Service firms and customer loyalty programs: a regulatory fit perspective of reward preferences in a health club setting

In this paper, we examine the impact of various configurations of regulatory fit on the attitudes, exercise intentions and actual behavior of members of a health club loyalty program. Regulatory fit is conceptualized as both the match between types of program rewards and how they are communicated, as well as the congruence between reward types and regulatory focus as a stable, individual disposition. In two experimental designs, non-point reward programs offering a short-term cash bonus were used. The results of Study 1 suggest that regulatory fit has a positive impact on perceived value, exercise intentions and exercise intensity, but not on visit frequency. Analysis of repeated behavioral measures further reveals that regulatory fit has a stronger impact on exercise intensity over time relative to nonfit. Study 2 also confirms the predictive power of regulatory fit over nonfit when conceptualized as the match between reward type and trait regulatory focus.     

Aggregate consumption of non-durables and services,and the components of wealth: some evidence for the United Kingdom

The growth of spending on consumer goods in the United Kingdom in recent years has been a severe test of previously well-established consumption functions. This paper assesses the performance of a dominant ‘standard’ consumption function which relies on income and net liquid assets; it turns out that this has not been able to track the growth in consumer spending. However, developments of this consumption function which find a role for the components of personal sector wealth perform rather well, with satisfactory diagnostic statistics and an estimated equation standard error of around 0.4%.     

The devil in the details: Non-convexities in ecosystem service provision

Standard economic theory is built on key assumptions regarding concavity and convexity, particular with respect to the production possibility frontier. Non-convexity is readily demonstrated using a two species conventional model. Now that ecosystem services are growing in prominence it is important to confirm that typical natural resource production relations obey these conditions. If not, innocently prescribing price or allocation policies can lead to a minimum rather than a maximum or to wrong equilibrium solutions in general. This is a particular danger in decentralized pricing systems.     

Decision support for disaster management

Disaster response and recovery are crucial phases of disaster management. Decision-support systems used in disaster management must cope with the complexity and uncertainty involved with the scheduling and assignment of differentially-skilled personnel and assets to specific tasks. Operational constraints—such as workload and labor requirements, precedence constraints, resource availability, and critical deadlines among others—make timely and appropriate task assignment and sequencing difficult. Failure to assign personnel in an efficient and effective manner may result in unnecessary fatalities and significant additional loss of property as well as damaging the reputation of the disaster management organizations. Therefore, this paper proposes a decision-support system for disaster response and recovery using hybrid meta-heuristics.     

Sampling in the twenty-first century

This article summarizes the most significant developments in survey sampling in the twentieth century, especially as they relate to marketing and marketing research, and attempts to predict, based on what we know now, significant developments that will occur early in the twenty-first century. The article is divided into the following sections: (1) Developments in Door-to-Door Sampling, (2) Developments in Telephone and Mail Surveys, (3) Location Samples, (4) Focus Groups and Other Sloppy Samples, (5) Sampling Rare Populations, (6) Business Surveys, (7) Panels, (8) Developments in the Theoretical Foundation of Survey Sampling, and (9) The Evolutionary Process and Future Developments. Seymour Sudman is Walter A. Stellner Professor of Marketing and the deputy director of the Survey Research Laboratory at the University of Illinois, Urbana-Champaign. He is the author, co-author, or editor of 20 books and more than 200 articles dealing with sampling and survey methods. Edward Blair is a professor of marketing and entrepreneurship at the University of Houston and the head of the department. He is the author (with Seymour Sudman) of a text on marketing research, and his articles on research procedures have appeared in various academic journals. He also has taught sampling and other topics at the American Marketing Association’s School of Marketing Research since its inception.     

Evidence of Fraud,Audit Risk and Audit Liability Regimes

We investigate the effectiveness of proportionate liability in reducing the probability of fraud and audit risk relative to joint and several liability in two strategic audit settings: one that provides conclusive evidence of fraud and one that provides inconclusive evidence of fraud. In both settings the auditor makes an audit effort choice, but in the second setting the auditor also evaluates the audit evidence. Our results show that when the auditor chooses only effort, a proportionate liability rule with large marginal liability relief decreases audit risk. However, when the auditor also evaluates the audit evidence this result no longer holds.     

Understanding consumer usage of product magnitudes through sorting tasks

Magnitudes describing product attributes are basic elements used in decision making. Although several researchers have emphasized the need to understand how consumers categorize product attributes, empirical research on this issue is rare. As a first step in developing and evaluating methodologies to examine this issue, a sorting task methodology is introduced to study this problem. Hypotheses were generated to address important theoretical issues relating to how consumers use magnitudes describing product attributes and tested in two studies. The results suggest that the number of magnitudes used by consumers to think about product attributes (i) is higher for abstract when compared to concrete attributes, and (ii) is positively related to the number of magnitudes used in an overall evaluation of liking. Results also provided evidence to support the use of the sorting method. © 1999 John Wiley & Sons, Inc.     

From Experience: Linking Product Innovation to Business Growth

Industry pundits often take managers to task for their supposedly myopic approach to planning and decision making. These sweeping generalizations gloss over the complex challenges confronting the managers who must ensure that their firms enjoy ongoing revenue growth opportunities. In place of pat answers, those managers require analysis and planning tools that offer clearer insights into the effects their decisions have on their firms' continued business success. As Marv Patterson points out, however, determining the effects of product innovation decisions poses a particular challenge for management, because the consequences of those decisions typically do not become evident until long after the decisions have been made. Presenting a conceptual model that links product innovation activities to revenue growth, he identifies three drivers of revenue growth, and explains how these growth drivers are linked by a set of mathematical relationships that can be presented in the form of an enterprise-specific growth table. He applies the model to three types of enterprises, and he discusses the key implications that the model holds for the business leaders who must keep shareholders satisfied. He depicts the relationship between a company and its customers as a closed-loop system in which the company converts labor, parts, and material into products, which it delivers to customers. The company invests a portion of the resulting revenue stream in the resources that generate new products. By effectively and continually applying a sufficiently large investment in this innovation engine, the company creates an ongoing stream of new products. The revenues from these new products more than offset the drop in revenues from products that are approaching obsolescence. He identifies three factors that drive revenue growth from these investments in the innovation engine: the fraction of revenues invested in product innovation, new product revenue gain, and the behavior of revenue over time for a particular business. Using a graph called a product vintage chart, he demonstrates that for a large company, the revenue contributions of a particular new-product year (or vintage) fall into a regular pattern over time, which enables a company to determine mathematical relationships for revenue growth as a function of R&D investment and new product revenue growth. In this way, senior managers can gain clearer understanding of the interplay between product innovation, R&D investment, revenue growth, and profitability over time.     

Ethics in accounting: Values education without indoctrination

The integration of ethics into accounting curricula is a critical challenge facing accounting educators. The ethical subject matter to be covered and the role of the professor in ethical debates in the classroom are important unresolved issues. In this paper, we explore teaching basic values as an integral part of ethics education. Concern about indoctrination of students is addressed and the consistency of values education with the goals of ethics education is examined. A role for ethics researchers in identifying and clarifying the basic values that define our profession is recommended, and suggestions for implementing values education in accounting ethics are provided.H. Fenwick Huss is Associate Professor of Accounting at Georgia State University. His recent research focuses on ethical and regulatory issues in financial reporting. He has presented papers and served as a panel member in sessions on ethics at regional American Accounting Association conferences.Denise M. Patterson is a doctoral candidate at Georgia State University. Her research interests are in the areas of auditing and the impact of ethics on the role of the auditor. Denise has audit experience with an international accounting firm.