scholarly journals Every Story Has Two Sides: Co-Production in the Financial Service Industry

Author(s):  
Li-Wei Wu

Co-production is an important process that alters value creation and improves relationships between service providers and their customers. Much service research has emphasized the importance of service employees as boundary spanners that interact with customers by co-production. Service employees frequently engage in co-production requirements. Such practice allows customers and service employees to access and leverage resources residing in their relationships. Clearly, marketing literature focuses on the bright side of co-production. Nevertheless, the costs and potential negative consequences associated with the dark side of co-production must be further considered. Therefore, this study aims to present a conceptual framework that explores the relationships among co-production, co-production enjoyment, co-production intensity, service effort, job stress, and employee satisfaction, and their effects on customer satisfaction. Furthermore, this study seeks to propose how the effects of co-production on co-production enjoyment, co-production intensity, service effort, job stress depend on the self-efficacy of customers and self-monitoring by service employees. This study provides interesting theoretical insights and valuable managerial implications as regards the positive and negative aspects of co-production and encourage service employees to perform service effort while minimizing job stress. Most importantly, this study provides an understanding of the specific process of co-production to enhance customer and employee satisfaction.

2020 ◽  
Vol 47 (1) ◽  
pp. 317-343 ◽  
Author(s):  
Nils C. Köbis ◽  
Ivan Soraperra ◽  
Shaul Shalvi

The sharing economy is estimated to add hundreds of billions of dollars to the global economy and is rapidly growing. However, trust-based commercial sharing—the participation in for-profit peer-to-peer sharing-economy activity—has negative as well as positive consequences for both the interacting parties and uninvolved third parties. To share responsibly, one needs to be aware of the various consequences of sharing. We provide a comprehensive, preregistered, systematic literature review of the consequences of trust-based commercial sharing, identifying 93 empirical papers spanning regions, sectors, and scientific disciplines. Via in-depth coding of the empirical work, we provide an authoritative overview of the economic, social, and psychological consequences of trust-based commercial sharing for involved parties, including service providers, users, and third parties. Based on the aggregate insights, we identify the common denominators for the positive and negative consequences. Whereas a well-functioning infrastructure of payment, insurance, and communication enables the positive consequences, ambiguity about rules, roles, and regulations causes non-negligible negative consequences. To overcome these negative consequences and promote more responsible forms of sharing, we propose the transparency-based sharing framework. Based on the framework, we outline an agenda for future research and discuss emerging managerial implications that arise when trying to increase transparency without jeopardizing the potential of trust-based commercial sharing.


Author(s):  
Jorge Mejia ◽  
Shawn Mankad ◽  
Anandasivam Gopal

Problem description: Measuring quality in the service industry remains a challenge. Existing methodologies are often costly and unscalable. Furthermore, understanding how elements of service quality contribute to the performance of service providers continues to be a concern in the service industry. In this paper, we address these challenges in the restaurant sector, a vital component of the service industry. Academic/practical relevance: Our work provides a scalable methodology for measuring the quality of service providers using the vast amount of text in social media. The quality metrics proposed are associated with economic outcomes for restaurants and can help predict future restaurant performance. Methodology: We use text present in online reviews on Yelp.com to identify and extract service dimensions using nonnegative matrix factorization for a large set of restaurants located in a major city in the United States. We subsequently validate these service dimensions as proxies for service quality using external data sources and a series of laboratory experiments. Finally, we use econometrics to test the relationship between these dimensions and restaurant survival as additional validation. Results: We find that our proposed service quality dimensions are scalable, match industry standards, and are correctly identified by subjects in a controlled setting. Furthermore, we show that specific service dimensions are significantly correlated with the survival of merchants, even after controlling for competition and other factors. Managerial implications: This work has implications for the strategic use of text analytics in the context of service operations, where an increasingly large text corpus is available. We discuss the benefits of this work for service providers and platforms, such as Yelp and OpenTable.


2017 ◽  
Vol 55 (3) ◽  
pp. 614-631 ◽  
Author(s):  
Li-Wei Wu

Purpose Much research has emphasized the importance of service employees as boundary spanners that interact with customers by co-production. Service employees frequently engage in emotional labor in response to co-production requirements. The purpose of this paper is to present a conceptual framework that explores the links between co-production, emotional labor, employee satisfaction, value co-creation, co-production intensity, and their effects on customer satisfaction. Design/methodology/approach This study involved collecting and analyzing 322 questionnaires from the dyads of service employees and customers of the financial service industry in Taiwan. The hypothesized relationships in the model were tested by using a structural equation model. Findings The results of this study indicate that co-production influences deep acting, surface acting, value co-creation, and co-production intensity. Deep acting and surface acting have different effects on employee satisfaction and customer satisfaction. Meanwhile, employee satisfaction and value co-creation increase customer satisfaction, whereas co-production intensity decreases customer satisfaction. Originality/value The findings provide interesting theoretical insights and valuable managerial implications regarding the positive and negative aspects of co-production and encourage service employees to perform deep acting while minimizing surface acting.


2019 ◽  
Vol 33 (7) ◽  
pp. 946-958 ◽  
Author(s):  
Sertan Kabadayi

Purpose Service providers can potentially play a critical role in responding to the global refugee crisis. However, recent evidence suggests that local service employees’ negative and inappropriate behavior is hindering efforts to alleviate the problems faced by refugees. As a response to the call to action to engage with the global refugee crisis in service context and adopting the transformative service research perspective, this paper aims to understand service employees’ motivations to engage in sabotage when they interact with refugees in service settings. Design/methodology/approach This paper focuses on the case of Syrian refugees in Turkey as a context. Using a netnographic study, this study analyzes comments by Turkish service employees in different social media groups and newspapers’ online platforms to reveal the motivations of those employees to engage in sabotage behavior. Findings The findings of this study revealed employees use five emerging themes as potential motivations to justify their sabotage behavior when serving refugees: perceived scarcity of resources, perceived fairness, perceived identity mismatch, perceived role of government and perceived role of other nations. Research limitations/implications The findings of this study have implications for service organizations, communities and governments to manage, change and even remove some of those perceptions that lead to employee sabotage resulting in increased suffering of refugees. Originality/value To the best of the author’s knowledge, this is the first study to examine the employee sabotage behavior in the context of serving refugees.


2020 ◽  
Vol 4 (2-3) ◽  
pp. 84-99
Author(s):  
Ilias Danatzis ◽  
Jana Möller ◽  
Christine Mathies

Low-quality service providers who are unable or unwilling to compete through superior performance increasingly use humour in their marketing communication to generate positive service outcomes. Yet it remains unclear whether using humour to communicate poor service quality is indeed effective. Based on an online experiment in the context of budget hotels, this study finds that using humour to deliberately communicate poor service quality leads to higher purchase intentions and service quality evaluations by reducing both technical and functional service quality expectations. Theoretically, this study extends humour and service research by providing first empirical evidence for the viability of using humour as an effective tool for leveraging customer expectations of service quality rather than improving service performance. Managerially, these insights highlight how reducing customer expectations is an alternative strategy for attracting new customers and for achieving superior quality evaluations.


2016 ◽  
Vol 7 (1) ◽  
Author(s):  
Kumari Kumkum ◽  
R. N. Singh ◽  
Yogershi Rajpoot

There may be so many negative consequences of stress for human beings and dissatisfaction among employees happens to be one of the major problems. It indicates negative feelings that individuals have regarding their jobs or its facets. On the other hand, social support is assumed to be mitigating the relationship between negative aspects of the work environment and job satisfaction. Job stress is said to be associated with job dissatisfaction as well as experience of strain. In view of the above, this study examined the role of job stress and social support in job satisfaction. The sample consisted of 30 school teachers from different school of Varanasi (U.P.). The job stress, job satisfaction and social support scales were administered on the participants. The responses of the participants were converted into scores for statistical analyses. The scores of participants on the scales were correlated. The findings revealed that job stress led to increased job satisfaction. It is against the proposed hypothesis and it appears as if the social support received by the participants is a factor behind it. Two of the four dimensions of social support were found to exert positive impact on job satisfaction but the other two dimensions were not found to be correlated with it. The findings are thoroughly discussed and interpreted.


2016 ◽  
Vol 5 (2) ◽  
Author(s):  
Sakshi Sharma ◽  
Jashandeep Singh

The present study identified the sources of job stress among marketing executives working in private banking sector of Punjab. A self-administered questionnaire consisting of personal information and items related to respondents job stress was used to collect the data from 600 marketing executives. The factors having potential to produce job stress identified through factor analysis are lack of clarity and growth, work-life imbalance, work overload, lack of autonomy, unachievable targets, poor communication system and poor interpersonal relations. The detailed findings and managerial implications for private banks are discussed.


Author(s):  
Xue Zhang ◽  
Liang Liang ◽  
Guyang Tian ◽  
Yezhuang Tian

Although prior research has emphasized the disproportional contributions to organizations of charismatic leadership, an emerging line of research has started to examine the potentially negative consequences. In this paper, a theoretical framework was proposed for a study of unethical pro-organization behavior through psychological safety based on social information processing theory, which reveals the detrimental effect that charismatic leadership can have on workplace behavior. To explore this negative possibility, a time-lagged research design was applied for the hypotheses to be verified using 214 pieces of data collected from a service company in China. According to the results, unethical pro-organizational behavior was indirectly influenced by charismatic leadership through psychological safety. Moreover, when employees experienced high performance pressure, charismatic leadership was positively associated with unethical pro-organizational behavior through psychological safety. The implications of these findings were analyzed from the perspectives of charismatic leadership theory and organizational ethical activities to alter the unethical pro-organizational behavior.


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