Effects of ethical sales behaviour,expertise, corporate reputation,and performance on relationship quality and loyalty

This analysis examines the influence of ethical sales behaviour, salesperson expertise, service performance, corporate reputation, and corporate performance on relationship quality and its consequences from multi-level perspectives in order to identify the nature of mix relationships at different levels. A survey with 505 qualified observations from financial institutions' customers in Taiwan was conducted. A structural equation modelling approach was used. Ethical sales behaviour, salesperson expertise, service performance, corporate reputation, and corporate performance, that is, the antecedents of relationship quality, have significant effects on relationship quality. Relationships exist between salespeople and customers, but customers also establish relationship with the retailers themselves. Satisfactory relationship quality has positive effects on commitment and loyalty. Implications for research and practice are discussed.     

Inside your social media ring: How to optimize online corporate reputation

Although it is well accepted that corporate communication has a direct impact on corporate reputation, little is known about the link between firms’ social media communication strategies and the formation of firms’ reputations in an online environment. This article contributes to this body of knowledge by studying the impact of social media communication strategies on firms’ reputations. The setting for our study is the hotel industry. The results offer insights regarding the challenges of developing online communication strategies that affect corporate reputation.     

Culture and age as moderators in the corporate reputation and loyalty relationship

This study investigates the moderating role of culture and relationship age in the relationship between customer-based corporate reputation (CBR) and customer loyalty using data from two service contexts (retailing and fast-food restaurants) in three countries (France, the U.K., and the U.S.) that differ with regards to two cultural values—uncertainty avoidance and time orientation. Results suggest that CBR has similar effects on affective and intentional loyalty in all three countries. However, culture interacts with relationship age, such that relationship age magnifies the effect of CBR in France, while relationship age suppresses CBR's effect in the U.K. and the U.S. The authors provide explanations for these effects based on cultural theories. Managerial and research implications are developed.     

Linking corporate reputation and shareholder value using the publication of reputation rankings

Good corporate reputation is one of the most valuable assets and causes a multitude of favorable impacts within different stakeholder groups. As a consequence, a lot of studies analyze the relationship between corporate reputation and financial performance. However, most of them raise the question of causation due to their methodology. In order to isolate the causal impact of corporate reputation on financial performance, some authors conduct event studies, but without remarkable success. Therefore, this study provides initially a comprehensive theoretical background for why reputation should affect financial performance. According to the resulting hypotheses, an event study is conducted to analyze the impact of the publication of reputation rankings by the German Manager Magazin on share prices. As hypothesized, positive and negative announcement effects exist regarding upgraded or downgraded companies respectively. Consequently, investors gain new information from the published rankings (increases or decreases in reputation) to adjust share prices.     

How quality, value, image, and satisfaction create loyalty at a Chinese telecom

This study proposes and tests an integrative model to examine the relations among service quality, value, image, satisfaction, and loyalty in China. Analysis of survey data from 118 customers of a Chinese mobile communications company reveals that service quality directly influences both perceived value and image perceptions, that value and image influence satisfaction, that corporate image influences value, and that both customer satisfaction and value are significant determinants of loyalty. Thus, value has both a direct and indirect (through satisfaction) impact on customer loyalty. Other variables mediate the impact of both service quality and corporate image on customer loyalty.     

Effects of quality and corporate social responsibility on loyalty

The purpose is to investigate the impact of corporate social responsibility perceptions on three aspects of customer loyalty for a new bank service (Travel Card) relative to a recognised major predictor in service quality. Surveys were completed by 204 bank consumers in Australia. Using a series of regression equations, two sets of socially responsible perceptions had significant effects on purchase intention and positive word of mouth. In both cases, new socially responsible information was twice as strong a predictor as service quality. However, for affective commitment, service quality was the dominant predictor. Furthermore, existing perceptions of socially responsible performance had a negative effect on purchase intentions. The study presents the first evidence that new socially responsible perceptions for a service firm can be a more powerful predictor than corporate abilities. The findings further illustrate the differential impacts of socially responsible information on different loyalty conceptualisations.     

Service quality,perceived value,corporate image,and customer loyalty in the context of varying levels of switching costs

The current study moves beyond customer‐perceived value and corporate image and demonstrates that switching costs are important factors in influencing a customer's decision to stay with a service provider. This work finds support for a contingency model involving customer‐perceived value, corporate image, and switching costs. The results indicate that the impacts of customer‐perceived value and corporate image on customer loyalty decrease under conditions of high switching costs. Implications of the results are discussed. © 2010 Wiley Periodicals, Inc.     

Trust, reputation and corporate accountability to stakeholders

This paper explores the relationship between accountability, trust and corporate reputation building. Increasing numbers of corporations are mobilising themselves to put more and more information out into the public domain as a way of communicating with stakeholders. Corporate social accounting and stakeholder engagement is happening on an unprecedented scale. Rather than welcoming such initiatives, academics have been quick to pick faults with contemporary social auditing and reporting, claiming that in its current form it is not about demonstrating accountability at all, but rather about building corporate reputation. Academics argue that 'accountability should hurt', that if accountability is an enjoyable process, then the organisation isn't doing it right. For organisations that are currently engaging with stakeholders and ostensibly becoming more transparent about their corporate social performance, this kind of critique is likely to be bewildering. This paper argues that central to the notion of accountability and to contemporary social accounting practice is the concept of trust. Accountability is based upon a distrust of corporate management, whereas corporate reputation building is about strategically seeking to establish trust in stakeholder relationships in order to negate formal accountability requirements. Using a split trust continuum, the paper seeks to explain and synthesise what seem to be two very different paradigms of organisational transparency.     

The role of etail quality,e-satisfaction and e-trust in online loyalty development process

The purpose of this study is to propose and test an integrative model of e-loyalty development process by conceptualizing that e-loyalty is influenced by e-satisfaction, e-trust and multi-dimensional aspects of etail quality. In order to capture the full picture of etail quality, we attempt to cover the complete purchase experience by focusing on four dimensions of etail quality that go beyond website functionality or system quality aspects: fulfillment/reliability, website design, security/privacy and responsiveness. From the 182 usable data obtained, hypotheses are tested using structural equation modeling. The results indicate that the e-loyalty development process is influenced by both e-satisfaction and e-trust. The relationship between e-trust and e-satisfaction is found to be significant as well. Components of etail quality have differing effects on e-satisfaction and e-trust. Evaluation of fulfillment/reliability influences e-satisfaction as well as e-trust. Website design positively influences e-satisfaction while security/privacy has a positive effect on e-trust. However, contrary to our expectation, responsiveness affects neither e-satisfaction nor e-trust. Managerial implications are provided following presentation of the findings.     

Exploring the mediating role of utilitarian value and hedonic value in the formation of oppositional loyalty in online communities

Our research expands the scope of the research on oppositional loyalty from brands to online communities. Online communities allow members to freely express their opinions and promote the occurrence of oppositional loyalty behaviours towards the communities. Oppositional loyalty is defined in this article that, for the purpose of strengthening the market position of their preferred community, members of the online community may express negative views or even show oppositional behaviour towards adversarial communities. In view of social capital theory, the study examines the effect of hedonic value and utilitarian value on oppositional loyalty in online communities. The results show that only hedonic value significantly affects oppositional loyalty; hedonic value mediates the effect of the three dimensions of social capital (network ties, identification, and common language) on oppositional loyalty. The study identifies that community type moderates the impact of social capital (identification and common language) on hedonic value but does not moderate the effect of social capital on utilitarian value. Finally, we find that members' oppositional loyalty towards their community can promote their community participation. This research provides recommendations for online community managers to manage and benefit from members' oppositional loyalty.     

Linking corporate logo,corporate image,and reputation: An examination of consumer perceptions in the financial setting

This study aims to fill a gap in marketing studies concerning the effect of a logo on consumer evaluations. The research addresses two questions: (1) what are the factors that influence the favorability of the corporate logo; and (2) what are the main influences of this favorability on corporate image and corporate reputation? The favorability of a corporate logo is reflected by the extent to which consumers positively regard that logo. The findings from the consumers' perspectives in the context of a financial setting, suggest that the main factors that bear influence on a favorable corporate logo (antecedents) are: corporate name, design, and typeface. The findings reveal the importance of the company's corporate logo in enhancing the corporate image, attitude toward advertisements, recognizability, familiarity, and corporate reputation. Key implications for managers and researchers are highlighted.     

Client loyalty and defection in the corporate legal industry

As the legal service industry matures and becomes saturated, more traditional forms of marketing may need to be replaced by the adoption of newer relationship concepts. This article reports on a research investigation among corporate clients of UK law firms. The findings reveal that satisfaction with the service is the key factor that influences corporate clients to stay loyal to a particular law firm. The quality of legal advice, trust and honesty were also found to be important factors that drive client loyalty. Conversely, poor quality, as an outcome of the client – legal firm interaction, is perceived to be a significant contributor of client defection. Overall, the findings emphasise the need for legal firms to focus on client retention for survival and profitability.     

Investigating mediators between corporate reputation and customer citizenship behaviors

Recent corporate reputation research focuses on customers as an important stakeholder group for whom firm reputation matters. The authors hypothesize that customer-based corporate reputation (CBR) may affect customer citizenship behaviors (CCB) and that both commitment and loyalty mediate the CBR-CCB relationship. The tests of the hypotheses use a sample of 583 service customers who evaluate the reputation of service firms. These results suggest that commitment and loyalty mediate the relationship between CBR and one type of CCB, that is, helping the company. The authors discuss the implications for marketing research and practice.     

Environmental disclosure quality: Evidence on environmental performance,corporate governance and value relevance

This study focuses on common-law Malaysia, which is classified as an advanced emerging market. It assesses the association between environmental disclosure and environmental performance and examines the financial attributes of companies with different environmental disclosure scores. It investigates the relation between environmental disclosure quality and corporate governance, and also examines the extent to which effective environmental disclosures are value relevant and how they influence investor perceptions. The findings of the study show that environmental disclosure is positively linked to environmental performance. Company attributes, such as large size, the need for capital, profitability and capital spending, are positively associated with environmental disclosure quality. High quality environmental disclosers display effective corporate governance and would tend to face less difficulties in accessing capital markets. They generally are audited by a big 4 auditor or cross-listed on foreign stock exchanges and display significant levels of managerial and institutional ownership. High quality environmental disclosures are value relevant and improve investor perceptions. High quality disclosers overall belong to beverages, chemicals, food producers, forestry and paper, and industrial metals and mining.     

Rethinking value co-creation and loyalty in virtual travel communities: How and when they develop

For marketers of virtual travel communities (VTCs), a vital issue is to understand how to maintain consumer stickiness and loyalty. Although existing studies have tried to explore this issue, researchers have not given detailed and specific answers from the value co-creation theoretic lens. Therefore, the present paper aims to bridge this research gap by investigating the relationship among consumer trust in VTCs, consumer co-creation behaviors and their loyalty. The moderating impact of community service quality (CSQ) on loyalty is also explored. Data from a two-wave survey were collected from 214 active users in a Chinese VTC (Mafengwo) and then analyzed using the ordinary least squares (OLS) technique with STATA 13. Results indicated that (1) consumer trust positively impacts on two dimensions of value co-creation behavior, namely, breadth participation and depth participation. (2) Depth participation is more conducive to cultivating both attitudinal and behavioral loyalty, while breadth participation has an inverted U-shaped influence on behavioral loyalty. (3) CSQ positively moderates the relationship between depth participation and attitudinal loyalty. But after controlling for the effect of attitudinal loyalty on behavioral loyalty, this study found that CSQ negatively moderates the relationship between depth participation and behavioral loyalty. This paper developed a comprehensive framework involving antecedent and consequence of consumer co-creation behavior and showed the importance of CSQ as a key boundary condition, enriching the existing VTC and consumer loyalty research from the perspective of value co-creation and trust theory. Corresponding practical implications and limitations are also discussed.     

The customer-based corporate reputation scale: Replication and short form

Corporate reputation attracts significant attention among marketing scholars. However, researchers often overlook customers' opinions specifically. Walsh and Beatty [Walsh, G., Beatty, S.E., Measuring Customer-based Corporate Reputation: Scale Development, Validation, and Application. J Acad Mark Sci 2007; 35(1): 127–143.] identify dimensions of customer-based corporate reputation (CBR); they develop scales to measure these dimensions. Researchers in the present study use the Walsh and Beatty CBR scale in the UK and Germany across contexts to study the cross-cultural validity of the measure of customer-based corporate reputation. This study assesses an abbreviated version of the CBR scale (with 15 items). The CBR Short scale has equally good dimensional properties as the original scale. The paper ends with implications for cross-cultural marketing research and management.     

Corporate social responsibilities,consumer trust and corporate reputation: South Korean consumers' perspectives

This study proposes and tests a model of corporate social responsibility (CSR) that specifies relationships among (1) four categories of CSR initiatives as independent variables, (2) three types of consumer trust as mediating variables, and (3) corporate reputation as the dependent variable. Results show that the firm's fulfillment of economic and legal CSR initiatives had a direct positive effect on corporate reputation, whereas neither ethical nor philanthropic CSR initiatives did. In the CSR-trust link, economic performances fostered consumer expertise trust, legal and ethical CSR activities affected integrity trust, and philanthropic CSR activities influenced social benevolence trust in the firm. This study confirms that all three types of trust partially or fully mediate the effect of the four CSR initiatives on corporate reputation. This outcome indicates that CSR activities create and nurture consumers' trust in the company, which will, in turn, bring about consumers' positive or improved perceptions of the firm.     

How should a company respond to a product harm crisis? The role of corporate reputation and consumer-based cues

Product harm crises such as Vioxx and Firestone can be devastating events for companies. Although lawsuits by victims tend to draw most of the attention, observers, who typically learn of product harm crises through media outlets, can also cause extensive damage to the companies involved, as they represent current and potential customers of the product.This article provides guidance to practitioners in choosing the appropriate strategy to effectively deal with a product harm crisis. The authors recommend that corporate reputation and consumer-based cues, such as gender and nationality, be incorporated in the decision-making process regarding the choice of a corporate response.     

Consumer shopping value, satisfaction and loyalty in discount retailing

To date, few researchers have conducted comprehensive examinations of the relationships between consumer shopping value, satisfaction and loyalty in retailing. Further, the majority of extant research has been limited to upscale retail sectors where the role of the salesperson is crucial and long-term relationships are common. In order to extend the findings of previous research to additional retail sectors, the current study investigates the complex interrelationships between utilitarian and hedonic shopping value and important retail outcomes for discount retailers. Utilitarian and hedonic shopping value are found to influence key outcome variables including satisfaction, loyalty, word of mouth communication and share of purchases in the highly competitive discount retail sector.