Improving marketing success: The role of tacit knowledge exchange between sales and marketing

Successful organizations adapt their marketing strategies to marketplace changes. Boundary spanners, such as salespeople, because they are able to embed themselves in social networks outside the organization, play a key role in developing marketplace knowledge. However, if this knowledge remains solely with the boundary spanners, it cannot be used effectively to improve firm performance. This study investigates tacit knowledge exchange between sales and marketing and its ability to enhance marketing success (i.e., marketing program innovativeness, relative efficiency, and relative effectiveness). In addition, by examining five antecedents hypothesized to influence tacit knowledge exchange, it provides guidance to sales and marketing managers, who desire to improve tacit knowledge exchange, and, in turn, marketing success.     

The impact of economic downturns on marketing

The Great Recession of 2008–2010 affected the global and U.S. economies and its companies more universally than any economic downturn since the Great Depression. This study explores how the Great Recession influenced the marketing decisions of firms and the resulting long-term effects on marketing within business-to-business companies. Empirical evidence from previous recessions suggests that companies should focus on their customers and increase their marketing efforts during a recession. However, many companies typically slash their marketing budgets during economic downturns. Authors found that during the Great Recession, companies reacted differently than in previous recessions with their marketing responses. Authors conclude their analysis by proposing that the Great Recession will have three long-term effects on marketing in business-to-business companies.     

Redefining social marketing with contemporary commercial marketing definitions

Social marketing is based on the adaptation of the contemporary commercial marketing theory and practice as a means of guiding and aiding social change campaigns. This paper draws on recent developments in commercial marketing theory and prior work in social marketing definitions to create a new definition of social marketing which integrates the commercial definitions of the American Marketing Association (AMA) and Chartered Instituted of Marketing (CIM) with established social marketing definitions from the past thirty years of social marketing conceptual development. The development of the definition is supported through the use of qualitative research technique of text mining which uncovered a core series of principles consistent to the historical definitions of social marketing. Finally, the new definition also introduces clarification of several key subcomponent elements as part of an expanded definition of social marketing.     

Relationship marketing

Relationship Marketing is emerging as a new phenomenon. However, relationship oriented marketing practices date back to the pre-Industrial era. In this article, we trace the history of marketing practices and illustrate how the advent of mass production, the emergence of middlemen, and the separation of the producer from the consumer in the Industrial era led to a transactional focus of marketing. Now, due to technological advances, direct marketing is staging a comeback, leading to a relationship orientation. The authors contend that with the evolution of Relationship Marketing, the hitherto prominent exchange paradigm of marketing will be insufficient to explain the growing marketing phenomena of collaborative involvement of customers in the production process. An alternate paradigm of marketing needs to be developed that is more process rather than outcome oriented, and emphasizes value creation rather than value distribution.     

Beyond the world of packaged goods: assessing the relevance of integrated marketing communications for retail and consumer service marketing

Product and packaged goods marketers have responded to changing consumer and media environments by adopting integrated approaches to marketing communication. The value and utility of such approaches likely extend to a wide range of marketers, but there have been few published attempts to examine the viability of the integrated marketing communication concept in retail and service marketing. This study addresses this void by using a seven-stage model of integrated marketing communications to examine the media and message delivery practices of national and regional retailers and consumer service marketers. The results of a national mail survey found many of these marketers using such key integrated marketing communication elements as multiple media, databases, individual-level consumer information and behavioural response measures in their media and message delivery practices. Few, however, were using these elements in a strategic or coordinated fashion. Integrated approaches thus appear to have much value in retail and service marketing, particularly as a means for coordinating media and message delivery elements in a fashion that provides a way to link behavioural responses to media vehicles and advertising messages.     

The impact of individual and managerial factors on salespeople's contribution to marketing intelligence activities

Although salespersons represent a unique and important channel of information, few of them contribute efficiently to marketing intelligence. This research aims to understand how salespeople's motivation and effort to gather and transmit marketing intelligence to management may be influenced by individual (organizational commitment, desire for upward mobility) and managerial (control system, participation in decision making, feedback, recognition) factors. The test of the proposed model shows that desire for upward mobility is the only individual determinant of behavior. Other than participation in decision making, all the managerial factors play influential roles in structuring both motivation and behavioral effort toward marketing intelligence by salespeople. The authors also discuss the limits of the model, some managerial implications, and future research opportunities.     

The effects of entrepreneurial orientation, market orientation, and marketing subunit influence on firm performance

The study investigates how an organization’s entrepreneurial orientation moderates the interplay between market orientation and marketing subunit influence on firm performance. The hypothesized model predicts that the positive interaction between market orientation and marketing subunit influence has a weaker effect on firm performance under conditions of high entrepreneurial orientation. The regression and supplementary analyses provide support for most predictions and, most importantly, for a negative three-way interaction effect: At higher levels of entrepreneurial orientation, the positive moderating effect of marketing subunit influence on the market orientation–business performance relationship is reduced. The authors discuss the managerial and theoretical implications of their findings and provide a number of directions for further research.

Exploring globalization and marketing performance at the 2012 Global Marketing Conference at Seoul

This special issue of the Journal of Business Research features sixteen articles selected from papers presented during the third Global Marketing Conference held in Seoul, July 19–22, 2012, hosted by Korean Scholars of Marketing Science, European Marketing Academy, Japan Society of Marketing and Distribution, International Textile and Apparel Association, and Australian and New Zealand Marketing Academy. The articles offer readers an interesting mix of topics and methods in complex and global marketing environments. They offer marketing practitioners new ideas and approaches for dealing effectively with the increasingly challenging marketing world and provide marketing researchers insights that may inspire future research.     

Explaining the marketing effort of professional service providers: An exploratory study

A mail survey was done of professionals from major architectural, law, and accounting firms to determine what factors seem to explain how much effort they devote to marketing their firms' services. The results of this exploratory study identified several significant explanatory variables, a few of which had effects in some professions and not others. Additional research in this area is recommended.     

Impact of culture on marketing strategy: Introduction to the special issue

This special issue of the Journal of Business Research features eleven articles selected from the papers presented during the fourth meeting of the Royal Bank International Research Seminar which took place in Montreal at the John Molson School of Business, Concordia University, September 23 and 24, 2007. They cover topics related to culture and marketing communications, consumer socialization, materialism, identity and religiosity, service quality, language effects, consumer revenge behavior and government actions.     

The efficacy of marketing skills and market responsiveness in marketing performance of emerging market exporting firms in advanced markets: The moderating role of competitive intensity

Emerging market exporting firms in advanced economies must manage a highly dynamic landscape owing to factors such as changing market needs and fierce competition. Hence, these firms need to develop unique marketing skills for superior performance. Accordingly, this study draws on the resource-based and dynamic capability theory to empirically examine the role of marketing skills in developing a dynamic capability—market responsiveness—for improved marketing performance, and the changes in this relationship under highly competitive intensity. Using a sample (n = 98) of firms originating from an emerging market (Pakistan) mainly exporting to advanced markets (the United Kingdom, the United States or both), the findings show that marketing skills, positively mediated by market responsiveness, influence the marketing performance of such firms in advanced markets. The indirect relationship is positively moderated by a higher level of competitive intensity. This study extends the dynamic capability and export marketing streams of literature, particularly for emerging market exporting firms in advanced markets, and provides useful performance implications to export marketing managers.     

Differentiation via the marketing mix

In this paper we investigate the conjecture that increasing marketing mix specialization enhances firm performance. We start by identifying two dimensions of specialization — absolute (concentration of expenditures) and relative to competition (distinctiveness). We then propose underlying mechanisms that lead to effects of marketing mix specialization on firm performance. Using these guidelines we specify an empirical model that relates marketing mix specialization to firm performance. We estimate this model using PIMS data and find support for our propositions.The authors gratefully acknowledge the Isle Maligne Fund at the Fuqua School of Business, the Strategic Planning Institute, and the Wharton PIMS Research Center for their research support; and thank Jim Bettman, Kevin Keller, Debu Purohit, and Rick Staelin for their helpful comments.     

The retailer's marketing mix and commercial performance

This paper concerns the management and organization of the marketing function within large multiple retail organizations. The elements of the retailer's marketing mix are identified and the hypothesis is developed that the breadth of control over the marketing mix by a marketing department should correlate positively with commercial performance. A postal survey of British retailers failed to demonstrate such a relationship, indicating that there is no obvious justification for a retailer to centralize most of its marketing in one large department. Instead, a positive correlation is found between there being strength in marketing in the retailer's buying department and commercial performance indicating that marketing that marketing expertise should not be concentrated into a specialist department.     

Commentary: advancing marketing strategy in the marketing discipline and beyond

ABSTRACT

Shelby Hunt provides an insightful, precise essay on the nature and contribution of the field of marketing across five distinct periods and concludes with a discussion of the potential for the field of marketing, both within marketing and across allied fields of management. This ‘promise’ of marketing’s academic future is followed by a discussion of the key factors likely to play a significant role in lessening the contribution of the field. The purpose of this commentary is to focus on Hunt’s key question regarding Era V: Is the future of the marketing discipline promising or problematic? As such, this commentary addresses four issues: (1) the ‘promising’ assets that the discipline has in play; (2) the slide towards academic irrelevance and, thus, the ‘problem’; (3) Hunt’s observations on how the slide might be reversed; and (4) my viewpoint on what can be done to reverse the slide.     

Linking marketing capabilities with profit growth

Profit growth is one of the primary drivers of a firm's stock price and therefore is a clear priority for managers. Yet little is known about how a firm's marketing capabilities may be linked with its profit growth. In this study, we use data from a cross-industry sample of 114 firms to investigate how market sensing, brand management, and customer relationship management (CRM) capabilities determine firms' revenue growth and margin growth—the two components of profit growth. Our results reveal that these marketing capabilities have direct and complementary effects on both revenue and margin growth rates. Critically, we find that brand management and CRM capabilities have opposing effects on revenue and margin growth rates, such that a failure to examine these two underlying components would mask the relationships between these marketing capabilities and ultimate profit growth rates.     

The impact of entrepreneurial marketing on innovative marketing performance in small- and medium-sized companies

ABSTRACT

This study examines the impact of entrepreneurial marketing on innovative marketing in small- and medium-sized companies producing industrial tools and mechanical parts. The statistical population of this study consisted of all owners and workers of industrial tools and mechanical parts around the world. The sample size includes 195 people who were chosen through simple random sampling method and Cochran formula. This is a correlational research and the data were collected using a questionnaire designed by theoretical foundations and Likert scale. The validity of the tool was confirmed using the opinions of experts and specialists and the reliability of the questionnaire was confirmed using Cronbach’s alpha (0.891). Data were analyzed through structural equation modeling. The results show that value creation that includes creating value for customers through the products and services, and marketing activities and technology has the greatest impact on innovative performance. Also, innovation, which includes innovative strategy, management believes in innovation, and using new methods to carry out activities, is in the next place. Among the factors, the leverage of resources, which include the financial and human forces, has the least effect on innovative performance.     

Customer-based execution strategy in a global digital economy

Multinational corporations (MNCs) are continuing to invest more in expanding into new markets around the world. These firms are faced with determining the optimal go-to-market strategy in these heterogeneous new markets to attract and retain profitable customers. This paper provides an organizing framework to help firms develop profitable customer-level strategies across countries in the digital environment. We start by providing a summary of the marketing literature on a customer-based execution strategy. Next, we discuss how the evolving digital landscape is affecting firms’ relationships with customers and describe some of the current digital product and process innovations in the marketplace. We discuss boundary conditions for how these digital product and process innovations might affect profitable customer strategies in a global context. In addition, we discuss implementation challenges that MNCs will likely face in deploying these customer-level strategies and other stakeholders (outside of customers) that will likely play a role in the execution of these customer-level strategies. Finally, we summarize set of research questions to guide future research on customer-level strategies in a global digital context.