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1 – 10 of over 1000Navid Bahmani and Atefeh Yazdanparast
With the goal of helping consumers bounce back from the financial challenges they faced as a result of the COVID-19 pandemic, many firms developed and announced consumer-targeted…
Abstract
Purpose
With the goal of helping consumers bounce back from the financial challenges they faced as a result of the COVID-19 pandemic, many firms developed and announced consumer-targeted resiliency programs (e.g. Walgreens waived delivery fees, Associated Bank allowed deferred mortgage payments). However, there is a paucity of research examining the unique features of these programs, and whether firms' investors (the first external stakeholder group to provide them with feedback regarding their strategies) were receptive to these programs during a period of time in which firms themselves were suffering financially. Drawing on resilience theory and stakeholder theory, the present research incorporates an event study of consumer-targeted resiliency program announcements to understand their financial implications for firms, and to learn whether firms witnessed different financial effects as a result of firm- and program-specific factors.
Design/methodology/approach
This study referred to business news publications and newswire services to collect a comprehensive list of consumer-targeted resiliency programs announced by publicly traded U.S. firms during the pandemic. The resulting dataset consisted of 145 announcements made during the period of February–June 2020. An event study was conducted in order to precisely measure the main effect of consumer-targeted resiliency programs on firm value, as manifested through abnormal stock returns. Finally, a moderation analysis (regression) was conducted to uncover whether firm characteristics or specific features of firms' consumer-targeted resiliency programs lead certain firms to witness stronger financial effects than others.
Findings
The main effect of consumer-targeted resiliency programs on firm value was found to be positive – a 1.9% increase on average. The moderation analysis finds that non-financial firms were rewarded more positively than financial firms (e.g. banks and credit card companies). In addition, financial aid (i.e. allowing customers to defer their payments to a firm for its products/services, versus a reduction in the price of a product/service or offering it for free or giving cash back to customers) and temporal characteristics (i.e. an offer being framed as limited-time, vs being indefinite or for the foreseeable future) are not found to have a moderating effect.
Originality/value
This theory-driven empirical study uncovers practical implications for managers of firms interested in whether investing in corporate social responsibility during times of crisis is a wise allocation of resources. Any form of financial aid for consumers, regardless of temporal limitations, is received positively by investors.
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This study aims to uncover the underlying mechanism between the time length of We-media videos and customer satisfaction (CS)/participation (CP) based on experiential marketing…
Abstract
Purpose
This study aims to uncover the underlying mechanism between the time length of We-media videos and customer satisfaction (CS)/participation (CP) based on experiential marketing theory.
Design/methodology/approach
Two datasets were collected from Bilibili; 308 data were used with bootstrapping for multiple linear regressions (MLR) to test the hypotheses, and 2,670 data were used for structural equation modelling (SEM) to verify robustness.
Findings
Videos’ time length acts as both a price and provision element of experiential marketing. As a price element, its linear term affects CS negatively but CP positively. As a provision element, its quadratic term affects CS positively but CP negatively.
Practical implications
Marketing management personnel and video creators at Bilibili could optimise videos’ time length as suggested. We-media video platforms should encourage high-quality videos with sufficient time lengths to improve CS. Video creators could balance CS and CP, as suggested.
Originality/value
This research proposed platform, provision, price and propagation as experiential marketing elements concerning experiences in online virtual encounters. It found CS was affected positively by provision but negatively by price, whereas the opposite is true for CP. Time length affects CS/CP as both a price and provision element, which may explain the neglect of significant relationships between the time length and marketing performances of videos.
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Nea North and Cornelia (Connie) Pechmann
Circumstances such as pandemics can cause individuals to fall into a state of need, so they turn to donation services for assistance. However, donation services can be designed…
Abstract
Purpose
Circumstances such as pandemics can cause individuals to fall into a state of need, so they turn to donation services for assistance. However, donation services can be designed based on supply-side considerations, e.g. efficiency or inventory control, which restrict consumer choice without necessarily considering how consumer vulnerabilities like low financial or interpersonal power might cause them to react to such restrictions. Thus, the purpose of this paper is to examine service designs that limit the choices consumers are given in terms of either the allowable quantity or assortment variety and examine effects on consumer perceptions of justice and satisfaction.
Design/methodology/approach
Three experiments are reported, including one manipulating the service design of an actual food pantry.
Findings
When consumers have low financial or interpersonal power, meaning their initial state of control is low, and they encounter a donation service that provides limited (vs. expanded) choice that drops control even lower, they perceive the situation as unjust and report lower satisfaction.
Practical implications
Donation service providers should strive to design services that allow for expanded consumer choice and use interpersonal processes that empower beneficiaries so they perceive the service experience as just and satisfying. Collecting feedback from beneficiaries is also recommended.
Originality/value
While researchers have started to look at the service experiences of vulnerable populations, they have focused primarily on financial service designs. The authors look at donation service designs and identify problems with supply-side limits to choice quantity and assortment.
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Lilian Korir and Dieu Hack-Polay
The purpose of this paper is to estimate the effect the five different generations and the key financial inclusion indicators of gender, education and location (rural–urban) in…
Abstract
Purpose
The purpose of this paper is to estimate the effect the five different generations and the key financial inclusion indicators of gender, education and location (rural–urban) in exacerbating disparities in financial inclusion in Kenya. This paper considers whether the five generational cohort groups in Kenya differ on the financial inclusion determinants and behaviour as predicted by common generational stereotypes.
Design/methodology/approach
The authors applied a multinomial logistic regression approach to nationally representative household survey data from Kenya to estimate the effect that key financial inclusion indicators have on belonging to one of the five generations: Z, Y, X, baby boomers and traditionalists.
Findings
The authors found significant links between all tested variables and financial inclusion. The authors found an access gap between Generations X and Y, with the latter being more prone to access and use financial services and products. These differences are compounded by gender and rurality. People in rural locations and women generally were found to have less access to financial services and products, thus causing significant exclusion of a large proportion of the population.
Practical implications
The research has important implications for governments, financial institutions and educational providers, notably on targeted policies and programmes that strategically aim to eliminate disparities and promote greater financial inclusion, denoting the value of such variables as generational differences and gender inclusivity.
Originality/value
This paper deepens the understanding of differences that can divide generations on financial inclusion.
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Veronica Hoi In Fong, Xueying (Linda) Lin, IpKin Anthony Wong and Matthew Tingchi Liu
This study aims to use organizational fashion to underscore a novel phenomenon in which products, services and practices fade in and out of the tourism/hospitality setting within…
Abstract
Purpose
This study aims to use organizational fashion to underscore a novel phenomenon in which products, services and practices fade in and out of the tourism/hospitality setting within a specific time frame. Drawing from the fashion theoretical strands in organization research, this paper studies how fashion has been conceptualized, operationalized and then diffused among tourism/hospitality enterprises.
Design/methodology/approach
A qualitative case design was used. A total of 37 semistructured in-depth interviews with executives of innovative tourism/hospitality companies (e.g. restaurants, hotels, theme parks and travel agencies) were conducted. This paper focuses on the organizational fashion phenomenon in which organizational trendsetters with creative, “hot” products/services have emerged prominently in the marketplace.
Findings
This inquiry illustrates a social phenomenon concerning the organizational fashion setting process by integrating existing production practices among different organizational suppliers in the hospitality sector. Different cases in the study show that fashion consists of a series of hybrid, paradoxical processes. These include conceptualization (conventionalization vs novelty, and personalization vs conformity), operationalization (bundling vs unbundling, and learning vs relearning) and diffusion (framing vs co-framing, and adaptation vs alteration).
Research limitations/implications
Throughout the three continuous processes, service design and identity development for consumption, as well as value creation and knowledge transformation for production, are carried out according to the decision of what is “hot” and what is “out” at a particular time. In essence, fashion helps to explain why hospitality institutions imitate specific innovations to take advantage of popular trends in the consumer market, as well as how such trends vanish eventually.
Originality/value
This research contributes the insight that organizations use fashion as a managerial initiative to translate their organizational goals and improvise nascent products and services. The fashion processes can be triggered by microlevel individual organizations and are spread through a series of social interactions to become macrolevel phenomena in a recurring manner.
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Rajat Roy, Fazlul K. Rabbanee, Diana Awad and Vishal Mehrotra
This study aims to investigate the fit of a promotion (prevention) focus with malicious (benign) envy and how this fit influences positive and negative behaviours, depending on…
Abstract
Purpose
This study aims to investigate the fit of a promotion (prevention) focus with malicious (benign) envy and how this fit influences positive and negative behaviours, depending on the context.
Design/methodology/approach
Four empirical studies (two laboratory and two online experiments) were used to test key hypotheses. Study 1 manipulated regulatory focus and envy in a job application setting with university students. Study 2 engaged similar manipulations in a social media setting. Studies 3 and 4 extended the regulatory focus and envy manipulations to the general population in pay-what-you-want (PWYW) and pay-it-forward (PIF) restaurant contexts.
Findings
The findings showed that a promotion (prevention) focus fits with the emotion of malicious (benign) envy. In the social media context, promotion and prevention foci demonstrated negative behaviour, including unfollowing the envied person, when combined with malicious and benign envy. In the PWYW and PIF contexts, combining envy with a specific type of regulatory focus encouraged both positive and negative behaviours through influencing payments.
Research limitations/implications
Future research could validate and extend this study’s findings with different product/service categories, cross-cultural samples and research methods such as field experiments.
Practical implications
The four studies’ findings will assist managers in formulating marketing strategies to enhance their positioning of target products/services, possibly leading to higher prices for PWYW and PIF businesses.
Originality/value
The conceptual model is novel as, to the best of the authors’ knowledge, no prior research has proposed and tested the fit between envy type and regulatory foci.
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Hua Meng and Hannan Sadjady Naeeni
This study aims to explain why low social conduct in corporate social responsibility (SC-CSR), especially employee exploitation, has a stronger negative impact on consumer…
Abstract
Purpose
This study aims to explain why low social conduct in corporate social responsibility (SC-CSR), especially employee exploitation, has a stronger negative impact on consumer reactions for service firms than for manufacturing firms.
Design/methodology/approach
Five experiments compared consumer reactions to service and manufacturing firms with low SC-CSR. Study 1 used a choice-based conjoint design to examine the relative importance of various shared attributes when consumers chose services versus goods. Study 2 revealed that low SC-CSR led to more pronounced negative consumers reactions toward service firms. Studies 3A and 3B explained this difference through a serial mediation analysis. Study 4 ruled out an alternative explanation regarding the differentiated effects.
Findings
The results reveal that consumer reactions to employee exploitation in service firms are more negative compared to manufacturing firms. This is because consumers’ sense of presence (i.e. feeling of being there) is stronger in a service setting, leading to more intense empathetic emotions toward service employees.
Originality/value
This research contributes to the CSR literature by challenging the conventional notion that sweatshops are more problematic for manufacturing firms. By contrast, the results indicate a stronger negative effect on service firms. It contributes to the services marketing literature by conceptualizing a novel cognitive mechanism. Traditionally, consumers’ negative reactions are driven by anger. However, the authors show that empathetic feelings toward mistreated employees play a predominant role. While it is imperative for all firms to ensure fair treatment of their employees, the findings underscore the heightened significance of this aspect for service firms, given their susceptibility to more pronounced negative effects.
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Shu Zhang, Lixun Su, Weiling Zhuang and Barry J. Babin
Given resource constraints such as time and staffing, hotels cannot respond to all negative online reviews (NORs). Therefore, this study investigates (1) what types of NORs hotels…
Abstract
Purpose
Given resource constraints such as time and staffing, hotels cannot respond to all negative online reviews (NORs). Therefore, this study investigates (1) what types of NORs hotels should prioritize responding; and (2) what response strategies are more effective in handling different types of NORs to minimize the negative ramifications.
Design/methodology/approach
Four experiments in the context of hospitability were used to test the hypotheses.
Findings
Our findings show that NORs with implicit conclusions (e.g. “I do not believe that is a good choice, you know what I mean.”) are more dissuasive than NORs with explicit ones (e.g. “Do not buy it.”) because the former NORs are perceived as more objective than the latter NORs. More importantly, our results show that firms do not need to respond to explicit NORs. When responding to implicit NORs, firms should prioritize those related to service failures caused by external (e.g. weather, technological misfunction) rather than internal (e.g. poor management, employee skills) factors.
Research limitations/implications
Our studies focus on the language styles of Chinese NORs, and future research should investigate how language styles influence dissuasion in other languages.
Practical implications
Our results show that NORs with implicit conclusions negatively impact consumer attitude and thus hurt performance more significantly than those with explicit conclusions. Therefore, firms should allocate limited staffing and resources to NORs with implicit conclusions. When responding to implicit NORs, firms should select NORs that can be attributed to external factors.
Originality/value
Our findings shed light on the importance of the language styles of NORs and provide marketers with insights into how to handle NORs. Our results reveal that consumers perceive higher objectivity of NORs when these reviews are implicit than when they are explicit. Furthermore, this study contributes to the online review literature by suggesting that firms should tailor their response strategies for NORs based on the reviewers’ language styles.
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Ana Rita Gonçalves, Diego Costa Pinto, Saleh Shuqair, Anna Mattila and Anel Imanbay
This paper aims to bridge the extended reality framework and the luxury hospitality literature by providing insights into how immersive technologies using artificial intelligence…
Abstract
Purpose
This paper aims to bridge the extended reality framework and the luxury hospitality literature by providing insights into how immersive technologies using artificial intelligence (AI) can shape luxury value and consumer differentiation.
Design/methodology/approach
The authors conducted three experimental studies comparing immersive AI versus traditional hospitality across luxury contexts (hotels, restaurants and spas). Study 1 investigates the effect of immersive AI (vs traditional hospitality) on customers’ behavioral intentions and the need for differentiation using virtual-assisted reality. Study 2 tests the underlying mechanism of the need for differentiation and luxury value in an augmented reality context. Study 3 provides additional support for the proposed underlying mechanism using virtual-assisted reality in luxury hospitality.
Findings
The findings reveal that immersive AI (vs traditional) luxury hospitality reduces customers’ behavioral intentions of using such services and perceived luxury value. Moreover, the findings indicate that the intention to use immersive AI (vs traditional) luxury hospitality services is contingent upon customers’ need for differentiation.
Originality/value
The findings have important theoretical and managerial implications for immersive technologies in luxury hospitality. They shed light on the dynamics between integrating immersive AI into luxury hospitality and its impact on customers’ differentiation motives and perceived luxury value. The findings reveal the detrimental effect of using immersive AI (vs traditional hospitality) within this context.
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Anjala S. Krishen, Jesse L. Barnes, Maria Petrescu and Shaheena Janjuha-Jivraj
This interdisciplinary study aims to analyze how service organizations communicate sustainable beliefs in their social media narratives and use them to generate brand awareness…
Abstract
Purpose
This interdisciplinary study aims to analyze how service organizations communicate sustainable beliefs in their social media narratives and use them to generate brand awareness, customer recognition and ongoing demand for sustainable service.
Design/methodology/approach
A two-phase exploratory analysis of 10,342 tweets from 2019–2020 was conducted by sustainable global corporations to identify best practices for their social media teams operating within a service-based business model. First, the significant themes were identified using an unguided machine learning approach of three types of firms: services, goods and mixed. Next, the full set of tweets with linguistic sentiment analysis was analyzed followed by a deeper view of the services-based organizations based on their strategic focus (business-to-business [B2B] versus mixed).
Findings
The findings indicate that tweets that appear to create the highest customer engagement are characterized as having high levels of analytical language, high clout (i.e. are socially relevant), a positive tone, a high number of words and a high number of words per sentence. On the other hand, having complex language in terms of six-letter words does not seem to associate with customer engagement. The last level of analysis shows that B2B services-based corporations with positive tone and higher word count exhibit higher levels of retweets. Implications include providing rational and informational tweets to increase engagement and highlight societal relevance.
Originality/value
Climate change has negative consequences on human and physical capital, and ecosystems across the globe. This study provides specific recommendations for how services corporations can increase their sustainable communications and actions.
Practical implications
The key implication of our research is that corporations must strategically design social media narratives about climate change as part of their online branding and communications process.
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