Diffusing market orientation to drive marketing capital: evidence from Vietnam

Although Vietnam’s transition to a market-oriented economy has produced stunning results, the economy is still lacking qualified marketers. This study investigates underlying factors that are fundamental drivers of Vietnam’s economic renaissance, including the role of market orientation at the marketer level (i.e. marketers’ market orientation) in marketing capital pool, and subsequently, marketers’ occupational commitment. Based on data collected from 351 marketers working for various firms in Ho Chi Minh City, the study finds that marketers’ market orientation has a positive impact on marketing capital pool. Further, marketing capital pool invested by marketers has a positive impact on their occupational commitment. Finally, firm ownership moderates the relationship between marketers’ market orientation and marketing capital pool, and gender moderates the relationship between marketing capital pool and marketers’ occupational commitment. Implications for Vietnam and other transitioning economies are discussed.     

Implementing Marketing

Professional service marketers are becoming increasingly concerncd by the problems they face in implementing marketing plans and strategies in their organizations. Many of the barriers to implementation are directly related to the strong organizational cultures that are typically present in professional service firms. This paper seeks to enable professional service marketers to analyze their own organizations and to plan implementation strategies using an 'Internal Marketing Strategy' framework which has been successfully used in the UK.     

Are key marketing topics adequately covered in strategic management?

Most business schools have a capstone course called strategic management. Students in these courses are often required to assess organizations’ functional areas of business, including marketing. Students determine marketing strengths and weaknesses of firms, and develop strategic plans for case companies. Students formulate strategies, make recommendations, and determine the expected marketing impact of those recommendations. Although marketing plays an important role in strategic planning, the present research shows that most strategic-management textbooks provide little to no marketing coverage. In study 1, a content analysis of six leading strategic-management textbooks reveals 10 marketing topics being discussed, although scantly. In study 2, a survey of 167 business students nearing graduation examines the relative importance of the identified topics in strategic planning. Findings of this research suggest that the capstone business course needs to be more integrative. Implications for business courses, faculty, textbook authors, as well as practicing marketers and managers are discussed.     

Where is the Security Blanket? Developing Social Media Marketing Capability as a Shield from Perceived Cybersecurity Risk

Although cybersecurity is important for any organization, firms have little understanding of the ramifications of perceived cybersecurity risk and how marketers can avert its negative marketing outcomes. The inability of firms to prevent massive data breaches in the recent past has heightened cybersecurity risk perceptions of customers and cybersecurity-related marketing challenges and opportunities. This study links cybersecurity risk with firm risk through firm reputation by developing a conceptual framework grounded in perceived risk theory in conjunction with dynamic capabilities and social network theoretical perspectives. Our findings show that social media marketing capabilities enable firms in mitigating the adverse impact of cybersecurity risk in declining firm reputation and value. Thus, this study provides significant implications for marketing theory and practice.     

International Channels of Distribution and the Role of Comparative Marketing Analysis

To enter international markets successfully, firms need to secure adequate distribution channels for their products in the targeted markets. But gaining access to, as well as developing and maintaining marketing channels in foreign markets requires substantial knowledge of the distribution structures and patterns in thos markets. This follows because the so-called standardized (globalized) approach to international marketing strategy does not apply to distribution strategy in foreign markets. Comparative marketing analysis can provide international marketers with the means for obtaining the knowledge needed by providing (1) a substantial literature on distribution in different countries, (2) a variety of methodologies that can provide insights into foreign distribution structures, and (3) by sensitizing international marketers to changing patterns of distribution around the world.     

The rebuilt marketing machine

Since its conception, the marketing mix has been the marketer's tool kit for success. A firm's marketing plan is basically comprised of the 4 Ps of the marketing mix tool kit, with practitioners and academicians segregating a marketer's tasks into product, place, price, and promotion. A decade of company-based research suggests, however, that it is time to rebuild the marketing machine by focusing upon the key strategic issues that companies, and marketers, face in today's rapidly evolving, digitized marketplace. If marketing is to become a way of doing business rather than merely one of several organizational functions, marketers must recognize that the marketing mix tool kit is truly an implement for success, just as an engine and wheels are necessary for successful navigation of an automobile. Only after we, as marketers, recognize and conceptualize marketing as a bigger machine than just the 4 Ps will we be able to bring a market orientation to the forefront of strategic thought.     

The importance of integrating marketing planning with corporate planning

“Strategic marketing” implies that marketing has attained a corporate orientation. However, scant evidence is available to support this view. The primary focus of marketing remains at a micro, consumer-oriented level. Integration of marketing planning with corporate planning would suggest a higher perspective for marketers; recognizing that internal integration of planning is as important for effective marketing as external studies of customers and markets. Toward this end, four key dimensions of corporate planning are introduced. As corporate planning constrains marketing planning, it is this most “strategic” of outlooks that needs to be integrated into the process of marketing planning.     

The market within: A marketing approach to creating and developing high-value employment relationships

In the battle for high-value talent, managers need to think like marketers, creating job offerings and employment relationships that provide mutual value for firms and their employees. This article provides a 3-stage framework for the application of marketing techniques to the recruitment and retention of high-value employees. In the first stage, the 4Ps of the marketing mix are used to create compelling job offerings that attract high-value employees. In the second stage, firms use relationship marketing concepts to build long-lasting employment relationships that create mutual value for the firm and its employees. The third stage involves the outcomes of high-value employment relationships, which include greater employee commitment and satisfaction, which then lead to greater employee advocacy of the firm and lower levels of employee turnover. The ultimate proposed outcomes of this approach are increased performance and stability of the firm.     

From Firm-Controlled to Consumer-Contributed: Consumer Co-Production of Personal Media Marketing Communication

Fueled by the sociocultural shift from firm-controlled to consumer-contributed media, the researchers explore the idea of adapting a co-production strategy from service marketing to marketing communication sent to personal media. Eleven field experiments with firms, along with a structural model tested on survey data, provide empirical evidence supporting a co-production approach applied as a communication strategy in the context of a text message mobile coupon marketing campaign. The results demonstrate a co-produced direct marketing communication strategy that increases attitude toward the communication, purchase intent, and purchase activity, while also acting as a risk-reducing mechanism. Furthermore, perceived customization of the communication interacts strongly with risk perception and marginally with coupon proneness as related to attitude toward the communication when marketers enter the world of consumers' personal media. A push versus pull framework and a co-produced communication framework are put forth to suggest various areas marketers can make available for consumers to co-produce in a marketing communication exchange.     

The moderating effect of brand orientation on inter-firm market orientation and performance

Abstract

While prior research has shown that market and brand orientation are key contributors to successful business performance, research to date has not fully explored how inter firm collaboration for these two key orientations can enhance business performance. The purpose of the paper is to investigate the relationship between inter-firm market and performance; to test for the moderating role of brand orientation in that relationship. A total of 169 completed pairs of surveys were collected of small and medium enterprises operating internationally in a variety of industries in Switzerland. The results show that inter-firm market and brand orientation are two antecedents of marketing and financial performance. The impact of inter-firm market on marketing and financial performance is significant when the brand orientation is favorable. This study extends previous research by examining the moderating role of brand orientation on inter firm market orientation, which is important, especially for firms wanting to increase their brand reputation by entering into partnerships with other firms. Further research is indicated, to identify the key moderators of the driving force of inter-firm market in relation to business performance and the reason why maintaining a strong brand presence is important in the international marketplace.     

Ethnic Marketing Ethics

Culture plays an important role in defining ethics standards because dissimilar cultures socialize their people differently, according to what is acceptable behaviour. The potential significance of ethnic groups for marketing justifies inquiry into the moral judgments, standards, and rules of conduct exercised in marketing decisions and situations arising from decisions whether or not to focus on individual ethnic groups within an economy. Identifying and targeting ethnic groups for marketing purposes are tasks fraught with many ethical difficulties. In a multicultural society consisting of a dominant group and many diverse, minority groups defined by ethnicity, these problems can be expected to increase substantially. Consequently, marketers may include minority ethnic consumers in their mainstream marketing programs. In itself, this has ethical consequences. Alternatively, if marketers seek to target individual minority ethnic groups within the same economy a further set of ethical consequences needs to be considered. This paper reviews the concepts of ethnicity and ethnic groups and their relevance for marketing strategy within an economy where there is a dominant group and also significant minority ethnic groups. The ethical consequences for minority communities arising from the use of non-ethnic, mainstream marketing programs are examined. An alternative approach, ethnic marketing, is also examined and its ethical consequences in terms of other groups within the one country appraised. The ethical dilemma and tradeoffs facing marketers within advanced, culturally diverse countries are then considered.     

Between saying and doing is the ocean: an empirical exploration of the gap between strategic marketing plans and their implementation in the life sciences industry

The difference between what firms’ strategic marketing plans say and what those firms do in practice is a long-standing issue. This paper describes work to empirically test Smith’s 2013 model of marketing strategy implementation, itself a synthesis of several concepts from the organisational behaviour and organisational psychology literatures. Using a sample of 391 respondents from 53 medium and large firms in the life sciences sector, it was found that there is only a 50% overlap between plans and execution. Further, as Smith’s model suggested, intraorganisational conflict was found to be the most important cause of this phenomenon, whilst individual commitment is an important secondary cause. Attempts to demonstrate moderating factors suggested by Smith’s model were unsuccessful. This work contributes to theory by providing the first robust explanation of why firms do not fully execute their strategic marketing plans. It also contributes to practice by measuring the gap between plan and practice in marketing strategy and suggesting ways that gap might be reduced.     

Strategic marketing planning guided by the quality-of-life (QOL) concept

An emerging ethical philosophy in marketing is developing. This philosophy is based on quality-of-life studies which are becoming an important topic of research in behavioral and social sciences (basic and applied research). This paper addresses the QOL orientation in marketing from a decision-making perspective. Specifically, this paper shows how marketers can engage in strategic marketing planning guided by the QOL concept. M. Joseph (Joe) Sirgy is social/consumer psychologist and a professor of marketing at Virginia Tech. He has written extensively about quality-of-life issues in business and society. He is presently serving as executive director of the newly formed International Society for Quality-of-Life Studies.     

Analysing marketing customization strategies in Australasian firms: a framework for services and goods exporters

Previous studies suggest that services and goods marketers can share internationalization and market entry frameworks. Very little research has investigated any similarity of marketing customization frameworks of services and goods exporters. This study has proposed a common customization framework, which was examined using the experiences of 101 services and goods firms operating in a highly different environment. It was found that the marketing environment–marketing strategy framework for service and good exporters was mostly similar, but that the extent of the influence of selected factors was stronger for service firms. The framework of marketing strategy–performance was confirmed to be mostly similar. The results of this study suggest that, after internationalization and market entry mode theories, a common marketing customization framework can probably be identified across selected services and goods sectors.     

International marketing strategies in industrial clusters: Insights from the Southern Hemisphere

This paper examines co-operative marketing strategies among clustered-based firms in the most important wine producing and exporting countries in the ‘new world’. The research examines the development of active inter-firm marketing co-operation undertaken by firms to achieve competitive positioning in international markets. The results of a survey of managers located in Argentina, Australia, Chile and New Zealand are presented. The empirical contribution comes from the unique comparative data from regional clusters in four countries which are seen internationally as innovative producers and marketers, all strongly export-oriented, but at different stages of economic development and positioning in the global marketplace. In addition, this study makes a significant contribution to agglomeration theory by confirming the importance of sharing marketing knowledge to build sustainable competitive advantage in international markets. The theoretical contribution builds understanding of international marketing strategies within the Southern Hemisphere group of emerging countries and offers new insights on international marketing practices for emerging firms from both the developed economies in the Pacific Ocean region and Latin American emerging economies.     

The Influence of Alternative Marketing Styles on Internal Competences in Small Manufacturing Firms: the Results of a UK Investigation

Increasingly firms are being encouraged to move away from traditional, transactional marketing and instead adopt a relationship marketing orientation. Concurrently another emerging academic concept is entrepreneurial marketing. Interest in this latter area has, in part, been stimulated by research on marketing processes within the SME sector. It is proposed that the merger of relationship and entrepreneurial marketing might result in 4 alternative marketing styles. To determine whether these styles exist, a mail survey of 300 small UK manufacturing firms was undertaken in the summer of 1996. The survey tool used the Covin/Slevin entrepreneurial measurement scale and a new scale developed specifically to measure relationship marketing style. Competence was measured by seeking managing directors' assessment of the current capability of their firm in the areas of positioning, innovation, H.R.M., employee productivity, quality and information management. Applying ANOVA to the responses from 104 firms suggests that respondent firms can be classified into 4 different marketing styles and that an orientation towards an entrepreneurial-transactional marketing style will generate the highest overall sales growth rate. Discriminant function analysis indicates that relationship orientated firms exhibit higher competences in areas such as the management of quality and the utilisation of information to enhance decision-making. The implications of these findings in relation to the future provision of support services to smaller firms are discussed, as is the need for further research.     

Pricing practices and firms' market power in international cellular markets, an empirical study

Previous studies on international marketing have typically asked the question: “how is the demand characterized across countries?” Such analysis is then used to provide guidelines for firms to enter new markets and/or to allocate marketing resources across countries. To provide such normative guidelines, however, one also needs to analyze the supply-side of the problem, i.e., ask: “what is the likely market power that firms will be able to command in different countries?” Building on the New Empirical Industrial Organization (NEIO) framework, recent research in marketing provides marketers with a variety of models to explore competitive interactions among firms in the context of a single market. The goal of this paper is to extend this literature to a multimarket/multinational context to help international marketers assess the likely market power they face when entering new countries. We illustrate the proposed method on the mobile telecommunications industry, using price and quantity data from 10 countries around the world, estimating firms' market power as a function of a number of country characteristics.The results indicate that, while the simple presence of competition diminishes firms' market power, it does not lead to perfect competition. Interestingly, a higher number of competitors in a country does not seem to have significant incremental effect on market power. In contrast, the country's commitment to a severe antitrust policy has a significant negative effect, while the monopolist's lead-time before competition is allowed has a significant positive effect on market power. These findings, together with a change in price elasticities as a result of competition, suggest that market power in different countries may originate from two sources: (i) collusive pricing among cellular operators and (ii) consumers' switching costs across service providers. For international marketers, the findings imply that the attractiveness of wealthier countries (with usually faster diffusion rates and larger market potential) may be mitigated by higher levels of competition (as a result of developed antitrust regulation and more consumer exposure to competitive marketing practices). From a policy point of view, it suggests that (in contrast to the conventional wisdom) simple deregulation may not be enough to reduce prices to competitive levels. In addition, a severe antitrust policy is crucial to achieve this goal.     

The Future of Creativity In Advertising

In the rapidly changing marketing environment, more attention is being placed on media than on message factors. Creativity, which has been shown to impact the success of a product seems to be receiving secondary attention from marketers. This research discusses the value of creative advertising, and why marketers may be less focused on message strategies. The study concludes that creativity is not dead, and will continue to remain an important factor in marketing communications into the future.     

Social media marketing: Who is watching the watchers?

The ready access to and availability of social media has opened up a wealth of data that marketers are leveraging for strategic insight and digital marketing. Yet there is a lack of professional norms regarding the use of social media in marketing and a gap in understanding consumers’ comfort with marketers’ use of their social media data. This study analyzes a census-balanced sample of online adults (n = 751) to identify consumers’ perceptions of using social media data for marketing purposes. The research finds that consumers’ perceived risks and benefits of using social media have a relationship with their comfort with marketers using their publicly available social media data. The research extends the applicability of communication privacy management theory to social media and introduces marketing comfort—a new construct of high importance for future marketing research. Marketing comfort refers to an individual's comfort with the use of information posted publicly on social media for targeted advertising, customer relations, and opinion mining. In the context of the construct development, we find that targeted advertising is the strongest contributing component to marketing comfort, relative to the other two dimensions: opinion mining and customer relations. By understanding what drives consumer comfort with this emerging marketing practice, the research proposes strategies for marketers that can support and mitigate consumers’ concerns so that consumers can maintain trust in marketers’ digital practices.