Effects of internal marketing on strategic orientations in the banking sector

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Aloisio Henrique Mazzarolo ◽  
Emerson Wagner Mainardes ◽  
Danilo Soares Montemor

PurposeThe purpose of this study was to assess whether internal marketing tends to influence the perception of bank employees regarding the strategic orientations of banks toward the market, brand and value. The authors also aimed to determine whether employees' organizational commitment mediates the relationship between internal marketing and the three strategic orientations and whether they influence bank employees' perception of obtaining a competitive advantage.Design/methodology/approachThe authors conducted a survey with 832 bank employees using an online questionnaire. The authors performed data analysis by modeling structural equations with data estimation using the PLS-SEM.FindingsThe results showed that internal marketing positively influences bank employees' perception of banks' strategic marketing orientations and through that their perception of a competitive advantage. The authors also note that organizational commitment can partially mediate the relationship between internal marketing and the strategic orientations tested in this study.Research limitations/implicationsThe findings indicate that banks' investment in employee valuation tends to generate positive results in relation to their adherence to marketing strategies, with the potential to result in a competitive advantage.Originality/valueThe results demonstrate the strength of internal marketing in the strategic orientations of banks, indicating that having employees who are committed to their bank contributes to the delivery of a high-quality service focused on the external customers, generating a competitive advantage.

2017 ◽  
Vol 9 (1) ◽  
pp. 20-40 ◽  
Author(s):  
Japneet Kaur

Purpose Indian banking sector is facing a number of challenges, and increasing number of corporate frauds and employee turnover are among the top list. Literature reveals that gaining insights about ethical climate may provide a possible solution and relief from the challenges being faced. This paper aims to contribute to the understanding of the prevalent various ethical climate types in the Indian banking industry. Furthermore, it presents interesting results by investigating the effect of five theorized ethical climate types on organizational commitment along with its three components in the banking sector. Design/methodology/approach This empirical research encompasses a descriptive research design. Sample uses 266 respondents from four prime banks of the Indian banking industry. Findings Statistical analyses unveiled that all five conceptualized ethical climate types are prevalent in the Indian banking industry. However, the perception of employees for caring climate was the highest among all others. In contrast to the results reported by Western studies, this research reveals a strong negative impact of instrumental climate on affective commitment. Furthermore, it has been seen that instrumental climate is a significant predictor for the three components of commitment (affective, continuance and normative). However, it fails to predict the overall organizational commitment construct. Likewise, opposed to findings of Western countries, law and code, rules and independent climate types have shown significant relationship and impact on organizational commitment for Indian banking sector employees. It has been found that different commitment components are predicted by a diverse mix of climate types in India. Practical implications Findings highlight varying strength of relationship and predictive ability of different ethical climate types with commitment. This helps in elucidating that managers and top executives should focus on building an ethical work environment to warrant high-level commitment among employees. Congruence between employee, manager and organizations’ perception of ethics is a pre-requisite for maintaining a long-term relationship among the parties. This study will enable understanding the role of ethical climate in reducing corporate frauds and employee turnover. Originality/value This research addresses a significant gap in literature by exploring the relationship between ethical climate and organizational commitment. The study uses data from the Indian banking industry which contributes to expanding knowledge of the relationship in the Indian context.


2016 ◽  
Vol 4 (2) ◽  
pp. 159-178
Author(s):  
Özlen Onurlu ◽  
Suna Karataş

In a highly competitive environment, the meeting of customer demands and expectations in an effective way is highly crucial for companies that want to have a competitive advantage and to keep on existing in the long run. The main objective of companies is making profit in a sustainable way and this is possible by assuring customer satisfaction. The quality of the services that companies offer their customers is closely related with the performance of the employees. This has made it necessary that marketing activities for employee satisfaction be developed prior to customer satisfaction. Feeling more motivated, workers start working more eagerly as a result of these marketing activities which are called internal marketing. So, companies make their profitability sustainable by means of keeping their customers satisfied and loyal. The aim of this paper is to investigate the relationship between internal marketing activities applied to employees and employee motivations.


2020 ◽  
Vol 38 (6) ◽  
pp. 1237-1258
Author(s):  
Caroline Lacroix ◽  
Lova Rajaobelina ◽  
Anik St-Onge

PurposeThis article proposes two studies to demonstrate the impact of three dimensions of perceived experiential advertising – cognitive/affective/sensory advertising, relate advertising and behavioural advertising – on consumer behaviour (brand credibility, affective commitment and emotions) in the banking sector.Design/methodology/approachFor study 1, a total of 506 online panellists of a recognized Canadian research firm were asked to evaluate a local bank advertisement using an online self-reported questionnaire. For study 2, a total of 65 Canadian respondents recruited through Facebook and Google adverts were asked to watch two video advertisements (one more experiential and the other less experiential). After viewing the advertisements on a computer equipped with FaceReader software by Noldus, participants completed a short online questionnaire.FindingsUsing structural equations modelling, the first study shows that brand credibility explains the positive impact of perceived cognitive/affective/sensory advertising (complementary mediation) and perceived behavioural advertising (indirect mediation only) on affective commitment. The second study illustrates that the cognitive/affective/sensory dimension is more important for experiential advertising than experiential advertising. Employing FaceReader facial expression recognition software results indicate that the bank advertisement with a higher score of perceived cognitive/affective/sensory advertising produces a higher level of happiness among respondents.Originality/valueBoth studies provide new insights into perceived experiential advertising and the impact of the latter on consumers. Benefits to scholars and practitioners include an enhanced understanding of advertising effectiveness in the banking sector.


2014 ◽  
Vol 1 (3) ◽  
pp. 10-13 ◽  
Author(s):  
Faisal Khan ◽  
Amran Md Rasli ◽  
Rosman Md Yusoff ◽  
Tariq Ahmed ◽  
Abid ur Rehman ◽  
...  

The aim of the study is to investigate the relationship and effect of  job variables rotation, job performance and organizational commitment among the employees working in banking sector in Pakistan. Self-administrated questionnaire was distributed by selecting a convenient sampling the data collected were 435 from the employees in the banks. The data were analyzed with the help of Statistical Package of Social Sciences (SPSS). The findings of the study revealed that a positive relationship was found between job rotation, job performance and organizational commitment among the employees, whereas negative relationship was found between job performance and organizational commitment. The study results are useful for the bankers, employees’ and managers. The study also provided the limitations and recommendations for future research.


2014 ◽  
Vol 38 (3) ◽  
pp. 399-416 ◽  
Author(s):  
Hsiu-Hua Cheng

Purpose – Blogs provide opportunities for bloggers to create. This creativity can attract audiences and generate commercial success for blog service providers (BSPs). Thus to obtain competitive advantage, such providers should stimulate their bloggers to produce creative content. The purpose of this paper is to adopt social embeddedness and creativity theory to explore factors influencing blogger creativity. Design/methodology/approach – An online questionnaire and an online embeddedness system are used to collect data from 353 bloggers, including data on their motivation, integration ability, structural and relational embeddedness and creativity. Hierarchical regression is applied for statistical analysis. Findings – Analytical results show that structural embeddedness and relational embeddedness affect blogger creativity. Additionally motivation negatively moderates the relationship between structural embeddedness and creativity, and integration ability negatively moderates the relationship between relational embeddedness and creativity. Research limitations/implications – This study applies social embeddedness to elucidate the relationships among quantity and quality of professional knowledge and creativity. This study also discusses the moderating effect of motivation and integration ability on the relationship between social embeddedness and creativity. Practical implications – Creative articles by bloggers can popularise a blog platform, as they can retain bloggers and attract new bloggers. Therefore, for BSPs enhancing the creative performance of bloggers is one way to obtain competitive advantage. Originality/value – The study contributes to knowledge of social embeddedness and creativity on blog web sites, and importantly, this study develops a model that explains how antecedents influence blogger creativity.


Author(s):  
Seda Yildirim ◽  
Ali Acaray ◽  
Burcu Candan

Purpose – The purpose of this paper is to find out whether there was a significant relationship between marketing culture and organizational commitment. In addition, relations between dimensions or marketing culture and dimensions of organizational commitment were investigated. Prior studies have shown that there were significant relationships between organizational culture and organizational commitment. Accordingly it is that there is a significant relationship between marketing culture and organizational commitment. Design/methodology/approach – This research collected data via survey method in Istanbul, Turkey. The survey forms were implemented to employees who were selected by convenience sampling method from one private bank’s agencies and 318 employees participated to the survey implementation. Findings – With the help of canonical correlation analyze, it was found out that there was a significant relationship between marketing culture and organizational commitment. Accordingly the main hypothesis was supported. Also relations between dimensions of marketing culture and dimensions of organizational commitment were concluded through their canonical loadings. Research limitations/implications – This study used two main scales from the literature to determine marketing culture and organizational commitment. For marketing culture, Webster’s (1990) marketing culture scale was preferred to determine marketing culture of employees. Organizational commitment was evaluated in three basic dimensions as affective commitment, continuance commitment and normative commitment according to Meyer and Allen’s (1997) scale. For future studies, different types of scales can be used differently in another service sector or business. The results can give some useful information essentially for managers from banking sector. Originality/value – This study has an important originality as being the first one that investigates the relationship between marketing culture and organizational culture in a related literature. So it is thought to show significant relations between marketing culture’s factors and organizational commitment’s factors.


2019 ◽  
Vol 37 (5) ◽  
pp. 1313-1333 ◽  
Author(s):  
Emerson Wagner Mainardes ◽  
Lázaro Silva Rodrigues ◽  
Aridelmo Teixeira

Purpose The purpose of this paper is to verify the relationship of job satisfaction in the banking sector with its antecedent constructs (financial rewards and psychological rewards) and the mediating role of internal marketing in this relationship and to verify the relationship between job satisfaction in the banking sector and its consequent constructs (work engagement and the intention to leave) and the moderating effect of internal marketing on this relationship. Design/methodology/approach The paper adopts a quantitative, descriptive, cross-sectional research methodology. Data are collected through an online questionnaire, which involves 355 bank employees. Partial least squares–structural equation modeling is used to verify the predicted relationships. Findings The results show that internal marketing tends to mediate the relationship between financial rewards and job satisfaction and the relationship between psychological rewards and job satisfaction. Internal marketing presents a moderating effect on the relationship between job satisfaction and work engagement, but internal marketing does not moderate the relationship between job satisfaction and the intention to leave the bank. Originality/value This study expands the understanding of the scope of internal marketing by exploring its mediating and moderating effects on the interactions among the behaviors of banking sector employees.


2019 ◽  
Vol 23 (3) ◽  
pp. 489-507 ◽  
Author(s):  
Juliano Martins Ramalho Marques ◽  
Jefferson Lopes La Falce ◽  
Fernanda Machado Fonseca Ramalho Marques ◽  
Cristiana Fernandes De Muylder ◽  
Jersone Tasso Moreira Silva

PurposeThis paper aims to analyse the relationship between the organizational commitment, the knowledge transfer and the knowledge management maturity at a Brazilian public university. As indicated in the literature, the organizational commitment and the influence on knowledge management in the public sector, especially in developing countries, configures an important gap to be filled (Razzaq et al., 2018).Design/methodology/approachThe research has a descriptive and quantitative nature, and to run the analysis, an exploratory factorial analysis was conducted and after that a structural equations modelling was carried out.FindingsThe results indicated a significant relationship between the organizational commitment to the knowledge transfer and, consequently, to the knowledge management maturity.Originality/valueIn the first place, the model including all dimensions of commitment: affective, calculative and normative with knowledge transfer and knowledge maturity was not tested before. Second, data on the public sector in developing countries are still rare and studies in this field encouraged (Razzaq et al., 2018). In this case, the present study contributes in this field, specifically in the education sector. Finally, understanding the individual commitment profile helps to understand the extent to which that person contributes both to the knowledge transfer, and therefore, in the same analogy, to the knowledge management maturity level.


2016 ◽  
Vol 26 (1) ◽  
pp. 28-49 ◽  
Author(s):  
Guillermo Bermúdez-González ◽  
Innan Sasaki ◽  
Dolores Tous-Zamora

Purpose – The purpose of this paper is to unfold the relationship between the antecedents of employee and manager commitment, using internal marketing (IM) practices, in elderly care homes. Design/methodology/approach – Based on survey data drawn from elderly care homes in Finland, the authors tested several literature driven hypotheses of how IM practices (internal value exchange, internal communication and training) relate with employee and manager commitment. Hence, the authors compare the organizational commitment of two groups. Additionally, the authors tested the moderating role of public residence on these relationships. Findings – The study revealed that there are differences in the antecedents to employee and manager commitment in terms of internal value exchange. This is an important extension to the literature of employee and management commitment in which the antecedents to management commitment, especially, are under-investigated, and where the relationship between the antecedents of the two types of commitment are not studied. Practical implications – While different emphases on IM programs for employees and managers must be implemented in order to re-create work environments that could lead to improved service provision, the authors suggest that facilitating open and honest communication and exchanging values in care homes is a crucial step for improving service quality and employee and manager retention. Originality/value – This study has high value to both the literature and practice as high-service quality can be provided when both employee’s and manager’s commitments are in place, and without understanding the differing antecedents and their relationships, it is hard to establish both types of commitment in an organization. The authors believe that this new insight is useful in improving the service quality and employee and manager retention of organizations.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Dongkyu Kim ◽  
Christian Vandenberghe

PurposeGiven recent prominent ethical scandals (e.g. Tesla, Uber) and the increasing demand for ethical management, the importance of business ethics has recently surged. One area that needs further research regards how ethical leaders can foster followers’ organizational commitment. Drawing upon social exchange theory, the current research proposes that ethical leadership relates to follower affective and normative commitment through perceived organizational support (POS). Moreover, based on self-determination theory, we expected follower psychological empowerment to positively moderate the relationship between ethical leadership and commitment components.Design/methodology/approachData were collected using a three-wave study among employees from multiple organizations (N = 297) in Canada. Structural equations modeling and bootstrapping analyses were applied to test the hypotheses.FindingsThe results showed that ethical leadership was positively related to follower affective and normative commitment through POS. Furthermore, the relationship between ethical leadership and POS was stronger at high levels of empowerment. This moderating effect extended to the indirect relationship between ethical leadership and commitment components.Originality/valueThis study counts among the few investigations that have examined the mechanisms linking ethical leadership to followers’ organizational commitment and boundary conditions associated with this relationship. Moreover, our findings were obtained while controlling for transformational leadership, which highlights the incremental validity of ethical leadership.


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