Exploring the Role of Product Development Capability for Transforming Marketing Intelligence into Firm Performance

ABSTRACT

Purpose: This study examines the role of product development capability for transforming marketing intelligence activities into firm performance on industrial markets.

Methodology/Approach: The authors apply structural equation modeling to analyze survey data from 342 industrial manufacturing companies.

Findings: Results reveal that sales integration and holistic macroeconomic view are particularly important features of the marketing intelligence capability on industrial markets to gain additional insights in order to develop products successfully. Results also reveal that product development capability transforms the marketing intelligence activities into firm performance on industrial markets.

Research Implications: This study offers new insights on marketing theory by extending and concretizing the concept of market orientation to a broader concept of the marketing intelligence capability for industrial markets. Further, this research reveals that the product development capability serves as a mediator to business performance.

Practical Implications: This study’s systematic and tangible outline of the dimensions of marketing intelligence and its link to the product development capability helps firms to better understand how to capitalize on market orientation’s potential values.

Originality/Value/Contribution: This research (a) reveals the relevant dimensions of marketing intelligence on industrial markets and (b) shows how the product development capability tranforms marketing intelligence activities into firm performance on industrial markets.     

COMMENT ON THE 2010 WINCOTT LECTURE, ‘EUROPE: HOW CAN THINGS GET BETTER?’

The increasing centralisation of government at European Union level is eroding individual freedom. Greater EU regulation of financial markets, as advocated by Charlie McCreevy, represents a further threat to liberty, while the measures advocated would have been ineffective at preventing the current financial crisis.     

The role of perceived organizational justice in shaping the outcomes of talent management: A research agenda

Talent management is in need of a theoretical foundation and empirical research at the level of the individual. To address these gaps, the current paper relies on the literature on workforce differentiation and provides a research agenda by introducing perceived organizational justice as a key mediator between talent management practices and differential employee reactions. We discuss employees' varying reactions to talent management on one hand and their underlying perceptions of organizational justice, on the other hand. In particular, we propose that, amongst others, an employee's high potential status serves as an antecedent for different distributive justice perceptions, while procedural interventions and relationship building can provide organizational latitude in shaping employee reactions to talent management. Research methods, challenges, and practical implications are discussed.     

International language management and diversity climate in multicultural organizations

Increasing globalization has made the use and management of language a vital element of engaging in international business activities. Despite this fact, empirical surveys with many respondents examining language management are extremely rare. Another equally important issue related to internationalization is how to develop and support an environment that is tolerant of the diversity which exists in multicultural organizations. Based on questionnaire responses from 489 members of academic multicultural departments, we examined the relation between the management of a common language and a positive diversity climate. Results showed that consistency in English management communication had strong positive relationships with all of the four investigated diversity climate variables; openness to linguistic, visible, value, and informational diversity. English communication consistency had a positive association with openness to value and informational diversity. Since there is no similar study on international language management with so many respondents, the findings may be of considerable theoretical and practical importance. Implications of these findings are discussed in detail.     

A Regime‐Switching Approach to Modeling Rental Prices of U.K. Real Estate Sectors

This article uses regime‐switching models of the threshold type to analyze the adjustment process of rental prices for three U.K. commercial real estate sectors over the period 1974–2008. The nonlinear models outperform their linear counterparts in in‐sample fit. Their out‐of‐sample forecasting ability is better whenever the corresponding linear models contain a significant amount of neglected nonlinearity. Regime switches are triggered when the growth rates of rental price exceed certain threshold levels. For the industrial and retail sectors such regime switches occur in situations of strong excess demand, for the office sector they occur when there is strong excess supply.     

Corporate Ethical Values and Altruism: The Mediating Role of Career Satisfaction

This study explores the ability of career satisfaction to mediate the relationship between corporate ethical values and altruism. Using a sample of individuals employed in a four-campus, regional health science center, it was determined that individual career satisfaction fully mediated the positive relationship between perceptions of corporate ethical values and self-reported altruism. The findings imply that companies dedicating attention to positive corporate ethical values can enhance employee attitudes and altruistic behaviors, especially when individuals experience a high degree of career satisfaction.     

The Case for International Competition Among Economic Policy Makers

How can governments and civil servants be controlled? Professor Roland Vaubel, of the University of Mannheim, explains how competition between nations improves economic policy.     

Real exchange-rate changes in the European community: A new approach to the determination of optimum currency areas

Deviations from relative purchasing power parity (real exchange-rate changes) are suggested as a comprehensive and operational criterion of the desirability of currency unification. Using consumer price indices, the criterion is applied to the European Community in 1959–1976 and in various subperiods. It is shown, inter alia, that the Community is probably a less desirable currency area than comparable existing currency unions like Germany, Italy and the U.S., that its failure to implement its 1971 plans for monetary union can hardly be attributed to unusually unfavourable external disturbances and that it is possible to identify the member countries which are the most suitable candidates for a pioneer venture in currency unification.     

Costs and benefits of Danish active labour market programmes

Since 1994, unemployed workers in the Danish labour market have participated in active labour market programmes on a large scale. This paper contributes with an assessment of costs and benefits of these programmes. Long-term treatment effects are estimated on a very detailed administrative dataset by propensity score matching. For the years 1995 – 2005 it is found that private job training programmes have substantial positive employment and earnings effects, but also public job training ends up with positive earnings effects. Classroom training does not significantly improve employment or earnings prospects in the long run. When the cost side is taken into account, private and public job training still come out with surplusses, while classroom training leads to a deficit.