Performance implications of using signaling and screening for expanding interfirm business networks: Evidence from franchising

Sadeh, Farhad; Kacker, Manish

doi:10.1016/j.indmarman.2020.04.008

Cited by 19 publications

(23 citation statements)

References 87 publications

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“…The combination of perspectives (intra and between firms) provides managers with a more objective view of market developments, who can then consider what actions are needed to overcome forces at odds with their imagined future. The results of research conducted by Farhad Sadeh and Manish Kacker(2020), in the US franchise industry, found that ex-ante signaling and filtering at the contractual relationship formation stage are complementary mechanisms that improve network performance when they are used together. Likewise specific investments by the firm and by partners positively moderate the performance impact of filtering and signaling in the business network concept respectively.…”

Section: Resultsmentioning

confidence: 99%

“…Likewise specific investments by the firm and by partners positively moderate the performance impact of filtering and signaling in the business network concept respectively. Furthermore, Farhad Sadeh and Manish Kacker (2020) argue that in the context of the business network the screening and signaling factors have an important role in sales network performance where both of them have the interaction effect of a specific investment firm and partner (franchise)) specific investment. The final conclusion from research conducted by Farhad Sadeh and Manish Kacker(2020) is that network orientation has a positive impact on business relationships, social network relationships and corporate relational leases.…”

Section: Resultsmentioning

confidence: 99%

“…In the business network concept, entrepreneurial business firms such as franchisees can improve the performance of their network by attracting high-quality partners and preventing low-quality partners from joining the network (Farhad Sadeh and Manish Kacker :2020). According to Ilkka Ojansivua.et.al (2020), there are three approaches that can be taken in developing a business network.…”

Section: Introductionmentioning

confidence: 99%

See 2 more Smart Citations

Business Network Literature Review: A Mini-Review Approach

Munawar¹,

Hadiaty²,

Parantoro³

2021

DIJEFA

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This study aims to find the formulation of factors that can influence the development of business networks both locally and globally. This study used a qualitative method by reviewing 27 journals from previous researchers. The results of this study indicate that multi-actor factors are useful for understanding business networks. Ex-ante signaling and filtering factors at the contractual relationship formation stage are complementary mechanisms that enhance network performance. Agency approach, structure approach and practice approach affect the performance of the business network. Another factor that can improve the performance of a business network is clustering social audiences in a business information network. Organizational variables such as participatory architecture, organizational integration, and mechanisms play a relevant role in protecting and developing business networks. The next finding is that the management relationship factor can improve the performance of the small and medium business network. Value creation innovation includes new capabilities, technology and processes as well as partnerships for the purpose of co-creation that can reduce risk in the business network. Linkage factors and their effect on network connectivity can play a relevant role in strategic business decisions. The role of dynamic capabilities in encouraging business model innovation, especially in market-oriented small and medium enterprises, can encourage innovation in the business model of the small and medium enterprises themselves. Other factors that can affect the efficiency of a business network are intellectual agility, leadership and micro-enterprise innovation mediated through entrepreneurial leadership. The large structure in a business network can positively affect business performance through linkage mechanisms. Whereas the presence of a large number of affiliates in the first company layer of the affiliate structure causes a decrease in the effect of size on the group level performance of the business. Limited diversification at the business group level in the first corporate layer of the affiliate structure results in reduced returns in terms of risk sharing, because shareholders can reduce their investment, thus negatively impacting the overall group level performance. The role of religion and spirituality in the context of a business network greatly influences the strength of a business network.

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Section: Resultsmentioning

confidence: 99%

Section: Resultsmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

See 1 more Smart Citation

Business Network Literature Review: A Mini-Review Approach

Munawar¹,

Hadiaty²,

Parantoro³

2021

DIJEFA

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“…They could also use the insights gained to study servitization as well as service transition strategies and their implications across all stakeholder relationships. Sadeh and Kacker (2020) studied addressal of adverse selection specific to franchisor-franchisee networks from the perspective of franchisors. Interested scholars could examine the same issue from the franchisees' perspective.…”

Section: Discussionmentioning

confidence: 99%

Past, present and future of research in relationship marketing - a machine learning perspective

Das

Mungra

Sharma

et al. 2022

MIP

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PurposeThis paper aims to take stock of research done in the domain of relationship marketing (RM). Additionally, this article aims to identify the potential areas of future research.Design/methodology/approachThe authors have used machine learning-based structural topic modelling using R-software to analyse the dataset of 1,905 RM articles published between 1978 and 2020.FindingsStructural topic modeling (STM) analysis led to identifying 14 topics, out of which 7 (viz. customer loyalty, customer relationship management systems, interfirm and network relationships, relationship selling, services and relationship management, consumer brand relationships and relationship marketing research) have shown a rising trend. The study also proposes a taxonomical framework to summarize RM research.Originality/valueThis is the first comprehensive review of RM research spanning over more than four decades. The study’s insights would benefit future scholars of this field to plan/execute their research for greater publication success. Additionally, managers could use the practical implications for achieving better RM outcomes.

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“…Franchising can be defined as a contractual distribution system (Boulay, 2010), in which the contract between the franchisor and the franchisee defines the roles and obligations of each trading partner, thereby creating a hierarchical relationship without true channel integration (Shaikh et al , 2017). Relationships between the franchisor and the franchisees in a franchise network are often asymmetrical (Shaikh et al , 2017; Sadeh and Kacker, 2020) and may well involve conflicts of interest and power games between members of the network (Boulay, 2010). Under these conditions customer data management is most often difficult to set up and to get right.…”

Section: Introductionmentioning

confidence: 99%

The franchisor–franchisee relationship and customer data management in the digital era

Oueslati

Deparis

Bennaghmouch-Maire

2021

IJRDM

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PurposeThe digitalization of an organization implies centralizing the data collected. Nevertheless, the management of customer data in franchise networks is a delicate, complicated and little studied issue. The purpose of this paper is to investigate its challenges and the keys to success, by developing a conceptual framework resulting from a qualitative study and a literature review.Design/methodology/approachA qualitative study was carried out with around 30 franchisors, franchisees and franchise experts in the light of the General Data Protection Regulation (GDPR). The results of the qualitative study helped to clarify our theoretical framework and to position ourselves on the side of the founding theories of relationship marketing. A research model was then defined and tested using a quantitative survey administered to a total sample of 192 franchisors and franchisees.FindingsThe results of the various studies show that relationship quality, through inter-organizational commitment, explains the achievement of marketing performance in franchise networks. In addition, the place of relationship quality depends on four essential variables: inter-organizational communication, franchisee autonomy, technical and human resources and contractualization of customer data management.Originality/valueThis study focuses on a topic that has received very little attention, particularly in franchise networks. It uses a mixed-methods design that has enabled the identification of key variables contributing to the achievement of marketing and sales performance in a data management context.

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Performance implications of using signaling and screening for expanding interfirm business networks: Evidence from franchising

Cited by 19 publications

References 87 publications

Business Network Literature Review: A Mini-Review Approach

Business Network Literature Review: A Mini-Review Approach

Past, present and future of research in relationship marketing - a machine learning perspective

The franchisor–franchisee relationship and customer data management in the digital era

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