Effects of product imitation on customer equity

2020 ◽  
Vol 38 (5) ◽  
pp. 653-669
Author(s):  
Feng Wang ◽  
Xinyan Li ◽  
Man Chen

PurposeThe aim of this study is to investigate the differential effects of pure and creative imitation on customer equity and the moderating roles of market contingency (i.e. competition intensity) and institutional contingency (i.e. enforcement inefficiency).Design/methodology/approachA lab experiment with 181 subjects and a survey of both senior and middle managers from 149 pharmaceutical firms in China were conducted.FindingsPure imitation decreases customer equity, but creative imitation increases it. Competition intensity attenuates the negative effect of pure imitation and the positive effect of creative imitation, whereas enforcement inefficiency only attenuates the negative effect of pure imitation.Practical implicationsThe findings have significant implications for managers seeking to implement product imitation strategies in emerging economies. They can help managers understand the effects of two kinds of imitation strategies on customer equity. Furthermore, this shows that product imitation strategies should be aligned with various market and institutional contingencies to achieve better performance.Originality/valueThe authors distinguished between pure and creative imitation. Whereas previous studies have investigated the effects of pure and creative imitation on financial and market performance, the focus was on their differential effects on customer equity and the moderating roles of environmental contingencies at the market and institutional levels.

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Man Chen ◽  
Tanya (Ya) Tang ◽  
Siting Wu ◽  
Feng Wang

Purpose Although coopetition has been studied for decades, most prior studies shed light on interfirm coopetition across firms instead of intrafirm coopetition across functional departments within a firm. To fill the research gaps, this study aims to investigate the differential effects of cross-functional coopetition on both product and service innovations and the moderating roles of environmental turbulence. Design/methodology/approach This study surveyed both senior and middle managers from 149 pharmaceutical firms in China. Findings This study discovers the opposite relationships of cross-functional coopetition on product and service innovations such that cross-functional coopetition enhances product innovation but hurts service innovation. Furthermore, market turbulence attenuates the positive effect on product innovation but strengthens the negative effect on service innovation. However, technological turbulence attenuates the negative impact of cross-functional coopetition on service innovation. Originality/value The effects of cross-functional coopetition have been ignored in the innovation literature. By identifying the double-edged sword of cross-functional coopetition, this study contributes to the literature by providing new insights into the differential effects of cross-functional coopetition on product and service innovations.


2017 ◽  
Vol 8 (2) ◽  
pp. 309-328 ◽  
Author(s):  
Fawzi Dekhil ◽  
Hajer Jridi ◽  
Hana Farhat

Purpose This research aims to analyze the effects of religiosity on the decision to participate in a boycott and the effect of a boycott on attitudes toward the boycotted brand. It also aims to measure the moderating effect of brand loyalty on the different models the authors discuss. Design/methodology/approach An experiment involving 165 Tunisian individuals during a call for a boycott of products of the Coca-Cola Company, which supports the Israeli army against Palestine, was conducted. Data analyses were conducted via two principal stages using SPSS 20.0 and Smart PLS 2.0. Findings The findings show that degree of religiosity was one of the antecedents of decision to participate in a boycott, and this decision has a negative effect on the attitude toward the brand being boycotted. The paper also has been able to show that brand loyalty moderates the relation of the present model. It diminishes the effect of religiosity on boycotting. Research limitations/implications Among the limits of the study is the fact that the authors relied on the investigation of only one product/brand (namely, Coca-Cola). In addition, the samples subjected to inquiry by the authors were chosen for their convenience. Practical implications Besides, the presentation of boycotted products in stores has a negative effect on the sales of the surrounding “non-boycotted” products (Friedman, 1999a). The authors note here that marketers can derive huge benefits from the exploration of boycott, for many reasons. The company must insist on the satisfaction and trust of their consumers, which are the bases of the loyalty. They must define the marketing strategy to increase the loyalty. This will diminish the effect of religiosity on the decision to participate in the boycott. Social implications The results allow us to assert that the decision to participate in a boycott has a negative effect on the attitude of the consumer and on the brand to be boycotted. Investigating the moderating effect of loyalty on the relation between religiosity and the decision to participate in a boycott is very interesting. Originality/value This research has shown that religiosity has a positive effect on boycotting. Also, it was found that a boycott has a negative effect on attitudes toward the boycotted brand. Therefore, brand loyalty moderates negatively the effect of religiosity on the decision to participate in the boycott and moderates the effect of the boycott on brand attitude.


2018 ◽  
Vol 32 (3) ◽  
pp. 256-268 ◽  
Author(s):  
Chiara Orsingher ◽  
Jochen Wirtz

Purpose Empirical research presents conflicting findings with regards to the effectiveness of referral reward programs (RRPs) and supports two alternative and conflicting views on the effectiveness of incentivizing recommendations. They are, first, a positive effect via perceived attractiveness of the incentive, and second, a negative effect via metaperception of the recommendation. The purpose of this paper is to examine these two opposing psychological mechanisms to reconcile the conflicting findings. Design/methodology/approach The authors conducted three experiments. Study 1 tests the base model. Studies 2 and 3 add moderators to test whether each mediating variable operates exclusively on its intended relationship. Findings Incentive size enhanced the attractiveness of an incentive, but reduced the metaperception favorability of the recommendation. These two opposing mechanisms operated in parallel, independently and fully mediated the effects of incentive size to likelihood of making a recommendation. Thus, the net impact of incentives on recommendation behavior depended on the relative strengths of these two opposing forces. Practical implications The study recommends managers to design RRPs with incentives that recommenders perceive as highly useful (i.e. to increase attractiveness) but have a low face value (i.e. to reduce metaperception concerns) and to target RRPs to strong rather than weak ties. Originality/value Our work offers an integrated theoretical account of consumers’ responses to incentivized recommendations and provides managerially relevant guidelines for the design of effective RRPs.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Uzeyir Kement ◽  
Sinan Çavuşoğlu ◽  
Bülent Demirağ ◽  
Yakup Durmaz ◽  
Aziz Bükey

PurposeThis study analyzes the desires and behavioral intentions of tourists within the scope of perception of COVID-19 and nonpharmaceutical intervention during the COVID-19 pandemic.Design/methodology/approachThe population of the research consists of people on a touristic trip in Turkey. Because of the pandemic, questionnaire data was collected online between 25 April and 15 May 2020. The research was carried out with 712 questionnaire forms. The data obtained were analyzed by structural equation modeling in the SM-PLS statistics program.FindingsPerception of COVID-19 significantly and positively affects NPI and negatively and significantly affects desire. Perception of COVID-19 and NPI do not have a significant positive/negative effect on behavioral intention. Finally, desire has a significantly positive effect on behavioral intention.Research limitations/implicationsSince the research has limitations in terms of time, cost, accessibility and control difficulties, the entire population could not be reached. The study was carried out with only 712 tourists traveling in Turkey.Practical implicationsThe obtained results will impact, particularly the decisions taken in Turkey's tourism sector. Moreover, if tourism companies know the decisions of the consumers during the pandemic process, they can use the appropriate marketing techniques.Social implicationsThe result may give an idea about the decision-making process of the consumers on traveling during the pandemic. In this way, psychologically different research can be developed.Originality/valueThere has not been any study made in Turkey that investigated the context of the current research model. Therefore, this research is original.


2021 ◽  
pp. 097215092199305
Author(s):  
Pinku Paul

Profitability is used as a prime indicator to measure the sustainable performance of an organization. The current study made an attempt to apply the DuPont model to investigate the multilevel profitability determinants for the pharmaceutical industry of India. The study also estimates an empirical model to predict the association of profitability with factors such as profit margin, asset utilization, leverage, interest load and tax load of firms in the pharmaceutical industry of India. For this purpose, a dataset for 170 companies from 2010–2011 to 2018–2019 was analysed initially by using panel data regression followed by stepwise panel data regression. The study successfully applied and tested the DuPont model with respect to the firms of the pharmaceutical industry in India. It was found that the factors such as profit margin, asset utilization and leverage had a significant positive effect on the firms’ profitability and the factor interest load had a significant negative effect on the firms’ profitability. The tax load does not have an impact on the profitability of the pharmaceutical firms in India. These findings are expected to provide a guide for understanding the profitability of the firms in a better way.


2022 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Bahadur Ali Soomro ◽  
Naimatullah Shah ◽  
Nadia A. Abdelmegeed Abdelwahed

PurposeAt present, the adoption of cryptocurrency investment has brought consideration to the globe. The present paper attempts to investigate the intention to adopt cryptocurrency (IACR) among the potential investors of Pakistan.Design/methodology/approachThe theory of planned behavior (TPB) is applied to underpin the conceptual framework. The study uses a quantitative approach. The study collects cross-sectional data through an online survey questionnaire. In the last, the authors utilized 334 samples for outcomes.FindingsFindings of the SEM reveal a significant positive effect of attitude, subjective norms (SNs), perceived behavioral control (PBC) and trust on IACR.Practical implicationsThe outcomes of an investigation would develop further intention and trust towards cryptocurrency adoption. The results would support developing favorable policies regarding the reduction of the ban on cryptocurrency in Pakistan to make easier transactions of the investors further. Possibly, it brings several opportunities in all segments of society in making the digital transaction modes through cryptocurrency. Finally, the findings would further validate the TPB in the context of cryptocurrency.Originality/valueThe study provides a better understanding of cryptocurrency and investors IACR. The empirical evidence further develops the other individuals' intentions towards cryptocurrency usage.


2018 ◽  
Vol 25 (6) ◽  
pp. 383-398 ◽  
Author(s):  
Jane McKenzie ◽  
Sharon Varney

Purpose This paper aims to consider middle managers’ influence on organizational learning by exploring how they cope with demands and tensions in their role and whether their practice affects available team energy. Design/methodology/approach In total, 43 managers from three large organizations involved in major change assessed their group’s energy using a tested and validated instrument, the OEQ12©. This generated six distinct categories of team energy, from highly productive to corrosive. Thirty-four of these managers, spread across the six categories, completed a Twenty Statements Test and a follow-up interview to explore their cognitive, affective and behavioural responses to coping with resource constraints and tensions in their role. Findings The research provides preliminary insights into what distinguishes a middle manager persona co-ordinating teams with highly productive energy from those managing groups with less available energy to engage with knowledge and learning. It considers why these distinctions may affect collective sensitivities in the organizational learning process. Research limitations/implications Informants were not equally distributed across the six team energy categories; therefore, some middle manager personas are more indicative than others. Practical implications This research suggests areas where middle manager development could potentially improve organizational learning. Originality/value This study offers early empirical evidence that middle managers’ orientation to their role is entangled with the process of energizing their teams in organizational learning during change.


2018 ◽  
Vol 26 (4) ◽  
pp. 748-772
Author(s):  
Tolu Olarewaju

Purpose The purpose of this paper is to contribute to the occupational status and entrepreneurship research in developing countries by proposing that there are implications for household consumption depending on the occupational status proportion of households. When the occupational proportion of the household changes, household consumption is affected. This effect also changes depending on what quantile level the household is in terms of household consumption. Design/methodology/approach The paper makes use of OLS and quantile regressions to examine 6,919 households comprising 40,294 individuals from the 2009 Nigerian Living standards measurement survey. Findings The paper finds that there are implications for household consumption based on the proportion of individuals in each occupational category. The contributions of each employment proportion changes at different quantiles with self-employed individuals increasing household consumption at the lower quantiles but reducing household consumption at the upper quantiles. Crucially, having a higher proportion of unemployed individuals in the household is oftentimes better than having a higher proportion of own account self-employed individuals. Research limitations/implications This paper offers new insights into how occupation proportion influences household consumption in developing countries. As a result, the household could seek to organise its members in such a way as to maximise combined household consumption, as diverse occupational statuses contribute differently to the household consumption at different quantile levels. The nature of the data used in this study however does not allow for causality tests. Practical implications The proportion of employment statuses in the household has implications for household consumption and so the mix of employment in the household is important. The self-employed could also be involved in activities to enhance household consumption that are not captured by labour income. However, self-employment does not seem to always have a positive effect on household consumption and sometimes unemployment might be better. Originality/value The paper provides a new way to view the household as an organising entity in terms of how it can allocate employment proportions to maximise household consumption.


2016 ◽  
Vol 31 (4) ◽  
pp. 266-280
Author(s):  
Maryline Bourdil ◽  
Mickael Géraudel

Purpose The purpose of this study is to determine whether women entrepreneurs are satisfied with belonging to a women’s network, as this issue is crucial for network performance and legitimacy. Design/methodology/approach The authors tested the hypotheses on a sample of 127 French women entrepreneurs who belonged to women’s networks using multiple regression analysis. Findings The authors showed that these women entrepreneurs were satisfied when they developed strong ties and when cliques in the network were limited. Education had a negative effect: the higher the educational level, the less satisfaction with their networks the women reported. Research limitations/implications The sample was small and composed only of women entrepreneurs who were members of women’s networks and not women who had left them. Practical implications The survey findings suggest ways that managers can optimize network satisfaction to keep current members while continuing to add new ones: create an environment with no cliques where members can develop strong ties. This means connecting members with similar values or status and common interests, while making sure that cliques do not develop. Originality/value To the authors’ knowledge, satisfaction with professional women’s networks has never been studied. The authors’ highlight the role of strong ties in these networks and identify the contingent effect of cliques.


2018 ◽  
Vol 46 (6) ◽  
pp. 35-43 ◽  
Author(s):  
Timothy J. Galpin

Purpose A seven-step Strategy Execution Model provides a tested guide to agile implementation. Design/methodology/approach Pragmatic actions, key deliverables and a case example for each of the seven steps in the model are presented. Findings Firms that focus more on strategic planning than implementation are often plagued with execution issues. Whereas, organizations that are able to execute their strategies as a well managed, integrated process have a much better chance of realizing the full potential of their plans. Practical implications Supporting the experience of numerous management teams, research indicates that poor execution often squanders the value companies anticipate from innovative, advantageous strategic initiatives. To minimize the likelihood of mismanagement, companies need a repeatable process that provides an integrated and actionable approach to effective strategy execution. Originality/value Senior executives and middle managers need a structured, coordinated system for managing strategy implementation. The author’s seven-step method has been tested in practice and refined. It emphasizes communication and agile adaptability.


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