Consumer evaluations of different promotion types and price presentations: the moderating role of promotional benefit level

The effects of promotion type (i.e., price discounts and bonus packs) and price presentation (i.e., dollars and percentages) across promotional benefit levels were investigated in three experimental studies. The results suggest, for the products considered, that price discounts and bonus packs were valued similarly for both low and moderate promotional benefit levels, while price discounts were preferred when high promotional benefit levels were employed. Additionally, promotions presented in percentage terms were preferred when the benefit level was high. The implications of these results for retailers and manufacturers are that percentage price presentations should be used when large discounts are being offered. Furthermore, it appears that bonus packs are a viable alternative to price discounts when promotion levels are small or moderate since they have less of a deleterious effect on the brand.     

Firm capability and performance in China: The moderating role of guanxi and institutional forces in domestic and foreign contexts

This study examines the moderating effects of institutional forces on the capabilities–performance link by combining the resource-base view and institutional theory. From a survey of 324 Chinese manufacturers, this study tests the impacts of the importance of guanxi (an informal institutional factor) and legal support (a formal institutional factor) on the performance advantages of firm capabilities. The results indicate that both marketing and technology capabilities relate positively to performance, but the performance advantage of technology capabilities is less prominent when guanxi is important and the legal system is ineffective. In addition, guanxi importance strengthens the performance advantage of domestic firms' marketing capabilities but reduces that of foreign firms' marketing capabilities in China.     

The role of consideration sets in brand choice: The moderating role of product characteristics

This study investigates the role of consideration sets in brand choice. Brand‐level aggregated data are used to capture the responses of consumers who face a number of international and domestic brands in markets rather than two or three brands in experimental designs, as in Chaudhuri and Holbrook (2001). Empirical evidence from path analysis shows that the consideration set for hedonic products includes a smaller number of dominant brands, whereas the consideration set for utilitarian products includes more and diverse brands. The probability of being finally chosen from the consideration set differs according to product characteristics: hedonic vs. utilitarian. The authors discuss managerial implications and suggestions for future research. © 2009 Wiley Periodicals, Inc.     

Brand personality inference: The moderating role of product meaning

Abstract

This study draws on categorisation theory to investigate how consumers make brand personality inferences. Its purpose is to determine the basic category at which consumers make brand personality inferences and whether this level varies for functional and symbolic products. Experimental results show that the basic level of categorisation for brand personality inferences is the brand level for symbolic products and the product type level for functional products. These findings suggest that managers may have less latitude to adopt diverse personalities for functional than symbolic products. The study also demonstrates that, in contrast to prior work, future research on brand personality should consider a wider range of sources of personality.     

Differentiated consumer forgiveness for different corporate social irresponsibility domains: The moderating role of corporate reputation and patriotism

The extant literature has generally overlooked the differentiated consumer forgiveness regarding corporate social irresponsibility (CSI). Motivated by this, we introduce the construct of patriotism and propose a model (applicable to domestic enterprises in China) to investigate the moderating effect of patriotism and corporate reputation on the relationship between CSI domains (must-be and attractive) and consumer forgiveness; and such effect is mediated by moral judgment. An experiment that uses 483 actual consumers in China as participants was conducted. We find that the must-be CSI has a greater negative impact on consumers than the attractive CSI, and consumers are less likely to forgive the must-be CSI. Meanwhile, moral judgment plays a mediating role in the differential effects of different CSI domains on consumer forgiveness. In addition, high corporate reputation has a buffer effect on both CSI domains for consumers with high patriotism, and has a boomerang effect on the must-be CSI and a buffer effect on the attractive CSI for consumers with low patriotism.     

Socio-cognitive traits and entrepreneurship: The moderating role of economic institutions

We examine how country-level institutional context moderates the relationship between three socio-cognitive traits—entrepreneurial self-efficacy, alertness to new business opportunities, and fear of failure—and opportunity entrepreneurship. To do this, we blend social cognitive theory (SCT) with institutional theory to develop a multi-level model of entrepreneurial entry. We merge data from the Global Entrepreneurship Monitor (GEM) surveys and the Economic Freedom of the World (EFW) index for 45 countries from 2002 to 2012. Our results, which are based on a multi-level fixed-effects model, suggest that entrepreneurs' self-efficacy and alertness to new opportunities promote opportunity entrepreneurship while fear of failure discourages it. However, the strength of these relationships depends on the institutional context, with entrepreneurial self-efficacy and alertness substantially more likely to lead to new opportunity-driven ventures in countries with higher levels of economic freedom. These results provide suggestive evidence that economic freedom not only channels individual effort to productive entrepreneurial activities, but also affects the extent to which individuals' socio-cognitive resources are likely to mobilized and lead to high-growth entrepreneurship.     

Internationalization in different industrial contexts

The important questions in a firm's internationalization strategy deal with which national markets they should enter and the order in which the chosen markets should be entered. Different theoretical scenarios provide a range of answers to these questions. In this article, it is argued that the appropriateness of the theories depends on the industrial context to which it is applied. The international development of some Swedish firms in mature and high-growth industries is discussed. Whether a theory is appropriate depends on the firms' degree of internationalization and whether the industry is mature or growing. International entrepreneurship literature has been shown to enhance understanding of the early stages of a firms' internationalization in growing industries.     

The underdog trap: The moderating role of transgression type in forgiving underdog brands

This study aims to investigate the interactive effects of brand biography and brand transgression type on consumers’ forgiveness intention. Brand transgression is categorized as relational or nonrelational, with the former (compared to the latter) seriously undermining consumers’ high identification with underdog brands. Across four experimental studies in which transgression type is manipulated in three different ways, it is confirmed that when facing nonrelational transgressions, participants show greater forgiveness intention for underdog than for top‐dog brands. However, when facing relational transgressions, they do not show increased forgiveness intention for underdog brands compared to top‐dog brands. Moreover, perceived anger mediates the interaction effect between brand biography and brand transgression type on forgiveness intention. The theoretical and managerial implications of the findings are discussed.     

The moderating role of religiosity on nonprofit advertising

Nonprofits need to compete for donations now more than ever. Maintaining a socially responsible reputation and developing ads that are emotional and likable are tactics used to encourage donations. This study explores the role of religiosity as a moderator of antecedents to intent to donate to the nonprofit sponsor of pro-social ads and finds that religiosity acts as a moderator in the relationship between liking of the ad, perceived corporate social responsibility of the nonprofit, and intent to donate to the nonprofit. Managerial implications suggest that nonprofits employing negative emotional appeals in advertising should (1) feature real victims (not actors) to generate empathy and (2) target more religious individuals through demographic and psychographic segmentations.     

Semantic cues in reference price advertisements: The moderating role of cue concreteness

Retailers use a variety of semantic cues to advertise discounts at their stores. In this paper we introduce the concept of cue concreteness and examine its impact on effectiveness of semantic cues. Four studies were conducted which concur with the findings of earlier research in this area and expand our knowledge about the effectiveness of semantic cues. Results indicate that between-store cues are perceived to be more effective than within-store cues at moderate price discount levels only when the cues are concrete in nature. In addition, a between-store cue resulted in more favorable evaluations than a within-store cue when the ad was viewed at home, but only when the cue was concrete. Implications for marketers and public policy makers are discussed.     

Consumers' response to promotional gifts: The role of gender,transactional value,and reciprocity

Gifts received with the purchase of a focal product are widely used as a tool aimed at incentivizing sales. Yet, marketers still face many questions related to the effectiveness of this promotional technique. In this paper, we examine whether customer's gender—a variable that is managerially relevant and often collected for targeting and positioning purposes—influences the success of gift promotions. Using novel data from a car rental company, we show that promotional gifts have a stronger positive impact on subsequent purchase behaviors for women (vs. men). Two follow‐up experiments demonstrate that this gender effect is driven by the fact that women obtain greater transactional value from the promotional purchase than men do, leading to enhanced reciprocity motivation among women. Taken together, these findings first argue for a more targeted use of promotions involving gifts and second, raise questions about whether we should carefully consider potential gender differences in predicting the effects of many common marketing tactics that are presently discussed as if universal.     

Linking employee and customer misbehaviour: The moderating role of past misdemeanours

Abstract

Traditionally, studies that examine the activities of misbehaving employees and customers have done so in a separate and unrelated manner. Drawing on research that explores deviance amplifications and deviant learning, the current study aims to address this identified gap in the literature and provide empirical evidence of the linkages between perceived employee deviance and the severity of customer misbehaviour. Utilising equity, power and differential association theories, a conceptual model is forwarded comprising four hypotheses between the constructs: perceived employee service deviance; customer repatronage intent; severity of customer misbehaviour; and past customer misbehaviour. Using survey responses from 380 consumers of bars, hotels and restaurants, the empirical results offer support for the forwarded research model. The results show that customers perceiving employee misbehaviour are profoundly affected. Such experiences erode their repatronage intentions and are linked (directly and indirectly) to the severity of dysfunctional customer behaviour performed. Consumers’ past experience of misbehaviour is also found to impact the hypothesised relationships. The paper concludes by considering the implications of the findings and outlining directions for future research.     

Consumer responses to variety in product bundles: The moderating role of evaluation mode

This article examines the moderating effect of evaluation mode on consumer responses to variety in product bundles. Study 1 finds that consumer preference for the variety bundle (relative to the non-variety bundle) is higher in the joint evaluation mode than in the separate evaluation mode. Study 2 provides evidence that the increased preference for the variety bundle in joint evaluation is driven by the activation of concerns about satiation. Specifically, we find that both the quantity of items in and the category of the non-variety bundle influence consumer concern for satiation and the evaluation of the variety bundle. Study 3 further examines the proposed mechanism by manipulating the information associated with repetition and finds that associating repetition with loyalty (vs. satiation) eliminates the moderating effect of evaluation mode on the preference for variety. We discuss the findings and their implications for marketers.     

Value creation in privately held family businesses: The moderating role of socioemotional wealth

This article examines value creation (VC) in the context of privately held family businesses using a value-based management approach. Namely, this paper assesses the influence of five value drivers (operating profit margin, sales growth, income tax rate, investment rate, and leverage) on the VC of family firms, considering the moderating effect of socioemotional wealth (SEW). Evidence from a sample of 188 Spanish family firms indicates a positive moderating effect of SEW on the relationship between operating profit margin, sales growth, and investment rate, and VC, leading to increases in the value of firms. The results emphasize that the importance of SEW and its variations imply heterogeneous strategic behaviours among family firms, and that economic and emotional goals might be compatible.     

The moderating role of shopping trip type in store satisfaction formation

Consumers may weigh store attributes differently depending on the type of shopping trip. For example, fill-in shoppers likely value convenience, due to the ad-hoc nature and urgency of such trips. However, no study has yet explored the effects of shopping trip types on satisfaction formation. This study investigates how three types of shopping trips — major, regular fill-in, and special fill-in — affect satisfaction formation. Using data for all Dutch grocery chains from 2009–2014, we show that service, price, and convenience are important drivers of satisfaction. We also find that the effects of these drivers on store satisfaction depend on the shopping trip type. Major shoppers, for instance, treat service factors as less important to their satisfaction than other shoppers do. Convenience is a more important driver of satisfaction for regular fill-in shoppers. Price is a more important determinant of satisfaction on fill-in trips related to special occasions like birthdays and family dinners.     

Attitudinal effects of ad-evoked moods and emotions: The moderating role of motivation

The role of the moods and emotions evoked by advertisements in shaping the amount and valence of cognitive elaboration, as well as consumer brand attitudes, has recently begun to elicit research interest. It is shown that moods and emotions appear to influence brand attitudes more in low personal relevance (“low motivational involvement”) situations than under high-motivation conditions, by suppressing counterargumentation more in such low motivation situations. Implications are discussed for advertising theory and practice © 1994 John Wiley & Sons, Inc.     

Corporate social responsibility and employee attitudes: The moderating role of employee age

This study examines the role of corporate social responsibility (CSR) on employee engagement and job satisfaction. Using 322 responses from employees of selected companies in Ghana, and employing hierarchical regression analysis, the study examines the direct impact of economic, legal, ethical and discretionary CSR practices on employee satisfaction and engagement in organisations. The study further explores the moderating role of employee age on the relationship between CSR and employee engagement and satisfaction. The results provide evidence that economic, legal, ethical and discretionary CSR practices influence higher employee engagement and satisfaction levels at work. However, the study finds no evidence of employee age moderating the association between each of the four CSR dimensions and employee job attitudes (engagement and satisfaction). These findings are insightful and provide a response to calls for research on these issues. The study contributes to the literature by demonstrating that ethical CSR practices strongly influence employees' satisfaction and engagement levels; legal and discretionary CSR activities also have an influence, though to a lesser extent; and the economic dimension of CSR activities has the least impact. The managerial, practical and further research implications of these findings are discussed.     

Increasing advertising effectiveness through incongruity-based tactics: The moderating role of consumer involvement

Developing effective advertising communication has been traditionally regarded as an increasing function of the fit between consumers' perceptions and the content of the transmitted messages. Given that, relevant research has given only limited attention to the consideration of incongruent and dissonant communication. Against this background, the present study explores how consumers react to brand information that is in conflict with established perceptions. The moderating role of consumer involvement in the decision process is also examined. Consistent with predictions, the results support a positive effect for moderately incongruent communication, which, however, is attenuated in high-involvement decisions. The theoretical and managerial implications of these findings are discussed.     

Cute brand logo enhances favorable brand attitude: The moderating role of hope

A brand logo has significant influences on consumer evaluations of a brand. However, little research has examined the effectiveness of brand logo design. The present research thus seeks to extend the literature in this area by examining how cuteness associated with a brand logo might produce a more favourable brand attitude. Across two experimental studies, this research provides empirical evidence that a cute (vs. non-cute) brand logo can increase positive consumer attitude toward a brand, especially among those experiencing the emotion of hope (but not happiness or a neutral emotional state). Further, this effect is driven by the perceptions among consumers feeling hopeful (but not happy) that a cute (vs. non-cute) brand logo has higher levels of growth potential. The findings of this research thus make theoretical implications on the literature on brand logo, cuteness, and emotion literature, and offer managerial implications in terms of brand logo design effectiveness.     

Board gender diversity and firm performance: The moderating role of firm size

This paper investigates the relationships among board gender diversity, firm performance, and firm size. Our paper provides new insights into the relationship between board gender diversity and firm performance by examining whether firm size alters the impact of board gender diversity on firm performance. We use a panel data from A-share-listed non-financial firms in China to examine the relationship during the period of 2007–2012. Our finding demonstrates that the gender diversity on the board has a positive impact on firm performance if and only if the value of firm size is less than some critical value. In addition, we also find that firm size may undermine the positive impact of board gender diversity on firm performance. This paper contributes to the literature by offering a contingency approach to examine the relationship between board gender diversity and firm performance as well as shedding light on the relationship in the context of a developing economy.