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The purpose of this study is to conceptually address the understanding of certain consumers and businesses that show new dynamics, including a heightened interest in quality and the concomitant development of entities and mechanisms designed to ensure certain standards as well as an increased level of involvement of the consumer with the product. These segments are identified and labeled as sophisticated markets.

Through a literature review following a conceptual model methodology, this study poses eight research propositions to seek a more profound and comprehensive understanding of this type of market that could potentially benefit several industries. This study explores and discusses some of the essential differences of sophisticated markets with a twofold purpose: to recognize the existence of sophisticated markets as a distinct category and suggest issues that may constitute interesting further research works.

The process of sophistication might occur in different industries. This study poses implications of sophisticated markets to better understand consumers and business through research propositions that can be classified into two main domains: consumer–firm relationships and communicational implications.

Previous studies addressing luxury or specialized markets have not considered these terms to be sufficient to describe what we propose be labeled as a sophisticated market. This study addresses this gap in literature and proposes a streamline of research that pursues a deeper understanding of this phenomenon.

Este estudio aborda de forma conceptual dinámicas novedosas que se están presentando en el ámbito de ciertos segmentos de consumidores y de ciertos sectores empresariales. Estas nuevas dinámicas incluyen elementos como un mayor interés en la calidad y en el desarrollo de satisfactores encaminados al aseguramiento de ciertos estándares, así como un mayor nivel de involucramiento del consumidor con el producto. Estos segmentos son identificados y etiquetados aquí como mercados sofisticados.

A través de una revisión de la literatura, siguiendo una metodología de modelo conceptual, este estudio plantea ocho proposiciones científicas dirigidas a la búsqueda de una comprensión más profunda y completa de este tipo de mercados. Este artículo explora y discute algunas de las diferencias esenciales de los mercados sofisticados, con respecto a los mercados tradicionales, con un doble propósito: (1) reconocer la existencia de los mercados sofisticados como una categoría distinta de negocio y (2) sugerir elementos y relaciones que pueden constituir trabajos interesantes de investigación a futuro.

Este proceso de sofisticación puede ocurrir en diferentes industrias. A través de estas proposiciones de investigación, este trabajo plantea elementos que pueden ayudar a incrementar el entendimiento que tenemos de este tipo de consumidores y empresas en dos grandes vertientes: la relación consumidor-empresa, y las implicaciones de la comunicación hacia estos segmentos sofisticados.

Estudios previos enfocados en bienes de lujo o mercados especializados no logran explicar lo que proponemos aquí como el fenómeno de mercados sofisticados. Este estudio busca cubrir este vacío en la literatura proponiendo líneas de investigación encaminadas a profundizar en el entendimiento de este fenómeno.

Este estudo aborda de forma conceitual dinâmicas inovadoras que estão surgindo no âmbito de certos segmentos de consumidores e setores empresariais. Essas novas dinâmicas incluem elementos como maior interesse na qualidade e no desenvolvimento de satisfatores voltados para garantir determinados padrões, bem como maior envolvimento do consumidor com o produto. Esses segmentos são identificados e rotulados aqui como mercados sofisticados.

Através de uma revisão da literatura, seguindo uma metodologia de modelo conceitual, este estudo apresenta oito proposições científicas voltadas para a busca de uma compreensão mais profunda e completa desse tipo de mercados. Este artigo explora e discute algumas das diferenças essenciais dos mercados sofisticados em relação aos mercados tradicionais, com um duplo propósito: (1) reconhecer a existência dos mercados sofisticados como uma categoria distinta de negócios e (2) sugerir elementos e relações que podem constituir trabalhos interessantes de pesquisa no futuro.

Este processo de sofisticação pode ocorrer em diferentes indústrias. Através dessas proposições de pesquisa, este trabalho apresenta elementos que podem ajudar a aumentar a compreensão que temos desse tipo de consumidores e empresas em duas grandes vertentes: a relação consumidor-empresa e as implicações da comunicação para esses segmentos sofisticados.

Estudos prévios focados em bens de luxo ou mercados especializados não conseguem explicar o que propomos aqui como o fenômeno de mercados sofisticados. Este estudo busca preencher essa lacuna na literatura propondo linhas de pesquisa com o objetivo de aprofundar a compreensão desse fenômeno.

Recently, the role of consumers in firms' innovation processes has increased. Prior literature asserts that qualitative aspects of consumers serve as crucial factors shaping the even competitiveness of a specific industry. This study focuses on measuring home demand conditions that enhance local firms' innovation.

The present study describes the development of a 12-item measure to assess consumer sophistication in the food industry. The items assess the general knowledge, experience, skills and abilities needed to purchase a specific food category. A second-order construct with three distinct first-order constructs emerged, which were termed opinion formulation, sensitivity and exposure with variety. The reliability and validity of the scale were assessed with pilot survey data using exploratory and confirmatory factor analyses. The developed measure was tested to investigate its effect on individuals' grocery buying behaviors using grocery receipt panel data from 723 consumers.

The results indicate that consumer sophistication has a positive effect on new and the variety of grocery purchases. The more sophisticated a consumer is, the more they buy new and a variety of products. The newly developed consumer sophistication measure has a variety of potential applications to predict consumers' variety-seeking and new product purchase behavior.

This study is the first to develop a measure for assessing demand quality, namely, consumer sophistication of a specific food product. This approach may offer insights to practitioners regarding the relevant consumer sophistication levels to target when launching a new product or service in the food industry.

We propose a simple model consisting of two separated markets: the market for good y and the market for good x. Purchasing information about consumer behavior in the former market helps the monopolist firm, in the latter market, to price-discriminate. Consumers differ in their income and in their level of myopia. Personal data market regulation could both increase consumers' awareness about the treatment of their data and allow them to have their data erased from the data holder. We find that the former aspect of the policy reduces the number of transactions, and hence tends to reduce total surplus, while the second typically boosts willingness to pay of consumers and has positive effects on surplus, provided that the share of high-income consumers is not too high. The overall effect of regulation on total welfare depends on the share of high-income and myopic consumers.

The purpose of this paper is to address the following questions: are sophisticated consumers more likely to be satisfied with their purchases? Are consumers who are more knowledgeable more apt to feel in control of their purchase decisions? Are they more likely to believe the transaction was fair? Are they less likely to have cognitive dissonance post‐purchase?

An empirical study examining the role of consumer sophistication on consumers' purchase satisfaction was conducted with a national sample of approximately 700 home purchasers.

The results revealed that shopping sophistication is a key determinant of whether consumers are satisfied with their purchase experience. Sophistication not only seems to affect satisfaction but also customer perceptions of control, fairness and dissonance.

Implications for marketing strategy and suggestions for future research are discussed.

This paper suggests that perception of sophistication plays a much more important role in affecting consumer purchase satisfaction than previously understood. Consequently, businesses need to be much more active in educating consumers so that they are better able to make more informed purchase decisions. Ultimately, by helping to facilitate this information flow, consumers will be more satisfied with the products and services they purchase, develop a greater loyalty to the company providing the data and be more likely to purchase similar products and services in the future.

The purpose of this paper is to examine how developing country brand name and brand origin affect the customer’s evaluation of the brand in radically new high-tech products. Using processing fluency as a theoretical underpinning, this study can answer the following questions: first, does foreign brand name (developed vs developing Asian brand name) affect the customer’s attitude toward the brand? Second, does the brand origin (developed vs developing country) moderate the effect of foreign brand name on attitude toward the brand? Third, does the individual difference (knowledge and technological sophistication) matter in determining the brand origin and fit effect on willingness to buy?

A 2×2 between subject experiment was conducted in which two factors were manipulated: foreign brand name (developed: Japan vs developing: China) and brand origin (developed: Japan vs developing: China).

The fit between brand origin and brand name leads to better evaluation of the brand than no fit. On the other hand, for developing country brand origin (e.g. China), the brand naming effect is mitigated by enhanced processing fluency caused by fit, which leads to better evaluation of developing country brand. Fit effect is more pronounced for more knowledgeable consumers. Technologically more sophisticated consumers are more willing to buy the developing country brand origin than technologically less sophisticated consumers due to the processing fluency effect.

This paper introduces the two dimensions of foreign brand name (developed vs developing) and examines the interaction with the brand origin. This research fills the gap of under-researched area in brand naming literature, which is the effect of developing country brand naming on attitude toward the brand of radically new high-tech products. This research extends the previous literature by applying linguistic mechanism, processing fluency to examine the Asian brand naming including emerging market. This research makes an important theoretical contribution by identifying an underlying individual-level construct, “knowledge” and “technological sophistication,” which explains and influences the effects of brand name and brand origin on willingness to buy the brand.

Marketing ethics and social responsibility are inherently controversial, and years of research continue to present conflicts and challenges for marketers on the value of a socially responsible approach to marketing activities. This article examines whether or not consumers care about ethical behaviour, and investigates the effect of good and bad ethical conduct on consumer purchase behaviour. Through focus group discussions it becomes clear that although we are more sophisticated as consumers today, this does not necessarily translate into behaviour which favours ethical companies and punishes unethical firms. The article concludes by some thoughts on how marketers might encourage consumers to engage in positive purchase behaviour in favour of ethical marketing.

The purpose of this study is to examine the branding strategies of SMEs from NIEs, juxtaposing the different strategies used to specifically target developed and developing countries with regard to brand-building approach, type and number of brands and degree of standardization.

A case-study approach is used. In-depth interviews are conducted with 10 Korean consumer-goods SMEs exporting their own in-house brands.

Clear differences emerge between the strategies of SMEs entering developed countries and those entering developing countries, particularly regarding brand identity development, use of foreign sales subsidiaries and number and types of brands used. The authors find an interaction effect between product characteristics and host market levels of economic development, both of which influenced the degree of product standardization.

This study is the first attempt to uncover the branding strategies of NIE consumer-goods SMEs. The findings contribute to the field by extending our understanding of branding strategies used by consumer-goods SMEs from NIEs, thereby providing useful insight for other NIE enterprises when establishing branding strategies aimed at foreign markets.

The purpose of this paper is to investigate a possible business model for telecom operators for entering the IPTV (digital television) market.

The approach takes the form of a case study, literature search and interviews.

The IPTV business model always has to adjust to the change of external factors and uncertainties in the exploration and the exploitation phase. The four scenarios presented in this paper explicitly address the demand, regulatory and competition‐related uncertainties. The scenarios represent the different future possibilities in terms of regulatory environment, industry structure and consumer attitudes towards (IP)TV service. By choosing the right business model, telecom operators can sustain the market competition and deliver customer value and economic benefits. In the light of limited resources, when balancing the requirement of IPTV business model design, telecom operators have to focus on the critical design issues in each of the scenarios.

This is a one‐case study, so no cross‐analysis with other cases was possible.

The research does not stop when the critical design issues have been analysed, but takes them a step further to shed light on the viability of the business model in an exploration phase. This is done by integrating the business model framework analysis with scenario analysis. Scenario analysis indicates various future possibilities and provides a platform for analyzing the decisions regarding critical design issues that have to be made in an uncertain future environment. The competing views on future developments are helpful in reducing the future uncertainties with regard to viability and feasibility of business models for IPTV.

This is one of the first studies that looks into the relationships between business models and scenarios. Also, the application on IPTV is quite novel.

The purpose of this paper is to model the role that stakeholders, and especially social responsible consumers play in the process of finding a win–win solution to control production related negative externalities. In this regard, when information asymmetries are present and consumers become knowledgeable about them, consumers with d-preferences for corporate social responsibility (CSR) type of products becomes the driver of the firm strategy.

To accomplish the goals of this paper, the authors proceed to develop a series of theoretical models wherein the social gains and costs of alternative modes of intervention are illustrated. The authors begin with a standard Pigouvian tax model and construct a stakeholder equivalent tax model and finalize the analysis with consumers acting in a shared social responsible behavior with firms as the optimal solution model.

The authors show that proactive disclosure of information asymmetries regarding negative externalities develops a shared social responsibility between consumers and firms. Market-based solutions to the externality problem are achieved under this setting. This solution is preferred to a Pigouvian tax and to a stakeholder equivalent tax. It is concluded that shared social responsibility is the result of the interaction of consumers with d-preferences and the reaction of a socially responsible “firm” willing, and the authors are able to incorporate these preferences as drivers for its strategy.

The main limitation of this paper is in its theoretical nature and specific applications to one case, that of negative externalities in production processes. The implication of this is that the model herein developed needs to be put to the empirical test.

The overall social implications indicate that active reduction of information asymmetries is welfare improving and preferred to government intervention.

This paper is original as it makes use of economic principles to develop a parsimonious model to demonstrate that proactive actions of a firm in response to consumers and stakeholders demands leads to an overall social welfare improvement when negative externalities deriving from production are incorporated into the decision making process of both consumers and firms. These decisions prove superior to government regulations.

This paper seeks to propose Albert Hirschman's theory of “exit, voice and loyalty” as a complementary conceptual framework to Hofstede's cultural dimensions and use them in conjunction to compare consumer satisfaction with services across cultures.

A model of satisfaction with complex services (higher education) is developed and then tested in two different cultures, Colombia and Spain, with a sample of 879 students. Structural equation modeling based on the partial least squares algorithm is used to test the proposed model.

Colombian students are more satisfied with the educational system than Spanish ones. This is explained by cultural and contextual differences that pose greater restrictions on accessibility to higher education, provide fewer choice alternatives and present more switching costs for the Colombian student.

This study applies the conditions of Hirschman's theory in an international setting, offering a rich basis for understanding differences in consumer satisfaction that accounts for intra‐national diversity.