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Article
Publication date: 8 May 2017

Christian Grönroos

This paper aims to develop the foundation of a model for assessing relationship marketing readiness (RMR) and provide directions for such an assessment.

Abstract

Purpose

This paper aims to develop the foundation of a model for assessing relationship marketing readiness (RMR) and provide directions for such an assessment.

Design/methodology/approach

Based on the promise theory and service logic, the importance of the customer–firm touchpoints and interactions to relationship marketing as an equivalent to the product variable in a conventional marketing approach is discussed. Then, a relationship marketing model and an RMR assessment model are developed.

Findings

The paper suggests an RMR assessment model based on two variables, namely, whether management’s focus is on the customers’ or the firm’s resources and processes and whether it is on the customers’ or the firm’s definition of quality. An indicative list of measurement factors is proposed.

Originality/value

The paper emphasizes the need to broaden the scope of marketing and offers a novel measurement approach, which both in theory and practice helps the development of relationship marketing understanding.

Details

Journal of Services Marketing, vol. 31 no. 3
Type: Research Article
ISSN: 0887-6045

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Article
Publication date: 5 March 2020

Mornay Roberts-Lombard

This study aims to investigate how the commitment of Islamic banking customers is influenced by trust, relationship expectations and conflict management. In turn, the…

Abstract

Purpose

This study aims to investigate how the commitment of Islamic banking customers is influenced by trust, relationship expectations and conflict management. In turn, the influence of their commitment on future satisfaction is determined.

Design/methodology/approach

A descriptive research design was applied and responses were obtained from Islamic banking customers through the application of self-administered questionnaires. A total of 350 completed questionnaires were used in analysing the data. An exploratory factor analysis established the interrelationships of the scales used to measure the study’s constructs. In addition, both the measurement and structural models were evaluated.

Findings

Trust and relationship expectations significantly and positively influence customer commitment, while conflict management has no significant influence on the commitment of Islamic banking customers to their bank. In addition, commitment significantly and positively influences the satisfaction experiences of Islamic banking customers.

Research limitations/implications

The tested model validates the hypothesised relationships between the trust, relationship expectations, commitment and satisfaction of Islamic banking customers. However, the relationship between conflict management, commitment and satisfaction was not established. Commitment is linked to trust and relationship expectations, as well as its outcome, satisfaction. However, commitment could not be linked to antecedent conflict management.

Practical implications

The findings could assist retail banks servicing Islamic banking customers in offering in-depth knowledge of how trust and relationship expectations can foster customer commitment, eventually securing the positive satisfaction of customers.

Originality/value

The study focussed on Islamic banking customers and determined the interrelationships between commitment and related constructs. Few studies, however, have examined how commitment relates to its precursors and outcome from an Islamic banking perspective in an emergent African economy.

Details

Journal of Islamic Marketing, vol. 11 no. 6
Type: Research Article
ISSN: 1759-0833

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Article
Publication date: 24 September 2020

Russel P.J. Kingshott, Sanjaya Singh Gaur, Piyush Sharma, Sheau Fen Yap and Yekaterina Kucherenko

This paper aims to investigate the individual and combined effects of three types of psychological contracts between customers and service employees (i.e. transactional…

Abstract

Purpose

This paper aims to investigate the individual and combined effects of three types of psychological contracts between customers and service employees (i.e. transactional, relational and communal), resulting from the service organizations’ relational marketing efforts, on their customers’ service brand evaluations in terms of their satisfaction, trust and commitment toward the brand.

Design/methodology/approach

This study uses a field-survey of 303 regular customers of beauty salons and hairdressers in Auckland, New Zealand. All the constructs were measured using adapted versions of well-established scales and data was analyzed using SmartPLS due to the relatively smaller sample size and the primary research objective being the prediction of the three outcome variables (i.e. satisfaction, trust and commitment).

Findings

Transactional and relational contracts have a negative and positive impact, respectively, upon communal contracts. Communal contracts mediate the impact of transactional and relational contracts on trust and commitment but not on satisfaction. Trust also mediates the relationship between satisfaction and commitment.

Research limitations/implications

This paper collected data from female customers of beauty salons and hairdressers in New Zealand, which may affect the generalizability of the results.

Practical implications

This study provides practical insights into the differences in the roles of psychological contracts between the customers and service employees, which may help managers in service firms improve their customer relationship outcomes.

Originality/value

This paper extends the relationship and services marketing literature to reveal the individual and combined effects of the three types of psychological contracts on customer satisfaction, trust and commitment toward their service brand.

Details

Journal of Services Marketing, vol. 35 no. 3
Type: Research Article
ISSN: 0887-6045

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Article
Publication date: 30 November 2018

Aobakwe Ledikwe, Mornay Roberts-Lombard and Hendrik Baltus Klopper

The purpose of this paper is to investigate the extent to which the attitudinal loyalty of customers of small and medium apparel businesses is influenced by their…

Abstract

Purpose

The purpose of this paper is to investigate the extent to which the attitudinal loyalty of customers of small and medium apparel businesses is influenced by their perceptions of trust, commitment and satisfaction. In turn, the influence of their attitudinal loyalty on future behavioural loyalty is established.

Design/methodology/approach

A quantitative descriptive research approach was employed and questionnaires were administered to customers of three selected small and medium enterprise (SME) brands in the metropolitan city of Gaborone, Botswana. A total of 260 questionnaires were suitable for data analysis. The interrelationship of the constructs was analysed via structural equation modelling. In addition, the measurement and structural models were assessed.

Findings

Trust, commitment and satisfaction have a positive and significant influence on the attitudinal loyalty of SME customers, while attitudinal loyalty has a positive and significant influence on their behavioural loyalty.

Research limitations/implications

The tested model confirms the hypothesised relationships between SME customers’ trust, commitment, satisfaction, attitudinal loyalty and behavioural loyalty. Attitudinal loyalty is linked to its three antecedents (trust, commitment and satisfaction) and its outcome, behavioural loyalty.

Practical implications

The findings assist the management of SMEs in understanding how the cultivation of trust, commitment and satisfaction can foster attitudinal loyalty, ultimately leading to improved behavioural loyalty.

Originality/value

The current study contributes to new knowledge on the interrelationship of selected relationship quality dimensions, attitudinal loyalty and behavioural loyalty among SME customers in the apparel industry of Botswana. Few research studies have examined how attitudinal loyalty relates to its antecedents and outcome in Botswana, as an emerging African economy.

Details

African Journal of Economic and Management Studies, vol. 10 no. 1
Type: Research Article
ISSN: 2040-0705

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Article
Publication date: 8 April 2019

Achilleas Boukis

This paper aims to re-examine the nature, aim and scope of internal market orientation (IMO) and introduce it as a value creation mechanism for the firm’s internal market

Abstract

Purpose

This paper aims to re-examine the nature, aim and scope of internal market orientation (IMO) and introduce it as a value creation mechanism for the firm’s internal market. A service-dominant logic (SDL)-based perspective of the IMO notion is advanced, and the key steps and phases for value creation in the internal market are outlined.

Design/methodology/approach

This conceptual paper bridges the IM discourse with the SDL literature, and the latter’s implications for internal marketing theory and practice are discussed.

Findings

Drawing on the premises of the SDL, IMO re-surfaces as an interconnected operant resource that can be enacted through performing three sets of activities central in the value creation process for internal stakeholders (i.e. value-identifying, value-generating and value-enhancing activities). These groups of relevant value-enabling activities required for IMO enactment are extensively discussed and their role in the value creation process is scrutinized.

Originality/value

This conceptual paper aspires to provide a managerially relevant understanding of value creation in the firm’s internal market. An SDL-driven understanding of IMO is advanced setting it as a value creation mechanism appealing to a wider range of organizations.

Details

Journal of Services Marketing, vol. 33 no. 2
Type: Research Article
ISSN: 0887-6045

Keywords

Content available
Article
Publication date: 2 September 2019

Pedro Albuquerque, Gisela Demo, Solange Alfinito and Kesia Rozzett

Factor analysis is the most used tool in organizational research and its widespread use in scale validations contribute to decision-making in management. However, standard…

Abstract

Purpose

Factor analysis is the most used tool in organizational research and its widespread use in scale validations contribute to decision-making in management. However, standard factor analysis is not always applied correctly mainly due to the misuse of ordinal data as interval data and the inadequacy of the former for classical factor analysis. The purpose of this paper is to present and apply the Bayesian factor analysis for mixed data (BFAMD) in the context of empirical using the Bayesian paradigm for the construction of scales.

Design/methodology/approach

Ignoring the categorical nature of some variables often used in management studies, as the popular Likert scale, may result in a model with false accuracy and possibly biased estimates. To address this issue, Quinn (2004) proposed a Bayesian factor analysis model for mixed data, which is capable of modeling ordinal (qualitative measure) and continuous data (quantitative measure) jointly and allows the inclusion of qualitative information through prior distributions for the parameters’ model. This model, adopted here, presents considering advantages and allows the estimation of the posterior distribution for the latent variables estimated, making the process of inference easier.

Findings

The results show that BFAMD is an effective approach for scale validation in management studies making both exploratory and confirmatory analyses possible for the estimated factors and also allowing the analysts to insert a priori information regardless of the sample size, either by using the credible intervals for Factor Loadings or by conducting specific hypotheses tests. The flexibility of the Bayesian approach presented is counterbalanced by the fact that the main estimates used in factor analysis as uniqueness and communalities commonly lose their usual interpretation due to the choice of using prior distributions.

Originality/value

Considering that the development of scales through factor analysis aims to contribute to appropriate decision-making in management and the increasing misuse of ordinal scales as interval in organizational studies, this proposal seems to be effective for mixed data analyses. The findings found here are not intended to be conclusive or limiting but offer a useful starting point from which further theoretical and empirical research of Bayesian factor analysis can be built.

Details

RAUSP Management Journal, vol. 54 no. 4
Type: Research Article
ISSN: 2531-0488

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Book part
Publication date: 28 September 2015

Md Shah Azam

Information and communications technology (ICT) offers enormous opportunities for individuals, businesses and society. The application of ICT is equally important to…

Abstract

Information and communications technology (ICT) offers enormous opportunities for individuals, businesses and society. The application of ICT is equally important to economic and non-economic activities. Researchers have increasingly focused on the adoption and use of ICT by small and medium enterprises (SMEs) as the economic development of a country is largely dependent on them. Following the success of ICT utilisation in SMEs in developed countries, many developing countries are looking to utilise the potential of the technology to develop SMEs. Past studies have shown that the contribution of ICT to the performance of SMEs is not clear and certain. Thus, it is crucial to determine the effectiveness of ICT in generating firm performance since this has implications for SMEs’ expenditure on the technology. This research examines the diffusion of ICT among SMEs with respect to the typical stages from innovation adoption to post-adoption, by analysing the actual usage of ICT and value creation. The mediating effects of integration and utilisation on SME performance are also studied. Grounded in the innovation diffusion literature, institutional theory and resource-based theory, this study has developed a comprehensive integrated research model focused on the research objectives. Following a positivist research paradigm, this study employs a mixed-method research approach. A preliminary conceptual framework is developed through an extensive literature review and is refined by results from an in-depth field study. During the field study, a total of 11 SME owners or decision-makers were interviewed. The recorded interviews were transcribed and analysed using NVivo 10 to refine the model to develop the research hypotheses. The final research model is composed of 30 first-order and five higher-order constructs which involve both reflective and formative measures. Partial least squares-based structural equation modelling (PLS-SEM) is employed to test the theoretical model with a cross-sectional data set of 282 SMEs in Bangladesh. Survey data were collected using a structured questionnaire issued to SMEs selected by applying a stratified random sampling technique. The structural equation modelling utilises a two-step procedure of data analysis. Prior to estimating the structural model, the measurement model is examined for construct validity of the study variables (i.e. convergent and discriminant validity).

The estimates show cognitive evaluation as an important antecedent for expectation which is shaped primarily by the entrepreneurs’ beliefs (perception) and also influenced by the owners’ innovativeness and culture. Culture further influences expectation. The study finds that facilitating condition, environmental pressure and country readiness are important antecedents of expectation and ICT use. The results also reveal that integration and the degree of ICT utilisation significantly affect SMEs’ performance. Surprisingly, the findings do not reveal any significant impact of ICT usage on performance which apparently suggests the possibility of the ICT productivity paradox. However, the analysis finally proves the non-existence of the paradox by demonstrating the mediating role of ICT integration and degree of utilisation explain the influence of information technology (IT) usage on firm performance which is consistent with the resource-based theory. The results suggest that the use of ICT can enhance SMEs’ performance if the technology is integrated and properly utilised. SME owners or managers, interested stakeholders and policy makers may follow the study’s outcomes and focus on ICT integration and degree of utilisation with a view to attaining superior organisational performance.

This study urges concerned business enterprises and government to look at the environmental and cultural factors with a view to achieving ICT usage success in terms of enhanced firm performance. In particular, improving organisational practices and procedures by eliminating the traditional power distance inside organisations and implementing necessary rules and regulations are important actions for managing environmental and cultural uncertainties. The application of a Bengali user interface may help to ensure the productivity of ICT use by SMEs in Bangladesh. Establishing a favourable national technology infrastructure and legal environment may contribute positively to improving the overall situation. This study also suggests some changes and modifications in the country’s existing policies and strategies. The government and policy makers should undertake mass promotional programs to disseminate information about the various uses of computers and their contribution in developing better organisational performance. Organising specialised training programs for SME capacity building may succeed in attaining the motivation for SMEs to use ICT. Ensuring easy access to the technology by providing loans, grants and subsidies is important. Various stakeholders, partners and related organisations should come forward to support government policies and priorities in order to ensure the productive use of ICT among SMEs which finally will help to foster Bangladesh’s economic development.

Details

E-Services Adoption: Processes by Firms in Developing Nations
Type: Book
ISBN: 978-1-78560-325-9

Keywords

Content available
Article
Publication date: 19 August 2021

Domitilla Magni, Roberto Chierici, Monica Fait and Kelly Lefebvre

Building upon the insights of the resource-based view and internationalization theories, the purpose of this paper is to examine the role networks play in SMEs' readiness

Abstract

Purpose

Building upon the insights of the resource-based view and internationalization theories, the purpose of this paper is to examine the role networks play in SMEs' readiness for internationalization. By investigating three different types of knowledge sharing, namely economic-setting, market-specific and customer-specific, the study analyzes their effect on SMEs' readiness for internationalization.

Design/methodology/approach

The four research hypotheses derived by from the analysis of the literature have been investigated by applying the multiple regression technique. By means of an online survey, 300 valid questionnaires were collected and information from a sample of Italian SMEs belonging to 11 agro-food consortia have been analyzed.

Findings

The results suggest that SMEs' readiness for internationalization could be supported by sharing customer-specific, market-specific and economic-setting knowledge with other firms operating within the same agro-food consortium. Additionally, data analysis highlights a negative relation between the risk perception in the process and readiness for internationalization, suggesting the importance of knowledge sharing in reducing the criticality issues of being a newcomer entering international markets.

Originality/value

From a theoretical perspective, this study aims to fill the gap in knowledge management and international relationship marketing literature. Since proposes a combination of different kinds of knowledge that contribute to reducing the criticalities SMEs must face by identifying useful information to be conveyed within the network. From a managerial perspective, the study provides useful insights for the agro-food sector, highlighting how experiential and network knowledge constitutes a pre-condition for managing internationalization complexity and discovering opportunities on foreign markets.

Details

International Marketing Review, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0265-1335

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Article
Publication date: 3 October 2008

Scott G. Dacko, Ben S. Liu, D. Sudharshan and Olivier Furrer

The purpose of this paper is to provide greater insights to managers seeking to time properly the launches of innovative new products (NPs) across multiple generations…

Abstract

Purpose

The purpose of this paper is to provide greater insights to managers seeking to time properly the launches of innovative new products (NPs) across multiple generations. This paper aims to address the rhythm matching problem by developing a typology and a conceptual framework of the interaction between a firm's technological readiness to launch NPs and a market's receptivity in influencing a firm's long‐term performance.

Design/methodology/approach

Based on the new product development (NPD) and diffusion of innovation literatures, the paper develops a model explicitly to address the rhythm matching problem by highlighting the interaction between a firm's technological readiness to launch new products and a market's receptivity in influencing a firm's long‐term performance. The logic of this model may be described as follows: long‐term performance is a function of matching: products to customer needs, marketing mix dynamics to customer segments and buying behavior dynamics, and logistics, supply chain management, and inventory to market dynamics and financial efficiency; uncertainty in: knowledge of needs, market segments and their dynamics, and market dynamics is all a function of time, as is financial efficiency. Therefore, a firm's long‐term performance is a function of these matches over time.

Findings

Deriving from the proposed model and typology, it was found that in independent rhythm windows, the management focus is on a single generation and each successive generation can be planned independently. In market‐imposed windows, firms aim at adapting their own NP readiness rhythm to the market receptivity rhythm. In firm‐imposed windows, firms have the initiative to drive the market receptivity rhythm. In dynamically resultant windows, everything is more complicated because firms' NP readiness rhythm and market receptivity rhythm influence each other.

Originality/value

The model and typology developed in this paper are a breakthrough result of synthesizing various traditions of NPD and diffusion of innovation research. It is believed that the paper provides a rich conceptual framework drawing together extant research on the development and introduction of new products. The framework is intended both to explicitly inform managers of the importance of rhythm matching as well as to the factors that influence such matching. It is also intended to provide a lens with which further research can be directed to increase the efficiency and effectiveness of resource utilization in NPD and the long‐term success of the firms.

Details

European Journal of Innovation Management, vol. 11 no. 4
Type: Research Article
ISSN: 1460-1060

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Article
Publication date: 15 November 2018

Atieh Poushneh and Arturo Z. Vasquez-Parraga

This study aims to answer the following question: How can customer readiness be instrumental in non-technology-based service delivery?

Abstract

Purpose

This study aims to answer the following question: How can customer readiness be instrumental in non-technology-based service delivery?

Design/methodology/approach

Using a field study, this research examines the role of customer readiness in customer participation in non-technology-based service delivery and its indirect effects on such customer outcomes as perceived service quality, customer satisfaction and customer willingness to recommend.

Findings

The results show that customer readiness is a second-order construct. It has a significant impact on customer participation in service delivery, which in turn impacts three key service outcomes: customer perceived service quality, customer satisfaction and customer willingness to recommend. Four factors influencing customer readiness (consumer previous experience, consumer desire for control, consumer perceived risk and customer organizational socialization) are also empirically evaluated.

Research limitations/implications

Some limitations of the study are related to sample size and use of a type of services. The research tested 13 hypotheses with a limited sample size in one context. A better representation of the population and a more generalizable outcome require more representative samples and studies in various contexts such as banking, hotel services or health care services. This study demonstrated the importance of customer readiness for effective participation in non-technology-based service delivery; it does not address the impact of customer readiness on participation in the context of technology-based services. Future research may also shed light on when and why customers choose technology-based services versus non-technology-based services.

Practical implications

Effective customer participation in service delivery can, and should, benefit from boosting customer readiness.

Originality/value

This research shows the impact of customer readiness on non-technology-based service delivery, more specifically, the impact of customer readiness on customer participation in this type of service delivery. Customer readiness has been found to be beneficial in the provision of technology-based services; yet, its role in the provision of non-technology-based services has not been thoroughly evaluated.

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