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Article

Emmanuel Kwame Nti, Camillus Abawiera Wongnaa, Nana Sampson E. Edusah, John-Eudes Andivi Bakang and Vasco Baffour Kyei

The purpose of this paper is to support the development of effective strategies that enhance community water supply systems. The study examined service constraints and…

Abstract

Purpose

The purpose of this paper is to support the development of effective strategies that enhance community water supply systems. The study examined service constraints and willingness to pay for better services in community-managed water supply services using empirical evidence from beneficiaries of a small-town water supply system in Ghana.

Design/methodology/approach

A survey design of both descriptive and exploratory research is adopted, the descriptive survey handles the quantitative aspect, while the exploratory survey handles the qualitative aspect. The authors collected data using a structured survey questionnaire from 387 beneficiaries who were public standpipe and domestic users. Descriptive statistics, Kendall's coefficient of concordance and Cragg's two-step model were the methods of analysis employed.

Findings

The respondents ranked lack of capacity (managerial) as the topmost constraint of the community-managed water system. The findings indicate that 57% of the beneficiaries were not willing to pay, whiles 43% were willing to pay. Also, results from Cragg's two-step regression model indicate that different sets of factors affect willingness-to-pay and amount-to-pay decisions. The study revealed that while a willingness-to-pay decision is influenced by income, education, marital status and customer service, the estimated-amount-to-pay decision is more influenced by income and education.

Originality/value

Building on the empirical evidence, the findings indicated that the water and sanitation management team can increase the current fee of GH¢ 5.00/1 m3 (≈US$ 0.87) by increasing beneficiaries charge for a bucket of water from GH¢ 0.10p (≈US$ 0.017) to GH¢ 0.21p (≈US$ 0.036) for better services within the community. Importantly, the additional charge should take into consideration income and education which were noted to significantly influence the beneficiary's amount-to-pay decision for better services in the community-managed water supply system.

Details

World Journal of Entrepreneurship, Management and Sustainable Development, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2042-5961

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Article

Ahmet Demir, Lubna Maroof, Noor Us Sabbah Khan and Bayad Jamal Ali

In this study, we have collected the response from 200 private university lecturers in Kurdistan Region of Iraq. In order to test the hypotheses, we have proposed…

Abstract

Purpose

In this study, we have collected the response from 200 private university lecturers in Kurdistan Region of Iraq. In order to test the hypotheses, we have proposed structural equations modeling (SEM).

Design/methodology/approach

The purpose of this paper is to elaborate the direct and indirect effects of e-service quality on perceived value, satisfaction and willingness to pay for online meeting platforms in the education sector. This study also explores the effect of e-service quality on users' perception and satisfaction.

Findings

The results reveal that e-service quality directly affects the perceived value and satisfaction but has no direct effect on the willingness to pay. Secondly, perceived value and satisfaction mediated the relationships between service quality and willingness to pay. However, it is observed that perceived value has a more significant impact on the willingness to pay compared to satisfaction. It is further reported that perceived value is one of the antecedents of satisfaction. The study also explores the direct relationship between perceived value and willingness to pay, and introduces satisfaction as a mediating variable between perceived value and willingness to pay.

Research limitations/implications

The sample is geographically limited as only online faculty and staff working at private universities participated in the study. This study has implications for administrators of higher educational institutions and companies providing IT solutions for online meetings. From a managerial standpoint, this study provides and IT companies a broad theoretical basis that designing a successful online meeting platform should specifically emphasize e-service quality, perceived value and customer satisfaction.

Originality/value

There is no study that evaluated the links among e-service quality, value, satisfaction, and willingness to pay for the online meeting platform services. Therefore, this study is useful for the private university administration and online meeting platform developers and investors.

Details

Journal of Applied Research in Higher Education, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2050-7003

Keywords

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Book part

Ravindra Chitturi

The purpose of this chapter is to explore the differences in consumers’ willingness to pay for different types of design attributes due to different levels of specific…

Abstract

Purpose

The purpose of this chapter is to explore the differences in consumers’ willingness to pay for different types of design attributes due to different levels of specific anticipatory emotions evoked by them. The research aims to show how firms can benefit by leveraging the findings that different types of design attributes – that is, functionality, aesthetics, and environmental sustainability – affect profit margin per unit differently. Further, the chapter claims that design is a core competency that can pay dividends in terms of profit margins for firms. It is important for firms to develop expertise in understanding and leveraging relationships between the types of design attributes, specific emotions, and consumers’ willingness to pay.

Methodology/approach

The chapter uses the product categories of cell phones and laptop computers in the three experiments to test the hypothesized relationships between design attributes (functionality, aesthetics, and environmental sustainability), specific emotions, and willingness to pay.

Findings

The research finds that different attributes of design – functionality, aesthetics, and sustainability – evoke different types of emotions and different levels of willingness to pay.

Research limitations/implications

The data were primarily collected via experiments in a behavioral laboratory.

Practical implications

Firms can leverage different attributes of design to position and price products according to emotional requirements of the target customer segment to match their willingness to pay and maximize profit margin per unit.

Originality/value

The research specifically measures willingness to pay in joint presentation – independent evaluation scenarios to assess differences in how functionality, aesthetics, and sustainability impact willingness to pay.

Details

Innovation and Strategy
Type: Book
ISBN: 978-1-78754-828-2

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Article

Ernest Emeka Izogo, Mathias Egede Elom and Mercy Mpinganjira

Although scholars highlighted the need to close the interactive marketing gap and enhanced understanding of willingness to pay more in settings where customer…

Abstract

Purpose

Although scholars highlighted the need to close the interactive marketing gap and enhanced understanding of willingness to pay more in settings where customer participation in the service delivery process is paramount, research addressing this issue is scare. This study investigates the effect of perceived employee commitment to service delivery and customer involvement on customer value and willingness to pay more. The study also examines the extent to which customer value mediates the effect of employee commitment and customer involvement on willingness to pay more for banking services.

Design/methodology/approach

The analysis was based on a sample of 211 Nigerian bank customers procured through a mall-intercept survey technique. The partial least squares structural equation modelling procedure and the Preacher–Hayes Bootstrapping technique aided hypotheses testing.

Findings

This study demonstrates that elements of employee commitment to service delivery and customer involvement have significant positive effect on the components of customer value. It also shows that customer value components have significant effect on customers' willingness to pay more. Additionally, the study shows that components of customer value mediate the effect of employee commitment to service delivery and customer involvement on willingness to pay more.

Research limitations/implications

The study contributes to closing gaps in interactive marketing literature by uncovering how willingness to pay more for services is influenced by customer perceptions of employee commitment (affective and calculative) service delivery, customer involvement and customer value (hedonic and utilitarian).

Practical implications

It is important for managers to put in place measures that will help them know the kind of commitment cues their employees are emitting to customers as well as levels of customer involvement during service encounters.

Originality/value

This study breaks new ground in three unique ways. First, the study represents the first attempt to examine the combined effect of employee commitment to service delivery and customer involvement on consumer value perceptions. Second, the study also demonstrates that hedonic value has a more pronounced effect on willingness to pay more for banking services than utilitarian value. Finally, the study shows the extent to which customer value (hedonic vs utilitarian) mediates the effect of employee commitment to service delivery and customer involvement on willingness to pay more.

Details

International Journal of Emerging Markets, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1746-8809

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Article

M. Rosario González-Rodríguez, M. Carmen Díaz-Fernández and Xavier Font

The purpose of this paper is to investigate the influence of customers’ environmental concerns, customers’ perceptions of a hotel’s environmental practices and of the…

Abstract

Purpose

The purpose of this paper is to investigate the influence of customers’ environmental concerns, customers’ perceptions of a hotel’s environmental practices and of the hotels’ environmentally friendly images, on customers’ willingness to pay a price premium to stay at environmentally friendly hotels.

Design/methodology/approach

The theoretical framework comprises both social identity theory and value-belief-norm theory. The data were collected through a survey of 454 customers staying at eco-friendly hotels in Spain. The research model is tested by using a structural equation modelling approach.

Findings

The findings illustrate that customers’ environmental concerns have a greater explanatory value on their willingness to pay a price premium than do their perceptions of the hotels’ environmental practices. Furthermore, these causal relationships are similar in magnitude when considering the mediating effects of the hotels’ eco-friendly image and the environmental practices.

Research limitations/implications

The empirical findings provide managers with a better understanding of how customers’ environmental concerns and their own sense of identification with environmentally friendly hotels influence customers’ behavioural intentions towards willingness to pay a premium.

Originality/value

The paper contributes to the literature by highlighting those cognitive processes that influence the customers’ willingness to pay a price premium to stay at environmentally friendly hotels. Hence, the study provides valuable information to hotel managers.

Details

International Journal of Contemporary Hospitality Management, vol. 32 no. 1
Type: Research Article
ISSN: 0959-6119

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Abstract

Purpose

This study aims to investigate the factors that motivate Muslim consumers to pay for halal-certified food.

Design/methodology/approach

Data were collected through a survey of 272 Muslim consumers in Malaysia. The data were analyzed using the partial least squares technique.

Findings

The results showed that animal slaughter, halal logo, food quality and religious commitment have a positive effect on the willingness to pay for halal food. Religious commitment positively moderates the relationship between storage and transportation and the willingness to pay for halal-certified food.

Practical implications

Policy makers as well as managers of halal food companies can benefit from this study which provides insight into ways to increase demand for halal food.

Originality/value

The findings contribute to the literature on halal foods by illustrating the factors that determine Muslim consumers’ willingness to pay for halal food. This study also extends the literature by testing the moderating role of religious commitment.

Details

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

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Article

Jung E. Ha‐Brookshire and Pamela S. Norum

This study seeks to investigate significant factors influencing consumers' willingness to pay a premium for three different socially responsible products – organic cotton…

Abstract

Purpose

This study seeks to investigate significant factors influencing consumers' willingness to pay a premium for three different socially responsible products – organic cotton, sustainable cotton, and US‐grown cotton shirts.

Design/methodology/approach

Through random‐digit‐dialing, the study data were collected from 500 respondents nationally via telephone surveys. The survey data were analyzed using stepwise regression and mean comparisons.

Findings

More than half of the respondents indicated that they were willing to pay a premium for organic, sustainable, and US‐grown cotton shirts ($5.00 or more for these cotton shirts at the $30.00 retail value). Consumer attitudes toward socially responsible apparel, attitudes toward environment, age, and gender were found to be significant factors for consumers' willingness to pay a premium. Four apparel product evaluative criteria, brand name, laundering requirements, color, and fit, were also found to be important for consumers' willingness to pay a premium.

Research limitations/implications

Generalization from the study findings must be assumed with care due to the telephone survey mode.

Practical implications

Apparel businesses planning to offer organic, sustainable, or US‐grown cotton apparel products may want to emphasize certain tangible benefits, such as strong brand, reasonable price, easy care, color, and fit, concurrently with intangible benefits, such as feeling good by helping society and environment.

Originality/value

The findings showed relationships among attitudes, product evaluative criteria, demographic characteristics, and willingness to pay a premium for three different options of socially responsible cotton apparel, in order to help close the gap between attitudes and behavior in consumer research.

Details

Journal of Consumer Marketing, vol. 28 no. 5
Type: Research Article
ISSN: 0736-3761

Keywords

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Article

Mark A. Glaser and Robert B. Denhardt

The tension between demand for services and willingness to pay for those services, referred to here as tax-demand discontinuity, poses a dilemma for local government that…

Abstract

The tension between demand for services and willingness to pay for those services, referred to here as tax-demand discontinuity, poses a dilemma for local government that will only intensify with growing fiscal constraints. This research is based on a survey of over 1800 citizens in Orange County, Florida, the county including Orlando, to develop a seven-position classification system to define the nature and extent of tax-demand discontinuity. Citizen demographic characteristics, perceptions of the economy and perceptions of government segmented by tax-demand discontinuity classifications are used to offer guidance to local government about opportunities for improving citizen-government relations.

Details

Journal of Public Budgeting, Accounting & Financial Management, vol. 11 no. 2
Type: Research Article
ISSN: 1096-3367

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Article

Abdul Hafaz Ngah, Serge Gabarre, Bilal Eneizan and Nabihah Asri

This paper aims to identify the factors of willingness to pay for halal transportation among Muslim consumers in Malaysia by extending the theory of planned behaviour with…

Abstract

Purpose

This paper aims to identify the factors of willingness to pay for halal transportation among Muslim consumers in Malaysia by extending the theory of planned behaviour with knowledge and religiosity.

Design/methodology/approach

Applying a purposive sampling method, data were gathered from questionnaires distributed to Muslim consumers at Malls in Kuala Lumpur and Putrajaya. From 250 Muslims who were approached, 200 respondents agreed to answer the questionnaire. SMART-PLS 3.2.8. was used to analyse the data for this study using a structural equation modelling (SEM) approach.

Findings

Attitude (ATT), Subjective Norm (SN) and Perceived Behavioural Control (PBC) have a positive relationship with the Willingness to Pay (WTP). However, religiosity is found as an insignificant factor towards the WTP. Knowledge and religiosity are significant predictors of the attitude. Attitude is found to have a mediating effect on the relationship between knowledge and the WTP, and for religiosity towards the WTP. Awareness moderates the positive relationship between ATT and the WTP for halal transportation services. Meanwhile, awareness is found as an insignificant moderator between SN and the WTP, and for the PBC and the WTP.

Practical implications

The findings provide useful information on the WTP for halal transportation. Related parties such as the government, halal transport service providers and customers can use these findings to plan further action to enhance the WTP for halal transportation

Originality/value

The study reveals the capability of the TPB to identify the factors of WTP for halal transportation among Muslim consumers in Malaysia. The findings also show the moderation effects of awareness on the TPB. The findings also enrich the literature on the WTP in halal studies

Details

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

Keywords

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Article

Sharmin Attaran and Bilge Gokhan Celik

The purpose of this study is to explore environmental attitudes and how such attitudes, when combined with a specific cost, can affect environmental behavior…

Abstract

Purpose

The purpose of this study is to explore environmental attitudes and how such attitudes, when combined with a specific cost, can affect environmental behavior. Environmental attitudes are important to study due to the rising belief by building occupants that they are owed safe, healthy, environmentally responsible, and comfortable living environments. Universities around the world are responding to such demands as the majority of prospective college students and their parents claim that the environmental record is a determining factor in their selection of a university. Therefore, this study examines the environmental responsibility levels of a sample student population and to explore how these scores, along with gender, impact their willingness to pay for studying and living in green buildings.

Design/methodology/approach

An online survey consisting of three parts was administered to undergraduate university students to measure environmental responsibility, willingness to pay and demographic variables. Statistical analyses including ANOVA, t-tests and correlation were conducted to explore relationships among variables.

Findings

Results of statistical analyses show a direct correlation between environmental responsibility and willingness to pay for green buildings, as defined by a leading green building assessment system. Results also show that female students are more environmentally responsible than males.

Practical implications

Successful generalizations of the findings of this research may lead to better marketing of green buildings to the general public.

Originality/value

Findings present a unique opportunity for university administrations to develop more focused messages when communicating their environmental record with current and potential students.

Details

International Journal of Sustainability in Higher Education, vol. 16 no. 3
Type: Research Article
ISSN: 1467-6370

Keywords

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