Showing papers in "European Journal of Marketing in 1998"

On the relationship between store image, store satisfaction and store loyalty

Abstract: In this article the relationship between store image, store satisfaction and store loyalty is examined. A distinction is made between true store loyalty and spurious store loyalty and manifest and latent satisfaction with the store. We hypothesise that the positive relationship between manifest store satisfaction and store loyalty is stronger than the positive relationship between latent store satisfaction and store loyalty. Furthermore, we hypothesise a direct as well as an indirect effect through satisfaction of store image on store loyalty. Second, the relationship between store image and store loyalty is mediated by store satisfaction. We do not find evidence for a direct effect of store image on store loyalty.

Processes of a case study methodology for postgraduate research in marketing

Abstract: Qualitative research has not been viewed as a rigorous alternative to established quantitative methods in postgraduate marketing research. However, this paper reports on the Australian development of a successful, structured approach to using the case study methodology in postgraduate research. Its aim is to present and justify guidelines for using the case study research methodology in honours, masters and PhD research theses, and so it should interest candidates and their supervisors. First, appropriate positions on a range of scientific paradigms and core issues of induction and deduction are established. Then implementation of the case study methodology is examined, including the numbers of case studies and of interviews. Unusual but effective uses of theoretical replication to rigorously analyze case study data are illustrated from postgraduate theses. Finally, a framework is provided for constructing a thesis, emphasizing the key methodology chapter.

Antecedents and consequences of trust and satisfaction in buyer‐seller relationships

Abstract: The perspective of marketing has changed from regarding marketing as a series of independent transactions to a dynamic process of establishing, maintaining and enhancing relationships. In an emerging theory of relationship marketing, both trust and satisfaction are core concepts in understanding the dynamics of how relationships evolve. Although the literature has thoroughly examined both trust and satisfaction, the interrelationship between them, including their consequences and antecedents, has not yet been addressed properly. We propose that the development of buyer‐seller relationships can be understood as a sequence of decisions buyers make regarding whether they should enter a relationship, continue a relationship, or enhance the scope of a relationship. These are different kinds of decisions where satisfaction and trust are likely to play different roles in risk reductions depending on the nature of the decision to be made. In a study of institutional buyers of a food producer we find that satisfaction and trust are complementary in the sense that trust is a key variable when decisions are related to enhancement in scope of the relationship, whereas satisfaction is a key variable when the issue is relationship continuity.

New service development: a review of the literature and annotated bibliography

Abstract: Provides a review and ready reference to recent writings on new service development (NSD), especially for the financial services sector. Discusses the types of new service development, the purposes served by them and the processes. Refers to the key activities of NSD and measures its success. An annotated bibliography supplies a very useful guide to the new service development literature.

Developing a better measure of market orientation

Abstract: While academics have been attempting to establish empirical support for the marketing concept, managers have been facing a complementary challenge to implement this cornerstone of marketing theory. Both groups appear to have had limited success. Part of the problem may lie in a failure to establish a generalisable model of market orientation. There is also a lack of a parsimonious measure which managers can use to pinpoint organisational short‐comings. This study addresses both those problems by replicating and extending the market orientation research of both Jaworski and Kohli and Narver and Slater using a large multi‐industry sample of New Zealand companies. The result is a parsimonious and managerially useful 20‐item scale for measuring the market orientation of New Zealand companies. It is likely this scale could be generalisable to other country‐market contexts. The findings also indicate that the successful implementation of the marketing concept should produce improved customer and organisational benefits, particularly if performance is measured in terms of improved profitability, brand awareness, customer satisfaction and customer loyalty.

Market orientation and dimensions of strategic orientation

Abstract: The specific domain of market orientation has been the subject of much scrutiny this decade. Both conceptual and empirical advances have been made to establish the marketing orientation construct as central to marketing decisions, business activities and organizational culture. However, a lacuna remains in understanding how market orientation may be related to competitive strategy. It is argued that market oriented activities and behaviours are articulated through strategic means which guides the firm in its product‐market. Conceptualized as “strategic orientation of the business enterprise”, competitive strategy is discussed as an important vehicle through which market orientation may be manifest. Six dimensions of strategic orientation are presented and statistical analyses, of data generated from a survey of medium and large industrial manufacturing businesses, specified “proactiveness”, “analysis” and “futurity” as positive and significant in their association with firms’ levels of market orientation. Discussion of these findings is made, along with various conclusions and implications of the study for executive and academic audiences.

Modelling the components of the brand

Abstract: Models of the components of brands are gaining more attention among practitioners and academics We review why managers have a tendency to develop mental models and overview the key published models of the components of brands Among 20 leading edge brand practitioners we found evidence of their using their own mental models to make sense of brand complexity There were similarities between elements of their models and those of the “atomic brand model” This particular model was favourably received by experts and from their evaluations we propose the more comprehensive “double vortex model” of the brand

An empirical examination of the role of “closeness” in industrial buyer‐seller relationships

Abstract: Managers of marketing relationships are advised to get “close” to the customer. Some theoretical models of industrial buyer‐seller relationships incorporate notions such as “closeness” and “intimacy”. What does it mean to have a close relationship? Is closeness essential to success in partnering? What is the payoff? This study attempts to address these questions. A concept of “closeness” is defined and tested empirically. A closeness construct is developed and tested for discriminant and convergent validity. The construct is then incorporated into a structural model of successful industrial buyer‐seller relationships and tested for pragmatic validity. The overall model and hypotheses are tested for statistical significance using LISREL VII. The results of the study indicate that the concept of closeness is indeed an important element in the partnering process. The managerial and research implications of these findings are discussed.

Conceptualizing consumer experiences in cyberspace

Abstract: The purpose of this paper is to address consumer experiences in cyberspace and which aspects of technology brought about these experiences. This paper proposes a conceptual model of technology and consumer experiences within virtual space by drawing from various literatures outside of marketing that have extensively studied the Internet phenomenon. Building from research in these diverse areas, two constructs are proposed that help describe consumer experiences in virtual space: telepresence and bricolage. Also examines aspects of cyber technology that give rise to these consumer experiences and projects what the consequences of these experiences may be as they apply to marketing.

What makes commercial Web pages popular

Abstract: There are two main objectives of the paper. First, in a systematic and statistically rigorous manner, we attempt to descriptively document the types and nature of marketing information on commercial home‐pages, with a view to identifying the major objectives of contemporary commercial Web sites that pre‐dominate the Web. Using Resnik and Stern’s “information content” paradigm, we evaluate the informativeness of commercial home pages. Second, we attempt to empirically examine various important factors of commercial home‐pages that lead to increased visits, or hit‐rates. The identification of hit‐rate determinants is likely to be of great value, both to Web page designers and to the many small and large firms seeking to establish their presence on the Web.

A relationship marketing approach to guanxi

Abstract: In recent years there has been a growing interest in Asian business practices, in particular the use of social networks in China for business purposes. Because of its relational nature, some have identified guanxi with a traditional form of relationship marketing. We use the recent developments in relationship marketing theory to analyse guanxi. We find that understanding and managing guanxi is useful in the development of partnerships under the current economic situation in China, but does not support the other two basic strategic essentials of relationship marketing: service and process management. Additionally, we detect relevant changes in the structural conditions of China that make guanxi necessary in the access to the Chinese market.

Marketing and competitive performance: an empirical study

Abstract: Hypothesises that high performance companies have a defined mission which includes specification of their target markets and broad goals. Competitive advantage is founded on customer satisfaction, which in turn is built on a market‐led strategy, effective systems and committed and empowered staff. All these building blocks are influenced by a changing and increasingly competitive international environment. Influential government reports on industrial competitiveness have ignored the contribution of marketing. This is partly because academics themselves have not shown the link between marketing effectiveness and business performance. Explores the contribution of marketing within a broader model of the determinants of competitiveness using an empirical study.

Theory and measurement of consumer innovativeness: A transnational evaluation

Abstract: Presents findings validating French and German versions of the domain specific innovativeness scale or DSI, which was designed to measure consumer innovativeness for a specific product category. The data came from self‐administered surveys of 409 consumers in three countries: the USA (n = 121), Germany (n = 113), and France (n = 175). The study participants completed a questionnaire asking them to describe their wine‐related attitudes and behaviours. Data analysis showed that the DSI was unidimensional, high in internal consistency, positively correlated as hypothesised with wine usage (criterion validity), positively correlated as hypothesised with knowledge of and involvement with wine and uncorrelated with opinion seeking for wine (nomological validity), and unaffected by social desirability and acquiescence response styles.

The difference between Chinese and Western negotiations

Abstract: Guanxi is the foundation of Chinese business negotiations. The paper explains the meaning of Guanxi and uses it to differentiate between the characteristics of Chinese and Western negotiations in the marketing context. Guanxi is a characteristic of Chinese culture and provides a starting point for understanding the Chinese negotiating style. Western cultures have inherently different characteristics. As culture is so important in the negotiation process, the paper also reviews the five dimensions of culture as outlined by Hofstede (1991) and places these in the Chinese context.

Competitive advantages in virtual markets ‐ perspectives of “information‐based marketing” in cyberspace

Abstract: The aim of the following discussion is to present the division of markets into marketplace and marketspace and evaluate the significance of virtual value chains in opening up further possibilities in the marketplace and marketspace. Against this background, it will, second, be argued that information becomes a factor of success in its own right in competition in future markets. However, in order to activate information, marketing is forced to adapt to the conditions of information networks in the virtual marketplace (marketspace). Third, it will be discussed that marketing must develop into information‐based marketing. It will particularly be considered what demands are put on the information‐based market in order to achieve real competitive advantages in marketspace from the factor of production information.

Differences in “cultural values” and theireffects on responses to marketing stimuli: A cross‐cultural study between Australians and Chinese from the People’s Republic of China

Abstract: This is an exploratory cross‐cultural study. It attempts to measure the differences in cultural values between Australians and Chinese from the People’s Republic of China. This study also seeks to show how the differences in responses by these two groups of people to some marketing stimuli are likely to be associated with the differences in cultural values. This study indicates that there are differences in cultural values and attitudes/ perceptions towards various marketing stimuli between Australians and the Chinese from PRC. Furthermore, the results indicate that the cultural values which influence attitudes and perceptions towards the marketing stimuli are more complex than just the differences in cultural values. One cannot assume that the same set of values will influence two different groups of consumers’ responses for the same marketing stimuli.

The self‐concept and image congruence hypothesis

Abstract: Evaluates the applicability of self‐concept and product image congruity theory within the new motor vehicle market. By utilising competitive product offerings, and by employing the perceptions of actual owners, the paper provides a true market assessment of the applicability of the theory. Respondents were examined using self‐concept and product value constructs and their responses were used to test a number of hypotheses. Among others, the results of analysis of variance indicated that when different brands of motor vehicles were physically similar, owners perceived no difference between their own self‐concepts and the self‐concepts they attributed to owners of competing product brands. This finding differs from previous research conducted on other products and suggests a different orientation by owners of similar motor vehicles to that suggested by self‐concept theory.

A dynamic approach to country‐of‐origin effect

Abstract: Most studies of the effect of country‐of‐origin on consumer evaluation of products are based on static models, even though it is recognized that country image changes over time. The purpose of this paper is to suggest a normative model of country‐of‐origin as a dynamic process.

Early adopters of the Web as a retail medium: small company winners and losers

Abstract: From July 1995 until July 1996 we followed a group of small companies that were retailing on the Web. We surveyed our sample three times over this period, collecting both quantitative and qualitative data and visible data from their Web sites. Our intention was to initiate research into successful Web‐based retail ‐ put simply, what makes a small company successful on the Web? Using ideas from grounded theory and our findings, we suggest important factors and constructs that can be used for further work in this area.

Export performance: success determinants for New Zealand manufacturing exporters

Abstract: A large and representative sample of New Zealand manufacturing exporters is used to empirically test and validate the model of export performance proposed by Aaby and Slater. A 20‐item additive export performance scale, based on both objective and subjective measures, is formulated and found to be reliable and normally distributed. A set of independent variables proposed by Aaby and Slater is operationalised, along with an additional marketing orientation construct based on a ten item scale. A firm size control measure is also utilised. A factor analysis of the independent variable set identifies an interpretable sub‐set of independent measures. Using a multiple regression model, six of seven independent variables are found to have a significant effect on export performance as the dependent variable, and in the hypothesised direction. Implications of the findings for exporters are discussed.

Measuring market orientation in several populations: A structural equations model

Abstract: Most researchers have studied economic performance linked to market orientation, while a lesser interest has been shown in validating this construct’s measure. We present a study of market orientation designed to obtain a valid measure of the market orientation construct. After presenting a theoretical model of market orientation, it is applied to investigate the usefulness of this construct in insurance companies of two European countries. Key features of the research methodology include several rounds of pretesting, multiple informant assessment, and a covariance structure procedure to show the structural validity of a measure of market orientation. The results show that the measure proposed is represented by a factorial structure that can be interpreted as an overall market orientation factor in both populations and a country‐specific additional factor.

Towards an ecological collaborative relationship management A “co‐opetive” perspective

Abstract: Attempts to address how organizations are responding to the growing complexities of global business, technology, and virtual organizations. Argues that organizations can co‐operate and compete at the same time in order to be more effective in the marketplace utilizing a relationship perspective. This is why we have integrated the concepts cooperation and effectiveness, to create the new “co‐opetive” terminology. An ecological collaborative value system (CVS) has been developed. The behaviour of the system is affected by the condition of its components, and the system components are affected by environmental conditions. CVS suggests that customers, suppliers, distributors, competitors, and other organizations are equal partners in the system. Argues that it is imperative for a successful alliance and relationship between the collaborators to communicate and cooperate in an atmosphere of frank debate, trust, interdependence, and mutual positive expectation so that the mutual benefits and interests may be achieved. This mechanism may enable each component of the system to monitor its performance and to adjust its operation to ensure uniform quality of its input‐output. In short, it may allow the system to learn, adapt and evolve.

Approaches to small firm marketing

Abstract: Though academic research into the marketing/ entrepreneurship interface is of only relatively recent origin, it would seem that the basic principles of marketing appear to be equally valuable to both large and small firms. This article provides a critical review of the research into the role and process of marketing in small firms and attempts to classify the existing studies. In so doing, it identifies four approaches, namely the stages/growth model; the management styles model; the marketing as a management function model and the contingency model. From this, it concludes that in order to advance the theory of small business marketing a theoretical framework integrating the contingency approach and the process model appears to hold the greatest potential.

Cultural domination: the key to market‐oriented culture?

Abstract: The past decade has seen a flurry of academic and practitioner interest in organizational culture. This has coincided with an increase of theoretical interest in organizational marketing. However, despite some obvious linkages, there have been few studies examining the links between the two. This paper synthesises existing marketing and culture theory into conceptualisations of organizational and market‐oriented cultures. Specifically, such cultures are presented as stratified, processual and subcultural. Thereafter, the development of a market‐led culture is reviewed in terms of the ability of the subculture of marketing to dominate the wider organizational culture. A series of propositions is forwarded relating to factors which affect this interaction. Conclusions and implications for research are presented and discussed.

Consumer response to the preferred brand out‐of‐stock situation

Abstract: The goal of this study was to gauge brand loyalty. To do this, a brand loyalty acid test was used, which involved an out‐of‐stock (OOS) experiment where the complete product line of a brand was removed from several stores in order to estimate the OOS responses of consumers. Three types of OOS responses were identified: switching brands; switching stores to get one’s favorite brand; and postponing purchase of a specific brand. The present study revealed that the brand loyalty of the consumers participating in the OOS experiment was substantial, as a large percentage of them switched stores or postponed purchase. The study also showed that neither competitive conditions of the retailer nor assortment change had any effect on consumers’ OOS responses. The most potent variables that affected OOS responses were the way consumers organized their shopping trips: store loyals more than others switched stores by OOS; and consumers with a small purchase amount per shopping trip were less likely to switch stores and more likely to postpone purchase. There also was a slight tendency for the consumer to spend less in the store during the OOS period. This paper suggests the implications of these findings for retailers and manufacturers.

Salesforce performance and behaviour‐based management processes in business‐to‐business sales organizations

Abstract: Reports a study of sales management in UK companies, which explores the relationship between behaviour‐based control systems and outcome‐based control systems. Although conventional theory has suggested that behaviour performance and outcome performance result from different stimuli, we find that behaviour‐based control is positively associated with both behaviour performance and outcome performance. We find also that organizational commitment and sales territory design are significantly related to salesforce performance. This suggests a number of important avenues for improving salesforce performance. These findings and the growing emphasis on building long‐term, collaborative buyer‐seller relationships favour the use of behaviour‐based control systems in many sales management situations, and suggest a new agenda for management attention in improving salesforce effectiveness.

The effect of pretest method on error detection rates: Experimental evidence

Abstract: Although pretesting is an essential part of the questionnaire design process, the range of methodological work on pretesting issues is limited. The present paper concentrates on the effect of the pretest survey method on error detection by contrasting respondents who are interviewed personally with those who receive an impersonal survey method. The interaction between survey method and respondent knowledge of the questionnaire topic is also considered. The findings show that the pretest method does have an effect on the error detection rate of respondents; however, the hypothesised interaction between method and knowledge was not unequivocally supported. The detailed results illustrate which error types are affected by the method used during pretesting. Implications for future research are considered.

Factors affecting consumers’ “Webad” visits

Abstract: Attracting consumers to a marketer Web site is critical to the effectiveness of a Web presence, and longer visits are a possible measure of success of these Web sites. Since marketers are interested in consumers’ longer visits at their Web sites, it becomes important to examine the factors that influence visits. The present study uses an empirical approach to determine the factors that affect individual exposure to material at Web sites created with a commercial intent.

Mail survey response behavior: A conceptualization of motivating factors and an empirical study

Abstract: In addition to proposing an integrated conceptualization of mail survey response behavior, this article presents an empirical study which examines the potential of source and appeal variations on response rate, response speed, and response completeness. The findings of this empirical study are presented and compared to a similar study for the purpose of validating source and appeal effects on mail survey response and the conceptual framework. The results, not totally in agreement with earlier findings, generally lend support for the untapped potential of source and appeal in influencing mail survey response behavior. There is also statistical justification for two of the six motivators comprising the proposed conceptual framework.

Cybermarketscapes and consumer freedoms and identities

Abstract: When examining the issue of consumers in cyberspace, there appear to be two recurring narratives. One refers to the unidimensional perspective of marketing and how marketing tries to annex the cyberspace and regards the consumer as fair game in its profit‐seeking enterprise. The second narrative views consumers as trying to use cyberspace as a place to exercise their freedoms, establish their identities and use the cyberspace as a lifeworld in a Habermasian sense. This paper is an attempt to explicate this tension.