Separation versus Affiliation with Partial Vertical Ownership in Network Industries

Abstract

The separation of integrated monopolies and new market entrants has changed vertical interactions between suppliers and dealers. Firms have substituted full integration with vertical restraints, leading to collusive behaviour harmful to competition. We examine how a partial vertical ownership (an affiliation) of one of the competing downstream retailers by the upstream monopoly could help internalise the production decision after a complete divestiture. Our results in a Cournot framework confirm the positive role of partial integration on firms’ profits and consumer surplus in increasing social welfare. These results are consistent with empirical studies of economies after vertical separation in network industries.     

Deterring deviant consumer behaviour: when ‘it’s wrong,don’t do it’ doesn’t work

ABSTRACT

Tactics to deter deviant consumer behaviour have received limited attention in the literature despite deviance being an ongoing problem in the marketplace. Across two studies, the findings suggest there is a heterogeneous response to the rules placed on consumers’ behaviour, which manifests from an absence of consensus among consumers on what is right and wrong behaviour undermining the it’s wrong, don’t do it approach to deterrence. Further, risk perceptions of being caught and punished are low, if not absent, undermining the you will be caught and punished approach to deterrence. Alternate underlying mechanisms were tested and found to influence deviant consumer behaviour (perceived prevalence, perceived outcomes and moral identity), which could underpin alternate deterrence tactics, including social proofing, moral triggers and humanising the victim.     

Does the host match the content? A taxonomical update on online consumption communities

Abstract

This article proposes a taxonomy of online consumption communities in order to address this rather ambiguously conceptualised research field. Specifically, intercommunity differences are investigated with regard to how content focus (brand vs activity) and its congruency with the type of host (doubled vs mixed) affect consumers’ posting behaviour. Based on an online survey (n = 888), a series of regressions of various benefits on posting behaviour supports the usability of the proposed taxonomy. In particular, social benefits had the strongest effect on consumers’ posting behaviour across all communities, while the effects of functional, altruistic and sharing benefits varied in significance and direction of influence when accounting for the different community characteristics. These findings help marketing managers to design online communities and motivate consumers to contribute.     

Pirating Pirates of the Caribbean: The curse of cyberspace

Abstract

This study investigates the factors influencing the ‘illegal’ downloading of films and TV series through peer-to-peer (P2P) networks. Specifically, it examines how social and ethical orientations and attitudes towards downloading impact on downloading intentions. The neutralisation theory and theory of planned behaviour are used to underpin the research framework. The data analysis of 284 usable responses produced several significant relationships. Facilitating conditions, social factors, collectivism, and personal moral obligation were found to predict attitudes towards ‘illegal’ downloading. Social factors, collectivism, personal moral obligation, and attitudes towards ‘illegal’ downloading were also found to influence intentions to download. The findings derived from this study will provide marketers and policymakers with strategic and managerial initiatives to counteract this persistent problem.     

Exploring Factors Influencing the Use of Enterprise Social Networks in Multinational Professional Service Firms

ABSTRACT

Organizations are increasingly implementing enterprise social networks (ESNs) for improved communication and collaboration, as well as enhanced knowledge sharing and innovation among employees. However, the paradoxical relationship between ESN implementation and the promised benefits has been attributed to employees’ underutilization. Our research focuses on factors influencing employees’ decision to use ESN in their work role and draws on case studies of two multinational professional service firms (PSFs) based in Australia. Qualitative data were collected during ten semi-structured interviews with employees from both organizations, to determine their perceptions of ESN usage and capture the factors that influence their use behavior. The findings illustrate that the likelihood of ESN use is significantly influenced by technological, organizational, social and individual factors. A successful ESN use within an organization involves the nexus between these four factors and recommendations are made, as guidelines for organizational actors about how ESNs usage can be increased.     

Examining the influence of different levels of sexual-stimuli intensity by gender on advertising effectiveness

Abstract

Sexual appeals grab attention and elicit emotional responses, yet the existing literature surrounding this area of research has yielded inconsistent findings with regard to their ability to influence consumer liking and preference. Little attention has also been given to investigating sexual appeals beyond the scope of the effects of gratuitous sexual stimuli (nudity), and as such, most of what is known about sexual appeal advertising is centred on the effects of nudity alone. The current study examines sexual-stimuli intensity (explicit vs. mild) in print advertising and assesses its influence on advertising effectiveness and how this varies by gender for Australian consumers. An experiment is conducted as a test of the hypothesised relationships, with findings indicating that the level of sexual-stimuli intensity in print advertising is more effective in influencing consumers’ attitudinal and behavioural responses when depicted at a mild intensity level than at an explicit intensity level. These findings offer important insights for marketers in the design and configuration of sexual appeals used in advertising to maximise the effectiveness of ads to achieve favourable consumer behaviour outcomes.     

Exploring the forms of dysfunctional customer behaviour: A study of differences in servicescape and customer disaffection with service

Abstract

Although wide agreement exists between scholars and marketing practitioners concerning the prevalence of dysfunctional customer behaviour, to date empirical research into this phenomenon is lacking. This article aims to identify empirically grounded categories of dysfunctional customer behaviours and examine the extent to which customers' perceptions of physical servicescape environments, social facets of servicescape, and customer disaffection with service differ for each category. Based on a quantitative sample of 380 consumer perpetrators, cluster analysis reveals three clusters of dysfunctional customer behaviour forms labelled ‘petty norm infringements’, ‘felonious norm infringements’, and ‘belligerent norm infringements’. Subsequent variance analysis assesses the perceived differences between perceived physical servicescape, social servicescape, and customer disaffection for each identified form cluster. Specifically, the study findings reveal statistically significant differences between the forms of dysfunctional customer behaviour that are perpetrated across different service environments. The article concludes with a discussion of the implications of the study for theorists and practitioners.     

Social influence on sustainable consumption: evidence from a behavioural experiment

Although social influence on consumers’ behaviour has been recognized and documented, the vast majority of empirical consumer studies about sustainable products considers mainly, if not only, individual characteristics (socio‐demographic attributes, individual environmental attitudes, etc.), to explain the decision to buy sustainable products. Making use of experimental methods, this paper studies the social influence that peer groups like colleagues, family and friends may exert in the decision to choose for environmentally friendly products rather than conventional ones. We also test for different types of social influence, in particular for ‘herd behaviour’ vs. ‘social learning’. In our experimental setting, the relevance of peer effects is corroborated. We find clear evidence for ‘herd behaviour’ and the data indirectly support the presence of ‘social learning’ effects. The results also suggest heterogeneous impact of specific social groups.     

Observing viewers’ self-reported and neurophysiological responses to message appeal in social media advertisements

PurposeMarketing research mainly uses self-reported method to record respondents' perceptions of creativity, and while self-reported method has its own merits, there exists some critique, particularly in terms of its ability to adequately capture the influence of message appeal on creativity. This paper studies how viewers’ responses to message appeals in social media advertisement compare in terms of self-reported responses versus responses taken through a neurophysiological method of Electroencephalograph (EEG).MethodologyTwo social media advertisements are displayed through a laboratory experiment to 17 subjects observing the subjects' neurophysiological reactions as well as their self-reported responses with regard to the commercials’ emotional, informational, and brand-related content.FindingsResults show that neurophysiological method offers unique details about emotional appeal, which the self-reported method fails to reflect. Furthermore, the neurophysiological measure identifies differences across the two target commercials in the emotional content part, which again are not identified through the self-reported method.OriginalityThis paper advances advertising research in social media literature by comparing content evaluation within advertisement through neurophysiological and self-reported measure. These findings have implications for marketers to use and measure message appeals in advertisement on social media to influence consumer response.     

What shapes adolescents’ attitudes toward luxury brands? The role of self-worth,self-construal,gender and national culture

PurposeThe main growth of the luxury market comes from Generation Z. This study addresses the research gap on the effects of adolescents’ self-construal and contingencies of self-worth (CSW), both extrinsic (social approval and competition) and intrinsic (family support and virtue), on their attitudes toward luxury brands across cultures. The results show that extrinsic domains of CSW (competition and social approval) are associated with more pronounced attitudes toward luxury brands. In contrast, the intrinsic domains of CSW (virtue) are associated with weaker attitudes toward luxury brands. Our model also investigates the effect of two moderators: national culture and gender. This research samples 1087 teenage consumers (343 French, 357 American, and 387 Chilean teens). The paper highlights the contributions of the findings to luxury research, and illustrates their practical value for luxury companies interested in targeting Generation Z from different cultures.     

Reducing household water consumption: a social marketing approach

Abstract

There is increasing pressure for society to move towards more sustainable use of its resources, and calls in the literature have been made to reassess marketing’s role in achieving such goals. This research examines how key behavioural factors influence household water use, in the context of a social marketing programme to reduce household water consumption. A model of the key drivers of household water consumption is developed and tested using a sample of 909 households in a regional city in Australia. The findings from this study support the model developed and show that in the absence of price as a rationing mechanism, the social marketing programme significantly reduces household water consumption.     

Independent decision making of adolescents regarding food choice

The adolescence period is the stage in the life cycle in which individuals begin to develop independent decision making related to their social environment including their dietary intake. The period is fundamental in the development of longer term eating habits that may be reflected in adulthood. This study aimed to investigate the decision‐making process of adolescents and their dietary behaviour in the achievement of a balanced diet and to determine the underlying factors that may affect these choices. To meet this aim, a three phase data collection was utilized. In phase 1, a baseline questionnaire (n = 239) measured factors affecting dietary behaviour and the barriers in the achievement of a balanced diet. Phase two employed and measured respondents’ (n = 235) independent decision making by rating nineteen menu choices which reflected all options of dietary guidelines. This was analyzed through conjoint analysis. In phase three a subsample (n = 55) from the first two phases completed a food map which determined underlying reasons for food decisions and choice behaviour. Results revealed that when adolescents are given free choice they tend to follow an unbalanced diet with some diets raising concerns for their current and future health. Fifty‐seven percent of respondents displayed serious concerns in their dietary choice of which 18% were identified as requiring immediate intervention. The most noticeable factors affecting dietary choice were the desire to eat foods high in fat and carbohydrates and low in fruit and vegetable consumption. Food‐mapping indicated prior knowledge and attitudes had no effect on the choices made but that that behaviour of parents in the preparation of meals at home and peers in the selection of snack choices had the most influence on the unbalanced diet.     

The impact of university brand identification and eWOM behaviour on students’ psychological well-being: a multi-group analysis among active and passive social media users

ABSTRACT

Encouraging students to share positive online reviews should not be regarded only as a marketing tool. This study aims to examine (i) the relationship between positive online reviews behaviour for university and students’ well-being; and (ii) the impact of eWOM behaviour on students’ psychological well-being among active (those who share and read information) and passive (those who only read information) social media users. An online survey was conducted to examine the interplay of university brand identification, positive eWOM behaviour, and university life satisfaction on students’ psychological well-being. Results found that students who share positive reviews about university on social media tend to have better psychological health. This study also revealed that active social media users benefit more in terms of well-being through sharing positive online reviews about their universities. Implications for theory and practice of social media marketing in the higher education context are discussed.     

Emotions and dissonance in ‘ethical’ consumption choices

Abstract

This paper investigates the role of emotions and the prevalence of dissonant/incongruent choice behaviour within the context of ethical consumption. Based on 31 in-depth interviews with British consumers, the findings demonstrate that consumers consciously indulge in ‘ethical’ and ‘unethical’ behaviour (as defined by respondents themselves), often within short time frames, and that they often compensate for unethical choices by making ethical choices later on (and vice versa). The study provides evidence that positive and negative emotions are a key driver of this dissonant behaviour. Guilt is the most salient emotion, and a taxonomy of guilt in this context is derived from the data. Consumers are found to employ guilt-management strategies in order to sustain contradictory behaviour and manage cognitive dissonance. A conceptual framework is derived in order to summarise the observed role of emotions in ethical consumer choice. The paper also provides additional explanations of the manifestation of the attitude–behaviour gap.     

The characteristics and business impact of children’s electronic word of mouth in marketing communications

Abstract

Leading digital technology companies have shown a strong interest in enabling children to send electronic word of mouth (eWOM). Recasting children from passive to active participants in marketing communications, this shift expands children’s marketing practices from how companies influence children via traditional marketing communications, to how children influence companies’ marketing practices through eWOM. We apply the value-capacity-vulnerability framework for children’s expressive rights to the context of children’s eWOM. Using a dataset of Amazon customer reviews written by children under the age of 13, we examine the characteristics and business impact of children’s eWOM. We find that the volume and variance of children’s eWOM are smaller than that of adults’. Children’s eWOM increase the overall diversity of opinions. Although receivers perceive children’s eWOM as less helpful, children’s eWOM valence (i.e. average rating) correlates with that of adults’. Children’s eWOM volume has a product-category-dependent association with product sales: positively in children’s product categories, while negatively in general categories. Children’s eWOM valence and variance are positively associated with product sales in both product categories. Receivers are less likely to criticize children’s eWOM compared to that of adults’, suggesting an underlying protective behaviour towards children among eWOM receivers. These results show that children have the capacity to engage in eWOM of social and business value, with receivers typically mindful of children’s vulnerability in social interactions.     

Normative Influences in Donation Decisions

ABSTRACT

The author examines the role of social and personal moral norms within a charitable giving decision process. Social and moral norms are posited both to directly and indirectly influence charitable-giving decisions. The study confirms the presence of idealistic and egotistic dimensions of moral norms within a charitable-request environment. Post-charitable contribution guilt was also found to be present in both donors and nondonors for markedly irregular charitable-giving encounters, with nondonors experiencing significantly higher guilt. The study explores the theoretical and practical implications of these findings for nonprofit marketers.     

Investigating the factors influencing small online vendors’ intention to continue engaging in social commerce

ABSTRACT

This study investigates the variables that determine small online vendors’ intentions to continue engaging in social commerce. Based on the theory of planned behavior (TPB) and social exchange theory (SET), eight hypotheses were developed to (1) identify the antecedents that influence small online vendors’ attitudes toward social commerce, subjective norms, and perceived behavioral control; and (2) examine the causal relationships among the variables with respect for continuous usage intention. A questionnaire survey was used to collect data on a sample of 166 small online vendor managers and employees. Partial least squares (PLS) was used to validate the proposed model. The findings show that social exchange factors (perceived benefits and commitment) significantly affect small vendors’ attitudes toward social commerce. The results further confirm the validity of TPB, i.e., attitude and perceived behavioral control have significant impacts on continuous usage intention in relation to social commerce. The findings of this study provide important insights into the antecedents of attitude for academics and practitioners, application of social computing in commerce for engaging in service innovation, and have the potential to contribute to the development of effective online marketing strategies.     

The export propensity of Turkish manufacturing and trading house firms∗

A substantial amount of research has been carried out on the export marketing behaviour of firms during the last twenty years. However, most of these studies have looked at the export behaviour of firms in a developed country. The present study examines the export orientation of Turkish manufacturing and trading house firms and tries to differentiate these two types of firms in terms of their export drives. The findings of this study may be applicable to other developing countries which are at a level of economic development similar to that of Turkey.     

The Contingent Value of Entrepreneurs’ Political Capital: Evidence from China

ABSTRACT

Who benefit from a transitioning economy, entrepreneurs who are politically connected or disconnected? Market transition theory and power conversion theory offer two divergent answers. Our study seeks to contribute to this debate by examining the contingent value of entrepreneurs’ political capital. We draw from social network theories and investigate whether and how entrepreneurs’ social networks influence the relationship between their political capital and social mobility. Using the data on Chinese entrepreneurs, we find that the impact of political capital on entrepreneurs’ social mobility is contingent on their network centrality. Practical implications and suggestions for future research are also discussed.     

Evaluating social marketing’s upstream metaphor: does it capture the flows of behavioural influence between ‘upstream’ and ‘downstream’ actors?

ABSTRACT

Metaphors are powerful forms of communication that can both facilitate and constrain disciplinary discourse, so the choice of metaphor used to explain concepts of disciplinary importance should not be undertaken lightly. A single case study methodology involving an ‘upstream’ firm considering whether to manufacture products with environmental attributes was consequently used to test three previously unexamined assumptions associated with the upstream/downstream metaphor, a metaphorical distinction that continues to have sway within the social marketing discipline. Contrary to these assumptions, the flows of behavioural influence between ‘upstream’ and ‘downstream’ actors were found to be bidirectional (rather than unidirectional), interactive (rather than independent), and distinctive (rather than non-distinctive). These findings suggest the need for alternative models that can better reflect the complex, multidirectional relationships responsible for the emergence of many social issues.