Service Failure and Recovery in a Strategic Airline Alliance Context: Interplay of Locus of Service Failure and Social Identity

ABSTRACT

There has been a dramatic increase in the past decade in the number of strategic alliances and business networks. Yet, despite these trends in the business environment, the individual firm-customer dyad has remained the contextual focus of most services marketing research (Gittell, 2002 Gittell, J. H. 2002. Relationships between service providers and their impact on customers. Journal of Service Research, 4(4): 299–311. [Crossref] , [Google Scholar]). Using a scenario study, this research investigates the effects of service failures in a strategic airline alliance setting, with a particular focus on locus of service failure and strength of social identification, on three alliance entities—a consumer's home carrier, the alliance partner airline, and the alliance. Study findings suggest that consumers' evaluations are more stable (less extreme) when the home carrier causes the service failure. In contrast, when a lesser known entity (partner airline) causes the service failure, consumers are more willing to rate that entity harshly. Furthermore, compared to weak identifiers, strong identifiers were not only more positive in their evaluation of the home carrier but also in their evaluation of the alliance, pointing to a halo effect, whereby positive evaluations of the home carrier are transferred to the alliance. Implications of study results are discussed and directions for future research provided.     

Same but Different: Chinese-American and Mainland Chinese Consumers’ Perceptions of and Behavior in a Service Failure Situation

Going beyond the traditional East/West consumer differentiation in studying service failure, this article examined the impact of acculturation, together with ethnicity of service staff and origin of a hotel brand on consumers’ perceptions and behavioral responses. The research drew on four focus groups conducted in Beijing with 34 participants, followed by an experiment for which data were collected from 451 Chinese-Americans and 464 Mainland Chinese. Results showed significant differences in perceptions and behavioral responses following a service failure between Chinese-Americans and Mainland Chinese, and among Chinese-Americans with different acculturation strategies. Implications of study findings and directions for future research are discussed.