Marketing performance assessment and accountability: Process and outcomes

Marketing accountability, and how it may be achieved via performance assessment and metrics, have been central topics in both the marketing literature and practice (Katsikeas et al. 2016). Recent developments in digital channels, the accompanying explosion of data and emergence of marketing automation, the globalization of markets, and the rise of customer experience as a key firm priority have further magnified interest in and the importance of understanding how potential marketing outcomes are and can be achieved (CMO Survey, 2021; Mintz et al., 2021). As a result, gaining clarity on how to design and manage performance assessment systems to deal with these issues has never been more important. This paper argues that further progress in this research domain requires a deep understanding of the marketing performance assessment (MPA) process to provide both a catalyst and foundation for the next generation of research. Although there has been considerable research in the areas of marketing metrics and marketing accountability, much less attention has been paid to the MPA process that links them. Yet, the MPA process is essential to successful marketing management. To address this, we first review past research in this broad domain to answer the “Where have we been?” question that identifies theneed for a new conceptual model. Second, drawing on research findings both within the broad MPA domain and allied areas within and outside of marketing, we develop and detail a new conceptual model of the MPA process and use it to identify what really needs to be known but is currently unclear in this domain (i.e., “Where do we need to go?”). Third, we suggest how these areas of needed inquiry may best be investigated (i.e., “How do we get there?”) by identifying new perspectives, theories, data sources, and analysis approaches that may be productively employed in future research.     

Globalization, culture, and 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 fifth meeting of the Royal Bank International Research Seminar which took place in Montreal at the John Molson School of Business, Concordia University, September 25 and 26, 2009. They cover topics related to globalization, cultural values, global consumer behavior, market segmentation, marketing strategies of emerging economies, consumer socialization, materialism, service quality, and government actions.     

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.

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.     

The effects of entrepreneurial orientation and marketing information on the performance of SMEs

In this study, we investigate the effects of entrepreneurial orientation and marketing information on the performance of small and medium-sized enterprises. We build and test a causal model using data obtained from Singaporean entrepreneurs and find support for most of our hypotheses. The results indicate that entrepreneurial orientation plays an influential role on the acquisition and utilization of marketing information, and also has a direct effect on firm performance. The utilization of information regarding marketing mix decisions (particularly the Promotion and Place elements) positively affects firm performance, and it partially mediates the relationship between entrepreneurial orientation and firm performance. The implications and future research directions are discussed.     

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.     

The impact of internal,external, and competitor factors on marketing strategy performance

ABSTRACT

Strategy formulation is commonly understood as the match between a firm’s internal resources and skills and its external environment. Marketing strategy performance is the function of a dynamic, interactive process incorporating internal firm resources, external environmental factors, and competitive actions. The study aims to assess the impact of competitor actions on marketing strategy performance. We develop a model that accommodates the effects of 29 variables (comprising internal marketing strategy variables, external environmental factors and competitors’ marketing mix variables) on business performance. We empirically test the model using simultaneous equation modelling of time-series data on UK car manufacturers collected from publically available resources and annual reports. The results show that external factors, in particular competitors’ marketing mix elements, have a greater influence on a company’s business performance than internal (marketing and non-marketing) strategy variables. Implications for marketing theory and management are discussed.     

Global Marketing Networks and the Development of Trust

Abstract

The global market has begun to effect organizations in most industries. Organizations are entering strategic alliances and networks of these alliances to reduce risk, exposure, and to compete effectively in a global context. This paper views the importance of the network of alliances from a dynamic capabilities perspective that builds off of the resource-based view of the firm.

The paper explores the development of strong form trust to maintain and facilitate the advantages of the network members. The steps in which this form of trust development is outlined, including: appropriate identification of candidates, the funding mechanism, network inclusion, top management team inclusion, as well as, effective communication.     

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.     

The indirect effect of online marketing capabilities on the international performance of e-commerce SMEs

International e-commerce is a strong global trend pushed by a tail wind of bolstering economic policies, changing customer behaviors, and improved logistics and technologies. This study investigates the reasons for performance variations among international e-commerce SMEs. Building on the capabilities perspective and market orientation literature, a research model is developed and tested with linear regression and mediation analysis on an effective sample of 99 Swedish SMEs which use e-commerce as an international sales channel. Our study shows that online marketing capabilities are necessary but not sufficient to increase performance among these companies. Our results show that marketing ambidexterity, reflected by both market-driven and market-driving approaches, is instrumental to leverage the effect of online marketing capabilities.     

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.     

Marketing research in Korea: Special joint issue of journal of business research and journal of the Korean academy of marketing science

This special joint issue of the Journal of Business Research with the Journal of the Korean Academy of Marketing Science contains nine articles that were originally presented at the Fall 2005 Korean Academy of Marketing Science (KAMS) International Conference and the Spring 2006 KAMS International Conference. After a blind review process, 120 papers were accepted for conference proceedings. Of these papers, the conference selection committee selected 20 papers as outstanding contributions to the marketing literature. A board of review members blind reviewed these 20 papers and accepted 9 of them for this special issue. Contributions to marketing literature are discussed.     

Roots of Marketing and Consumer Research at the University of Chicago1

The marketing and consumer research fields began to flourish in the late 1940s after World War II. Social Research, Inc. was founded in 1946 by members of the University of Chicago's faculty. Students at the University's interdisciplinary Committee on Human Development and the Departments of Sociology, Anthropology, and Psychology worked at Social Research, Inc., pioneering the application of behavioral methods of research to problems of business and other organizations. This paper traces the transmission of knowledge from the academic setting to the business environment. It notes especially the influence of members of the university faculty and their theories of human behavior on the emerging fields devoted to the study of consumption and culture.     

Business strategy and the management of digital marketing

The internet brought disruptive change to the business landscape through the creation of a whole host of digital marketing tactics. But with these new tactical options has come the need for marketing managers to (1) prioritize what they wish to accomplish and (2) determine which digital marketing tactics to invest in. We consider these issues from the perspective of four business strategies: prospectors, analyzers, low-cost defenders, and differentiated defenders. In this article, we provide marketing managers with insights into how businesses pursuing various strategies approach these digital marketing issues, with the ultimate goal being to assist managers in the efficient and effective implementation of their firm’s adopted strategy.     

Examining the influence of uncertainty on marketing mix strategy elements in emerging business to business export-markets

The degree of adaptation or standardization of the marketing program is critical in international business ventures. However, findings within this important research field and, consequently, implications for practice remain contradictory and confusing. The purpose of this paper is to examine determinants of an international marketing-mix strategy within a specific business-to-business context that includes the effects of uncertainty. Is the degree to which the marketing program is adapted or standardized dependent on the managerial perception of uncertainty? Does a firm's international entrepreneurial ability or the use of networks positively influence the degree of positive assessment of the environment? Data were collected from German companies working in different international business-to-business markets. The results indicate that international entrepreneurship has a greater impact on uncertainty reduction than the use of networks. After having reduced uncertainty, a firm tends to adapt their communication and pricing strategy, whereas the adaptation of the product and distribution strategy in general is not significant.     

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.     

Interactive effects of marketing strategy formulation and implementation upon firm performance

Abstract

This study employed an integrative approach to investigate the influence of external business environment, strategy formulation, viability of marketing strategy, and strategy implementation upon firm performance. The findings show that while technological change and market competition negatively influence the credibility of the strategy, market attractiveness has a positive influence upon the viability of strategy employed. Moreover, market competition has a positive influence upon the involvement of marketing managers in terms of strategy making and that the presence of an innovative culture is strongly required in executing a strategic marketing plan. In addition, the study shows that the involvement of marketing managers in strategy making, which is strongly supported by an innovative culture, generates their commitment to the strategy, which positively influences strategy viability.     

Global performance management systems: The role of trust as perceived by country managers

This study focuses on a critical mechanism of the international human resource management process: performance management. The study specifically explores how the process of global performance management is perceived by the country managers of multinational corporations' subsidiaries in Australia. The study reveals that a multinational corporation's systemic demand for short-term profit has the potential for inhibiting employee–supervisor relationships and perceived effectiveness of performance management appears to be dependent on the relationship and level of trust between the country manager and her/his supervisor. On the basis of the research findings, relational communication and psychosocial factors such as trust play an important role in the functioning of a country manager vis-à-vis their perceptions of the performance management process. The study suggests that, with the current approach to global performance management for country managers, despite the expense involved in the process, many of the potential benefits may not be realized. Social exchange theory is proposed as the foundation for developing more effective and fluent global relationships based on trust.     

It's a secret: Marketing value and the denial of availability

Marketing thrives on secrets, yet surprisingly little formal attention has been paid to how the marketing of secrecy and the secrecy of marketing can play a significant role in contemporary organizations. We draw upon the fields of organizational studies, psychology, and marketing to develop a typology of secrets that reflects their marketing value and their knowledge value. Marketing secrets can have value to the firm (strategic value), to the customer (marketing value), or to both parties. Based on these two dimensions, we identify four different types of marketing secrets: (1) appealing secrets have high strategic value, as well as high marketing value; (2) mythical secrets mean little to the firm but a lot to the customer; (3) plain secrets are critical to the firm but are irrelevant to customers; and (4) weak secrets have neither strategic value nor marketing value. Our typology enables academics to formulate research questions regarding secrecy in marketing, and serves as a guide for practitioners in the construction of strategies that can exploit the strategic value of secrets by ‘romancing’ them, and increase their knowledge value by ‘educating’ the secrets.     

Improving International Marketing Programs to Reflect Global Complexity and Risk: Curriculum Drivers and Constraints

This article looks at the curriculum redesign of a master's-level program in international marketing from a UK perspective. In order to ensure that the program would be more fit-for-purpose for future managers working under conditions of complexity, uncertainty, and within regimes often very different from the home market, the team began the curriculum redesign process with the view that international programs need to have a more broad and cross-disciplinary curriculum. Both drivers and constraints for the curriculum redesign are considered as well as the rationale for including a 30-week module on political and economic risk in the program.