Wu and Xianhui Geng
Platform certification constitutes an effective mechanism for managing the lemon problem concerning food e-commerce. This work aims to evaluate the market effect of platform…
Abstract
Purpose
Platform certification constitutes an effective mechanism for managing the lemon problem concerning food e-commerce. This work aims to evaluate the market effect of platform certification and analyzes its correction mechanism for lemon problem combined with reputation mechanism.
Design/methodology/approach
Utilizing the Gold Seller certification of Taobao.com to serve as an illustration, the authors conducted an empirical study based on the sales data of hairy crabs among 2,239 sample sites over six points in time from October to December 2019, systematically examining the market effect of food e-commerce platform certification along with the interaction between food e-commerce platform certification and reputation mechanisms, followed by a heterogeneity test by product price.
Findings
This study finds that sellers with platform certification can significantly increase their sales. The market effect of platform certification is more easily observed in the low-price product market. In addition, platform certification and reputation mechanisms have complementary effects. In a low-price product market, the complementary effect of platform certification and product reputation diminishes, while the complementary effect of platform certification and seller reputation disappears.
Originality/value
This study explores the market effect of food e-commerce platform certification, reveals the market effect of certification mechanism when multiple signaling mechanisms exist simultaneously and conducts an empirical test based on real market data. It provides a better comprehension of how platform certifications work in food e-commerce.
Details
Keywords
Considers the importance of a firms′ reputation to the success orfailure of its brands; the effect on the firm′s brand when a firm′sreputation decays; how important it is for a…
Abstract
Considers the importance of a firms′ reputation to the success or failure of its brands; the effect on the firm′s brand when a firm′s reputation decays; how important it is for a firm to maintain or advance I reputation; how a brand′s reputation can be transferred to other products. Addresses and discusses these issues in detail and emphasises the importance of reputation to the ultimate success of a product and company and warns against ignoring its fragility.
Details
Keywords
Nik Mohd Hazrul Nik Hashim, Nor Rahimy Khalid, Suraya Akmar Mokhtaruddin, Abdullah Al Mamun and Mohammed Abdur Razzaque
Researchers have paid little attention to elucidating how customer-perceived innovative apparel attributes are linked to brand reputation and consumer buying behaviors. This study…
Abstract
Purpose
Researchers have paid little attention to elucidating how customer-perceived innovative apparel attributes are linked to brand reputation and consumer buying behaviors. This study intends to bridge that gap by providing empirical evidence on the effects of product novelty, product difference and product inimitability on brand reputation and behavioral intentions in the context of garment purchasing. We also investigate the moderating effects of self-congruity and value consciousness on the attribute‒brand reputation linkages, as well as their immediate influence on the domain variables.
Design/methodology/approach
The proposed model was estimated using data from a web-based survey of 299 female apparel customers. Structural equation modeling was employed to test the relationships between variables.
Findings
The results indicate that product novelty, product inimitability, self-congruity and value consciousness significantly influence brand reputation. The results also demonstrate that self-congruity, value consciousness and brand reputation have direct effects on behavioral intention, while self-congruity and value consciousness appear to moderate the relationship between innovative product attributes and brand reputation.
Originality/value
This study is the first to present a conceptual model that systematically encompasses product innovation, brand perceptions and behavioral links in the field of women's clothing. The findings have important implications for both academics and practitioners in the field of fashion marketing.
Details
Keywords
The purpose of this paper is to examine the congruence effect of the product and claimed environmental issue on green advertising on consumer responses as well as the moderation…
Abstract
Purpose
The purpose of this paper is to examine the congruence effect of the product and claimed environmental issue on green advertising on consumer responses as well as the moderation effect of the perceived green reputation of the product on the congruence effect.
Design/methodology/approach
A two-by-two designed experiment (high/low congruence × high/low green reputation) with a covariate (ad skepticism) was conducted via online survey recruiting 179 college students.
Findings
High congruence of green issue and product category generated positive ad attitude, sponsor attitude, behavioral intention (BI), sponsor credibility and message credibility. Low green reputation positively affected ad attitude and BI. An interaction effect of congruence and green reputation on BI occurred.
Originality/value
This study contributes to suggest a new approach to green reputation by examining a perception of a product category in terms of green reputation. The study findings recommend marketing communication managers to keep high congruence of their product category and claimed environmental issue to maximize communication effectiveness.
Details
Keywords
Ming‐Chuan Pan, Chih‐Ying Kuo, Ching‐Ti Pan and Wei Tu
This paper aims to examine the antecedent of purchase intention: online seller reputation, product category and surcharge.
Abstract
Purpose
This paper aims to examine the antecedent of purchase intention: online seller reputation, product category and surcharge.
Design/methodology/approach
This paper uses five experimental designs to explore the seller reputation, product category and surcharge effects in Internet shopping. The authors chose one seller of low reputation and one seller of high reputation from Yahoo Mall. ANOVA are used to evaluate the results.
Findings
Sellers of high reputation can post higher surcharges to increase the total price paid by the buyer, but sellers of low reputation cannot do so (experiment 1). Moreover, partitioned price will decrease purchase intention for sellers of low reputation more than for sellers of high reputation (experiment 2). Consumers take the longest time to make purchasing decisions when buying credence goods (experiment 3) or buying from sellers of low reputation (experiment 4). The effect of surcharge levied by sellers of low reputation is weakened for consumers with low (vs high) shipping‐charge skepticism (experiment 5).
Practical implications
This study is helpful to online sellers if they can identify their reputation, product category and those consumers who have shipping‐charge skepticism, they can create extra profit through surcharge practice.
Originality/value
The authors’ investigation extends the literature on consumers’ price processing by identifying the important moderators (seller reputation, product category, and elaboration) and probing into the decision process (via the response time). The results suggest prescriptive strategies for online sellers.
Details
Keywords
Ming-Chuan Pan, Chih-Ying Kuo and Ching-Ti Pan
– The purpose of this paper is to examine consumer reactions to product categories, online seller reputation, and brand name syllables.
Abstract
Purpose
The purpose of this paper is to examine consumer reactions to product categories, online seller reputation, and brand name syllables.
Design/methodology/approach
This paper uses four experimental designs to explore the seller reputation, product category, and brand name syllable effects in internet shopping. The authors chose sellers of (low/high) repute from Yahoo Mall. ANOVA is used to evaluate the results.
Findings
Seller reputation moderates the effect of the brand name syllable level on purchase intention and product category moderates the effect of the brand name syllable level on purchase on internet (experiment 1). Consumers take the longest time to make purchasing decisions when buying credence goods or buying from sellers of low repute and that the response time mediates the moderating role of the product category (experiment 2) or reputation (experiment 3). Moreover, the effect of brand name syllable levels chosen/assigned by sellers of low repute is weakened for consumers with low (vs high) skepticism toward non-store shopping (experiment 4).
Practical implications
This study is helpful to online sellers if they can identify their reputation, product category and those consumers have skepticism, they can create extra profit through brand name syllable practice.
Originality/value
This paper extends the literature on consumers’ brand name syllable processing by identifying important moderators and probing into the decision process. The results allow us to substantiate prior research and suggest prescriptive strategies for internet retailers.
Details
Keywords
Islam Elgammal, Chai Ching Tan, Leonardo Aureliano-Silva and Kareem M. Selem
This paper aims to highlight the effect of mobile commerce (m-commerce) ubiquity on usage behavior as well as the mediator mechanism of brand trust between ubiquity and usage…
Abstract
Purpose
This paper aims to highlight the effect of mobile commerce (m-commerce) ubiquity on usage behavior as well as the mediator mechanism of brand trust between ubiquity and usage behavior. To extend the findings, this research also examines the moderator role of product reputation on the nexus between brand trust and usage behavior in the m-commerce context.
Design/methodology/approach
Given the quantitative approach, the authors gathered 1,565 valid responses from m-commerce app users. Data were analyzed in SmartPLS 4.
Findings
Ubiquity positively impacted brand trust, and the latter positively influenced m-commerce usage behavior. Brand trust also partially mediated the effect of m-commerce ubiquity on usage behavior, along with product reputation moderating the positive effect of brand trust on usage behavior.
Originality/value
By combining resource-based theory with signaling theory in the stimulus-organism-response (S-O-R) framework, this paper's novelty focuses on the investigation of m-commerce ubiquity, brand trust as a mediating mechanism and product reputation as a moderator in explaining usage behavior in the m-commerce context.
Details