Antecedents and Performance Consequences of Integrated Brand Management in China: An Exploratory Study

ABSTRACT

This study explores the role of integrated brand management in China. Using the survey data for 309 brands, our results show that integrated brand management has a positive effect on business performance in China. We also find that top management emphasis and corporate supportive resources directly foster integrated brand management. In addition, the emphasis of top management indirectly affects integrated brand management through reward system. Furthermore, we find that these relations vary between high- and low-performance brands. The implications for transitional economies are discussed.     

Market Orientation in the Transition Economies of Central Europe:: Tests of the Narver and Slater Market Orientation Scales

The Narver and Slater (Narver, J.C., and Slater, S.F.: The Effect of Marketing Orientation on Business Profitability. Journal of Marketing 54 (1990): 20–35.) market orientation scale is tested in the context of the transition economies of central Europe and found to be both valid and reliable. Relationships between market orientation and both marketing strategy and performance broadly follow predictions from the Western literature indicating that the adoption of a market orientation is equally applicable in transition as in Western economies. A number of different approaches, however, are evident in the transition economies suggesting that other business orientations may coexist with a market orientation creating a richer and more complex set or organizational drivers.     

Does it pay for firms in Asia's emerging markets to be market oriented? Evidence from Vietnam

The positive effects of market orientation (MO) on firm performance are empirically supported much more strongly by studies conducted in developed than in emerging markets. One commonly cited reason for this differential effect is that MO is affected by the cultural, economic and institutional characteristics of the economies in which it is applied. This study aims to determine whether or not MO is relevant in an Asian emerging market such as Vietnam and if so, how a firm in such countries can become more market oriented. Based on a survey of 300 firms and using structural equation modeling, the present study finds that MO has a significant effect on firm performance and that its adoption is driven by both internal organizational and external market forces. The study identifies these specific internal and external forces, including those that are unique to the emerging economies in Asia.     

Market Orientation and Business Performance in the PRC

Abstract

This study examined the applicability of Narver and Slater's market (1992) orientation model across different economies (planned versus market economy). First, we assessed the scale properties of market orientation from different cities in Mainland China (Hong Kong, Beijing, Shanghai and Guangzhou). Second, we then tested the relationship between market orientation and business performance. Tests for convergent, discriminant and predictive validity across the four Chinese economies with different market environments were supported by our findings. On the other hand, the impact of market orientation on business performance were found to be different across the four cities.     

Does market orientation pay off without brand orientation? A study of small business entrepreneurs

Market orientation and brand orientation are usually modelled as distinct antecedents of business performance, and the simultaneous performance effects of these orientations are empirically under-explored. Moreover, studies of market orientation and branding tend to focus on large corporations and the views of managers rather than the views of small business entrepreneurs. Addressing these research gaps, the current study explores market orientation and brand orientation by empirically testing their simultaneous effects on the business performance of small firms. Using primary data from 328 effective responses gathered from small business entrepreneurs, the study finds that market orientation improves the financial performance of a small firm only if it is implemented through brand orientation and eventually translated into brand performance. The results further indicate that older firms benefit more than younger firms from investing in branding, while younger firms benefit from paying attention to the actions of their rivals.     

Brand value chain in practise; the relationship between mindset and market performance metrics: A study of the Swedish market for FMCG

For decades, managers have analysed, planned and implemented long-term brand strategies based on customer mindset metrics (MSMs). Typically, such MSMs are customer satisfaction, liking, brand preference and Net Promoter Score (NPS). One of the core pillars, in brand management literature, is the assumed link between certain customer-based brand assets, often operationalized as MSMs, and future long-term market performance. However, few studies have systematically and broadly evaluated how the most common MSMs relate to actual performance data. This study investigates the link between the customer MSMs, most commonly used by practitioners, and their relationships with actual market performance. The paper explores 10 MSMs and 14 market performance metrics, in 10 categories, in the Swedish fast-moving consumer goods (FMCG) market. The study is based on survey data from 2007 that is compared to purchase panel household data from 2007 and 2010. Although MSMs are highly correlated to each other, their relations to brands' long-term market performance differ. A more nuanced approach to the MSM-market performance link is proposed, as there appears to be no single “silver bullet” MSM to rely on. Using a cash flow-oriented framework, the authors recommend opting for different MSMs depending on which of the three generic types of market performance (enhanced, sustained or accelerated) are targeted.     

The moderating effect of brand orientation on inter-firm market orientation and performance

Abstract

While prior research has shown that market and brand orientation are key contributors to successful business performance, research to date has not fully explored how inter firm collaboration for these two key orientations can enhance business performance. The purpose of the paper is to investigate the relationship between inter-firm market and performance; to test for the moderating role of brand orientation in that relationship. A total of 169 completed pairs of surveys were collected of small and medium enterprises operating internationally in a variety of industries in Switzerland. The results show that inter-firm market and brand orientation are two antecedents of marketing and financial performance. The impact of inter-firm market on marketing and financial performance is significant when the brand orientation is favorable. This study extends previous research by examining the moderating role of brand orientation on inter firm market orientation, which is important, especially for firms wanting to increase their brand reputation by entering into partnerships with other firms. Further research is indicated, to identify the key moderators of the driving force of inter-firm market in relation to business performance and the reason why maintaining a strong brand presence is important in the international marketplace.     

Brand compass: charting a course to improve firm performance

This study contributes to the internal brand management domain from a firm asset perspective. We argue brand compass is an inside-out identity-focused firm asset consisting of brand vision, brand commitment and shared brand understanding. We build a theoretical argument for examining brand compass together with two important outward focused orientations: market orientation and innovation orientation. Through structural equation modelling, within the context of retailing, the findings chart a course to improve firm performance.     

Market Orientation in a Sample of Food and Beverage Processing Firms in the Western Province,Sri Lanka

This study empirically investigates the market orientation strategy of firms operating in the food and beverage industry in the Western Province of Sri Lanka. Market orientation was conceptualized through three sets of activities: intelligence generation, intelligence dissemination, and responsiveness. Firms were grouped based on the level of market orientation and were compared. It was revealed that one group had a separate marketing division with specialized marketing personnel and a positive top management philosophy toward market orientation. Firms in this group showed a greater level of performance compared to firms in other groups.     

Conceptualizing CSR as innovative adoption by MNCs from emerging Asian economies

Two frequently researched fundamental factors in the recent business arena are corporate governance and corporate social responsibility (CSR). Though the earlier is globalized in various aspects, the latter is still traditionally identified as a Western practice for corporations. This research paper argues that Multi-national Corporations (MNCs) from emerging economies contribute to their parent country's business dynamics including CSR through “reverse knowledge innovation.” To some extent, CSR is prioritized and implemented in these emerging economies, as their MNCs adopt and diffuse CSR practices domestically through reverse knowledge flows. Based on 10 economies from Asia in terms of CSR adoption, we find that CSR is largely considered a Western business innovation among the emerging economies and their home-grown multinationals are the main vehicle of transfer in this case. This study identifies that there are three different levels of CSR adoption depending on a country's phase of economic development: Luxury, diffusion, and institutionalized. The study thus contributes in terms of a multi-level theory by highlighting a source of CSR variation at the national level in the domain of Asian emerging economies.     

Uncertainty and affluent teenagers’ luxury buying-decision: The role of avoidance-related indecisiveness

Global teen population constitutes a sizable market in the luxury brands industry. However, little is known about the mechanism through which teens form an attitude towards luxury brands, particularly in the context of emerging economies. Drawing insights from self-concept theory, self-discrepancy theory, and social consumption motivation, our study proposes a theoretical framework to explain how teenagers' self-related perception influence social consumption motives through avoidance-related indecisiveness, thereby determining teenagers' attitude towards luxury brands. Using a sample of 610 affluent private school students across five major cities of India, we empirically validate our theoretical framework through structural equation modelling. Our study contributes to the existing literature by demonstrating the impact of teenagers’ self-perception on the display of avoidance-related indecisiveness and resisting social consumption motives of luxury brand purchases.     

Explications of political market orientation and political brand orientation using the resource-based view of the political party

Abstract

This paper adopts the resource-based view of the firm as a platform for an examination of three important political party capabilities: proactive political market orientation, responsive political market orientation, and political brand orientation. We develop a theoretical argument outlining the importance of the complementarity between these capabilities. The approach taken illustrates the links between political market orientation, using what we label as responsive political market orientation, proactive political market orientation, and political brand orientation by building on the marketing literature. We suggest that our treatment of political market orientation is important in helping to understand better its role within the resource-based view of the party. Further, it also aides in understanding political market orientation and branding in political marketing by parties within the context of competitive strategies and electoral performance.     

An Exploratory Cross-Cultural Analysis of Marketing Ethics: The Case of Turkish,Thai, and American Businesspeople

Although a number of studies have shown that corporate social responsibility (CSR) activities often lead to greater organisational performance in western developed economies, researchers are yet to examine the strategic value of CSR in emerging economies. Using survey data from 280 firms operating in Dubai, this study examines the link between CSR activities and organisational performance. The results show that CSR has a positive relationship with all three measures of organisational performance: financial performance, employee commitment, and corporate reputation. These results reinforce the accumulating body of empirical support for the positive impact of CSR on performance and challenge the dominant assumption that, given the weak institutional framework in emerging economies, CSR activities drain resources and compromise firms’ competitiveness.     

Distribution effectiveness through full- and self-service channels under economic fluctuations in an emerging market

Retail distribution is one of the major challenges in emerging economies. These economies are volatile and filled with inefficiencies, and the representativeness of unstructured retail increases the complexity of distribution systems for consumer packaged-goods companies.We analyze 644 brands to extend the existing literature by modeling the retail distribution and market share in an emerging market according to the type of retail channel (full- and self-service channels), moderated by economic fluctuations and the market position of a brand (high- and low-share brands). Our model controls for endogeneity using instrumental variables (IVs) and accommodates heterogeneity across brands and categories by means of a fixed-effects robust regression. Our study highlights that the relationship between distribution and market share exhibits greater convexity in the self-service channel than in the full-service channel. Further, we contribute to the existing research in distribution effectiveness in emerging markets by showing the convex effect of distribution on market share could vary when the economy changes. Distribution gains are more effective in the self-service channel than in the full-service channel in times of economic decline. Also, the results indicate the higher degree of convexity in the relationship between distribution and market share for the self-service channel compared with the full-service channel is increased further for high-share brands than for low-share brands.     

Performance of professional service firms from emerging markets: Role of innovative services and firm capabilities

Professional service firms (PSF) from emerging markets face a financial dilemma: PSFs tend to utilize high-wage labor, yet their emerging market status makes foreign clients cautious regarding quality and less willing to pay high prices. To allay these concerns, PSFs may be able to develop attractive, highly innovative services, but as the resource-based view (RBV) notes, this requires emerging market firms to possess critical capabilities to support such a competitive advantage. Relying on services theory, we propose that entrepreneurial orientation (EO) of management and expert human capital (HC) are critical capabilities, enabling a PSF to develop and market innovative services profitably. In testing our model on 201 Indian PSFs, we find a mediating role for innovativeness whereby EO and HC drive service innovation which, in turn, accounts for financial performance. Further, we find EO positively moderates the innovative service–performance relationship as proactive, risk-tolerant managers improve foreign marketing. Insights for theory and practice are provided that enable PSFs to overcome the constraints and challenges of their emerging market origin.     

Strategic hybrid orientation between market orientation and brand orientation: guiding principles

Strategic orientations underpin the firm’s managerial decisions and influence its performance. Firms can combine multiple strategic orientations to achieve superior performance. Market orientation and brand orientation are well-developed, separate, strategic approaches. A 2013 study conceptually proposed a strategic hybrid orientation comprising two types: (a) market and brand orientation and (b) brand and market orientation. The current study is qualitative, using small-to-medium enterprises to investigate strategic hybrid orientations. Through propositions, the paper explains the theory and processes underlying the two hybrid orientation types. The propositions form the guiding principles for the strategic management of the hybrid orientation. The implications for managerial practice show that quite different capabilities apply to the execution of each strategic hybrid type.     

The Signaling Effect of Corporate Social Responsibility in Emerging Economies

What signals do firms in emerging economies send to stakeholders when they adopt corporate social responsibility (CSR) practices? We argue that in emerging economies, firms that adopt CSR practices positively signal investors that their firms have superior capabilities for filling institutional voids. From an institution-based view, we hypothesize that the institutional environment moderates the signaling effect of CSR on a firm’s financial performance. Based on a sample of firms from ten Asian emerging economies, we find a positive relationship between CSR practices and financial performance. This positive relationship is stronger in the less developed capital market than in the more developed one. The financial benefits of CSR practices are also more salient in the low information diffusion market than in the high one. We emphasize that signaling theory and the institution-based view can jointly contribute to the CSR literature.     

Integrating customer orientation, corporate entrepreneurship, and learning orientation in organizations-in-transition: an empirical study

The paper addresses the issue of interrelationships between market orientation, corporate entrepreneurship, and learning orientation in the context of emerging economies. These three constructs have drawn an increasing level of interest in both marketing and management fields as organizations face challenges in a volatile environment. With a national sample of state-owned enterprises in China, the present study simultaneously tests potential relations between these structural constructs and their relationships with the organizational outcome that is reflected with marketing program dynamism. The findings of this study indicate that: (1) sampled state-owned enterprises demonstrate a higher level of changes in organizational outcome resulted from a stronger customer orientation, corporate entrepreneurship, or learning orientation; (2) learning orientation fully or partially mediates the impact of customer orientation and corporate entrepreneurship on outcome; (3) state-owned enterprises with foreign partnership have a higher level of customer orientation, entrepreneurship, and learning orientation; and (4) state-owned enterprises in the service sector have a higher level of customer orientation.     

Control mechanisms of MNEs and absorption of foreign technology in cross-border acquisitions

This study investigates the impact of control mechanisms exercised by MNEs on knowledge (technology) absorption in cross-border acquisitions (CBAs). The empirical examination was undertaken in Korea, which is a newly industrialized emerging market, where knowledge acquisition from foreign investing firms is particularly important to leapfrog into advanced economies. We find that most of the control mechanisms (i.e., ‘staffing the top management positions’, ‘participation in the policy making and planning process’, ‘interaction of the subsidiary's top management with the MNE’ and ‘participation of foreign expatriates in key functional areas’) have a positive association with organizational learning. In addition, we also uncover that provision of training programs for a fixed period creates more synergy when it is combined with constant and continuous education in daily activities. This study contributes significantly to the body of control mechanism literature and the understanding of CBAs, and also provides practical implications for MNEs intending to enter foreign markets by partially purchasing the equity shares of local firms.     

Macroprudential policies,economic growth and banking crises

Using a sample covering emerging market and advanced economies, we assess the impact of macroprudential policies on financial stability. Our empirical setup is designed to account for the potential direct and indirect effects that macroprudential policies can have on banking crises. We find that while macroprudential policies (MPPs) exert a direct stabilizing effect, they also have an indirect destabilizing effect, which works through the depressing of economic growth. It turns out that mitigating effects of MPPs on the likelihood of banking crises is more pronounced in emerging market economies relative to advanced economies.