Two paths to customer loyalty: the moderating effect of the differentiation level strategy in the performance-satisfaction-value-intentions relationship

2016 ◽  
Vol 25 (2) ◽  
pp. 171-183 ◽  
Author(s):  
Jorge Vera

Purpose This paper aims to show how consumers process information differently under two dissimilar types of brand strategies. By analysing data from dishwashing detergent consumers who evaluated two different brands, one with a high differentiated/performance/price brand (HB) strategy and other with a low differentiated/cost/price brand (LB) strategy, it is shown how the structural relationship between some constructs differ under each price brand strategy. With a structural path analysis, the product performance, customer satisfaction, customer perceived value and behavioural intentions relationship are assessed. Additionally, the moderating effect of the brand strategy in this structural relationship is tested. Design/methodology/approach Data of a sample of n = 273 Mexican dishwashing detergent users were analysed. Respondents evaluated two brands of dishwashing detergent. One brand followed a high differentiated/performance/price strategy (Axion) and the other used a low differentiated/cost/price strategy (Roma). Participants had to have been consumers of both brands of detergents. A structural path analysis to show the moderating effect of the brand strategy was implemented. A nested comparison invariance test for structural weights to corroborate differences was used, as well. Findings Results confirm structural differences between both brand strategies in the constructs relationship. The HB strategy showed that both satisfaction and perceived value have a mediating effect between product performance and brand intentions; on the other hand, the LB strategy showed that only satisfaction has a mediating effect between these two constructs. The explanation amount for dependent latent variables was higher for the HB strategy than for the LB strategy. Originality/value This study offers a distinct view of the differentiated/quality brand strategy – low cost/price brand strategy duality. It provides a theoretical-empirical explanation of the cognitive processes that both strategies involve for a customer. As well, this study conceptually relates the generic strategies theory with the use of specific brand strategies.

2019 ◽  
Vol 34 (3) ◽  
pp. 628-642 ◽  
Author(s):  
José L. Ruiz-Alba ◽  
Anabela Soares ◽  
Miguel A. Rodríguez-Molina ◽  
Dolores M. Frías-Jamilena

Purpose This paper aims to investigate the moderating role of co-creation in the implementation of servitization strategies in the pharmaceutical industry in a business-to-business (B-to-B) context. More specifically, this investigation explores the impact of different levels of services (base, intermediate and advanced) on servitization and on performance by using co-creation as a moderating factor. Design/methodology/approach A research framework was developed and empirically tested in the pharmaceutical sector. Data collection was conducted through the online distribution of questionnaires. The final sample included 219 pharmacy stores, and the data were analysed using structural equation modelling. Findings Main findings suggest that when the level of co-creation of the design of services is high, there are significant effects of servitization on firm performance. The moderating effect of co-creation is illustrated in regard to intermediate and advanced services, but results referring to the impact of intermediate services on servitization appear non-significant with a low degree of co-creation. No significant effects could be found for the impact of base services on performance and servitization for both high and low degrees of co-creation. Findings show an impact of advanced services on performance through the mediating effect of servitization when the degree of co-creation is high. Originality/value Most research concerning servitization has been done from the perspective of manufacturers and service providers. This study adds value to the literature because it was designed from a customer’s perspective. Moreover, it contributes towards the conceptualization of the servitization research strategy and business models in a B2B context. This is accomplished through the investigation of the moderating effect of co-creation on the impact of the different levels of services on servitization and on performance.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jinsheng Cui ◽  
Mengwei Zhang ◽  
Chaonan Yin ◽  
Li Li ◽  
Jianan Zhong

Purpose This paper aimed to explore the influence of envy on impulsive consumption from aspects of the internal psychological mechanism and boundary conditions.Design/methodology/approach Based on social comparison theory, four studies were conducted in this research: The first study explored the effect of envy on impulsive consumption; the second study explored the moderating effect of self-monitoring and the mediating effect of materialism; the third study explored the moderating effect of product type and the fourth study explored the effectiveness of social comparison contexts on the arousal of envy.Findings Study 1 showed that envy could significantly trigger consumers' impulsive consumption. Study 2 indicated that participants experiencing self-monitoring had a higher level of materialism and a stronger propensity to consume impulsively once the emotion of envy emerged. Study 3 suggested that when participants were more envious, their levels of materialism increased with more impulsivity to buy material products. Study 4 revealed that upward comparisons led to a higher level of envy and re-validated the mediating role of materialism between envy and impulsive consumption.Research limitations/implications This study provides evidence for the association between envy and consumer behaviour and clarifies the underlying mechanisms of the relationship between envy and impulsive consumption.Practical implications Marketers could take advantage of consumers' envy after social comparisons without damaging brand image.Originality/value First, this study extended the effects of envy on consumer decisions, suggesting that envy stimulates impulsive consumption by increasing consumers' materialism. Second, this study revealed the boundary condition of product type, namely, material and experiential.


2019 ◽  
Vol 31 (5) ◽  
pp. 1252-1268 ◽  
Author(s):  
Jorge Vera-Martinez ◽  
Sidney Ornelas

PurposeProduct performance measurements have been used to explain other business performance variables. The purpose of this paper is to propose that, regarding Mexican consumers, the “comparison-based perceived attribute performance” (CAP) approach is a better predictor of outcomes, such as satisfaction, value and loyalty, compared with the traditional measurement of “non-comparison-based perceived attribute performance” (NCAP). These two forms of assessing attribute-level performance may be considered as different constructs.Design/methodology/approachUsing these two approaches, empirical tests were performed to attribute performance measurement and were conducted on products from two different categories: tequila and liquid dishwashing detergent. Regression analyses were performed using Mexican consumer samples ofn=295 andn=239, respectively.FindingsAs opposed to NCAP, CAP measurements yielded higher statistical levels of satisfaction, value and loyalty for both product categories. In the case of tequila, factor analysis indicated a clear separation between the two types of measurements, suggesting that they should be considered distinct constructs. However, this was not found for the other product category.Originality/valueCAP, which has better potential to predict outcomes than NCAP, could have relevant implications in brand positioning assessment and importance-performance analyses.


2019 ◽  
Vol 9 (3) ◽  
pp. 239-254 ◽  
Author(s):  
Kyu-soo Chung ◽  
Christopher Brown ◽  
Jennifer Willett

Purpose The purpose of this paper is to examine the factors that motivate Korean baseball fans to support Korean Major League Baseball (MLB) players and to identify the effects of the motivations on identification and behavioral loyalty. Design/methodology/approach Data were collected using a self-administered questionnaire at three Korean universities. A model was designed to see which three motivations (commitment to Korean baseball, interests in MLB and ethnic identity) affect loyalty behaviors to support Korean MLB players. In the model, the mediating effect of player identification is set to the relation between the three motivations and behavioral loyalty. The moderating effect of team identification is also set to the relation between player identification and behavioral loyalty. Collected data (n=294) were first analyzed via confirmatory factor analysis to ascertain the factor structure of the study model. Then, the study performed a structural equation modeling which finds the magnitude and significance of each causal path among designed factors. Findings All the effects were found to be significantly positive except team identification whose moderating effect was not significant. Interests in MLB had the greatest impact on the fan’s player identification followed by commitment to the Korean baseball league and their ethnic identity. It was also found that the influence of player identification was positive on behavioral loyalty. Originality/value This work can help MLB expand their fan base internationally, especially in Asian countries.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Wenqing Wu ◽  
Hongxin Wang ◽  
Chun-Wang Wei ◽  
Chundong Zheng

PurposeThis study explores the influence of sharing achievement (i.e. sustainability, enjoyment, and economic benefits) obtained by participating in the sharing economy on social entrepreneurial intention (SEI), as well as the role of perceived social worth and social entrepreneurial self-efficacy (SESE).Design/methodology/approachThis study used multiple regression analysis on a sample of 331 MBA students aged between 24 and 48 years.FindingsThe findings indicate that sharing achievement is positively related with SEI, and perceived social worth mediates the relationship between them. Moreover, SESE not only has a moderating effect on the relationship between perceived social worth and SEI but also positively moderates the overall mediation model.Practical implicationsEntrepreneurship educators could focus on improving students' SESE through courses and training. Whereas, policymakers and decision makers should actively promote the sharing economy model and regulate its management. Moreover, existing organizers of the sharing economy should improve participants' sharing achievement.Originality/valueThis study determines the relationship between sharing achievement and SEI and enriches the push/pull theory from the perspective of pull factors in the context of the sharing economy. Moreover, by exploring the mediating effect of perceived social worth and the moderating effect of SESE, the study provides understanding on the influence mechanisms of sharing achievements on SEI.


2019 ◽  
Vol 38 (3) ◽  
pp. 325-339 ◽  
Author(s):  
Hoa Thi Hoang ◽  
Feng Wang ◽  
Quang Van Ngo ◽  
Man Chen

Purpose The purpose of this paper is to examine the effects of social media-based brand community (SMBBC) markers on customer-based brand equity (CBBE). Moreover, this research evaluates the mediating effect of brand community commitment and the moderating effect of customer gender. Design/methodology/approach This research collected data from a questionnaire survey with participants who are members of the Xiaomi Community in Vietnam on Facebook (XCVF). Finally, 512 valid and usable questionnaires were tested by applying the structural equation modeling approach. Findings On the basis of social identity theory, results showed that three components of brand community markers significantly affect two aspects of CBBE. Moreover, brand community commitment plays a mediating role in the relationship of shared consciousness, ritual and traditions, and CBBE. In addition, the influence of SMBBC on CBBE is stronger for women than for men. Research limitations/implications The sample selected is limited to only members of XCVF, so the results may have an inadequate view in comparison with other brand communities. This research can eliminate other important variables that can contribute to this relationship. Originality/value This research is among the first studies that have focused on the importance of SMBBC markers on CBBE, the mediating role of brand community commitment and the moderating effect of customer gender.


2019 ◽  
Vol 11 (1) ◽  
pp. 82-101 ◽  
Author(s):  
Akriti Chaubey ◽  
Chandan Kumar Sahoo

Purpose This study aims to focus on examining the impact of transformational leadership on employee creativity to enhance organizational innovation through mediating effect of intrinsic motivation and the moderating effect of organizational culture on the relationship between employee creativity and organizational innovation in Indian automobile industries. Design/methodology/approach Responses were collected from engineers, managers and R&D professionals from car manufacturing and R&D units from southern India through a structured questionnaire. The data were analyzed using IBM SPSS version 20. The validity of the constructs and the theoretical model were confirmed by applying structural equation modeling approach using IBM SPSS Amos version 20. Findings Empirical findings proved that transformational leadership has a positive effect on employee creativity, as mediated by intrinsic motivation. Studies also revealed that employees tend to exhibit higher creative potential when they are exposed to a higher degree of distinct shared assumptions, values and beliefs, which governs their behavior in an organization. Research limitations/implications As research was carried out in Indian automobile manufacturing and R&D units, it cannot be generalized across the broader range of sectors and international environment. Originality/value This research is unique in its attempt to empirically test the moderating effect of organizational culture in enhancing organizational innovation in Indian automobile industry.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Daniel Prajogo ◽  
Carlos Mena ◽  
Mesbahuddin Chowdhury

PurposeThe purpose of this paper is to test the moderated-mediated model using a dataset drawn from 204 manufacturing firms in Australia, and Hayes' PROCESS macro software was used for analyzing the research model.Design/methodology/approachThis study examines how firms can leverage the strategic value of their key supplier for improving their product performance by developing strategic collaborations with the key supplier as a mediating factor. Furthermore, it also seeks to understand the role that commitment plays in strategic relationships by testing how the mediating role of strategic collaboration is moderated by the level of buyer-suppliers relational capital.FindingsThe findings show that strategic collaborations mediate the relationship between the strategic value of key supplier and buyer's product performance, and the mediating effect is moderated by the relational capital between the buyer and the key supplier in such a way that the stronger the relational capital the stronger the indirect effect of strategic value of key supplier on buyer's product performance.Practical implicationsThe findings show that firms could derive significant benefits from the strategic value of their key supplier in improving their product performance. However, the benefits can only be realized if firms can build successful strategic collaborations in the first place. At the same time, this study also demonstrates the importance of relational capital in terms of commitment and trust with the key supplier that influences the effectiveness of strategic collaborations in realizing the outcome of the collaborations.Originality/valueThis study addresses the gap in the literature by disentangling the complex relationship between a key supplier's strategic value and a buyer's product performance and the role that both collaboration and relational capital play in this relationship. By integrating strategic collaborations and relational capital of buyer-supplier relationships, this study not only confirms the links by testing key supplier's strategic value, strategic collaboration and product performance, but also extends the previous studies by incorporating the moderating role of relational capital as a contingent factor.


2020 ◽  
Vol 48 (5) ◽  
pp. 465-483
Author(s):  
Hammad Bin Azam Hashmi ◽  
Chengli Shu ◽  
Syed Waqar Haider

PurposeAlthough the store environment-impulse buying nexus is well documented, the influence of consumer motivations on this nexus is still underexplored. Consequently, this paper aims at explaining the mediating effect of emotional states and the moderating effect of hedonic shopping motives on the relationship between store atmospherics and impulse buying behavior.Design/methodology/approachPrimary data from 437 customers were generated through a questionnaire developed for this study. Respondents were accessed using mall-intercept technique. Structural equation modeling (SEM) was done to empirically estimate the model.FindingsResults indicate that pleasure and shopping enjoyment mediate the effect of store atmospherics on the impulse purchase behavior. The findings also show that hedonic shopping motives moderate the relationship between the store atmospherics and impulse purchase.Originality/valueThis study contributes by introducing the moderating role played by the hedonic shopping motives on the relationship between store atmospherics and impulse purchase. In addition, it introduces that shopping enjoyment and pleasure mediate the effect of perceived store atmospherics on impulse purchase.


2016 ◽  
Vol 28 (6) ◽  
pp. 991-1011 ◽  
Author(s):  
Hassan Saleh Al-Dhaafri ◽  
Abdullah Kaid Al-Swidi ◽  
Rushami Zien Bin Yusoff

Purpose The purpose of this paper is to investigate the relationship between enterprise resource planning (ERP) and organizational performance through examining the mediating effect of total quality management (TQM) and organizational excellence and the moderating effect of entrepreneurial organizational culture (EOC). Design/methodology/approach A survey questionnaire was used to collect the data from Dubai Police Departments. Out of the questionnaires distributed, 320 completed usable were returned and used for the analysis which employed partial least squares structural equation modelling methodology. Findings The results showed that there are positive and significant relationships between ERP, organizational excellence, TQM, and organizational performance. In addition, TQM was found to partially mediate the effect of ERP on organizational performance, where organizational excellence was found to fully mediate the effect on the same relationship. However, the moderating role of EOC on the ERP, TQM, and organizational performance was not confirmed. Practical implications Several practical implications have been gained from this study. It will increase the awareness of managers and decision makers to consider the constructs test to enhance the overall organizational performance in their organizations. The role of TQM and organizational excellence to facilitate the implementation of ERP is very critical. In addition, this research will increase the awareness of different stakeholders such as customers, supplier, and shareholders to integrate the proposed constructs examined to enhance the overall organizational performance. Originality/value The current study is one of the few or the only empirical study that examines the joint effect of ERP, TQM, organizational excellence, and EOC on organizational performance.


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