European Journal of Marketing

Yu‐An Huang; Ian Phau; Chad Lin

doi: 10.1108/03090561011047463pmid: N/A

Purpose – This paper aims to examine the concept of “consumer animosity”, model its antecedents, and assess its influence on intention to purchase. Design/methodology/approach – Survey questionnaires were distributed by a quasi‐random sample of school pupils across Taiwan to an adult member of their household, for completion and return. A return rate of 70 percent yielded 456 usable questionnaires, the data from which were analysed by the LISREL structural equation modelling software. Findings – The results suggest that perceived personal economic hardship and the normative influence of members of a consumers' reference group have a positive impact on the phenomenon of consumer animosity, which in turn negatively affects the intentions of consumers in Taiwan to purchase products originating in mainland China and Japan. Contradicting previous studies, consumer animosity was found to be dependent on judgments of product quality. Research limitations/implications – The research model was built from data collected by non‐probability sampling in a single country. There was no evidence of sampling bias, but future studies would benefit from inclusion of more independent variables and a wider geographical scope. Practical implications – The findings contain many practical lessons for planners of export marketing strategy. Originality/value – Two existing theories of social behaviour are integrated with the concept of consumer animosity to explain consumption choices in an international context.

Ceridwyn King; Debra Grace

doi: 10.1108/03090561011047472pmid: N/A

Purpose – The purpose of this paper is to present the first known empirically‐tested model of Employee Based Brand Equity (EBBE). In doing so, it seeks to provide insight into how organisations can not only effectively manage the internal brand building‐process but also, more importantly, appreciate the subsequent employee effects and organisational benefits. Design/methodology/approach – Data were collected via an online survey of 371 employees who work in service organisations, sourced from a market research database list. Findings – Strong support was found for nine out of the ten hypothesised relationships, thus providing strong validation for the proposed model. Research limitations/implications – The employment of surveys can present data collection problems stemming from such things as lack of willingness to participate on behalf of the respondent, loss of validity when using structured questionnaires, and inherent challenges of wording questions properly. However, in acknowledging these limitations, actions, such as the utilisation of a national database of “opt in” survey participants coupled with the good reliability results and the methodical four‐stage survey design process undertaken, it is suggested that every effort was made to negate the limitations. Practical implications – Knowledge is gained from empirically validating a model of EBBE: it further enriches the application of traditional brand management techniques; provides a framework for brand communication training; increases organisational understanding of how to engender positive employee actions; and increases the accountability of such an internal investment by identifying measurable organisational benefits that accrue as a result of such efforts. Originality/value – The paper makes three important contributions: expanding the existing brand equity literature to incorporate a third yet equally relevant perspective, that being the employee; the adoption of a multi‐disciplined approach to addressing a marketing issue and, in doing so, extending beyond the connectionist cognitive psychology view of brand equity to incorporate a contextual/organisation cultural element; and reflecting the perceptions of employees, who are currently under‐represented in the internal brand management literature.

Xuan Zhao; Run H. Niu; Ignacio Castillo

doi: 10.1108/03090561011047481pmid: N/A

Purpose – The purpose of this paper is to better understand the selection of a distribution channel strategy for a non‐profit organization selling products or services to its end customers. Design/methodology/approach – Two channel strategies are generally considered: an integrated channel where the non‐profit organization sells its products or services using its own selling departments or branches; and a decentralized channel where the non‐profit organization sells through a for‐profit retailer. The fundamental question is: how should a non‐profit organization select its distribution channel strategy under certain market conditions? Findings – It was found that selecting a decentralized channel strategy results in an optimal retail price that is higher than that under an integrated channel strategy, which results in lower customer welfare under the decentralized channel. It was also found that a decentralized channel behaves as an integrated fully for‐profit channel. Thus, whether a non‐profit organization should choose an integrated or a decentralized channel when facing competition from an integrated or a decentralized fully for‐profit channel depends on its cost structure and the level of substitutability of the products or services offered by the two channels. Practical implications – When competing with an integrated fully for‐profit channel, the non‐profit organization is better off using an integrated channel under strong competition or a decentralized channel under weak competition. When competing with a decentralized fully for‐profit channel, the selection is more complicated. It was found that a decentralized channel is the best choice if the price competition factor, where threshold value depends on the cost structure, is large. Originality/value – Non‐profit organizations have a clear (perhaps increasing) need for distribution centers or retailers in order to reach people who need their products or services. Moreover, it has been reported that the interactions between for‐profit and non‐profit sectors continue to grow, thus increasing the forms of community involvement available to reach people. It is thus clear that additional research is needed to better understand the selection of a distribution channel strategy for a non‐profit organization selling products or services to its end customers, and also the related managerial implications.

Hong‐Youl Ha; Swinder Janda; Siva K. Muthaly

doi: 10.1108/03090561011047490pmid: N/A

Purpose – The purpose of this paper is to investigate the satisfaction consequences in repurchase situations. Design/methodology/approach – Online travel services are chosen because customers in these types of services had direct contact with firms. A conceptual model of CS‐RPI link is developed and used to test proposed hypotheses. A total of 514 respondents are used to test the proposed model. Findings – The empirical findings indicate that psychological mediators are useful when repurchase situations are considered. The study provides the roles of positive attitude in the formation of CS‐RPI link. Also, three factors: adjusted expectations, trust, and positive attitude, are found to have a significant mediating influence on the link of CS‐RPI. Research limitations/implications – Future researchers attempting to replicate and extend these findings may wish to collaborate with companies marketing products and services online and track customers' actual behaviors. This would be an excellent way to validate the current model relationships, particularly those involving repurchase intentions and customer satisfaction. Practical implications – The results can be used by web site designers to tailor their sites' features and marketing analysts to monitor the changes of click‐through rates as a parameter of the CS‐RPI. The discovery of significant interrelationships between satisfaction and trust, such as adjusted expectation, positive attitude and repurchase intention, reinforces the importance of the psychological state when repurchasing behavior is considered. For instance, it was observed that the three mediators result in lower levels of the indirect effect, but this is not limited in the whole process of the CS‐RPI. Originality/value – The conceptual framework is tested in an understudied e‐service context that is characterized by consumer‐focused competition. This context is noteworthy because no research has investigated determinants between the two parties. Research suggests that companies should understand how to capture determinants on post‐satisfaction, since competing businesses are only a mouse‐click away in e‐commerce settings.

Mark P. Pritchard; Daniel C. Funk

doi: 10.1108/03090561011047508pmid: N/A

Purpose – Current research has largely overlooked importance as a meta‐attitude consumers develop from related judgments. Drawing from observations by consumer theorists and attitude strength researchers, the present study seeks to investigate the formation and effect of attitude importance in an experiential setting, spectator sport. Design/methodology/approach – The study adapts a stimulus‐response framework to conduct a structural examination of attitude importance. The investigation includes a multi‐stage sampling procedure that distributed surveys to spectators attending five professional sport matches ( n =370). Findings – Path analysis of a multiple indicator‐multiple cause (MIMIC) model revealed that perceptions of technical and functional aspects of the service experience fuel a meta‐attitude of importance. When evident in dual judgments of product interest and brand importance, the construct is able to play a significant role in patron responses. Research limitations/implications – These findings offer insight on the nature of importance and its role in moderating spectator behavior. Support for the structural sequence also holds implications for researchers interested in delineating other strong attitudes. However, study findings are limited to hedonic service consumers and await replication in other product settings. Practical implications – Practical implications consider different mixes of dual judgments and strategies organizations might use to leverage a meta‐attitude of importance in their patrons. Examples of scenario‐based challenges to managing this disposition in the sport industry and in other consumer contexts are discussed. Originality/value – Despite early attention by marketing practitioners on the importance of individual product features, explanations of how a larger meta‐attitude forms and affects customers are rare. The study developed a MIMIC model and used path analysis to address the matter.

Martine Spence; Leila Hamzaoui Essoussi

doi: 10.1108/03090561011047517pmid: N/A

Purpose – The purpose of this paper is to assess brand identity, equity and brand management in SMEs. Design/methodology/approach – The methodology is based on the analysis of four site cases of consumer goods SMEs through in‐depth interviews and related documents. Findings – Results showed that the founders' value and beliefs set the tone for the core competencies to be developed and transmitted through brand identity. A bundle of marketing innovations, including coherent marketing programs and the use of the country of origin image, support the brands. Brand diversification strategies contribute to SMEs' growth. Research limitations/implications – Results need to be expanded and confirmed with other international SMEs that are not as well established and that do not use the country of origin in their brand image. Practical implications – Entrepreneurs need to be aware that their public image may reflect consumers' perception of their firms. Consequently, this image should be carefully nurtured. Because of resource constraints, a limited number of product or service features that complement the entrepreneur's core values should be selected to enhance brand equity. Among those, features linked to the firm's capabilities and to the country of origin would be the most cost‐efficient and effective. Moreover, a number of brand diversification strategies can be used by SMEs to spur their growth. Originality/value – The study emphasizes the use of strong brand associations by SMEs, primary and secondary, a focused and integrated communication strategy to enhance the brands as well as a creative approach to brand strategies to contribute to their growth.

Po‐Young Chu; Chia‐Chi Chang; Chia‐Yi Chen; Tzu‐Yun Wang

doi: 10.1108/03090561011047526pmid: N/A

Purpose – As multinational firms seek to acquire competitive cost advantages through global sourcing, it is also important for them to develop effective strategies to reduce possible damage of a negative country‐of‐origin (COO) effect. This study aims to examine whether brand image and evaluation mode could alleviate a negative COO effect. Design/methodology/approach – A 2(COO)×2(brand)×2(evaluation mode) experimental design was employed in order to examine whether brand and COO effects on product evaluation vary under different evaluation modes. The data were analyzed by a repeated measure MANOVA. Findings – The results showed that products made in favourable countries were rated higher in joint evaluation mode than in separate evaluation mode. Conversely, products made in unfavourable countries were better evaluated in separate evaluation mode than in joint evaluation mode. The results of the study are not in favour of the notion that a strong brand image could overcome the negative effect of COO. Research limitations/implications – Conclusions of the study suggest that the COO effect plays an equally important role in consumer product evaluation for both strong and weak brands. Thus, even for a product with strong brand image, the negative consequences of COO stemming from consumersˇ unfavourable attitudes towards the manufacturing country are not likely to be completely eliminated. Moreover, to alleviate the negative impact of unfavourable COO, marketers may want to avoid direct comparison between products made in unfavourable countries with those made in favourable countries, regardless of their brand strength. Practical implications – When marketing a product made in an unfavourable country, marketers should manage to create a selling environment facilitating a separate evaluation mode. In contrast, marketers should proactively manage to display products from favourable countries along with those from unfavourable countries in order to further enhance quality perceptions. Originality/value – The results of the study could help marketers employ advantageous merchandizing or advertising strategies to lessen the negative effect of COO.

Fahri Karakaya; Peter Yannopoulos

doi: 10.1108/03090561011047535pmid: N/A

Purpose – The purpose of this study is to develop a conceptual framework for defensive strategy by integrating market entry modes and the typology of firms suggested by Day and Nedungandi, and to attempt to propose how local incumbent firms utilize their mental models in order to react against market entry of new competition in global markets. Design/methodology/approach – The theoretical perspective adopted in the study is how mental models used by incumbent firms influence their reaction to market entry of new competition in developing defensive strategies to defend their markets. Findings – Mental models of incumbent firms, categorized as self‐centered, competitor‐centered, customer‐oriented, and market‐driven firms, impact their reaction and the development of defensive marketing strategies against market entrants using a variety of market entry modes in global markets. Originality/value – The paper presents an extensive review of the defensive marketing and mental models literature and shows how the way in which incumbent firms react to market entry of new competition contributes to understanding of incumbent reaction to market entry of new competition in global markets. Research directions for future research and managerial implications are also provided.

Kathy Hamilton; Louise Hassan

doi: 10.1108/03090561011047544pmid: N/A

Purpose – Whereas much previous research focuses on the ways consumers strive to gain social approval, consumption that may result in social disapproval must be considered. In order to do so, the purpose of this paper is to explore consumers' self‐concepts within a risky consumption context, namely smoking. Self‐concept discrepancies and the resulting emotions and coping strategies are identified. Design/methodology/approach – A qualitative methodology based on 30 focus groups conducted across ten European countries is employed. Findings – Findings demonstrate self‐concept discrepancies between both the actual self and ought/ideal guiding end states, as well as between the “I” and social selves. Such discrepancies generate negative emotions and result in emotion‐focused coping strategies. In addition, the accuracy of smokers' social self‐concepts with reference to the actual perceptions of non‐smokers is discussed. Practical implications – Important implications for the design of effective anti‐smoking advertising are discussed, based on the findings. It is suggested that counter advertising should encourage dialogue between smokers and non‐smokers and that message themes should centre on building the self‐efficacy of smokers. Originality/value – The reason why the social context should be an integral part of consumer self‐concept research is highlighted. Moreover, the importance of moving beyond merely understanding the existence of self‐discrepancies, to focus on the emotions that are generated by these discrepancies and the consequent coping strategies employed to resolve them is identified. As such, the potential contributions that may arise by recognising the intersection between two bodies of literature that are often treated separately, namely, consumer coping and the self‐concept, are highlighted.

Trond Hammervoll; Eirill Bø

doi: 10.1108/03090561011047553pmid: N/A

Purpose – This paper aims to report on the efforts of a wholesaler in overcoming one of the main barriers to successful marketing channels – namely the “transparency problem”. Design/methodology/approach – A decision‐support tool that is capable of providing detailed cost‐analysis of transportation arrangements is developed and applied within the context of an action research project set up to improve information exchange of sensitive information between a shipper and two carriers in a Norwegian grocery supply chain. Findings – The study finds that the application of the decision‐support tool is associated with: a transition from arm's‐length transactional relationships to integrated collaborative relationships; enhanced communication and trust between the parties; and substantial savings in distribution costs. Research limitations/implications – Action research methodology confined to a single shipper and two carriers limits the confidence with which the findings can be generalised; future studies should formally test the effects of communication and trust on integration. Practical implications – The study provides practical suggestions for achieving mutual benefits from closer collaboration between buyers and suppliers of transportation services. Originality/value – The study extends knowledge of how to achieve integrated supply‐chain relationships in practice through the utilisation of a new and comprehensive decision‐support tool.