Relationship Quality and Performance Outcomes: Achieving a Sustainable Competitive Advantage

As firms strive to develop a sustainable competitive advantage, the relationships formed among supply chain parties become a critical consideration. Firms seek to establish relationships that can provide the desired level of performance and competitiveness. Relationship quality provides a global measure of buyer–supplier relationships and can be used to assess the types of relationships a firm has within its supply chain. This research examines the impact of relationship quality on supply chain operational performance and satisfaction with strategic performance while considering both buyer and supplier perspectives and collaborative and arm’s length types of relationships.     

Can message framings influence air passengers’ perceived credibility of aviation voluntary carbon offsetting messages?

Abstract

Past literature has identified low purchase rates of aviation voluntary carbon offsetting (VCO) schemes. A lack of credibility of such schemes has been identified as a key obstacle, yet little attention has been given on how to enhance perceived credibility. Using communication theory, this study examines effects of message framing on consumers’ perceived credibility of aviation VCO messages. Data were drawn from a representative sample of 1680 Australians. The results revealed that spatial distance framing influences air passengers’ perceived credibility of aviation VCO messages. Messages focusing on the influence of VCO programs on the environment of a local community obtain higher perceived credibility than those located in other countries. The study also found the interaction of spatial and temporal distance framing effects were different based on consumers’ past purchase experience. The findings suggest how airlines should design messages and refine them based on consumers’ past experience of aviation VCOs.     

Do the Right Thing: The Imprinting of Deonance at the Upper Echelons

This study expands the application of deonance theory into organizations’ upper echelons by examining how CEOs imprinted with a sense of duty can influence managerial decision-making. We hypothesize an imprint of bounded autonomy, an ought-force that constrains their decision-making and understanding of behavioral freedom, influences duty-bound CEOs to self-report errors in past financial reporting. We test deonance theory propositions of instrumentality for behavioral expansion, namely loss avoidance and gain attainment, related to institutional ownership concentration and CEO equity ownership. We use CEOs that are graduates of U.S. service academies as a proxy for duty-bound executives and find firms they lead are more likely to issue a financial restatement to correct a previous reporting error. This finding is robust to alternate explanations such as being error-prone, earnings management, auditor oversight, and risk behaviors. We also find evidence that deonance may be subject to behavioral expansion. The likelihood of issuing a restatement decreases as institutional ownership concentration and CEO equity ownership increases. This study shows imprinted deonance within the C-suite influences important organizational outcomes.

     

Cause-Relating Marketing: The Effects of Purchase Quantity and Firm Donation Amount on Consumer Inferences and Participation Intentions

A conceptual model for a cause-related marketing (CRM) campaign, which examines the effects of purchase quantity and firm donation amount on consumer perceptions of the firm (i.e., firm motive and corporate social responsibility) and participation intentions, is developed and tested in three separate studies. In Study 1, we find the positive effect of firm donation amount on participation intentions was fully mediated by consumer inferences about the firm and the negative effect of purchase quantity on participation intentions was only partially mediated by these inferences. In Study 2, and consistent with the persuasion knowledge model, we demonstrate that the effects of purchase quantity on firm inferences and subsequent participation intentions are moderated by consumer participation effort where higher participation requirements (e.g., mail-in proof-of-purchase) yield more negative purchase quantity effects. We extend the model in Study 3 to incorporate multiple exchange mechanisms and find that although purchase quantity does affect participation intentions by social exchange, the effects of purchase quantity are primarily the result of the economic exchange. Recommendations for the design of cause-related marketing campaigns and for future research are discussed.