Developing a deeper understanding of post-purchase perceived risk and behavioral intentions in a service setting

Researchers and service providers have realized that a disproportionate share of a firm’s sales and profits come from a relatively small number of loyal customers that repeatedly purchase the firm’s services. In many service settings, such as health care, repeated interactions between the service provider and the client are necessary for service delivery. While service quality is certainly important, it is also important that customers’ perceptions of perceived risk are taken into account and that customers perceive a degree of control over the services provided. We develop a conceptual model of linkages between the physical environment of the service, perceived control over the service and service quality and, demonstrate through two empirical studies, how these factors affect perceived risk and post-purchase behavioral intentions. Both studies were conducted in health care settings. In the first study, we collected data using a mail survey of 192 patients after their treatment from a regional hospital. In the second study, survey data were collected from 101 patients of a specialized clinic providing alternative therapies within a major hospital. Our results provide confirmation that the favorable physical environment of the service setting enhances perceived control and perceptions of service quality. Moreover, perceived control and perceived quality of the service provider reduces post-purchase perceived risk. Finally, post-purchase perceived risk reduces behavioral intentions, while perceived quality of the service provider enhances behavioral intentions. Authors contributed equally to the research.     

An empirical analysis of spokesperson characteristics on advertisement and product evaluations

This article reports the results of an experimental investigation of the influence of a communicator’s characteristics on respondent’s evaluation of an advertisement when the communicator is in the role of a spokesperson. Specifically, the author assesses the impact of the physical attractiveness, sex and race of a spokesperson, the sex of the respondent and product advertised on respondent’s attitude toward the advertisement, and respondent’s perceptions of the advertised product. The results presented indicate that the effectiveness of the factors mentioned are dependent on the specific objective of the communication. A main effect of physical attractiveness was noted on a subject’s attitude toward the advertisement, on perceptions of product quality and intent to purchase. The sex of the communicator impacted on a subject's perception of product quality and interacted with the race of the communicator to effect the intent to purchase variable. Race was shown to effect the subject’s perception of product quality. A main effect of the sex of the subject was noted for the cognition variable.     

Gratitude works: its impact and the mediating role of affective commitment in driving positive outcomes

After studying the effects of Louisiana’s post-hurricane “thank you” campaigns, the researchers find expressions of gratitude significantly improve perceptions of Louisiana in the midst of its recovery. Through a national survey conducted November 2006, they find that those who saw or heard a thank you advertisement have more positive attitudes toward the state and its people, a greater willingness to pay a premium for its products, services and travel to the state, and spread positive word-of-mouth, thus justifying the use of public funds to support the campaign. The authors investigate the role of participation on the effectiveness of expressions of gratitude and identify the mediating role of affective commitment in driving the positive results attributed to expressions of gratitude.     

The negative effect of policy restrictions on consumers’ post-purchase reactions to price-matching guarantees

Price-Matching Guarantees (PMGs) are a mechanism by which retailers can reassure consumers of the competitive price of products they offer. While current research in marketing has studied consumers’ pre-purchase perceptions of the retailer as a result of offering price-matching guarantees, research on the post-purchase impact of PMGs has been relatively limited. While price-matching guarantees are typically assumed to result in positive consumer perceptions of the retailer, no study to date has examined the potentially negative post-purchase impact of PMGs. This paper examines the potential negative effect of policy restrictions which may prevent the disbursement of a price-matching refund, on consumer perceptions. Two experiments (Experiment 1 n = 120, Experiment 2 n = 50) are utilized to dissect the impact of policy restrictions on consumers’ perceptions of service quality, price, and loyalty. The paper concludes with a discussion of the managerial implications of the findings on price-matching guarantee policies. All authors contributed equally to the paper and are listed in alphabetical order. This research has been supported by a research grant from the Fordham University Graduate School of Business, the Babson Board of Research, and the Marketing Science Institute.     

An assessment of ‘political congeniality’ factor in international business transactions

In this paper the concept of ‘political congeniality’ is concenved broader in scope than the conventional ‘political risk’ factor in international business. The impact of ‘political congeniality’ factor on overseas importers’ evaluations of the U.S. exporters' business practices was empirically evaluated. For this purpose, a comparison was made between the Spanish and Greek importers' perceptions, experiences and evaluations of the U.S. exporters' business practices. Research findings indicated some significant different between the two groups of importers, but the basic hypothesis of the study was supported only to a limited extent.     

How sales controls affect job-related outcomes: the role of organizational sales-related psychological climate perceptions

In this study, the authors propose a theory that incorporates the mediating effects of three important organizational sales-related psychological climate perceptions (e.g., the organization’s customer orientation, sales innovativeness, and sales supportiveness) to explain how sales force controls affect sales-related outcomes. Based on a survey of 293 salespeople and using path analysis, the authors find that the inclusion of these psychological climate perceptions allows for explanatory improvement in linking sales controls to salesperson job satisfaction and performance. These results complement previous studies in that formal controls were found to affect outcomes directly. However, they also provide important insight into the indirect effects of sales controls—through salespeople’s perceptions of managerial commitment to making the salespeople effective (i.e., the sales-related psychological climate).     

The perceived importance of ethics and social responsibility on organizational effectiveness: A survey of marketers

A necessary but insufficient condition for marketers to act ethically and be socially responsible is that they must perceive ethics and social responsibility to be important. However, little is known about marketers’ perceptions regarding the importance of ethics and social responsibility components of business decisions. The objectives of this study are (1)to assess the marketing practitioners’ perceptions regarding the importance of ethics and social responsibility in achieving organizational effectiveness, and (2) to analyze the relative influences of selected personal characteristics and organizational factors underlying a marketer’s perceived importance of ethics and social responsibility. The results from a mail survey of American Marketing Association members indicate that the marketers generally believe that ethics and social responsibility are important components of organizational effectiveness. The results partly indicate that there is a positive relationship between a marketer’s corporate ethical values and his or her perceptions regarding the importance of ethics and social responsibility. The results also indicate that the marketers’ perceptions regarding ethics and social responsibility can be explained by idealism and relativism. He has also served on the marketing faculty at Thammasat University, Thailand. He received his Ph.D. from the University of Mississippi. His research focusing on marketing ethics and social responsibility has been published inJournal of the Academy of Marketing Science, Journal of Business Ethics, Journal of Macromarketing, Journal of Personal Selling & Sales Management, Journal of Public Policy & Marketing, and elsewhere. He received his D.B.A. in management from the University of Maryland. His work on business ethics, organizational design, and strategic planning has been published inAcademy of Management Review, American Business Review, andJournal of Business Ethics. His current research interest centers on the measurement of moral intensity. He received his Ph.D. from Texas Tech University. His work has appeared inJournal of the Academy of Marketing Science, Journal of Business Ethics, Journal of Business Research, Journal of Macromarketing, Journal of Personal Selling & Sales Management, Research in Marketing, and elsewhere. He received his Ph.D. in marketing from the University of Mississippi. His research has been published inJournal of the Academy of Marketing Science, Journal of Business Ethics, Journal of Pharmaceutical Marketing and Management, Journal of Social and Administrative Pharmacy, and elsewhere. His research interests include marketing ethics, health care marketing, international marketing, and direct marketing.     

Examining the influence of control and convenience in a self-service setting

The constructs of perceived control and convenience have been identified in previous qualitative studies of self-service technology (SST) use as important factors; yet empirically their effects are relatively unknown. Based on the theory of planned behavior, this study explores how control and convenience perceptions influence customers’ utilitarian (speed of transaction) and hedonic (exploration) motivations for using an SST. In addition, we explore how trust in a service provider influences customers’ future SST intentions. Two studies were undertaken to assess both users and nonusers’ evaluations of an SST. The results revealed that perceived control and convenience do impact the intentions of customers to use an SST in the future; however, their impact was mediated through the constructs of speed of transaction, exploration, and trust. Increased control and convenience perceptions influenced exploration, trust and speed evaluations, which in turn were associated with stronger perceived value, higher SST satisfaction judgments, and increased SST usage intentions. Managerial implications stemming from the empirical findings are discussed along with directions for future research.     

Perceived marketing–sales relationship effectiveness: a matter of justice

There is a compelling need to improve the relationship between managers in marketing and sales departments. This paper argues that one critical way of enhancing individual managers’ perceptions of relationship effectiveness between these departments is to view the issue as a matter of justice and suggests that perceived marketing–sales relationship effectiveness is positively influenced by managers’ perceptions of organizational justice. Furthermore, it proposes that interfunctional communication has the potential to enhance the proposed positive effects of justice and hence needs to be considered and effectively managed when looking at marketing–sales relationship effectiveness. Data drawn from a survey of 203 marketing and sales managers in 38 consumer packaged goods companies are used to empirically test these predictions. The authors find that perceived sales–marketing relationship effectiveness is influenced by perceptions of distributive, procedural and interactional justice. Greater interfunctional communication is found to further enhance the positive effects of distributive and procedural justice on perceived relationship effectiveness, but it does not contribute to the already strong positive effects of interactional justice. Furthermore, results reveal important differences in the effects of justice on perceived relationship effectiveness across the marketing and sales departments.     

Protecting relational assets: a pre and post field study of a horizontal business combination

A variety of theoretical frameworks including social exchange theory, relational exchange theory, and contracting theory are used to investigate how to protect relational assets in a marketing channel when an upstream horizontal business combination between key suppliers arises. In this study, we ascertain downstream channel members’ perceptions of a supplier’s horizontal business combination both prior to and after such a combination. Our findings indicate that a normative contract breach resulting from a horizontal business combination influences downstream channel members by reducing their performance, decreasing their satisfaction, and increasing their likelihood of exiting the channel. Consequently, both the relational assets of the upstream supplier and their downstream customers are harmed. Importantly, these influences can be partially offset through the moderating effect of channel identification.     

An examination of consumer sentiment toward offshored services

This research identifies and analyzes the underlying elements and consequences of consumer sentiment toward offshored services. This is accomplished by initially conceptualizing consumer sentiment toward offshored services, then developing and validating a multi-dimensional scale (OFFSERVSENT) to measure the construct. This research determines that consumer sentiment toward offshored services is instrumental in explaining consumers’ commitment to and global attitudes toward firms that offshore services as well as consumers’ word-of-mouth behavior. The strength of these relationships varies depending upon the type of service being offshored. The results of this research contribute to the study of services offshoring, an emerging and fertile area of research for the services and marketing disciplines, and provide practitioners with increased knowledge regarding offshoring decisions.     

On the importance of complaint handling design: a multi-level analysis of the impact in specific complaint situations

Given the large investments required for high-quality complaint handling design, managers need practical guidance in understanding its actual importance for their particular company. However, while prior research emphasizes the general relevance of complaint handling design, it fails to provide a more differentiated perspective on this interesting issue. This study, which is based on an integrative multi-level framework and a dyadic dataset, addresses this important gap in research. Results indicate that the impact of a company’s complaint handling design varies significantly depending on the characteristics of the complaining customers with which the firm has to deal. Further, this paper shows that, contingent on these characteristics, a company’s complaint handling design can shape complainants’ fairness perceptions either considerably or only slightly. Overall, findings suggest that companies should apply an adaptive approach to complaint handling to avoid misallocation of attention, energy, and resources.     

An investigation of path-goal leadership theory and its impact on intrachannel conflict and satisfaction

This path-analytic study examined the relationships among channel members’ perceptions of dimensions representing channel leader behavior, channel conflict and satisfaction. In doing so, the path-goal theory of leadership is tested in a franchise channel of distribution. The results indicate that both the consideration and the initiating structure dimensions of leader behavior significantly influence franchisees’ satisfaction with the franchise arrangement. As defined in the theory, these relationships were found to be mediated by the existing level of conflict being experienced by franchisees. Causal linkages are also found between intrachannel conflict and satisfaction. Specific recommendations are provided to franchisors and other channel leaders.     

Marketing academicians’ perceptions of ethical research and publishing behavior

Many universities have increased the emphasis on faculty research and publication productivity as a means of enhancing their reputation. Such emphasis contributes to the increased competition for available journal space, heightened pressures on the efficiency of the editorial system, and increases the temptation to lower ethical research and publication standards. A survey of 328 marketing academicians about their perceptions of ethical and unethical research and publication practices for academicians, editors, and review board members revealed wide variation among respondents’ perceptions of what constitutes ethical academic conduct. In particular, the respondent’s level of publication experience was found to be significantly related to his/her assessment of the ethicality of research practices. The authors suggest that a recognized code of ethics for the marketing academic community would be valuable in maintaining professional standards, increase justice in the academic reward system, and further the growth of knowledge in our discipline.     

Socializing children about television: An intergenerational study

This article describes a study on mothers’ views of television and children’s perceptions of their mothers’ socialization efforts regarding television. Results from the investigation involving 174 mother and child (in Grades 3–6) dyads suggest that mothers’ perceptions of their responsibilities regarding children’s television viewing vary by parental style. In addition, children’s perceptions of mothers’ verbal interactions about TV and coviewing together with opinions, monitoring, and controlling of television similarly vary across parental styles. These findings support previous research that parental styles play a role in determining the manner in which mothers socialize their offspring about television. Les Carlson (Ph.D., University of Nebraska-Lincoln) is a professor of marketing at Clemson University. His research interests center on consumer socialization and environmental advertising. His work has appeared inInternational Marketing Review, Journal of the Academy of Marketing Science, Journal of Advertising, Journal of Business Research, Journal of Consumer Affairs, Journal of Consumer Psychology, Journal of Consumer Research, Journal of Current Issues and Research in Advertising, Journal of General Psychology, Journal of Macromarketing, Journal of Marketing Education, Journal of Marketing Theory and Practice, Journal of Personal Selling and Sales Management, Journal of Public Policy and Marketing, and various conference proceedings. He is a past editor of theJournal of Advertising. Russell N. Laczniak (Ph.D., University of Nebraska-Lincoln) is a professor of marketing and chair, Departments of Management and Marketing, at Iowa State University. His primary research interests deal with marketing communication. His research has been published in theJournal of Consumer Psychology, Journal of Advertising, Journal of Current Issues and Research in Advertising, Journal of the Academy of Marketing Science, Journal of Public Policy & Marketing, Journal of Consumer Affairs, Journal of Business Research, Psychology and Marketing, Journal of Marketing Theory and Practice, Journal of Marketing Communications, Marketing Letters, and various conference proceedings. Ann Walsh (Ph.D., University of Nebraska-Lincoln) is an assistant professor of marketing at Western Illinois University. She has published in theJournal of Advertising, Journal of the Academy of Marketing Science, Journal of Consumer Affairs, and American Marketing Association Educators’ Proceedings.     

“Migrating” to new service providers: Toward a unifying framework of consumers’ switching behaviors

This article explores the applicability of a model of migration from the human geography literature as a unifying, theoretical framework for understanding consumers’ service provider switching behaviors. Survey data from approximately 700 consumers are used to examine the usefulness of the push, pull, and moorings (PPM) migration model. The PPM migration model performs better than an alternative model; all three categories of antecedents to switching (migration)—push, pull, and mooring variables—have significant direct, and some moderating, effects on switching intentions. Harvir S. Bansal (Ph.D., Queen’s University, hbansal@wlu.ca) is an associate professor of marketing at Wilfrid Laurier University. His research interests are focused in the area of services marketing with emphasis on customer switching behavior, word-of-mouth processes in services, structural equation modeling, and tourism. His research has been published in theJournal of the Academy of Marketing Science, the Journal of Services Marketing, the Journal of Service Research, Tourism Management, theJournal of Quality Management, andPsychology and Marketing. He has also presented at and published articles in the proceedings of various national and international conferences. Shirley F. Taylor (Ph.D., University of British Columbia, staylor@business.queensu.ca) is an associate professor in the School of Business at Queen’s University, where she teaches and conducts research in the area of services marketing. Her research interests include service provider loyalty and switching, customer commitment, and perceptions management of service delays. Her work has been published in theJournal of the Academy of Marketing Science, the Journal of Marketing, Psychology & Marketing, theJournal of Service Research, theInternational Journal of Research in Marketing, and theJournal of Public Policy and Marketing. She currently serves on the editorial boards of theJournal of the Academy of Marketing Science, theJournal of Business Research and the Canadian Journal of Administrative Sciences. Yannik St. James (ystjames@business.queensu.ca) is a doctoral candidate in the School of Business at Queen’s University, where she conducts research at the intersection of consumer behavior and marketing strategy. Her research interests include the role of affect in consumer behavior, brand management, and services marketing. She has presented her work at the Association for Consumer Research Conference, the Academy of Marketing Science Conference, and the Frontiers in Services Conference.     

Military conquest and sovereign debt: Chile,Peru and the London bond market, 1876–1890

As a result of the War of the Pacific (1879–1883), Chile conquered Peruvian and Bolivian territories rich in nitrates and guano. We conduct econometric tests for structural breaks in the time series of the government bonds for Chile and Peru between 1876 and 1890 in order to examine the effects of the changes in resource endowments on the investors’ perceptions of the risk premia of Chilean and Peruvian securities. Our results reveal that investors were extremely pessimistic about the prospects of Chilean, and especially Peruvian debt prior to the war. Early Chilean victories that anticipated the transfer of the richly endowed provinces to Chile caused significant increases in the price of Chilean securities. But such was the low regard with which investors viewed the Peruvian government that the fall of Lima caused an increase in the price of Peruvian bonds on the hope that Chile would assume some of the responsibility for them. Endowments, reputations, and the countries’ financial conditions figure prominently as the driving forces behind the investors’ behavior.     

A structural model depicting salespeople’s job stress

The study develops and tests a model of salespeople’s job stress relative to its proposed determinants and outcomes. The study findings shed light on four questions concerning possible links between job stress and its precursors. The evidence gained suggests that job stress may influence intention to leave through reduced organizational commitment and that job satisfaction intervenes between salespeople’s role perceptions and job stress. He researches primarily in the area of salesperson attitudes and behavior. He has published in theJournal of Personal Selling and Sales Management, Journal of Business Research, AMA Summer Educator’s Proceedings, Industrial Marketing Management, andAkron Business and Economic Review.     

Relationships between family communication and consumer activities of adolescents: An exploratory study

This study uses a multitrait, multi-informant approach to examine the relationships between family communication and adolescent involvement in consumer activity using two measures of family communication, one that measures the general quality of communication between parents and adolescents, and another that measures the frequency of consumption-specific communication between parents and adolescents. In addition, the perceptions of mothers, fathers, and adolescents are used in the analysis. Findings show that the two communication constructs are conceptually distinct. Positive relationships between the communication constructs and adolescents’ consumer activities are found; however, the presence of significant relationships depends on which individual family members’ or family member dyads’ perceptions are used in the analysis. On the basis of the findings, several suggestions for future research are discussed. Kay M. Palan is an assistant professor of marketing at the College of Business at Iowa State University. The received her Ph.D. from Texas Tech University. Her research interests include consumer decision-making, adolescent influence in family decision-making, gender effects on consumption and advertising, and philosophy-of-science issues. Her work has appeared in theJournal of Marketing, theJournal of Consumer Research, andPsychology & Marketing.     

A note on the predictive validity of the CETSCALE

Consumers’ perceptions of the morality of buying foreign products, or consumer ethnocentric tendencies, are becoming an increasingly important issue for marketers in the global environment. The predictive validity of Shimp and Sharma’s (1987) CETSCALE was tested in a nationwide mail survey. The scale is shown to be a much stronger predictor of import buying behavior than are demographic variables. The ability of the scale to predict purchase behavior does not, however, appear to be consistent across the two products tested.