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By the end of this chapter, you should be able to demonstrate an understanding of:

Understand the complex and nuanced nature of relationship marketing.

Define the relationship dimensions in human relationships and the variables relationship marketing which develop the customer–company relationship.

Develop a conceptual understanding of how these dimensions and variables build customer–company relationships.

Understand how the key characteristics of social media can be leveraged to build customer–company relationships.

This article discusses optimizing customer retention using customer relationship management (CRM) linked with social cause‐related marketing (SCRM). Establishing a socially responsible synergy between company and customer is targeted to managers seeking creative and innovative approaches that strengthen the value equation.

The discussion focuses on the progression of CRM from early links to basic database information to its current complex form whereby customers may be outsourced if they do not meet loyalty and mutual value parameters. A ten‐question test for testing CRM strategy is included, along with the steps required for adding SCRM to the company‐customer relationship.

CRM maximizes customer satisfaction while SCRM maximizes customer loyalty. Together, CRM and SCRM can optimize customer retention by sharing socially responsible activities. Tremendous goodwill with customers and in the marketplace can be generated from the synergy of CRM and SCRM.

Increasingly, it is the customer that is “setting the pace” in the company‐customer relationship. Implementing a SCRM strategy strengthens the business bond while facilitating the transition from the company being dominant to the customer driving the relationship process. The successful integration strategy includes: identify; integrate; switch; shift; choose; and measure.

Close relationship with major customers, by curtailing opportunistic behaviors during private placements (PPs) and guaranteeing the production and sales of products after, is expected to facilitate the realization of PP’s strategic goals. However, major customers, on the contrary, may impair PP’s performance because of their strong bargaining power. Based on the transaction cost theory and relational contract theory, this paper aims to investigate the impact of major customers on firms’ strategic development in the context of private placements. The mechanisms of such impact are analyzed from the prospect of economies of scale, supervision and the rip-off effect by major customers. Further, the moderating role of the customer relationship investment (CRI) is considered.

Using a sample of China’s non-financial A-share listed firms during 2010-2016, this paper empirically investigates the impact of customer relationships on firms’ operating performance following PPs. In the main regressions, the sales growth rate serves as the dependent variable to measure PP’s operating performance, while the customer concentration proxies for the closeness of customer relationship. This study captures the impact of customer relationships on PPs’ performance by looking at the coefficient of the interaction term of post PP dummy and customer concentration. In the additional tests, selling and management expenses along with entertainment and traveling expenditures are used to measure customer relationship investment.

Results show that major customers help improve PPs’ strategic performance. The more concentrated the customer portfolio is, the higher operating performance will be after the PPs. Such a relationship is stronger when CRI is at a higher level. However, CRI also incurs costs, which impairs the effect of major customers on net profit. Further research finds that the effect of major customers is more pronounced in situations of extensional PPs, with actively interactive customers and in non-state-owned firms. In addition, state-owned customers with strong bargaining power have impaired the role of customers in promoting PP’s operating performance.

This paper validates the role of customers in firms’ strategic development. The study not only contributes to the research on the economic consequences of customers but also adds to the evolving literature of factors affecting the performance of PPs. The findings of the study have important practical implications for both customer relationship management and the supervision of PPs.

This paper details a preliminary study into the impact of different supplier‐customer relationships on the performance of manufacturing companies in the clothing industry. This study produces three generic models for supplier‐customer relationships and their corresponding practices, which in essence represent three different levels of supply chain integration. It also develops a set of financial and non‐financial performance measures in order to determine the effectiveness of different types of relationship. A detailed survey was carried out in order to test the theoretical models and compare the performance of companies under the different types of relationship. Results are presented which compare the effect of various forms of supplier‐customer relationships on company performance, using data collected from 38 UK clothing manufacturers.

Drawing from the theory of relationship dynamics, the purpose of this paper is to investigate how the relationship life cycle moderates the link between relationship quality and customer value co-creation. As customer-firm relationships pass through different stages (exploration, buildup, maturity, and decline) characterized by distinct customer behaviors, this study proposes a dynamic conceptual framework.

A questionnaire was administered in financial services firms. The final valid sample comprised 2,000 individuals. Subjective customer information from the questionnaire was combined with objective data that the financial entity provided.

The results demonstrate that the relationship life cycle plays a key moderating role, revealing that, in the buildup and maturity stages, the influence of relationship quality on customer value co-creation is stronger than in the decline stage. However, for customers in the exploration stage, relationship quality does not lead to customer value co-creation behaviors.

As customer relationship stages are constantly evolving, this study provides companies with additional interesting tools to personalize business strategies and to adapt marketing investments to the specific situation of customers.

To the authors’ knowledge, this is the first study to consider how the relationship life cycle influences the strength with which relationship quality promotes customer value co-creation.

Examines the nature of meaningful customer relationships to determine what contributes to meaningfulness and to explore ways in which companies can establish more meaningful relationships with customers. Explores and applies the social psychology roots of the concept of meaning in a customer relationships context. Gleans evidence of meaningful customer relationships from the consumer psychology and marketing literature and from research conducted by the author. Examines situations where a company or a brand clearly occupies an important place in the life of a customer and discusses the characteristics of such relationships. Examines the factors that contribute to meaningful customer relationships. Looks at the implications for further customer research and for marketing and brand managers.

Marketing is the area of coexistence of various research traditions with regard to relational phenomena. This study aims to contribute to limiting the gap between these traditions by testing the influence of network partner knowledge and internal relationship quality on company performance and customer relationship quality.

This is a research paper where hypotheses are derived from prior studies referring to relationship marketing, B2B networks and internal marketing. The hypotheses are tested by using a sample of 264 companies operating in B2B markets and by structural equation modeling.

Customer relationship quality is empirically supported here as a factor mediating influence of network partner knowledge and internal relationship quality on company performance. The proposition of this paper is that company ability to deal effectively with a network in which it is embedded (including internal network) is the antecedent of dealing with customer relationships effectively. The moderator effects of the dominant profile of business are also discussed.

The limitations of the research are presented with regard to the sampling method, research technique/scope and cultural context. The research results may be treated as a direction for further studies exploring connections between constructs from various approaches to relational phenomena in marketing.

This study brings strategic insights into knowledge of business relationships, by investigating empirically whether the focal company may benefit from their external and internal relationships.

To the best of the author's knowledge, there has been no study examining the proposed set of inter‐related research constructs so far.

The purpose of this paper is to discover the impact of different dimensions of organizational culture (mission culture, adaptability culture, involvement culture and consistency culture) on business excellence results criteria (customer results, people results, society results and business results) in the United Arab Emirates (UAE) and explore the moderating role of information and communication technology (ICT) use in both service and manufacturing industries.

Data were collected by questionnaire from 448 managers in nine companies that have won the Sheikh Khalifa Excellence Award in the last three years. Structural equation modeling was used to examine the data.

Organizational culture is significantly related to business excellence. However, these effects varied for different business excellence criteria. Three organizational culture types had a significant positive role in achieving excellent customer-related results. All four types of organizational culture had a positive role in achieving excellent people-related results. Only two culture types had significant role in achieving excellent society-related results. Business results were positively related to a balance between the four types of organizational culture. ICT use moderated the relationship between organizational culture and results related to customers, people and business, but not society.

This study had some conceptual limitations. In particular, it considered the organizational culture as four types in the research model, but without structuring the indices under each type. It also had some methodological limitations. It was cross-sectional and used a self-administered questionnaire, which means that no causal relationships can be implied, and there may have been some bias in responding.

This is one of the first studies that investigate the relationship between organizational culture and business excellence in UAE excellence award-winning companies.

This paper aims to explore the relationship between corporate cultural/intangible assets and marketing capabilities by examining managers’ and entrepreneurs’ perceptions in a retail setting.

Nineteen face-to-face interviews were conducted with UK small and medium sized enterprise (SMEs) managers and entrepreneurs to identify six sub-capabilities that form marketing capability. The authors further validated the relationship between marketing sub-capabilities and its antecedent tangible and intangible assets. The qualitative approach used provided a deeper insight into the motivations, perceptions and associations of the stakeholders behind these intangible concepts, and their relationships with their customers.

The research identified that there is a strong relationship between tangible and intangible assets, their components and the following capabilities: corporate/brand identity management, market sensing, customer relationship, social media/communication, design/innovation management and performance management. In addition, companies need to understand clearly what tangible and intangible assets comprise these capabilities. Where performance management is one of the key internal capabilities, companies must highlight the importance of strong cultural assets that substantially contribute to a company’s performance.

Previous work on dynamic capability analysis is too generic, predominantly relating to the manufacturing sector, and/or focussing on using a single case study example. This study extends the concept of marketing capability in a retail setting by identifying six sub-capabilities and describing the relationship of each with tangible and intangible assets. Through extensive qualitative analysis, the authors provide evidence that by fully exploiting their embedded culture and other intangible components, companies can more favourably engage with their customers to attain a sustainable competitive advantage.

This paper focuses on customer value analysis and measurement, framing customer value management as one of the main antecedents of the company value-creation process. The paper builds on three main pillars. First, the paper highlights the critical role of customer value in business-to-business markets, focusing on the links between the company's ability to manage customer value-creation processes and the positive financial and economic outcomes generated by loyalty effects. Secondly, the paper develops key analytical stages for an understanding of customer value. The focus is on the customer value-chain concept, including consideration of the customer information and acquisition process and its decision rules. Third, the paper illustrates the measurement process, offering an organizational framework for selecting the most suitable method for measuring perceived customer value. The methodological alternatives range from desk measures (e.g., technical computation of the total cost of ownership (TCO)) to field analysis, like those considered under both compositional and the decomposition approaches (e.g., conjoint analysis). The paper concludes with remarks on the managerial implications of these measures, as well as offering suggestions for further research on value for the customer.