How value and trust influence loyalty in wireless telecommunications industry

Despite making significant investments in enhancing the customer service experience, long-term customer loyalty remains an elusive dream for many service providers. Particularly in the telecommunications industry, switching providers even from within continuous contract relationships is easy and companies struggle to retain their customers. Trust and value are considered cornerstones of long-term relationships, so it is perhaps surprising that previous research on how relationship age and usage level actually affect value, trust and loyalty is inconclusive. The current research is set in the telecommunications services field and draws on a large-scale survey undertaken in Finland. The findings support the contention that perceived value relates positively to loyalty, and that trust mediates that relationship. Surprisingly, in the telecommunications industry, increasing relationship age and usage level strengthen neither value and loyalty nor the links between trust and loyalty. The results may be explained by the unique characteristics of the highly competitive mobile telecommunications sector, and confirm the view that loyalty does not pay without strategies that value long-term customers and thereby build trust with new customers.     

Boosting nonlinear predictability of macroeconomic time series

We apply the boosting estimation method in order to investigate to what extent and at what horizons macroeconomic time series have nonlinear predictability that comes from their own history. Our results indicate that the U.S. macroeconomic time series have more exploitable nonlinear predictability than previous studies have found. On average, the most favorable out-of-sample performance is obtained via a two-stage procedure, where a conventional linear prediction model is fitted first and the boosting technique is applied to build a nonlinear model for its residuals.     

Customer Environmental Values and Their Contribution to Loyalty in Industrial Markets

Concern over the effect of industries on the natural environment is growing on a multitude of levels. This study examines the effects of how perceptions of (a) environmental values, (b) green image and (c) perceived value of industrial customers influence their loyalty towards suppliers in existing relationships, and how the length of B2B relationships may moderate these linkages. A conceptual framework is developed and data are collected from a global sample (N =121) of B2B customers. We find that both green image and perceived value have a direct positive link with customer loyalty and that environmental values are positively linked to the green image of the supplier. Moreover, the effect of green image on loyalty is mediated by perceived value, with environmental values only indirectly linked with perceived value of the supplier. As the length of relationship increases, on one hand the positive relationship between green image and customer loyalty is strengthened, while on the other the positive relationship between environmental value and green image is weakened. Regardless of how environmentally aware the customer is, green image is a strong predictor of both perceived value and loyalty. Copyright © 2015 John Wiley & Sons, Ltd and ERP Environment     

Taking part in technology education: elements in students’ motivation

The purpose of this study was to determine the elements motivating comprehensive school students to study technology education. In addition, we tried to discover how students' motivation towards technology education developed over the period leading up to their school experience and the effect this might have on their future involvement with technology. The research was carried out as a qualitative case study and the material was collected through individual theme interviews. The study group consisted of four 15 to 16-year-old students, each representing a totally different case of motivation towards technology education. In choosing individuals for the study the main criteria were gender and negative or positive motivation towards technology education. This study found that the artefact to be made in school and the student’s freedom of choice had the most significant effect on motivation. Although, we must be careful with final conclusions as the research group was relatively small.     

Social imaginaries and Big History: Towards a new planetary consciousness?

A sustainable global future depends on a fundamental shift from the currently dominant national imaginary to a global imaginary. Most of human reasoning is based on prototypes, framings and metaphors that are seldom explicit; although they can be forged, usually they are merely presupposed in everyday reasoning and debates. The background social imaginary offers explanations of how ‘we’ fit together, how things go on between us, the expectations we have of each other and outsiders, and the deeper normative notions and images that underlie those expectations. We argue that although the 17th and 18th century scientific and social revolutions generated prototypes, metaphors, framings and related conceptions of time and space that pointed towards a global imaginary, there were deep-seated structural reasons for the ‘nation’ to become, at least temporarily, the central category of human existence and belonging. By the early 21st century, there are already widespread metaphors that envisage the human world as a whole—from the ‘global shopping mall’ or ‘global village’ to the ‘spaceship Earth’. Yet, compared to the rich poetics of national imaginaries, the proposed prototypes, metaphors and framings are often thin. Evoking innovative myths about shared human existence and destiny, Big History helps to articulate the rising global imaginary in terms that motivate transformative and progressive politics in the 21st century.     

On asymptotic properties of Bonus–Malus systems based on the number and on the size of the claims

A general framework for a Bonus–Malus system (BMS) based on the number and the size of the claims is presented, the set of the bonus classes being an interval [a,?b], say 0<a<1<b. The BMS is interpreted as a general Markov chain with state space [a,?b]. It turns out that, under certain assumptions, the Markov chain possesses an invariant limit distribution to which it converges with a geometric rate. We show how the invariant distribution can be evaluated by means of simulation. We also deal with the best possible convergence rate and show how it can be presented by means of the spectral theory of Banach spaces.     

Understanding the adoption of socially responsible supplier development practices using institutional theory: Dairy supply chains in India

Supplier development (SD) initiatives play an important role in building buyer-supplier capacities to deal with social and economic performance. The aim of this paper is to explain the motivations behind the adoption of similar SD strategies to address sustainability (particularly social issues) occurring in local supply chains of a developing country. We compare the economic and social variants of institutional theory to investigate whether efficiency or legitimacy seeking drives the adoption (and copying) of SD practices. Twelve case studies involving private and cooperative dairies were conducted in India via semi-structured interviews. Findings revealed that both private and cooperative dairies adopt similar SD practices to build supplier capabilities and improve social and economic performance of buyers and suppliers. Private dairies imitate SD practices of the cooperatives to survive the competition; i.e., economic performance is the main reason behind their isomorphism. Cooperatives, on the other hand, take up SD practices more for legitimacy and even philanthropic reasons; though also partly note the long-term economic benefits from developing the supplier community. These findings can be used both by practitioners and researchers to gain valuable insights into the reasons driving organisational isomorphism in social sustainability practices from a developing country perspective, something rarely done so far in the literature.     

Re-treatment with varenicline is a cost-effective aid for smoking cessation

Objective: One quit attempt with varenicline has been found to be a cost-effective smoking cessation intervention. The purpose of this study was to analyze varenicline’s cost-effectiveness in patients who relapse during or after the first treatment. A comparison was made between re-treatment schema with varenicline and re-treatment schema with bupropion, NRT and unaided cessation, and treatment once with varenicline in a Finnish context.

Methods: The two-quit version of BENESCO Markov model was used to follow a cohort of smokers making up to two quit attempts over a lifetime. The abstinence rates of the interventions were derived from a Cochrane review. Gender- and age-specific data on the incidence and prevalence of five smoking-related diseases were included in the model. Quality-adjusted life-years, total expected costs, and the lifetime cumulative incidence of smoking-related morbidities and mortality were the primary outcomes evaluated.

Results: The study cohort comprised 116,533 smokers who were willing to make a quit attempt. In the lifetime simulation, re-treatment with varenicline yielded 6,150–20,250 extra quitters, depending on the comparator. Among these quitters it was possible to prevent 899–2,972 additional cases of smoking-related diseases, and 395–1,307 deaths attributable to smoking. Re-treatment with varenicline resulted in cost savings of up to 54.9 million Euros. Re-treatment with varenicline dominated all the other smoking cessation interventions used in the analysis. Sensitivity analysis supported the robustness of the base case results.

Limitations: The analysis did not consider adverse events, and included only five major smoking-related diseases, which is a conservative approach, and probably leads to under-estimation of cost-effectiveness of cessation interventions. Furthermore, assumptions of constant relative risks for smoking-related diseases for each smoking status and the proxy values used as efficacy estimates of second quit attempts for other interventions than varenicline are limitations.

Conclusions: A second quitting effort with varenicline is economically justifiable.     

The impact of consumer local engagement on local store patronage and customer satisfaction

Abstract

This paper examines the drivers of local grocery retail patronage. Drawing on institutional and social network theory literature, we develop a framework to investigate how consumers’ personal values and engagement with local communities affect their satisfaction and local store patronage. We test our model with survey data on 1504 Finnish consumers. Our results show that the relationship between customer local engagement and local retail patronage is indirect rather than direct, and it is mediated by the vitality of local services, social interaction, and consumer satisfaction.     

Targeting Young Voters in a Political Campaign: Empirical Insights into an Interactive Digital Marketing Campaign in the 2007 Finnish General Election

At general elections across Europe, turnout among young people tends to be significantly lower than among older voters. Therefore, this article examines a digital marketing campaign that was targeted at young voters in the 2007 Finnish general election. More specifically, this article aims to provide insights into the creative development process of a political marketing campaign and the nature of the client-agency relationship in political campaigns. The methodology adopted in this article consisted of in-depth interviews with key informants involved in the campaign planning and implementation. The results provide new empirical insights into the challenges that political campaigner may face when they target political marketing at young voters. In addition, the results suggest that there are differences between commercial and political marketing also in a digital marketing context. Finally, the results support the view that marketing professionals have a strong role in a creative development process of a political marketing campaign. The ideas put forth herein can certainly help advertising professionals to plan political marketing campaigns that engage young people in future elections and therefore aid candidates in their quest to achieve electoral success.