The role of Internet auctions in the expansion of B2B markets

In the wake of the advent of the World Wide Web, businesses are scrambling to take advantage of changes in their markets. While the consumer side of the Web explosion has been much touted, it is the business-to-business (B2B) market that has quietly surpassed expectations. An important business model that is responsible for this new market expansion is the Internet or Web auction. Businesses are adapting traditional auctions to the instantaneous “real-time” advantage of the Net to reach new markets that were previously cost-prohibitive by reducing transaction costs. Advantages such as the size and scope of the audience are giving Internet auctions a major role in the emerging global economy. This article examines the enormous impact of Internet auctions on B2B markets. We look at the kinds of auctions being conducted and their relevance to emerging business paradigms. We examine the circumstances under which you choose to conduct Web auctions and their impact on pricing mechanisms, information asymmetries, and channel relationships.     

SMEs and artificial intelligence (AI): Antecedents and consequences of AI-based B2B practices

Development of small and medium enterprises (SMEs) is a key approach to achieving economic growth in the Middle East and successful adoption of technology is vital for SMEs' success and continuity. Artificial intelligence (AI) is part of a new generation of technologies that can facilitate competitive advantage but currently there is a lack of evidence regarding AI applications in relation to B2B SMEs in Middle East countries. Therefore, this study empirically examines antecedents to, and consequences of, successful acceptance of AI practices by B2B SMEs in Saudi Arabia. A conceptual model based on the technology-organisation-environment framework is developed which considers the impact of AI enablers and AI readiness on the acceptance of AI practices, and the impact of this on relational governance, performance, and SMEs' AI-based business customer interaction. The conceptual model was tested using structural equation modelling of survey data collected from B2B SMEs (n = 392). The results showed that, of the AI enablers, acceptance of AI practices was significantly influenced by both technology roadmapping and attitude but not professional expertise. Of the AI readiness variables, acceptance of AI practices was significantly influenced by infrastructure and awareness but not technicality. The acceptance of AI practices was found to significantly affect AI-enabled relational governance and performance, and SME's business customer AI-based interaction. This study provides a broader base for theoretical and practical understanding of issues related to AI practices in SMEs and the B2B sector in general.     

Comparison of benefits of radio frequency identification: Implications for business strategic performance in the U.S. and Korean retailers

This study explores a model to compare the benefits of RFID technology on supply chain management by focusing on retail industry. A path model was estimated to examine structural relationships among technological infrastructure, RFID benefits, and business strategic performance in the U.S. (n = 70) and Korean samples (n = 87). Result showed that technological infrastructure was required to more improve inventory management, store operation and demand management, leading to business strategic performance. Especially, data system automation was perceived as a prerequisite for improving inventory management for both countries. Hardware/software application was significantly related to the RFID benefit of inventory management for U.S. retailers, whereas, it was related to the benefits of efficient store operation and demand management for Korean retailers. Business strategic performance was significantly determined by RFID benefit factors (e.g., inventory management and demand management) for U.S. retailers and Korean retailers. The managerial implication for business to business strategic performance in the U.S. and Korean retail industries was discussed from a retailer's perspective.     

Harnessing marketing automation for B2B content marketing

The growing importance of the Internet to B2B customer purchasing decisions has motivated B2B sellers to create digital content that leads potential buyers to interact with their company. This trend has engendered a new paradigm referred to as ‘content marketing.’ This study investigates the organizational processes for developing valuable and timely content to meet customer needs and for integrating content marketing with B2B selling processes. The results of this single case study demonstrate the use of marketing automation to generate high-quality sales leads through behavioral targeting and content personalization. The study advances understanding of the organizational processes that support content marketing and shows how content marketing can be combined with B2B selling processes via marketing automation in ways that achieve business benefits.     

Study on the influencing of B2B parasocial relationship on repeat purchase intention in the online purchasing environment: An empirical study of B2B E-commerce platform

With the meteoric progress of digital technology and the advent of network economy, there has been increasing interest in the business model of purchasing with B2B network among B2B e-commerce platforms and customer firms. Based on the perspective of parasocial relationship and dual-process theory, this study constructs a model of cognitive and emotional influences on customer firms' behavior, and analyzes the influence of features of entrepreneur endorser and online purchasing platform on B2B parasocial relationship, and how this relationship can affect repeat purchase intention. Furthermore, this paper examines the moderating effect of trust in the relationship between B2B parasocial relationship and repeat purchase intention. Findings indicate that perceived interactivity and trustworthiness of entrepreneur endorser and the service and product quality of online purchasing platform have a positive impact on B2B parasocial relationship. B2B parasocial relationship has a significant and positive impact on repeat purchase intention, while trust moderates the relationship between B2B parasocial relationship and repeat purchase intention.     

A comparison of social media marketing between B2B,B2C and mixed business models

This paper explores the implicit assumption in the growing body of literature that social media usage is fundamentally different in business-to-business (B2B) companies than in the extant business-to-consumer (B2C) literature. Sashi's (2012) customer engagement cycle is utilized to compare organizational practices in relation to social media marketing in B2B, B2C, Mixed B2B/B2C and B2B2C business models. Utilizing 449 responses to an exploratory panel based survey instrument, we clearly identify differences in social media usage and its perceived importance as a communications channel. In particular we identify distinct differences in the relationship between social media importance and the perceived effectiveness of social media marketing across business models. Our results indicate that B2B social media usage is distinct from B2C, Mixed and B2B2C business model approaches. Specifically B2B organizational members perceive social media to have a lower overall effectiveness as a channel and identify it as less important for relationship oriented usage than other business models.     

E-purchasing: profiles of adopters and nonadopters

As advancement in electronic commerce (EC) continues to revolutionize today's business practices, it became apparent that EC has become an integral part of the business landscape. EC generated a high level of interest because of its ability to expedite the purchase ordering process, simplify purchase payment, expand supplier bases, reduce paperwork, and eliminate order errors. Realizing such managerial benefits, a growing number of purchasing organizations are exploring the possibility of utilizing e-purchasing systems. This paper identifies contextual variables (e.g., organizational readiness, user characteristics, and information technology [IT] infrastructure) that influence the successful adoption of EC for business-to-business (B2B) purchasing by examining the differences in survey responses between adopters and nonadopters of e-purchasing.     

Antecedents and consequences of the quality of e-customer-to-customer interactions in B2B brand communities

The opportunities that interactions in business-to-business (B2B) brand communities offer companies as well as brand community members have already been recognized by B2B firms, but are still an underexplored field of B2B academic marketing research. To provide a first step in analyzing B2B brand communities, we develop a conceptual framework of the quality of customer-to-customer (C2C) interactions in B2B brand communities by drawing on several theories and concepts (e.g., social exchange theory, uses and gratifications approach and value-in-the-experience). Based on an online survey (n = 330) spanning three virtual B2B brand communities in the IT-sector, we test our framework using structural equation modeling. Our results reveal that brand trust has a positive impact on brand community trust. Brand community trust leads to an increase in the quality of C2C interactions in B2B brand communities. Furthermore, we demonstrate that the quality of C2C interactions in B2B brand communities has a positive impact on functional, experiential, and symbolic brand community benefits, which, in turn, foster brand loyalty.     

Artificial intelligence as an enabler of B2B marketing: A dynamic capabilities micro-foundations approach

Over the past few decades research has predominantly focused on the technical aspects and theoretical challenges of Artificial Intelligence (AI). With the deluge of data and the increase in processing power, businesses are now facing the challenge of how to deploy AI that generates business value. In this direction, there is still nascent research on how AI can be leveraged in for B2B operations, and particularly marketing. To address this gap, this study draws on the dynamic capabilities view of the firm and specifically on the micro-foundations approach and builds on three selected case studies of large organizations in Norway that use AI for B2B marketing purposes. The study identifies a number of AI-specific micro-foundations of dynamic capabilities, essentially highlighting how organizations can use AI to manage B2B marketing operations in dynamic and uncertain environments. This study also identified several key cross-cutting elements emerging from the data, demonstrating how some key concepts are inter-related and how they affect overall business value.     

Health-related attitudes as a basis for segmenting European fish consumers

This paper identifies and profiles consumer segments based on health-related attitudes. Cross-sectional data were collected in 2008 through a pan-European consumer survey (n = 2400) with samples representative for age and region in France, Poland and Spain. Four distinct consumer segments based on health-related attitudes are identified: low interest in healthy eating consumers (29.4%), positive health enthusiasts (28.2%), health strivers (35.0%) and health uninvolved (7.4%). The segments differ significantly with respect to fish consumption, attitudes and knowledge about the health benefits of fish, interest in potential informational cues when purchasing fish, and individual socio-demographic characteristics. The segment low interest in healthy eating is characterised by younger age, more males, higher BMI, low fish consumption and low interest in information, and herewith emerges as a relevant though difficult to reach segment from a food and health policy perspective. Positive health enthusiasts and health strivers have a strong involvement with food, and a strong interest in healthy eating. Both segments have a very favourable disposition towards fish consumption, which would fit with their focus to either stay healthy (positive health enthusiasts) or improve their current health status (health strivers). Health uninvolved consumers do not care strongly about health in general; though attach high importance to eating healthily.     

Understanding B2B and the Web: the acceleration of coordination and motivation

This paper explores business-to-business (B2B) marketing on the Internet, and how the confluence of the two may transform the B2B landscape. Specifically, it discusses the notion of linkage value to demonstrate why the B2B phenomenon on the Internet is so significant. It then considers the mechanisms and enablers that have made the Web such an important B2B marketing channel. It also explores how the Web can reduce transaction costs, thereby facilitating more efficient exchanges and markets. The concepts of links and nodes are then introduced and the processes of disintermediation, reintermediation, disaggregation and reaggregation are explored. Finally, Web B2B configurations are considered by way of a model that describes four archetypal configurations, and the factors that are antecedent to these modes and how the Web may influence them.     

Setting B2B digital marketing in artificial intelligence-based CRMs: A review and directions for future research

The new business challenges in the B2B sector are determined by connected ecosystems, where data-driven decision making is crucial for successful strategies. At the same time, the use of digital marketing as a communication and sales channel has led to the need and use of Customer Relationship Management (CRM) systems to correctly manage company information. The understanding of B2B traditional Marketing strategies that use CRMs that work with Artificial Intelligence (AI) has been studied, however, research focused on the understanding and application of these technologies in B2B digital marketing is scarce. To cover this gap in the literature, this study develops a literature review on the main academic contributions in this area. To visualize the outcomes of the literature review, the results are then analyzed using a statistical approach known as Multiple Correspondence Analysis (MCA) under the homogeneity analysis of variance by means of alternating least squares (HOMALS) framework programmed in the R language. The research results classify the types of CRMs and their typologies and explore the main techniques and uses of AI-based CRMs in B2B digital marketing. In addition, a discussion, directions and propositions for future research are presented.     

Association of financial or professional conflict of interest to research outcomes on health risks or nutritional assessment studies of genetically modified products

Since the first commercial cultivation of genetically modified crops in 1994, the rapidly expanding market of genetically modified seeds has given rise to a multibillion dollar industry. This fast growth, fueled by high expectations towards this new commercial technology and shareholder trust in the involved industry, has provided strong incentives for further research and development of new genetically modified plant varieties. Considering, however, the high financial stakes involved, concerns are raised over the influence that conflicts of interest may place upon articles published in peer-reviewed journals that report on health risks or nutritional value of genetically modified food products. In a study involving 94 articles selected through objective criteria, it was found that the existence of either financial or professional conflict of interest was associated to study outcomes that cast genetically modified products in a favorable light (p = 0.005). While financial conflict of interest alone did not correlate with research results (p = 0.631), a strong association was found between author affiliation to industry (professional conflict of interest) and study outcome (p < 0.001). We discuss these results by comparing them to similar studies on conflicts of interest in other areas, such as biomedical sciences, and hypothesize on dynamics that may help explain such connections.     

Involving purchasing in new product development

Purchasing is evolving into a strategic business activity and thus also a potential contributor to the successful development of new products. However, the literature on the involvement of purchasing in new product development (NPD) is sorely lacking. We conducted an exploratory study to investigate purchasing's involvement in NPD, the drivers of this involvement and the influence on new product success. We conducted telephone interviews with purchasing and NPD managers from 43 firms. The results show that firms differ in the extent to which they involve purchasing in NPD and that higher involvement has a positive effect on NPD performance. R&D managers can use the results to design a more effective purchasing–R&D interface and increase the success of NPD.     

Optimal pricing and order policies with B2B product returns for fashion products

We study optimal pricing and order policies in supply chain management of fashion products (e.g., a fashion apparel category) with consideration of product returns between supply chain partners (B2B). In order to study channel performance and optimal policies, two stochastic models for centralized channel and decentralized channel are, respectively, developed to handle new fashion and off-season product sales. In the centralized channel, closed-form solutions for optimal order and pricing decisions are proposed for new fashion products. Further, in a decentralized channel, the Stackelberg game model is proposed to derive the optimal Stackelberg equilibrium solution, and then a buy-back contract is designed to coordinate the channel. We also perform parameter analysis on performance of the two channel models. Numerical analysis is finally presented to validate our theoretical results and compare channel performances.     

Does corporate social responsibility matter even in the B2B market?: Effect of B2B CSR on customer trust

This study attempts to understand how Corporate Social Responsibility (CSR) positively influences the quality of business relationship in the business-to-business market. The purpose of this article is to suggest the CSR model in the B2B context. First, this study discerns two dimensions of firms' CSR activities based on the previous studies in B2B area - Business CSR and Altruistic CSR. Furthermore, we tried to investigate the CSR activities affecting the result of the development of business relationships (economic and non-economic factors) and customer trust as a relationship performance in the B2B market. Managerial implications and limitation of the study were also discussed.     

Developing benchmarks to capture relative performance for sales force incentives decisions: Lessons from B2B insurance industry

Performance-based incentives are widely used in B2B sales; however, sales managers find it challenging to customize such incentives. In response, we propose a new methodology to assess salespeople's capability using performance history data. To evaluate relative performance, we filter out the impact of systematic factors of job characteristics (e.g., channel type, territory, and market size). Therefore, by providing appropriate benchmarks, our approach captures the idiosyncratic component of performance, allowing a direct comparison of a salesperson with other counterparts in the firm. We also account for prospective customer characteristics that let us distinguish between competent salespeople and those fortunate enough to have a customer mix with a high predisposition to buy. Using a data set of automobile insurance sales to small business owners in the U.S., we model salesperson performance as consisting of three stages: generating leads, converting leads to customers and upselling. Our output, a “grade card” for each salesperson, contains metrics that can aid managers in setting individual level performance goals, in deciding who should be rewarded or let go, and in diagnosing salespeople's strengths and weaknesses. Our easy to implement methodology is useful for a wide variety of applications, wherever relative performance needs to be judged.     

Sales contest research: Business and individual difference factors affecting intentions to pursue contest goals

Calls for sales contest research (1980/81 and 1998) suggest glaring holes in our knowledge of how to design appealing contests, whether and to what extent contests motivate salespeople, and the types of behaviors contests provoke. This study adds to our knowledge of the relationship between sales force attitudes for sales contests and intention to pursue the contest by exploring the effects of business type, demographic, and psychological variables on this relationship. Using surveys and a sorting task for several sales contest designs, a national sample of a firm's multi-business unit sales force (n = 620) provided the data for our study. A replication with two additional companies confirms that intention to pursue sales contest goals is affected by several variables, particularly for consumer/commercial salespeople. The findings and ensuing discussion provide contest planners useful direction for anticipating likely sales force responses to sales contests.     

Experience as a moderator of involvement and satisfaction on brand loyalty in a business-to-business setting 02-314R

This paper examines the relative influence of two key antecedents of brand loyalty—satisfaction and involvement and the moderating role of experience, using a sample of business buyers. The central argument of this paper is that the strength of the effect of these variables on attitudinal brand loyalty will vary with the level of customer experience with purchasing the service. Building on previous research which examined low-risk, customer product settings [Kim, J., Lim, J.S., & Bhargava, M. (1998). The role of affect in attitude formation: A classical conditioning approach. Journal of the Academy of Marketing Science 26 (2): pp. 143-152; Shiv, B., & Fedorikhin, A. (1999). Heart and mind in conflict: The interplay of affect and cognition in consumer decision-making. Journal of Consumer Research 26: 278], this study shows that for a high-risk setting, involvement with the service category will be more dominant in its influence on brand loyalty than satisfaction with the preferred brand. Furthermore, it was found that experience moderated the influence of involvement and satisfaction on attitudinal brand loyalty for a high-risk business-to-business service. This study provides new insights into the theory and practice of buyer behavior and business-to-business brands.