The purpose of this research is to identify a key driver of relationship closeness for service organizations. Based upon the co-creation concept from Service-Dominant Logic, connection is proposed as a new construct rooted in emotional attachment that bolsters the effect of trust and commitment on future intention among customers of a service-intense organization. Causal models are verified with a large empirical sample drawn from an organization in the process of dealing with the increasing sense of depersonalization that has afflicted growing organizations in a variety of industries. The paper distinguishes an important dimension of customer relationships that can be affected by service managers in order to enhance customer loyalty and satisfaction.Keywords: Relationship management, customer satisfaction, services management, satisfaction, service quality, customer relationship management 2 Introduction Recent research has demonstrated that the greater customization of service offerings versus traditional mass produced goods means that closer relationships are required to bolster the value offerings of services firms (Johnson et al., 2004). Practitioners can passively or actively pursue close customer relationships. A passive approach relies on segmenting customers based upon relational or transactional outlook; seminal research into such segmentation appears in the research of Garbarino and Johnson (1999) that showed that customers vary in their orientation toward a service-providing firm and recommended segmenting customers.The passive approach appears in customer portfolio research both in industrial (Fiocca, 1982;Rangan et al., 1992) and consumer markets (c.f., Verhoef, 2003) as a means of identifying higher value customers with little regard for actively changing relationship closeness. An active approach to creating closer customer relationships means of increasing both value content and satisfaction by involving the customer in the service creation process (Vargo and Lusch, 2004). An active approach seems more desirable since it means proactively managing business relationships. However, a review of the recent seminal work in customer relationship research highlights an important problem: research has yet to identify the underlying mechanism or "switch" that will turn transactional customers into relational customers.Recent conceptual research that suggests that switch may be sense of connection that is fostered by both customer-customer and customer-firm engagement in a process Vargo and Lusch (2004) call co-creation. Further scholarship reveals that co-creation and a sense of connection likely constitute part of a "mega-construct" consisting primarily of trust, commitment, and satisfaction as indicators of the degree to which an exchange relationship moderates customer sense of value (Moliner et al., 2007). Understanding of how trust and 3 commitment interact, and the causes of trust and commitment, has remained elusive-indeed, finding those causes has been called "a research question of great urgency...
The government purchasing market constitutes the largest business sector in the world. While marketers would benefit from a deep understanding of both sectors, how the two sectors differ in terms of ethics and strategy largely remains unknown. The purpose of this research, therefore, is to explore differences between the for-profit and not-for-profit sectors on two critical aspects of business-to-business procurement, ethics and strategy. Using survey data from a sample of 328 procurement professionals in the for-profit and not-for-profit sectors, key differences are explored. Findings suggest that buyers in the for-profit sector are more likely to behave opportunistically. Conversely, the buyers' leaders in the not-for-profit sector behave more opportunistically and are more willing to turn a blind eye to their subordinate buyers' opportunistic behaviors. Additionally, key differences in procurement strategy are unveiled suggesting that not-for-profit procurement practices have some room for improvement. Based on the findings, theoretical and managerial implications are drawn, and a future research agenda is proposed.
Purpose-The purpose of this paper is to show that following from the premise that knowledge comprises the fundamental source of competitive advantage, this study provides results of a meta-analysis that examines whether and how alliance performance is influenced by the role knowledge plays in a strategic alliance. Design/methodology/approach-Meta-analysis is employed as the driving methodology in this study. The meta-analysis approach permits the literature on interfirm knowledge management to be reviewed and synthesized such that the role of knowledge in the alliance, environmental risk, and alliance performance can be thoroughly and validly investigated. Findings-The findings suggest that the level of risk associated with the environment in which the alliance partners join forces does not moderate the relationship between the various ''roles'' of knowledge and alliance performance, whereas the magnitude and type of interfirm cohesiveness enjoyed or endured by the alliance participants does materially impact alliance performance. These performance differences suggest that-when the subject is alliance performance-knowledge management strategies matter more than environmental factors. Research implications/limitations-The environmental uncertainty construct proved the biggest surprise, given conventional views that alliances should prove more effective in turbulent environments. However, implications are limited by observations that suggest the current alliance literature lacks well-developed and corroborated knowledge and performance constructs. This, in turn, implies researchers should systematically assess the validity of extant knowledge and performance measures. Practical implications-The observed positive relationship between increased levels of knowledge interchange, alliance cohesion, and alliance performance is a materially practical implication. This was especially true within industries that are inherently more dependent on vertical supplier or buyer relationships, such as manufacturing and services. Active interfirm knowledge management appears to contribute more to alliance performance than environmental factors. Originality/value-This paper describes the first study to meta-analyze the role and influence of knowledge constructs within the alliance literature. As such, the results empirically confirm some presumed conventional wisdoms while calling others into question.
Purpose -The purpose of this paper is to explore how a sourcing professional arrives at a decision to use an electronic reverse auction (eRA) to source a particular requirement by examining eRA appropriateness. Design/methodology/approach -Past eRA research findings are synthesized into a summary table. From a comprehensive review of the literature, theories of technology adoption, social influence, referent-dependence theory, and planned behaviour are discussed and synthesized into a model that explains the antecedents of eRA appropriateness. A case study methodology using structured interviews resulted in a refined model that sheds light on some of the controversial findings regarding electronic reverse auction appropriateness. Findings -Expected savings, buyer confidence, and prior eRA sourcing satisfaction are identified as new constructs that help explain the decision to source via eRAs. Additionally, perceived eRA appropriateness is proposed as a new construct that mediates the influence of external, strategy factors on the decision to source via eRAs. Research limitations/implications -Recent literature suggests that the benefits of reverse auctions are overstated and reverse auctions constitute a fundamentally coercive use of buyer power. Reconciling the conflicting supplier perceptions of reverse auctions as use of coercive power with buyer perceptions of cost savings requires an explanation for the factors that lead to the decision to source via eRAs. Practical implications -The modern competitive supply chain environment entices businesses to explore all avenues for cost savings. Explaining the drivers of reverse auction use illuminates the advantages and pitfalls of reverse auctions as a strategic sourcing venue. Originality/value -From an extensive review of the eRA literature and eight case studies, the authors propose a model that integrates and extends previous eRA research. Key insights from the model are the mediating effect of perceived eRA appropriateness and the integration of individual level variables with the strategic decision to source via eRA. Additionally, a table is provided summarizing the findings from relevant eRA research that reveals key insights into the phenomenon.
Purpose-There presently is no comprehensive review which systematizes and summarizes the burgeoning body of logistics educational literature. The purpose of this paper is to provide a guide for both educators and practitioners to assess the history, current status, and future trends in logistics education in order to nurture advancement in logistics education. Design/methodology/approach-This paper draws its conclusions based upon a literature review and categorizes the evolution of logistics education into three areas: defining curriculum, developing content and skills taught, and refining teaching methods. Findings-Logistics education continues to benefit from strong ties to industry. Additionally, four principle macro-environmental factors were discovered that impact the current status of logistics education: an increase in the number of logistics educational programs, limited supply of logistics-trained faculty, changes to content requirements, and a changing teaching environment. Future research directions from the published literature are summarized. Research limitations/implications-As current logistics programs continue to evolve and the number of logistics and supply chain management programs continue to increase in response to industry demand, this comprehensive review of the logistics literature may help serve as a benchmark for past and current practices in logistics education. Practical implications-The early partnership between industry and education set the stage to help guide educators to evolve logistics education to address practitioner needs. Increased interest in logistics education and changing environmental factors suggest the need for continued collaboration to further logistics education. Originality/value-The literature demonstrates successful dynamic behavior in response to dynamic industries. It highlights factors which may drive further evolution of logistics education and proposes areas impacted.
The fear of receiving a bid protest is said to affect acquisition strategies, yet it has not been empirically explored. Based on the Public Value Framework and interviews with contracting personnel, this research tests a model of antecedents to and consequences of the fear of a protest. Survey data was obtained from a sample of 350 contracting personnel. The fear of protest is mitigated by having sufficient procurement lead time and by source selection experience, and increased by protest risk. Fear of protest increases compromised technical evaluations, added procurement lead time, and transaction costs, while it decreases contracting officer authority and is associated with source selection method inappropriateness. Compromised technical evaluations, in turn, decrease contractor performance while contracting officer authority increases contractor performance. Thus, findings suggests that, indeed, the tail is wagging the dog. The research concludes with several managerial implications, study limitations and future research directions.
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