Showing papers in "Journal of Business Economics and Management in 2017"

Fuzzy extension of the CODAS method for multi-criteria market segment evaluation

Abstract: One of the important activities of a company that can increase its competitiveness is market segment evaluation and selection (MSE/MSS). We can usually consider MSE/MSS as a multi-criteria decision-making (MCDM) problem, and so we need to use an MCDM method to handle it. Uncertainty is one of the important factors that can affect the process of decision-making. Fuzzy MCDM approached have been designed to deal with the uncertainty of decision-making problems. In this study, a fuzzy extension of the CODAS (COmbinative Distance-based ASsessment) method is proposed to solve multi-criteria group decision-making problems. We use linguistic variables and trapezoidal fuzzy numbers to extend the CODAS method. The proposed fuzzy CODAS method is applied to an example of market segment evaluation and selection problem under uncertainty. To validate the results, a comparison is performed between the fuzzy CODAS and two other MCDM methods (fuzzy EDAS and fuzzy TOPSIS). A sensitivity analysis is also carried out...

Influence of sensory stimuli on brand experience, brand equity and purchase intention

Abstract: Sensory stimulation is used by various brands to induce desired behaviours among their customers. Although its effectiveness is recognised in business contexts, little research has been conducted on sensory marketing. In order to contribute to filling this gap, this study sought to build a model that explains how sensory stimulation influences intentions to purchase a brand. Brand experience and brand equity were expected to mediate this relationship. The empirical validation of the model was conducted by carrying out an online survey with a convenience sample of 302 customers of a brand of the catering industry. The data collected were processed using PLS-SEM methodology. The results reveal that sensory stimulation positively influences brand experience and brand equity, which, in turn, have a positive impact on intentions to purchase the brand in question. The relevant contributions that emerged from this study include not only bridging the aforementioned gap in the literature but also offering ...

SMEs innovation capabilities and export performance: an entrepreneurial orientation view

Abstract: Although there are several studies analysing how innovation capabilities influence export performance, this study aims to present the impact of a set of internal innovation capabilities on export performance of small and medium-sized firms (smes), with the mediating role of entrepreneurial orientation contingent upon the proactive or reactive behaviour of the firms to external stimuli. The study involves the analysis of 147 questionnaire‐based survey of managers from plastic manufacturing smes operating in Portugal that were subjected to a Partial Least Squares-Structural Equation Modelling (PLS-SEM) technique. The results show that proactive firms to external stimuli are not only better at innovating but also their entrepreneurial orientation capabilities underpin a better performance in international markets when compared with firms that react to external stimuli. This study has implications for smes aiming at increasing their export performance and innovativeness. For practitioners the findings of this study should enable smes owner/managers to better understand the possible impacts of innovation capabilities and entrepreneurial orientation on export performance, and thus lead to more effective smes management.

Collateral requirements for SME loans: empirical evidence from the Visegrad countries

Abstract: The purpose of this paper is to examine the determinants of collateral for small and medium enterprises (SMEs) in the context of Visegrad countries: Czech Republic, Slovak Republic, Hungary and Poland. The data set for this paper was obtained from the Business Environment and Enterprise Performance Survey (BEEPS), which was conducted by the World Bank and the European Bank for Reconstruction and Development (EBRD) from 2012–2014. A binary logistic regression model with different specifications was employed to examine the effect of independent variables on the incidence of collateral. The results show that risky borrowers need to pledge collateral and the reduction of asymmetric information can lower the incidence of collateral for SMEs. Moreover, we find that female borrowers are more likely to pledge collateral than male borrowers are. The results also suggest that loans with a longer maturity are more likely to be collateralized than short-term loans. We find evidence that bank-borrower proximit...

Predictive potential and risks of selected bankruptcy prediction models in the Slovak business environment

Abstract: In our study, we focused on the assessment of four bankruptcy prediction models, to figure out which model is most appropriate in the conditions of the Slovak business environment. Based on the previous research within the Slovak conditions, we set a portfolio of 4 models to be assessed: Altman model (1984), Ohlson model (1980), indexes IN01 and IN05 that were validated on the sample of 700 Slovak companies. Based on previous studies we expected that IN indexes are superior to Ohlson and Altman model. The excellency of our research lies in validation and assessing the accuracy of bankruptcy prediction models at three levels: the overall accuracy, accuracy of the bankruptcy prediction, and the non-bankruptcy prediction accuracy. This analytical structure enables to look at the topic more complexly and to increase the objectification of accuracy of analysed models. Based on the results, we showed that Ohlson model is not applicable to predict bankruptcy in the Slovak conditions as reached the lowest bankruptcy prediction ability even if has high non bankruptcy prediction ability. On the other hand, we have confirmed our expectation about the bankruptcy prediction ability of index IN05, that is proven to be superior to Ohlson and Altman model and so is the most appropriate model for Slovak business environment.

Modified SERVQUAL model and effects of customer attitude and technology on customer satisfaction in banking industry: mediation, moderation and conditional process analysis

Abstract: Banks are very important financial services sector, and in banking sector there is an intense competition amongst the local and foreign banks throughout the world. The objective of this research is to analyse the effects of perceived value and customer trust, and role of technology in banking service qualities and customers’ satisfaction in Pakistani context. For this purpose we employed modified SERVQUAL model with four dimensions such as empathy, competence, reliability, and online service. An adapted questionnaire was used to carry out this survey research, and collected 830 responses from the customers of Pakistani banking industry. We used factor analysis, confirmatory factor analysis, and bootstrapping methods to carry out this research. The results of the study demonstrated that our four-dimensional model of modified SERVQUAL has a significant impact on overall customer satisfaction. It is further concluded from the bootstrapping method that modified SERVQUAL dimensions and customer satisfa...

Online grocery retailing in Germany: an explorative analysis

Abstract: The paper focuses on the German food retailing industry with its market characteristics and the status quo of online food retailing in Germany by analysing data from market research institutes and consumer direct questionnaire. The paper examines the consumers’ perceptions of online as well as offline grocery shopping. As a result, an online grocery model was created using PLS-SEM modelling. It illustrates all major success factors related to the consumer’s willingness to shop for groceries online in Germany. The main factors influencing the willingness to shop for groceries online are awareness of benefits, need for more convenience, and change of the lack of trust in the new distribution channel. We identified some consumer groups that are more open to online shopping as they benefit more from online grocery shopping. Especially working mothers and young professionals are the consumer groups with a high potential interest.

New group decision-making ARCAS approach based on the integration of the SWARA and the ARAS methods adapted for negotiations

Abstract: Groups are generally considered to be more effective as compared to single individuals. The practical implementation of Operation Research methods in group negotiations needs simple contexts and clear cause-and-effect relationships easily discernible by everyone. This paper proposes a multi-criteria group decision-making approach allowing decision makers/experts involved in a negotiation process to better express and defend their preferences in the selection of the best alternative. In the proposed approach, the most appropriate alternative is the alternative with the largest number of appearances in the first position or in ranking lists, or the one determined based on negotiations of decision makers/experts. The proposed ARCAS approach is based on the use of the ARAS method, a new normalization procedure, and the SWARA method. In the proposed approach, each decision maker/expert involved in evaluation has an opportunity to set the preferred level of rating for each criterion used in such evaluat...

Living positive experiences in store: how it influences shopping experience value and satisfaction?

Abstract: Retailers have tried to differentiate themselves from their competitors through shopping experience. This is the first study analysing relationships between experience dimensions, shopping experience value and satisfaction. In this article different shopping experience dimensions are identified: emotional, sensory, intellectual, social, and pragmatic. In-depth interviews were conducted with a panel of experts to adapt a set of experience dimensions identified from the literature to the offline environment. A survey was then designed to collect data from consumers who had bought in a retailer, where marketing strategies are linked with experience dimensions. Retailers may use this typology in order to re-design their marketing strategies. Retailers must invest in utilitarian attributes of product assortment offered to consumers, improving quality while maintaining prices and promotions. If a retailer can stimulate social shopping and consumer curiosity, such as imagination and creativity in the sto...

Energy consumption, economic growth and greenhouse gas emissions in the European Union countries

Abstract: This paper investigates the relationship between economic growth, greenhouse gas emissions and other factors based on the panel data of 22 countries of the EU in the period 1995–2014. The fixed effect panel model was used as a framework for the analysis. The novel contribution of this paper is that the factors of economic growth, energy consumption, energy taxes as well as R&D were tested in one expanded EKC model, including the data of three Baltic States. The regression coefficients referring to GDP, Energy consumption have a positive sign, while R&D and Energy taxes have a negative sign. The empirical analysis combines two steps of evaluation of panel models of different groups of countries. The results imply that the analysed factors (energy consumption, energy taxes as well as R&D) can be applied to adjust the EKC trend in the region and might be useful for the climate change policy adjustment.

Is profitability driven by working capital management? Evidence for high-growth firms from emerging Europe

Abstract: Despite the importance of high-growth firms (HGFs) for job creation, innovation, and economic development in transition economies, current knowledge on the role of financial decisions in explaining their profitability is limited. The aim of this paper is to examine the relationship between working capital management and firm profitability. Using a panel data set on HGFs from Central, Eastern, and South-Eastern Europe during the time span 2006–2015, we found an inverted U-shape relationship between working capital level and firm profitability. Our findings indicate that HGFs should find and maintain the optimal working capital level that maximizes their profitability. Our results proved to be robust when we employ different methodology (quantile regression), different sub-samples as well as alternative measures of profitability and working capital management. The study highlights the importance of short-term financial decisions in enhancing HGFs’ profitability, with significant implications for academics and practitioners. We contribute to the extant literature by providing empirical evidence on the existence a concave relationship between working capital level and firm profitability for a cross-country sample of firms.

Comparison of selected methods for performance evaluation of Czech and Slovak commercial banks

Abstract: The successful development of economy is based on the efficient and stable performance of commercial banks. A broad range of methods is used to evaluate them. Each method has its own specific features and logic, which results in the existence of discrepancies in the results of their evaluation. For this reason, as well as due to the elimination of model risk, numerous methods are recommended in practice to detect multidimensional disproportions in bank performance and to create a comparator base. This led to the realization of the research aimed at assessing the performance of selected Czech and Slovak banks by applying several methods and evaluating the process and outcome differences of these methods. The data were obtained from the non-consolidated financial statements published in the annual reports of the evaluated banks. The analysis showed that all methods have roughly the same results. Almost perfect correlation had been found not only among the methods of multi-criteria evaluation, but al...

Comparative analysis of the Eastern European countries as participants of the new silk road

Abstract: The chinese one belt one road (obor) initiative often referred to as the new silk road (nsr), seems to be the greatest endeavour of our times in terms of economy, politics and logistics. the study aimed to examine the potential of poland, belarus, lithuania, latvia, estonia and russia to participate in the nsr. the method applied was comparative analysis including both quantitative and qualitative studies. the juxtaposition of data from the intensity of global integration enabled assessment of the potential negative consequences of non-participation of the countries in the nsr. in turn, the analysis of specific indicators of trade integration, the intensity of global integration and the logistics performance of the researched part of europe has made it possible to answer the question about the most promising variants of the nsr.

Effect of export promotion programs on export performance: evidence from manufacturing SMEs

Abstract: The objective of this paper is to examine how a firm’s participation in government export promotion programs (EPPs) may lead to a better export performance. Based on dynamic capabilities perspective, a mediated moderation model of EPPs on export performance was proposed and tested in Chinese manufacturing SMEs. The results show marketing implementation capabilities mediate the effect of information-related programs on export performance, and the financial aid-related EPPs moderate the process. The results contribute to the studies relating EPPs and export performance, as the results confirm the instrumental role of EPPs in enhancing export performance and examine the interplay between different types of EPPs. This study provides a guideline for managers as to how they can benefit from government EPPs. The findings also imply that policy makers should develop EPPs with a specific emphasis rather than a general goal of export performance.This study develops new insights on how export ventures exploi...

Interactive digital media and impact of customer attitude and technology on brand awareness: evidence from the South Asian countries

Abstract: The purpose of this study is to investigate the role of interactive digital media channels such as social media, email marketing, and mobile marketing in creating the brand awareness. We have assimilated three behavioral factors including perceived value, trust, and word of mouth as mediating factors, and the Internet and smartphone as moderating variable. Total 2565 responses have been taken to investigate the role of digital media channels, and impact of mediating and moderating variables on the brand awareness. This research has used SEM-based multivariate approach including exploratory factor analysis, confirmatory factor analysis, and conditional process technique for examining the direct and indirect influence of variables. The results of the study exhibited that the interactive digital media channels have a positive and significant direct impact on brand awareness. Results further revealed that the perceived value, trust, and word of mouth as mediating factors, and the Internet and smartphone as moderating variables have a significant and influential impact in a relationship of interactive digital media tools and the brand awareness.

Multidimensional and comparative study on intellectual capital and organisational performance

Abstract: Intellectual capital (IC) as the knowledge-based equity of organizations is increasingly recognised as an important value contributor to performance. By building on previous research, the study examines the IC components of human capital, structural capital and relational capital as they relate to organisational performance. Following past international studies, a model is developed and statistically tested. A survey is administered to firms across several industries and data is analysed employing structural equation modelling. Recognising that replications and extensions of IC studies are vital to knowledge development, comparisons with international studies are made. The results provide support for the hypotheses where relationships between the IC components and performance are evident. These findings suggest that it is crucial for an organisation to optimise the utilisation of its human capital for the sake of optimising its structural capital, which leads to higher performance. By positioning ...

Algorithm for the assessment of heavyweight and oversize cargo transportation routes

Abstract: The improvement of transportation systems and technologic equipment leads to changing technical capabilities of this equipment. With the development of technologies, industrial development is also inevitable, resulting in correspondingly increasing need of transportation of HeavyWeight and OverSize (HW/OS) cargo. The application of a systematic approach in HW/OS cargo transportation processes allows reducing costs of delivery of such a cargo several times, which leads to a dramatic change of economic development and investment attraction conditions. Thus creating a system of criteria for the selection and assessment of HW/OS routes, which would allow selecting the most appropriate route of transportation in terms of cost and time, is expedient for this reason. The algorithm for the assessment of HW/OS cargo transportation routes will be drawn up in this article. This algorithm enables an objective evaluation of HW/OS transportation processes comparing different modes of transport, route segments, cargo transportation and cargo handling technology, and it can be practically applied to any territory.

Testing environmental Kuznets curve hypothesis: the role of enterprise’s sustainability and other factors on GHG in European countries

Abstract: The paper analyses the environmental Kuznets curve relationship between greenhouse gases and chosen indicators of economic development based on the panel data of 20 countries of the EU in the period 2006–2013. Besides the typical variables, such as the share of a particular polluting industry, environmental taxes, energy taxes, research and development, the dummy variable of the crises and enterprise’s sustainability score were also included in the model. The fixed effect panel model was used as a framework for the analysis. The original contribution of this paper is that the factor referring to the enterprises’ sustainability was empirically tested in the expanded model. Higher energy taxes, research and development and the number of sustainable enterprises decrease the level of greenhouse gases. The size of agriculture, production and construction has a positive sign, which means that a higher value of the indicator is associated with a higher level of greenhouse gases. This implies that the ana...

Comparative study on retail sales forecasting between single and combination methods

Abstract: In today's competitive global economy, businesses must adjust themselves constantly to ever-changing markets. Therefore, predicting future events in the market-place is crucial to the maintenance of successful business activities. In this study, sales forecasts for a global furniture retailer operating in Turkey were made using state space models, ARIMA and ARFIMA models, neural networks, and Adaptive Network-based Fuzzy Inference System (ANFIS). Also, the forecasting performances of some widely used combining methods were evaluated by comparison with the weekly sales data for ten products. According to the best of our knowledge, this study is the first time that the recently developed state space models, also called ETS (Error-Trend-Seasonal) models, and the ANFIS model have been tested within combining methods for forecasting retail sales. Analysis of the results of the single models in isolation indicated that none of them outperformed all the others across all the time series investigated. How...

Explicating the role of trust in knowledge sharing: a structural equation model test

Abstract: Although the large body of literature suggests that trust is a prerequisite for knowledge sharing, the understanding of mediational pathways remains limited The paper fills the gap by combining two separate streams in knowledge sharing, where the first reflects the paradigm of the organizational behaviour theory and highlights the impact of organizational culture and employees’ trust; where the second one discloses the impact of technology deployment in knowledge sharing Building on the premises that interdependence between variables that affect knowledge sharing raises form organizational culture of trust and available technologies, we examine the structural origins of knowledge sharing As a method structural equation modelling test was used to analyse the data Hypothesised five-factor model was tested through two stages using AMOS software The findings carry theoretical implications for the knowledge management body of knowledge since they extended the research on knowledge sharing by integ

Modeling credit approval data with neural networks: an experimental investigation and optimization*

Abstract: This study proposes an investigation and optimization of Multi-Layer Perceptron (MLP) based artificial neural networks (ANN) credit prediction model, combine with the effect of different ratios of training to testing instances over five real-world credit databases. As an outcome from the alteration procedure, three different types of hidden units [K = 9 (ANN–1), K = 10 (ANN–2), K = 23 (ANN–3)] are chosen through the pilot experiments and execute, therefore, 45 (5×3×3) unique neural models. Experimental results indicate that “the neural architecture with ten hidden units” is proposed as an optimal approach to classifying the credit information. With these contributions, therefore, we complement previous evidence and modernize the methods of credit prediction modeling. This study, however, has realistic implications for bank managers and other stakeholders to delineate the risk profile of the credit customers.

HFMADM method based on nondimensionalization and its application in the evaluation of inclusive growth

Abstract: Inclusive growth, which encompasses different aspects of life, is a growth pattern that allows all people to participate in and contribute to growth process. In this paper, a novel hesitant fuzzy multiple attribute decision making (HFMADM) approach based on the nondimensionalization of decision making attributes is presented and then applied to the evaluation of inclusive growth in China. Firstly, a novel generalized hesitant fuzzy distance measure is proposed to calculate the difference and deviation between two hesitant fuzzy elements (HFEs) without adding any values into the shorter hesitant fuzzy element. Secondly, the coefficient of variation and efficacy coefficient method are extended to accommodate hesitant fuzzy environment and then used to cope with HFMADM. In the analysis process, non-dimensional treatment for hesitant fuzzy decision data is produced. Lastly, the method proposed in this paper is applied to an example of inclusive growth evaluation problem under hesitant fuzzy environmen...

Trend analysis of global stock market linkage based on a dynamic conditional correlation network

Abstract: The paper analyses the trend of global stock market linkages via daily data of 51 stock indices spanning the period 22 July 2005 to 30 June 2016 which covers four regions: America, Europe, Asia Pacific and Africa. A dynamic conditional multivariate generalized autoregressive conditional heteroskedasticity (DCC-MVGARCH) approach was used to calculate dynamic correlation coefficient in order to construct the volatility networks. The methods of minimum spanning tree (MST) and low pass filter were for the first time applied to analyze the variable periodicity of the comovement. The original contribution of this paper is that contrary to previous works, financial events such as Quantitative Easing (QE) and Bailouts are accounted for rather than only crisis factors such as the 2008 financial crisis and the European Debt crisis. The main findings of the paper are as follows: (1) Financial crisis promotes and strengthens global stock markets linkage in the short run; (2) Linkage cycles post crisis are significantly short, due to the effect of monetary policy spillover effects caused by QE from developed to developing countries; and (3) European stock markets are the information transmission hub for global stock market. The research conclusions would be significant for both government to regulate markets as well as for investors to diversify risks.

Fiscal decentralization and economic growth in selected European countries

Abstract: The paper analyses the fiscal decentralization effects on economic growth in unitary countries of European Union for the period 2005–2014. The empirical analysis was based on the multiple regression method. The fixed effect panel model was used as framework for the analysis. In order to examine the different impact of fiscal decentralization, the same analysis was applied to subsets of countries categorized into two groups according to countries’ level of economic development. This further analysis found that there is positive relationship between fiscal decentralization and economic growth in low level of economically developing countries and no relationship in high level of economically developed countries. These results suggested that fiscal decentralization is not always instrument for promotion of economic growth, which means that country’s economic development level is an important factor when introducing reform of fiscal decentralization. The originality of this article – new fiscal decentr...

Reduction of non-performing loans in the banking industry: an application of data envelopment analysis

Abstract: The increase in non-performing loans around the world has had quite a negative impact on many nations’ banking systems. To address these problems, many creative regulatory solutions and well-designed risk techniques have been utilized in the hope of reducing non-performing loans to an acceptable level. The purpose of this study is to apply a newly developed data envelopment analysis model to suggest the most efficient plan (called Plan 4) to reduce non-performing loans that can maximize the efficiency of the entire banking industry’s control over the bad debts. For comparison purpose, three other reduction plans are also represented. The four plans are presented using data from Taiwan’s banking industry. The empirical results show that among the plans presented, Plan 4 shows the most effective allocation of the industry-wide reduction target. The plan focuses on a finite number of banks, helping identify the key units to improve industry-wide efficiency. The findings implicitly suggest that the regulator should devise more incentive measures to encourage target banks to perform the non-performing loan reduction task. Our results also suggest that for the regulator, forcing banks to cut their non-performing loans by the same ratio will not help improve the relative efficiency of the industry.

Cultural antecedents to the normative, affective, and cognitive effects of domestic versus foreign purchase behavior

Abstract: The paper aims to investigate simultaneous and independent effects of cognitive, affective, and normative (CAN) decision mechanisms and cultural elements on consumer purchase behavior of foreign and domestic products. The study uses a survey to collect data from 5 086 respondents across 19 nations. The findings suggest that CAN factors independently affect purchase decisions for domestic, but not always foreign goods. Collectivism and uncertainty avoidance directly and differentially affect the CAN mechanisms. By explaining the effects of CAN and cultural elements on foreign and domestic purchase behaviour and offering product positioning strategies to internationally operating business managers the study provides important research and practical implications. The originality and value of this research lies in the theoretically proposed and empirically tested model, which incorporates consumer ethnocentrism, quality importance, national identification, cultural antecedents (collectivism and uncertainty avoidance) and domestic/ foreign product purchase behaviour.

Concept, motives and channels of digital shadow economy: consumers’ attitude

Abstract: The purpose of this article is to define the concept of digital shadow economy and identify its determinants and channels from consumers’ position. In order to fulfil the defined purpose, the method of snowball sampling was employed. The results of the research revealed that consumers interpret digital shadow economy as an illegal operation in the Internet space, which generates illegal money flows for commodity/service providers or purchasers, and deprives legal traders/service providers from the revenue that could be officially accounted, calculated and declared. E-shops, social networks and websites are the channels, most commonly engaged for acquisition of goods/services in digital space; the categories of goods/services acquired by these channels include clothing and footwear, trips and entertainment, cosmetics and perfume. Purification of the concept of digital shadow economy from consumers’ position allowed to define the concept of digital shadow economy, which is a significant contribution...

Operational shipping intelligence through distributed cloud computing

Abstract: This paper provides a conceptual architecture for a cloud based platform design, that implements continuously data storage and analysis services for large maritime ships, with the purpose to provide valuable insights for maritime transportation business. We do this by first identifying the need on the shipping market for such kind of systems and also the significance and impact of different factors related to shipping business processes. The architecture presented throughout this paper will be defined around some of the most currently used ICT technologies, like Amazon Cloud Services, Sql Server Databases, .NET Platform, Matlab 2016 or JavaScript visualization libraries. The proposed system makes possible for a maritime company to gain more knowledge for optimizing the efficiency of its operations, to increase its financial benefits and its competitive advantage. The platform architecture was designed to make possible the storage and manipulation of very large datasets, also allowing the possibili...

Assessment of technology transfer office performance for value creation in higher education institutions

Abstract: Innovative activities, knowledge exchange, patenting and commercialization of know-how are crucial to the value creation process in higher education institutions and other research organizations. The article analyses the technology transfer performance indicators of value creation. The methodology to identify and assess the technology transfer activities with the highest impact on created value are proposed in the paper. The following research methods were invoked: FARE method, allowed to calculate weights of each technology transfer performance indicator, when TOPSIS method redress all different indicators’ results and rank universities. The application of the proposed methodology was based on empirical data collected from Lithuanian universities. The results of the study reveal the importance of science business partnerships, TTO competence and scientists’ trust of TTO, applying particular technology transfer policy. The obtained results would be beneficial for universities technology transfer policy formation to maximize universities created value.

Brand Identity Management and Corporate Social Responsibility: an analysis from employees’ perspective in the banking sector

Abstract: Brand identity management and corporate social responsibility have increased importance in both managerial practice and academic research. However, only a small number of studies have examined how these strategic tools influence employees’ attitudes and behaviours. The aim of this paper is, therefore, to analyse how employees’ perceptions of brand identity management and corporate social responsibility affect their attitudes and behaviours. An empirical study was undertaken among a sample of 297 front line employees working in the UK banking sector. Hypotheses were tested using partial least square regression. The results show that employees’ perceptions of brand identity management and corporate social responsibility determine their commitment towards their organisations, both directly and indirectly through perceived external prestige. Organisational commitment explains employees’ brand performance and brand citizenship behaviour. Age differences indicate higher impact of brand identity management on older employees, and higher effects of perceived corporate social responsibility in younger employees. The results extend existing knowledge and are informative for bank managers.