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Article
Publication date: 22 December 2021

Matthew Kalubanga and Sheila Namagembe

This study examines the relationships among trust, commitment, logistics outsourcing relationship quality (LORQ), relationship satisfaction, strategy alignment and logistics…

Abstract

Purpose

This study examines the relationships among trust, commitment, logistics outsourcing relationship quality (LORQ), relationship satisfaction, strategy alignment and logistics performance considering selected manufacturing firms in a developing country, Uganda.

Design/methodology/approach

Drawing on insights from the commitment-trust theory and strategy alignment literature, and using a cross-sectional survey design with a self-administered questionnaire, and applying the partial least squares structural equation modeling (PLS-SEM) approach to analyze quantifiable data obtained from managers of 103 manufacturing firms in Uganda outsourcing logistics operations, the study examined the logistics performance effects of trust, through commitment, LORQ and relationship satisfaction.

Findings

The study findings reveal that trust influences logistics performance, indirectly through its effects on commitment, LORQ and relationship satisfaction, sequentially, and that the positive effects of relationship satisfaction on logistics performance strengthen with improvements in LORQ. Strategy alignment exerted a strong positive influence on LORQ.

Research limitations/implications

The study findings have important implications for theory development and literature. The study applies the commitment-trust view to both theoretically and empirically examine logistics outsourcing as a competitive strategy to enhance logistics performance, and thereby providing a theoretical base for future research. However, this research is confined to manufacturing firms in Uganda, and the results are not necessarily generalizable to other contexts.

Practical implications

The study findings provide insights for logistics managers regarding the role of trust, commitment, LORQ, relationship satisfaction and strategy alignment in enabling successful logistics outsourcing relationships, and how drawing on these, managers can improve firm logistics performance.

Originality/value

This study contributes to logistics management literature by empirically examining the relationship of trust, commitment, LORQ, relationship satisfaction and strategy alignment with logistics performance, considering manufacturing firms in a developing country, where these aspects have not been largely explored before. It highlights the need to build trust, promote greater commitment of logistics user firms in logistics outsourcing relationships as well as aligning logistics outsourcing strategies to improve LORQ and enhance logistics performance. Additionally, the study provides for the first-time new evidence for the moderation effect of LORQ on the influence of relationship satisfaction on logistics performance. The study findings suggest advancing further scholarly discussions on logistics outsourcing as a critical strategy to enhance firm logistics performance within a developing country context. Due to limitations in logistics infrastructure, and existing low-level technologies, logistics in developing countries still revolves around conventional materials handling, packaging, inventory and transportation operations, and logistics outsourcing is new, thereby presenting an interesting research context for empirical investigations on logistics in general, and logistics outsourcing in particular.

Details

The International Journal of Logistics Management, vol. 33 no. 1
Type: Research Article
ISSN: 0957-4093

Keywords

Article
Publication date: 25 October 2019

Pavleen Soni

Given the importance of relationship benefits in creating customer satisfaction, the purpose of this paper is to investigate the moderating role of relationship benefits (special…

Abstract

Purpose

Given the importance of relationship benefits in creating customer satisfaction, the purpose of this paper is to investigate the moderating role of relationship benefits (special treatment benefits and confidence benefits) on relationship quality and word of mouth (WOM) for online retailers. The conditional mediating role of relationship quality between customer satisfaction and WOM is also examined.

Design/methodology/approach

A sample of 700 MBA students from two universities in Punjab (North India) has been used to collect data. Structural equation modelling and PROCESS Macro (Hayes (2017) have been used for data analysis (mod mod mediation).

Findings

When customers perceive high confidence benefits, special treatment benefits moderate the mediational role of relationship quality between customer satisfaction and WOM. Specific conditions under which use of confidence benefits and special treatment benefits are successful for online retailers have also been identified.

Practical implications

Tailored use of special treatment benefits with confidence benefits in appropriate combinations will help the online retailers in segmenting the customers and differentiating amongst them according to the customers’ receptivity towards these benefits. Marketers can devise communication strategies, create customer segments and position their services using the results obtained in the study.

Originality/value

The present study is the first of its kind which clarifies as to why the previous literature considered special treatment benefits as less relevant to customers. It also establishes the situations in which these benefits successfully moderate the effect of customer satisfaction in developing relationship quality and eliciting positive WOM in the Indian internet retailing context.

Details

Marketing Intelligence & Planning, vol. 38 no. 6
Type: Research Article
ISSN: 0263-4503

Keywords

Article
Publication date: 21 February 2020

S.W.S.B. Dasanayaka, Omar Al Serhan, Mina Glambosky and Kimberly Gleason

This study aims to identify and analyze factors affecting the business-to-business (B2B) relationship between Sri Lankan telecommunication operators and vendors. The authors…

Abstract

Purpose

This study aims to identify and analyze factors affecting the business-to-business (B2B) relationship between Sri Lankan telecommunication operators and vendors. The authors conduct a survey and develop models to explain relationship strength and satisfaction. The authors find that telecommunication operators and vendors value trust, commitment, adaptation and communication. Operator satisfaction varies by perception of product quality, service support, delivery performance, supplier know-how and value for money. The vendor’s relationship strength is impacted by trust and commitment; vendor satisfaction is affected by economic factors and referencing. The authors suggest formulating management strategies using these results to strengthen business relationships.

Design/methodology/approach

The authors develop two conceptual models to analyze the supplier and customer perspectives. This study’s drafted models were drawn from established models and were presented to experts in the industry, both telecommunication operators and vendors. Models were modified based on experts’ feedback, and hypotheses were developed from the conceptual models, developed separately for the two perspectives. Data collection was done via questionnaires; 150 questionnaires were sent via email to identified telecommunication operators and 100 questionnaires were sent via email to identified telecommunication vendors, with follow-up emails and telephone calls to improve response rates.

Findings

This study’s findings show that employees in the telecommunication industry recognize the importance of B2B relationships. Employees of both telecommunication operators and vendors agree that stronger relationships are advantageous. The correlation and regression analysis results identify factors that affect the B2B relationship. The following factors impact the strength of B2B relationships irrespective of view point: trust, commitment and satisfaction. The following factors were found to significantly affect the strength of B2B relationships between telecommunication operators and vendors from the operator perspective: adaptation and communication.

Practical implications

To enhance relationship strength, the management of operator organizations should take action to improve trust, commitment and satisfaction. Demonstrating honesty and integrity when dealing with vendors and exhibiting concern for the other party’s interests can help establish trust or enhance trust in existing relationships. Displaying commitment toward the vendor will also facilitate stronger relationships. Reasonable profits for both parties and sizeable business volume will also help satisfy vendors, increasing relationship strength. Positive referencing of the vendor in industrial and public forums will improve vendor satisfaction, enhancing relationship strength. Reputational capital can be built and maintained for both operators and vendors by keeping promises and defending the other party to outsiders. For managers of telecommunications operators and vendors in other emerging markets, this study’s results are important and can inform internal business practices to support trust, commitment and satisfaction.

Originality/value

This study contributes to the existing literature in two ways, a focus on the telecommunication industry and a previously unexplored emerging market, Sri Lanka. In addition, this study includes an analysis of the relationship from both the operator and vendor perspectives.

Details

Journal of Business & Industrial Marketing, vol. 35 no. 6
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 1 December 2002

Alhassan G. Abdul‐Muhmin

Relationship satisfaction and commitment are two key constructs in the evolving paradigm of relationship marketing in business‐to‐business markets, and a substantial and growing…

3274

Abstract

Relationship satisfaction and commitment are two key constructs in the evolving paradigm of relationship marketing in business‐to‐business markets, and a substantial and growing literature exists on their antecedents and consequences, especially within the context of supplier‐retailer relationships. However, relatively little research has examined these constructs within the context of supplier‐manufacturing firm relationships in general, and foreign supplier‐manufacturing firm relationships in particular. Even fewer studies have examined the effects of suppliers’ marketing program variables on relationship satisfaction and commitment in such contexts. The author examines how foreign suppliers’ marketing program variables affect Saudi industrial buyers’ satisfaction and commitment to long‐term relationships with the suppliers. Results of a survey conducted among buyers for manufacturing establishments in the Eastern Province of Saudi Arabia indicate that only the product and price‐related variables of foreign suppliers’ marketing program variables are significantly related to the buyers’ relationship satisfaction and commitment. Theoretical and managerial implications of the findings are outlined and discussed.

Details

Journal of Business & Industrial Marketing, vol. 17 no. 7
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 8 January 2020

Choukri Menidjel, Abderrezzak Benhabib, Anil Bilgihan and Melih Madanoglu

Product category involvement and relationship proneness are crucial in explaining relationship outcomes. Nevertheless, the authors know little about their roles in the formation…

1631

Abstract

Purpose

Product category involvement and relationship proneness are crucial in explaining relationship outcomes. Nevertheless, the authors know little about their roles in the formation of loyalty, especially in the retail industry. Individual consumer traits and preferences are likely to play a critical role in the success of relationship marketing. Yet, relationship marketing studies have fallen short of considering such individual differences. The purpose of this paper is to examine the mediating effects of product category involvement and relationship proneness on the relationship between satisfaction and loyalty in retail clothing stores.

Design/methodology/approach

Data were obtained using a survey of 220 consumers. Partial least squares structural equation modeling was employed to test the proposed theoretical model.

Findings

The results show that satisfaction significantly affects product category involvement and relationship proneness, which, in turn, significantly affect purchase intention and word-of-mouth (WOM). The results also show that product category involvement and relationship proneness partially mediate the impact of satisfaction on purchase intention and WOM.

Research limitations/implications

Product category involvement and relationship proneness play a critical role in explaining the satisfaction–loyalty link. Future research could consider the role of potential moderating variables.

Practical implications

Retail managers should not only focus on improving customer satisfaction to achieve customer loyalty, but should also consider the importance of product category involvement and relationship proneness, and their role in the formation of customer loyalty both in traditional and online environments.

Originality/value

To the best of the authors’ knowledge, this study is the first to explore the mediating effects of product category involvement and relationship proneness on the relationship between satisfaction, purchase intention and WOM in the retail industry.

Details

International Journal of Retail & Distribution Management, vol. 48 no. 2
Type: Research Article
ISSN: 0959-0552

Keywords

Article
Publication date: 13 November 2017

Lakhi Muhammad, Batiah Mahadi and Nazimah Hussin

The purpose of this paper is to investigate the effects of structural social capital, relational social capital and cognitive social on relationship satisfaction, and also to…

Abstract

Purpose

The purpose of this paper is to investigate the effects of structural social capital, relational social capital and cognitive social on relationship satisfaction, and also to investigate how relationship satisfaction is associated with negative word-of-mouth and re-patronage intentions, in service recovery.

Design/methodology/approach

A sample of 478 Pakistani banking industry clients, who registered a complaint to their bank recently, answered the survey. Variance-based partial least squares structural equation modeling was employed for data analysis.

Findings

Results demonstrate that all three facets of social capital have a significant positive impact on relationship satisfaction. However, relationship satisfaction enhances customer re-patronage intentions and restrains negative word-of-mouth intentions.

Practical implications

Findings are important for service firms, particularly for banks to adjust their service recovery strategies.

Originality/value

The paper verified the influence of structural social capital, cognitive social capital and relational social capital on relationship satisfaction and tested the influence of relationship satisfaction on negative word-of-mouth and re-patronage intentions.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 29 no. 5
Type: Research Article
ISSN: 1355-5855

Keywords

Article
Publication date: 15 February 2008

Sunil Sahadev

The purpose of this paper is to focus on the linkage between economic satisfaction and relationship commitment in distribution channels. The moderating effects of three variables…

2856

Abstract

Purpose

The purpose of this paper is to focus on the linkage between economic satisfaction and relationship commitment in distribution channels. The moderating effects of three variables are considered: the use of behavior based coordination strategy; the perceived level of environmental uncertainty; and the use of collaborative communication strategy.

Design/methodology/approach

The hypotheses are tested through a sample survey among 101 channel partners of mobile service providers in a state in India.

Findings

The results indicate the moderating variables act as quasi moderators wherein they both directly and indirectly impact the dependent variable.

Research limitations/implications

Limitations of the sampling methodology and sample size restricts the scope for generalizing the hypothesis. Further, data were collected from only one side of the dyad.

Originality/value

The paper endorses and attempts to establish the view that channel satisfaction is a multidimensional concept and there are different routes to channel commitment.

Details

European Journal of Marketing, vol. 42 no. 1/2
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 9 October 2009

Barbara Čater and Tomaž Čater

The paper's purpose is to broaden knowledge of customer satisfaction and loyalty in business‐to‐business markets.

5673

Abstract

Purpose

The paper's purpose is to broaden knowledge of customer satisfaction and loyalty in business‐to‐business markets.

Design/methodology/approach

The authors propose and test a model in which customer satisfaction is conceived as mediating the relationship between the elements of relationship value (price, product quality, delivery performance, supplier know‐how, time‐to‐market, service support and personal interaction) and attitudinal and behavioural customer loyalty. The empirical analysis uses structural equation modelling and is based on 477 customer‐supplier relationships in the manufacturing context.

Findings

The results show that satisfaction is negatively affected by price and positively by delivery performance, supplier know‐how and personal interaction. On the other hand, satisfaction positively influences behavioural and attitudinal loyalty. In addition, behavioural loyalty is also negatively affected by price and positively by product quality, while attitudinal loyalty is positively affected by personal interaction.

Research limitations/implications

Future research could add views from the supplier's side and also examine the focal relationship in a network of relationships. The model should be cross‐validated with the same instruments in other contexts.

Practical implications

The paper's main finding that satisfaction is more affected by delivery performance, supplier know‐how and personal interaction than by price holds direct implications for generic business strategies. By building unique relationships with their customers, suppliers can demonstrate they have something different to offer when there is strong market pressure on price. In addition, the finding that the antecedents of behavioural loyalty are more “rational” and “firm‐related”, while the antecedents of attitudinal loyalty are more “emotional” and “individual‐related”, can be used by marketers to improve the relationships with their customers.

Originality/value

The paper systematically addresses the antecedents of customer satisfaction and loyalty from the perspective of relationship value dimensions – an approach that has not yet been taken in the literature.

Details

Journal of Business & Industrial Marketing, vol. 24 no. 8
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 2 August 2011

Jesús J. Cambra‐Fierro and Yolanda Polo‐Redondo

This article seeks to analyze the concept of the long‐term orientation of relationships in the supply chain (SC). This research aims to study interactions between satisfaction and…

1457

Abstract

Purpose

This article seeks to analyze the concept of the long‐term orientation of relationships in the supply chain (SC). This research aims to study interactions between satisfaction and commitment with the relational perspective of firm‐supplier relationships.

Design/methodology/approach

The establishment of a “post‐satisfaction” framework is necessary. A model based on structural equations is used to test the set of hypotheses.

Findings

The findings show that cooperation, communication, satisfaction, proved trust and commitment explain the long‐term orientation of the relationships in the SC.

Research limitations/implications

This research only considers the buyer's perspective. The article considers some implications relating to different profiles of trust.

Practical implications

The article includes several implications about how to communicate with customers and suppliers, how to cooperate with customers and suppliers, why buyers trust suppliers, how buyers perceive satisfaction, and how buyers commit to suppliers.

Originality/value

This research, based on its “post‐satisfaction” approach, aims to complete the framework proposed by Cambra and Polo. Ideas related to the evolution of trust (“previous” vs “proved” trust) are discussed.

Details

Journal of Business & Industrial Marketing, vol. 26 no. 6
Type: Research Article
ISSN: 0885-8624

Keywords

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 influence of…

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

Keywords

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