Assessing interaction effects in Latin square-type designs

Latin, Graeco-Latin and hyper-Graeco-Latin squares are experimental designs in which all main effects are confounded with interaction effects involving two or more experimental factors. Most marketing research experiments sing these designs blindly test for main effects without establishing that interaction effects are indeed not significant. This paper first shows how the presence of significant interaction effects can distort the results of experiments using Latin square-type designs. It then presents three procedures that test the assumption of insignificant interaction effects in these designs and discusses the conditions under which each method is best employed. The unique feature common to all three procedures is that they utilize the experimental data itself to test the validity of the additivity assumption. Finally, a new procedure is presented for replicated Graeco-Latin and hyper-Graeco Latin squares that unconfounds a single, major main effect from all second order interaction effects, and estimates one two-way interaction effect involving the major experimental factor of interest. Applications illustrating the usefulness of all four procedures are presented.     

The Role of Pre-Exposure Cognitive Structure in Mediating Consumer Responses to Advertising

Measurement of cognitive responses has evolved around the use of post-test only research designs. The failure to include pre-exposure cognitive structure into research designs threatens the validity of results. In the present study, we show that consumers' product attitudes influence how they respond to television commercials and what reactions they have toward advertised products following exposure.     

Gradual stimulation of respondents' reflexivity: A research design for studying unreflexive consumers

In interpretive research accounts, reflexivity has been understood primarily in terms of the researcher's reflexivity, while the respondent's reflexivity has been considered only marginally. We regard this gap as critical and therefore introduce a research design for the gradual stimulation of respondents' reflexivity (GSRR), which we propose as a methodological tool for strengthening research validity. First, to frame our argumentation in the contemporary socio-technological context, we emphasize the need to focus on the respondent's reflexivity in the onto-epistemological conditions of the hybrid space and posthuman consumer culture, which unprecedentedly eliminate actors' abilities to monitor their actions reflexively. Second, we present and methodologically examine the GSRR as a 3-phase sequential mixed-method research design for stimulating respondents' reflexivity. GSRR's logic is as follows: the questionnaire captures what respondents think they are doing; the digital self-tracking diary captures what they are doing and what they often do not acknowledge (unreflexivity); the interviews use the previous phases' data to elicit respondents' reflexivity. Third, we present examples from our research practice to demonstrate the strengthening of data validity elicited from respondents by stimulating their reflexivity. We conclude by outlining the GSRR's possible future applications and directions.     

Evaluating Consumer Protection Laws: II. Promising Methods

Three quasi-experimental research designs which promise the possibility of yielding strong conclusions about the effects of consumer protection initiatives are reviewed. The threats to internal validity which face these designs are described and illustrated with specific studies. The broader implications of evaluation research for consumer protection are discussed.     

The Hot–Cold Decision Triangle: A framework for healthier choices

People often behave in ways that are clearly detrimental to their health. We review representative research on unhealthy behaviors within a parsimonious framework, the Hot-Cold Decision Triangle. Through this framework, we describe how when people embrace colder state reasoning??instead of risking the pitfalls of heuristics and visceral reactions??they are more likely to behave healthily. We also illustrate how some heuristics and visceral urges can be leveraged to encourage healthier choices. We conclude by discussing unexplored research directions, as well as substantive implications for individuals, marketers, and policymakers.     

Planning and Conducting Experimental Advertising Research and Questionnaire Design

We give an overview of the most important decisions to be taken when planning and conducting experimental advertising research. Based on previous research and state-of-the-art academic insights, we discuss good methodological practices with respect to fleshing out the contribution of a study, developing and testing experimental stimuli, selecting appropriate samples, collecting data, designing questionnaires, deciding which variables and measures to include, and determining scale measurement. This set of guidelines should enable experimental advertising researchers to optimize their study designs and to carry them out in a correct way.     

An entrepreneurial process perspective on succession in family firms

We review and analyze previous literature on succession in family firms from an entrepreneurial process perspective. Through a three-step cluster analysis of 117 published articles on succession in family firms published between 1974 and 2010, we find several themes within which succession can be understood from an entrepreneurial process perspective where both the entry of new owners and exit of old owners are associated with the pursuit of new business opportunities. We identify gaps within each cluster and develop a set of research questions that may guide future research on succession as an entrepreneurial process. Since succession involves implications for individuals, families and firms, we suggest researchers should adopt a multilevel perspective as they seek answers to these research questions. Our review and analysis also underlines the need to focus on ownership transition rather than only management succession, and the importance of carefully defining both succession and family firm.     

The process of assisted negotiations: A network analysis

This article introduces network analysis as a supplement to current research on the process of negotiations. We briefly review the literature on negotiations involving third parties, and argue that to understand fully the dynamics of dispute resolution, it is important to examine processes in addition to outcomes. We propose social network methods as a way to examine systematically the step-by-step process through which self-interested third parties influence negotiated outcomes. To illustrate, we analyze process data from triads in an agent-assisted negotiation. We describe three classes of results. First, we describe the basic properties of the third-party-assisted negotiation process (e.g., we found agents to be the most active players in the negotiation process—they initiate interactions significantly more frequently than buyers or sellers). Second, we study the changes in the process characteristics due to experimental conditions (i.e., we found the interactive patterns to vary depending on the information made available to the third party). Finally, we examine the relationships between the systematic process measures and standard outcome measures. We argue that these measures are complementary, and that the process should be informative with respect to interpreting, predicting, and managing outcomes.This research was supported in part by a grant from the Dispute Resolution Research Center.     

Experimental analysis of choice

Experimental choice analysis continues to attract academic and applied attention. We review what is known about the design, conduct, analysis, and use of data from choice experiments, and indicate gaps in current knowledge that should be addressed in future research. Design strategies consistent with probabilistic models of choice process and the parallels between choice experiments and real markets are considered. Additionally, we address the issues of reliability and validity. Progress has been made in accounting for differences in reliability, but more research is needed to determine which experiments and response procedures will consistently produce more reliable data for various problems.Sawtooth SoftwareDecision Research     

Defining and Tracking Business Start-Ups

This paper addresses a curious disjuncture between one aspect of regional development theory and the empiricism required to test its implications.On the one hand, researchers long have argued that firm births fuel the growth and development of regional economies. Just as long, however, they have employed different, often ad hoc, approaches to the definition and measurement of key concepts and relationships. The inconsistency among the studies in this literature creates a validity problem. We begin by providing an omnibus definition of a start-up that applies to some degree to all the articles we reviewed, namely, that it is new, active, and independent. We explain why all three criteria should be applied, rather than a subset. Second, we review the data sources that are commonly used to identify start-ups, and compare them using seven criteria. We conclude that ES202 data is the best source. Third, we develop a step-by-step tracking system for identifying new firms. By matching ES202 files from two different years and applying direct enumeration techniques, it is possible to identify newly created establish-ments during that time period with accuracy. This article serves both to explain the differences among the published studies of new firms and economic development, and to provide a common standard that can enhance the validity of future work on the topic.     

Determinants of retail patronage: A meta-analytical perspective

The retail patronage idea includes such key concepts as store choice and frequency of visit. In this study, the authors synthesize previous empirical studies through a formal, critical review of retailing literature. The meta-analysis suggests that various predictors (e.g., service, product selection, quality) are strongly related to shoppers’ retail choice, whereas others (e.g., store attitude, store image) are important antecedents of shopping frequency. However, the relationships between the predictors and retail patronage vary according to the study characteristics (e.g., experimental vs. other designs). The authors offer implications for retailing research and practice.     

Competition between auctions

Even though auctions are capturing an increasing share of commerce, they are typically treated in the theoretical economics literature as isolated. That is, an auction is typically treated as a single seller facing multiple buyers or as a single buyer facing multiple sellers. In this paper, we review the state of the art of competition between auctions. We consider three different types of competition: competition between auctions, competition between formats, and competition between auctioneers vying for auction traffic. We highlight the newest experimental, statistical, and analytical methods in the analysis of competition between auctions.     

Rating versus ranking: What is the best way to reduce response and language bias in cross-national research?

We propose solutions to two recurring problems in cross-national research: response style differences and language bias. In order to do so, we conduct a methodological comparison of two different response formats—rating and ranking. For rating, we assess the effect of changing the commonly used 5-point Likert scales to 7-point Likert scales. For ranking, we evaluate the validity of presenting respondents with short scenarios for which they need to rank their top 3 solutions. Our results – based on two studies of 1965 undergraduate and 1714 MBA students in 16 different countries – confirm our hypotheses that both solutions reduce response and language bias, but show that ranking generally is a superior solution. These findings allow researchers to have greater confidence in the validity of cross-national differences if these response formats are used, instead of the more traditional 5-point Likert scales. In addition, our findings have several practical implications for multinational corporations, relating to issues such as selection interviews, performance appraisals, and cross-cultural training.     

Evaluating Consumer Protection Programs: Part I. Weak But Commonly Used Research Designs

In this two-part article, current methodological approaches to the evaluation of consumer protection reforms are critically reviewed. In Part I, three quasi-experimental research designs commonly used to evaluate consumer protection initiatives are examined. It is shown that these designs are inherently incapable of yielding strong conclusions about the effects of a law or regulation. In Part II, which will be published in the next issue, research designs which allow stronger causal inferences about the effects of a reform proposal are reviewed. Implications of the review are then discussed in terms of future public policy and evaluation research in the consumer protection area.     

Device-mediated customer behaviour on the internet: A systematic literature review

The proliferation of smartphones, tablets and other digital devices in addition to traditional computers has transformed the Internet into a device-mediated environment. While these devices provide immediate access to similar Internet sources, they differ significantly in their characteristics, such as screen size, operation mode and context of use. As a consequence, behaviours on the Internet along the customer journey vary substantially depending on the device used. To summarize the fast-growing body of research on device-mediated customer behaviour, a systematic, framework-based literature review of 59 articles from the last decade was conducted. Through an examination of the antecedents, decisions and outcomes investigated in the publications, the review presents a conceptual framework that highlights the relation between device characteristics, decision processes and behavioural outcomes. The review further summarizes the theories, contexts and methods employed in the studies and sets an extensive future research agenda. We found that the extant literature lacks comprehensive theories and clear definitions of digital devices in the omnichannel environment. Furthermore, existing findings should be generalized for other contexts (e.g. industries and countries) and validated via the introduction of other research designs and methods. The understanding of device-mediated behaviour and the consequently arising marketing measures remains scarce. Thus, this review advances the comprehension of customer behaviour on the Internet and provides researchers and practitioners with information on the implications for customer experience and omnichannel management.     

Out of sight but not out of mind: Why failure to account for left truncation biases research on failure rates

We note at least three major issues in entrepreneurship theory that can be clarified by studying the survival chances of new ventures: the extent to which entrepreneurs are so constrained by initial founding conditions that they are unable to learn; the degree to which heterogeneity and innovative capabilities are lost due to the failure of new ventures; and the imprinting effects of new ventures' early days on their subsequent development. However, previous research on these issues has been inconclusive because of problems in research design and data analysis. In this paper, we shed light on new venture failure rates by assessing the validity and generalizability of previous findings. We argue that research using registration data to study new ventures is very likely to generate biased results and that research attempting to track new ventures from a very early stage can still suffer from selection bias due to left truncation. Using a sample of new ventures from the Panel Study of Entrepreneurial Dynamics II, we provide evidence for the extent of such biases. We offer a statistical solution to left truncation that can be easily applied in widely used statistical programs.     

Exporter-importer business relationships: Past empirical research and future directions

We present a systematic and comprehensive review of the extant empirical literature on exporter-importer business relationships during the period 1975–2017. The review covers 196 articles published in academic journals, which were content-analyzed with their theoretical background, research design, scope of research, sampling/data collection methods, data analysis, and thematic areas covered. Our findings reveal that this line of research is characterized by: (a) a sound theoretical foundation, the most frequent theories being the behavioral paradigm, transaction cost economics, and relational exchange theory; (b) heavy emphasis on formalized, statistical, cross-sectional, and causal research designs; (c) focus on single-country studies, conducted mainly in Europe, Asia, and North America; (d) a tendency to employ probabilistic samples, of a relatively large size; (e) an adoption of relatively sophisticated methods to purify and analyze data collected; and (f) an emphasis on topics relating to behavioral and structural relational dimensions, followed by external and internal influences. Guidelines for researchers focusing on exporter-importer relationships are provided, as well as suggestions for potential new research topics.     

The effect of early international commitment on international positional advantages in Spanish and Belgian international new ventures

Past research into internationalisation processes assumes that prior experience influences both a firm’s capability to absorb foreign market knowledge and its international competitiveness. However, recent international entrepreneurship research seems to suggest that an early international commitment can also contribute to develop competitive advantages. Further study of this relationship will provide a better understanding of the competitive behaviour of international new ventures. This paper focuses on how international new ventures acquire market knowledge from foreign markets and develop sustainable positional advantages there. The hypotheses derived from our model were tested using extended data gathered from samples of Spanish and Belgian new ventures. To support the validity of the scale content used, all the items were taken from a review of related literature. We attempted to ensure that they meet the conceptual definition and reflect all the relevant dimensions. We used confirmatory analysis to evaluate convergent validity. A structural equation model was used to test the research hypotheses. The results of the data analysis allow us to confirm that an early international commitment influences the positional advantages of international new ventures, since it facilitates the development of market orientation.     

Learning What It Really Costs: Teaching Business Ethics With Life-Cycle Case Studies

Sustainability informs the framework for a seminar that we teach for junior and senior undergraduates entitled "The Ethics and Economics of Sustainable Societies." One of the class requirements has each student research and write a life-cycle case study, an exercise in which they trace the full, or partial, life-cycle of some product with which they are familiar. Students are expected to examine the economic, ethical, and ecological implications along each step in the life-cycle of the product. We believe that life-cycle cases in general are very helpful in revealing the full economic, ethical, and ecological consequences of product development, marketing, use, and disposal. We also believe that asking students to research the product themselves provides additional pedagogical benefits. After a brief review of the philosophical case for our alternative view of corporate social responsibility, we will describe the life-cycle case method, offer several examples from our own classes, and make the case for the pedagogical benefits of this approach.