Effects of physical environment and locus of control on service evaluation: A replication and extension

As a replication and extension, this study empirically tested Bitner's (1990, Journal of Marketing 54, 69–82) model of consumer service evaluation using Singaporean subjects. It investigated the effects of a service failure, physical environment, and attribution on customer evaluation of and satisfaction with the service. The experimental findings showed that consumers engaged in causal inferences when they evaluated the service. Specifically, in cases of service failure, consumers were more dissatisfied when they perceived that the service firm had more control over the cause, and when the failure was recurring vis-à-vis a rare event. Consumers also tended to attribute service failure to a lack of control on the part of the service firm when the failure occurred in a more pleasant environment. The results also showed that satisfaction with the service resulted in perception of higher service quality. Although the physical environment affects perception of service quality, it was mediated by attribution and satisfaction.     

Measuring the Perceived Quality of Professional Business Services

Professional firms serving business clients are recognizing the need for improved quality services. Unfortunately, measures of professional service quality have proven difficult to develop. This paper reports on the use of SERVQUAL, an instrument commonly used to assess consumer perceptions of service quality. This instrument was employed with a sample of business owners who were asked to rate the quality of service received from their accounting firm. Although several dimensions of the scale proved useful, additional quality related factors emerged from the analysis.     

Firm Resources and Host‐Country Factors Impacting Internationalization of Knowledge‐Intensive Service Firms

In the era of the global economy, knowledge‐based services are becoming important sectors of the service industry. Services offered by a university are knowledge‐based services. Universities are in the service business, and they play a key role in creating and disseminating knowledge through teaching, research, and related services that cross domestic borders. The current research focuses on the internationalization of US MBA programs. The internationalization of US MBA programs refers to the delivery of knowledge‐based services beyond the domestic borders. The main objective of our research is to examine the effect of an organization's (e.g., a US business school) resources and a host country's attractiveness on the internationalization of knowledge‐based services offered by a firm (a US business school). Using data gathered from MBA programs of US colleges and universities, theÊstudy findings show that internationalization is influenced by human capital, prestige and reputation, management's willingness, and foreign market attractiveness. The results of this study offer practical insights for US business school leaders. © 2014 Wiley Periodicals, Inc.     

Interactional service failures in a pseudorelationship: The role of organizational attributions

The current research investigates customer responses to interactional service failures, such as a service provider who is rude or inattentive, or unfriendly. We study interactional failures within pseudorelationships, which exist when a customer interacts repeatedly with the same firm but encounters different employees across service occasions. Empirical results demonstrate that customers’ responses to these interactional failures distinguish between the offending employee and the organization. Dissatisfaction with the organization critically depends on the customer's attribution of globality—how widespread the interactional failure is throughout the organization. Globality attributions and dissatisfaction with the organization can be lowered by excellent past experience with the organization; however, that same positive experience increases dissatisfaction with the offending employee. Thus, customers’ discrimination of the organization and employee in a pseudorelationship can work in the organization's favor after an interactional failure, and managing customers’ attributions of globality should be a managerial priority.     

Impact of actual service provider failure on the satisfaction with aggregator

The purpose of the paper is to investigate the impact of the failure caused by the actual service provider on consumer satisfaction with the aggregator firm, where the aggregator firm works as a bridge between the consumers and the actual service providers using technology, resources, information etc., thus reducing the information search cost, process-related costs, and quality risks for the consumers. We have applied retrospective experience sampling to collect data and used structural equation modeling to validate the conceptual model of the study. We found that people consider the actual service provider’s failure as the aggregator firm’s responsibility when the attributional factors (control and stability) are strong. Moreover, when consumers perceive that the aggregator firm is responsible, they will ask for less punishment of the actual service provider and more monetary compensation. Additionally, severity of the failure increases the consumer’s recovery expectations. However, the sense of power of the consumers leads to increasing expectations of punishment of actual service provider and decreasing expectations of monetary compensation. Lastly, the actual monetary compensation or actual punishment of the service provider leads to higher level of satisfaction for the consumers. We discussed the implications of the results in the light of relationship management and service recovery design of aggregator firms.     

The attribution of service failures: effects on consumer satisfaction

The aim of this paper is to analyse the effects of the attribution of service failures on consumer satisfaction. We analysed direct effects as well as indirect effects through cognitive processes and variables such as quality perceptions and overall quality evaluation. Basing the analysis on the attribution theories and information processing theories, four hypotheses are suggested. These are tested on a sample of 293 service encounters in which some type of failure is present (attributed to the firm or to some environmental factor). The results show that the attribution of the failure to the service firm causes a systematic reduction in all of the quality perceptions (even in service aspects not linked to the failure). But attribution also shows direct effects on satisfaction beyond the effect through perceptions. Attitude-based processes as well as attribute-based processes are affected by attribution.     

Strategic business and network positioning for internationalisation

Despite growing research interest in the internationalisation of professional service firms, little research has investigated the implications of home market business positioning for network positioning in professional service firm internationalisation strategy. This paper develops theory in the service industries by investigating strategic positioning in professional service firm internationalisation through analysis of a case survey of 53 architectural practices. The results of this empirical analysis allow us to develop a configuration analysis of strategic positioning for professional service firm internationalisation as the principal theoretical contribution of this paper.     

Moderating effect of discriminatory attributions on repatronage intentions

This research investigates the role of social context at the time of a service failure. The negativity of the service failure has the potential to escalate when consumers who are part of a traditionally stigmatized group believe the service failure to be a purposeful event brought on by physically observable differences in appearance. A small exploratory study and two large scale data collections are conducted to validate a measure of transaction specific attributions of discrimination (TSAD) to enhance our understanding of the issue. The moderating effect of TSAD is demonstrated on repatronage intentions to the service firm.     

Knowledge,Human Resources and Social Practice: The Knowledge-Intensive Business Service Firm as a Distributed Knowledge System

The knowledge base of firms is intrinsically linked to the knowledge of their employees. This is particularly the case in knowledge-intensive business services, where the production of services is almost entirely dependent on the ability of the firm to make use of the knowledge of the employees. Applying a distributed knowledge system view of the firm helps us understand that how knowledge is created is more important than what knowledge the firm and its employees have. This article presents findings from a case study of a large Danish knowledge-intensive business service firm. It turns out that knowledge not only resides in the minds of individual employees but also that it is constructed in the social interaction between members of teams.     

Strategic planning using service roadmaps

Although useful service planning tools exist, few focus on how to integrate service planning into business and technology planning from a longer perspective, which is essential for a firm to survive and grow in the current and future service environment. We suggest that technology roadmaps, initially developed as a long-term strategic planning tool in the manufacturing sector, can be a good solution for the service sector – and indeed are in use in the service sector under the label ‘service roadmaps'. To help more firms enjoy the benefits of the service roadmap concept, this research aims to develop a taxonomy of service roadmap forms. We investigate 93 service roadmaps and identify five dominant types. Then, we analyze the characteristics of each type to understand their current and possible future uses. Our research findings are expected to facilitate the wider use of service roadmaps as a complement to existing service planning tools.     

A theory of serial entrepreneurship

The contribution of serial entrepreneurs to entrepreneurial activity is significant: in Europe, 18–30% of entrepreneurs are serial; in the US, their contribution is about one-eighth. Yet, theories of entrepreneurship and industry dynamics presume that all firms are launched by novice entrepreneurs and firm failure is synonymous with exit from entrepreneurship. We propose a theory of serial entrepreneurship in which an entrepreneur has three occupational choices: maintain his business in operation, shut it down to enter the labor market to earn an exogenous wage, or shut it down to launch a new venture while incurring a serial startup cost. In equilibrium, a high-skill entrepreneur shuts down a business of low quality to become a serial entrepreneur, launching and subsequently closing firms until a high quality business is found; a low-skill entrepreneur shuts down a business of low quality to enter the labor market, never to become a serial entrepreneur. A decrease in the wage or serial startup cost, or an increase in the startup capital, enhances the contribution of serial entrepreneurs to entrepreneurial activity and promotes new firm formation (by increasing entrepreneurship and the number of new firms that survive), but its effect on the exit rate of new firms is ambiguous. We show the model is consistent with evidence relating to the impact of an entrepreneur’s characteristics and prior experience in entrepreneurship on the survival of his firm and his entry into and survival in entrepreneurship.     

When are strategic orientations beneficial for collaborative service innovation?

Despite the importance of collaborative innovation, the existing literature tends to be somewhat vague in identifying when strategic orientations are beneficial for service innovation between a focal firm and its business partners. The purpose of this study is to examine the relative effects of four strategic orientations (market, service, interaction, and learning) on collaborative service innovation performance, while considering the contextual factor of service offerings (basic installed base, maintenance, operational, and professional). Results based on survey data from 362 paired B2B firms show that learning orientation has the strongest effect on collaborative service innovation performance, and is the most effective for basic installed base services and maintenance services. In contrast, interaction orientation best supports those firms with operational services, while market and service orientations are more effective for professional services. Managers are advised to consider alternative strategic orientations individually aligned with service offerings to achieve desired collaborative service innovation outcomes.     

White response to potentially discriminatory actions in a services setting

Discrimination in the marketplace is a significant problem for many blacks and for service providers. However, recent research suggests that some whites may respond similarly to blacks when they witness what they perceive to be a discriminatory act in a service encounter. Using an experimental design methodology, this research investigates the extent to which this occurs. The degree to which an observing customer values the other customer's welfare and feels empathy has been found to explain differences in service failure perceptions among white study participants. White participants high in empathy for blacks were found to react similarly to blacks relative to the inherent negativity of the service failure. This suggests that a service failure involving black customers that hints of discrimination has a greater overall impact on the long‐term success of the service firm than originally envisioned. © 2011 Wiley Periodicals, Inc.     

The impact of industry 4.0 on the 2017 version of the Uppsala model

The emergence of Industry 4.0 offers firms internationalization opportunities employing digital platforms and emerging technologies. Relying upon the Uppsala model as applied in light of a firm case study, we contribute to the validity of the Uppsala model 2017. We respond to the counterpoint by Coviello, Kano, and Liesch (2017) to the Uppsala 2017 model, answering the question, What is the impact of Industry 4.0 on the validity of the 2017 version of the Uppsala model? This study builds on a qualitative research methodology through a single case study of Delivery Hero, a global service provider firm. We adopt an extensive longitudinal approach to understand a startup firm’s digital business concept and business evolution, including its internationalization paths. We conclude that the mechanisms of the Uppsala model are valid, but their characteristics have changed by digital and globalized value-adding processes. The dynamic capabilities possessed by the founding entrepreneur turn out to constitute a critical micro foundation for the firm’s international business success. Our findings explain these change mechanisms, illustrating the stepwise progression process led by entrepreneurial decision-making. Industry 4.0 technologies have changed the very manner by which ?rms arrange their value-adding activities with their business stakeholders in course of the firm’s internationalization. By relying on reasonable business targets, algorithms, and data management systems, real-time market monitoring enables international startup firms to learn and adopt local identities faster, thereby efficiently alleviating liabilities of foreignness.     

Inter-firm relational resources in cloud service adoption and their effect on service innovation

This study examines (1) inter-firm relational resources for cloud service adoption and (2) their effects on service innovation. A research model and the related hypotheses are developed based on resource-advantage (R-A) theory that combines inter-firm relational resources identified in theoretical and empirical research as important antecedents of cloud service adoption and its effect on service innovation. This study collects data from 165 managers from service firms in Taiwan. The results show that resources, including reliability, cost, and compatibility significantly affect a firm’s cloud service adoption. Furthermore, the adoption of cloud service significantly contributes to service innovation. The findings add to the current understanding of service innovation in two important ways. First, drawing on R-A theory, this study is among the first attempts to identify inter-firm relational resources (reliability, cost, compatibility, and customer orientation) for cloud service adoption and their effect on innovation performance. Second, this study introduces cloud services as effective technological platforms for a firm and its business partners to share, integrate, and reciprocate information, knowledge, and experience for service innovation.     

A measurement model for service capability from the customer perspective

This study develops a model to construct three quantitative indices for service capabilities from the customer perspective. The concept is derived from process capability indices which have been widely used to measure process capability and performance in manufacturing. This model expands their use in services by incorporating Taguchi’s quadratic loss function, zone of tolerance, and three-factor theory. To demonstrate the efficacy of the proposed indices, a case study of a telecom business was performed to assist the case firm in realizing the service capability of key factors for improving future service quality.     

Process of customer interaction during new service development in an emerging country

Globalization has a major impact on the practice of innovation across a wide range of service industries. Yet, only limited attention has been paid to the issue of service innovation in a global context. To address this critique of the literature, a case study of new service development and customer interaction was conducted in a multinational financial services firm based in the USA. The case study investigates the development of new services with inputs from company's customers in India. It also traces the roles of local Indian subsidiary and local managers in developing and managing the overall service innovation process.     

What drives customer engagement after a service failure? The moderating role of customer trust

This study investigated the relationships between complaint handling, customer experience, and customer engagement, as well as the moderating effect of customer trust prior to a service failure. The results were obtained from 320 Indonesian consumers of courier, express, and parcel services. Favourable employee behaviour was found to be the most effective complaint handling effort that influenced customer experience, followed by organizational procedures and then compensation, indicating that positive customer experience led to customer engagement. Additionally, this study revealed that higher levels of customer trust prior to a service failure reduced the positive effects of complaint handling efforts on customer experience. This finding suggests that customers with higher levels of trust in a firm are less sensitive to that firm's complaint handling and recovery efforts. This article contributes to the literature on customer engagement in the service failure and recovery contexts, especially in developing countries. It examines the most influential complaint handling dimensions for predicting customer engagement following service failures. Furthermore, this study is one of the first to explore the moderating role of customer trust in service failure and recovery literature.     

服务供应链的结构创新模式——一个案例研究

服务供应链管理是近年来国际供应链管理研究领域中一个较为新型的课题。本文以陕西鼓风机有限公司（陕鼓）为研究对象,运用案例研究的方法,探索服务供应链的结构模式与创新特点。通过对比制造供应链和服务供应链的不同点,提出服务供应链的整体结构包括网络结构、业务流程和管理成份三部分。在此理论基础上结合案例研究,总结出服务集成商成功的关键要素,即高层次的信誉资产和能力、寻求整合机会和综合效益、建立良好的社会资本、控制和结合产品供应链以及重视融资和资金管理。由此,充分验证了服务供应链这一创新模式,并进一步指导了服务集成商的运作与管理。     

Consumer Reactions to Unethical Service Recovery

Ethical business practices have been widely prescribed, but why? Consumer’s views on unethical business practices have been studied, but possibly more important to marketers and researchers are consumer actions and reactions to unethical business practices and the businesses themselves. Do consumers react negatively, or in such a way as to "punish" the unethical business? If so, what is the nature and extent of the punishment? This research seeks answers to these questions by examining consumer reactions, such as complaining and switching, to instances of unethical business practices. Using equity theory, this research proposes that consumers should be willing to tolerate some unethical behavior as long as they feel their investments and outcomes remain proportionately equal. Consumers who perceive that their outcome/investment ratio is proportionately unequal to their comparison other will respond by switching or complaining. In this research consumers were exposed to two types of service failures with different levels of service recovery in vignettes. Costs incurred by the consumer during the service transaction were also manipulated in the vignettes. Significant differences were found for complaint behavior in the failure recovery vignettes tested. Specifically, voice complaint was higher in the high cost service encounters in both types of services tested. The recovery attempt used (ethical, unethical, or none) led to significance differences in the variables of complaint, voice complaint, satisfaction, and quality. Higher satisfaction and quality ratings were found for the ethical recovery attempt and higher intentions to use complaint and voice complaint in the unethical recovery attempts. One significant interaction between cost and recovery attempt was found. Intentions to use voice complaint were higher in the high cost situations of ethical and unethical recovery, while approaching equality at the no recovery attempt.