A Cross-national Investigation of the Satisfaction and Loyalty Linkage for Mobile Telecommunications Services across Eight Countries

Improving customer satisfaction has become a strategic imperative for managers and researchers given the benefits of developing customer loyalty for long-term financial success. Creating these linkages becomes even more important in the context of mobile telecommunications due to the ubiquitous nature of mobile phones and the potential this creates to engage in interactive marketing for firms. Further, with increased global penetration of mobile telecommunications, examining cross-national differences in consumer attitudes and behaviors has become critical. Most studies that examine customer satisfaction and loyalty linkages however have traditionally focused on single countries and/or single industries. This study extends the literature by testing the moderating impact of cultural variables on the impact of satisfaction on loyalty intentions using data from 3,393 mobile telecommunications customers in Australia, Brazil, Canada, China, France, Spain, UK, and USA. Our findings reveal that the impact of satisfaction on loyalty in the mobile telecommunications context depends on cultural differences. The results demonstrate non-linear threshold effects where managers operating in countries characterized by self-expressionist values will have an easier time creating satisfaction and loyalty with mobile customers compared to those operating in cultures dominated by high survivalist values.     

The Relationships Between MBO System Strength and Goal‐Climate Quality and Strength

We adopted Bowen and Ostroff's ( 2004 ) HRM system strength concept so as to test it within the context of a management by objectives (MBO) system, which was utilized by six independent firms owned by a large, diversified family business group in Turkey. For this purpose, we surveyed the middle managers to measure 10 context‐specific metafeatures of the MBO system. By using aggregated scores at the functional group level (N = 47), we captured the distinctiveness, consistency, and consensus dimensions of this HRM practice. We tested and compared three alternative theoretical models of HRM strength where the three dimensions have compensatory, additive, and distinctiveness mediated effects on climate quality and strength. Results support the compensatory model and indicate that the strength of the MBO system (as a reflective latent variable representing the shared variance of the system's distinctiveness, consistency, and consensus) is positively related to business units’ quality and strength of goal climate. In addition, distinctiveness—but not consistency and consensus—of the MBO system appears to be particularly critical for the emergence of a strong and high‐quality goal climate. Lastly, implications and limitations of the study as well as possible future research directions are discussed. © 2014 Wiley Periodicals, Inc.     

Effectiveness of Monetary Policy in Euroland

In this paper we analyze the effects of different decision rulesin the ECB on monetary stability. We consider a model where asymmetricshocks and divergent propagation of shocks on output and inflation arepotential causes of tension within the ECB concerning the conduct ofmonetary policy. Given divergence of desired interest rates we analyze theeffect of different voting procedures within the Governing Council of theECB. We find that under ECB-rule the ECB Board is able to impose its desiredinterest rate as the Euro-wide interest rate. Large countries benefit fromECB-rule as it implies higher voting power for them at the GoverningCouncil. Our welfare analysis indicates that under particular parameterspecifications ECB-rule is strictly preferred to Nationalistic rule.     

Wage inequality in Turkey, 2002–10

This paper studies the evolution of wage inequality in Turkey using household labour force survey data from 2002 to 2010. Between 2002 and 2004, the relative supply of more‐educated workers to less‐educated workers remained constant while their relative wages decreased in favour of less‐educated workers. However, between 2004 and 2010, the relative supply of more‐educated workers to less‐educated workers rose, while their relative wages remained constant or kept increasing in favour of more‐educated workers. This suggests factors other than those implied by a simple supply‐demand model are involved, such as skill‐biased technical change or minimum wage variations. The decomposition of wage inequality reveals that the price (wage) effect dominates the composition effect particularly in the first period. Our results show that the real minimum wage hike in 2004 corresponds to a major institutional change, which proved to be welfare‐increasing in terms of wage inequality. The upper‐tail (90/50) wage inequality decreased between 2002 and 2004 and stayed constant thereafter, whereas the lower‐tail (50/10) wage inequality decreased throughout the period. Our findings thus provide evidence supporting the institutional argument for explaining wage inequality.