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Article
Publication date: 20 November 2020

Tripat Gill, Zhenfeng Ma, Ping Zhao and Yongjian (Ken) Chen

This study aims to distinguish between the indispensable (software) versus discretionary (accessories) complementary products to a platform. It investigates the impact of…

Abstract

Purpose

This study aims to distinguish between the indispensable (software) versus discretionary (accessories) complementary products to a platform. It investigates the impact of accessories on increasing the perceived value and sales of a base platform. In particular, the role of two distinct characteristics of accessories – innovativeness and structural nonalignability – in driving the sales of the base platform.

Design/methodology/approach

Combining sales data from the US video gaming industry with primary data on the above two aspects of accessories, this study quantifies the effect of accessories portfolio on the sales of three brands of video gaming platforms.

Findings

A distinct network externality arises from accessories for video gaming platforms, above and beyond the effects of game titles. Importantly, the average level of innovativeness and nonalignability of the accessories portfolio, as well as the frequency of introduction of highly innovative and/or nonalignable accessories positively impact the sales of the platform.

Research limitations/implications

This research seeks to address the gap in the innovation literature on the role of discretionary complementary products (i.e. accessories) on platform sales. Future research should examine this in other platform contexts as well.

Practical implications

Managers of platform-mediated products should give due consideration to accessories, as an important driver of the sales of the platforms. Product managers can leverage the advantage of innovative and nonalignable accessories to enhance consumer demand for the platform.

Originality/value

This study is the first to conceptualize and empirically verify the network externality arising from accessories, a heretofore much neglected component of platform-based markets.

Details

European Journal of Marketing, vol. 55 no. 4
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 23 July 2020

Yongjian (Ken) Chen, Nicole Coviello and Chatura Ranaweera

Systematic research examining the mechanisms that mediate the dynamic capability–performance relationship remains scarce. So too is research on the conditions under which these…

Abstract

Purpose

Systematic research examining the mechanisms that mediate the dynamic capability–performance relationship remains scarce. So too is research on the conditions under which these mechanisms might be influential. Accordingly, this study aims to build upon business network research to examine how a firm’s dynamic network capability (DNC) impacts firm performance, mediated by the speed of product reconfiguration (i.e. new product development [NPD] speed) and bounded by firm age.

Design/methodology/approach

The authors conduct moderated mediation analysis on survey data from small- and medium-sized manufacturing and technology firms in the USA. This study uses an initial survey and then a follow-up survey.

Findings

The findings support the general view that DNC is instrumental to firm performance, regardless of firm age. However, DNC operates differently for younger vs older firms. That is, DNC’s impact on the performance of younger firms is enabled by speeding up NPD, while much of the performance impact for older firms appears to be through alternative resource reconfiguration route(s). This study identifies the need to include a mediating variable such as resource reconfiguration to detect how DNC impacts performance.

Research limitations/implications

The model could include different dimensions of mediating resource reconfigurations, alternative boundary conditions and longer-term data.

Practical implications

This study provides managers with insight on how speed of product reconfiguration (in terms of NPD) operates in the DNC–performance relationship. It also helps them understand how this relationship changes in younger vs older firms.

Originality/value

To the best of the authors’ knowledge, this study is the first to provide empirical evidence on how DNC operates to influence performance in firms that are younger vs older.

Details

Journal of Business & Industrial Marketing, vol. 36 no. 2
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 13 March 2019

Li Zhao, Stacy H. Lee and Lauren Reiter Copeland

Social media and sustainability are changing Chinese consumers’ consumption behavior in notable ways. Few apparel industry sustainability efforts are enforced or well known in…

6707

Abstract

Purpose

Social media and sustainability are changing Chinese consumers’ consumption behavior in notable ways. Few apparel industry sustainability efforts are enforced or well known in China. As China operates its own social media sites, it is necessary to study Chinese social media, rather than Western types, in order to understand its influence on Chinese consumer behavior with regard to sustainability. By extending the theory of reasoned action (TRA) and the prototype willingness model, the purpose of this paper is to investigate how Chinese consumers were taught their environmentally sustainable apparel (ESA) consumption behavior through social media, and also how the influence of peers affected their purchase intentions.

Design/methodology/approach

A total of 238 survey responses were collected and analyzed from a Chinese research firm in 2016. In accord with the study objectives, an exploratory factor analysis was first conducted, and then a two-step analysis of a structural equation model was employed for hypothesis testing. To test the significance of hypothesized mediated effects, a bootstrap procedure with 2,000 bootstrap samples from the original data was used to compute bias-corrected 95% CI for indirect effects. Moreover, hierarchical regressions were demonstrated to verify the unique contribution of social media influence.

Findings

The study findings support the previous literature that indicated positive attitudes toward environmentally sustainable purchasing behavior increased as Chinese consumers learned about social and environmental issues. Also, results of the analysis revealed that Chinese consumers’ engagement with social media and their peers were important social influences that were directly tied to increasing sustainable apparel purchase intentions.

Originality/value

By extending two grand theories of the prototype willingness model theory and the TRA, this study underlines a novel link between the influence of social media and ESA purchase intentions among Chinese consumers. Results are valuable in a global context as it is one of only a few studies to explore Chinese consumers’ purchase intentions of ESA through an exclusive social media platform – WeChat – in China.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 31 no. 4
Type: Research Article
ISSN: 1355-5855

Keywords

Article
Publication date: 12 August 2019

Kyoung Cheon Cha, Minah Suh, Gusang Kwon, Seungeun Yang and Eun Ju Lee

The purpose of this paper is to determine the auditory-sensory characteristics of the digital pop music that is particularly successful on the YouTube website by measuring young…

1498

Abstract

Purpose

The purpose of this paper is to determine the auditory-sensory characteristics of the digital pop music that is particularly successful on the YouTube website by measuring young listeners’ brain responses to highly successful pop music noninvasively.

Design/methodology/approach

The authors conducted a functional near-infrared spectroscopy (fNIRS) experiment with 56 young adults (23 females; mean age 24 years) with normal vision and hearing and no record of neurological disease. The authors calculated total blood flow (TBF) and hemodynamic randomness and examined their relationships with online popularity.

Findings

The authors found that TBF to the right medial prefrontal cortex increased more when the young adults heard music that presented acoustic stimulation well above previously defined optimal sensory level. The hemodynamic randomness decreased significantly when the participants listened to music that provided near- or above-OSL stimulation.

Research limitations/implications

Online popularity, recorded as the number of daily hits, was significantly positively related with the TBF and negatively related with hemodynamic randomness.

Practical implications

These findings suggest that a new media marketing strategy may be required that can provide a sufficient level of sensory stimulation to Millennials in order to increase their engagements in various use cases including entertainment, advertising and retail environments.

Social implications

Digital technology has so drastically reduced the costs of sharing and disseminating information, including music, that consumers can now easily use digital platforms to access a wide selection of music at minimal cost. The structure of the current music market reflects the decentralized nature of the online distribution network such that artists from all over the world now have equal access to billions of members of the global music audience.

Originality/value

This study confirms the importance of understanding target customer’s sensory experiences would grow in determining the success of digital contents and marketing.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 32 no. 5
Type: Research Article
ISSN: 1355-5855

Keywords

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