Understanding Satisfied and Affectively Committed Clients' Lack of Referral Intent

Hagenbuch, David J.; Wiese, Michael; Dose, Jennifer J.; Bruce, Michael L.

doi:10.1080/15332960802125932

Cited by 7 publications

(6 citation statements)

References 57 publications

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“…Positive word-of-mouth describes favorable communications regarding a certain firm that a customer is willing to share with others. Positive word-of-mouth has been shown to increase as customer commitment increases (Brown et al, 2005;Hagenbach et al, 2008;Harrison-Walker, 2001) and the longer the duration of time is anticipated to strongly moderate this positive relationship. Customers who feel a bond with a firm often become an advocate (Du et al, 2007).…”

Section: Commitment and Relational Behaviorsmentioning

confidence: 89%

Longitudinal Effects of Corporate Social Responsibility on Customer Relationships

2010

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Section: Commitment and Relational Behaviorsmentioning

confidence: 89%

Longitudinal Effects of Corporate Social Responsibility on Customer Relationships

2010

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“…Yet, as demonstrated in the organizational behavior literature, commitment and intent are not the same thing, and often commitment is seen as an antecedent to intent (e.g., intent to turnover) (Ferres et al, 2003, Bailey, 2006, Hagenbuch et al, 2008, Høie et al, 2010, Spitzmüller and Stanton, 2006, van Breukelen et al, 2004. Following the lead from organizational behavior research, we propose that past commitment to the internationalization process is a precursor to the intent to further internationalize.…”

Section: Commitment To Internationalizationmentioning

confidence: 88%

The effects of past satisfaction and commitment on the future intention to internationalize

Ramsey

Barakat

Mitchell

et al. 2016

International Journal of Emerging Markets

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Purpose – The purpose of this paper is to provide evidence that firms that are more committed to internationalization, systematically differ from firms that are less committed to internationalization in their future intention to engage in foreign direct investment (FDI). The authors analyzed data from 42 large Brazilian multinational enterprises (MNEs) and found that results support previous research on the degree of satisfaction with prior internationalization efforts and future intent to internationalize, such that the relationship between the two is positive. Yet contrary to existing literature, the degree to which a firm was committed to internationalization has a negative influence on the positive relationship between satisfaction and intent. Design/methodology/approach – All Brazilian firms that have entered foreign markets via FDI were surveyed to measure the firm’s: intent to internationalize; satisfaction with prior internationalization; and commitment to internationalization. Intent to internationalize is future based while both satisfaction and commitment reflect previous year’s activities. The potential response pool included publically traded companies listed on the Bovespa (São Paulo Stock Exchange) and private limited companies (Ltda.). The authors conducted a hierarchical moderated regression analysis to test the moderating effect of commitment to internationalization on the relationship between international satisfaction and intent to internationalize. Findings – This study adds to the literature by examining how past international satisfaction and commitment affect the future intent to internationalize for large Brazilian MNEs. The results confirm that the degree of past satisfaction regarding a firm’s international business is positively related to the firm’s future intent to internationalize. However, the results diverge from past research in two important ways. First, contrary to the organizational behavior literature, past commitment to internationalization does not have a significant relationship with future intention to internationalize. Second, the results show the relationship between satisfaction and intent is weakened by a high degree of international commitment. Research limitations/implications – A limitation of this study is the small sample size. While it encompasses the vast majority of large MNEs in Brazil, the authors still do not have enough data points to test more hypotheses such as the effects of firm size, number of countries the firm is in, and age of the firm. Future studies should attempt to expand the work done here by examining these effects. Another limitation of this study is that it is based on solely one country; Brazil. Future studies should attempt to replicate these findings in other emerging market countries. Practical implications – These results have three main managerial implications. First, international strategists analyzing the trajectory of a firm’s future intentions to internationalize should focus on how satisfied the firm has been with its past efforts. Second, managers should not assume that just because their firms have a large presence abroad that this will subsequently lead to future plans to internationalize. Finally, for emerging market MNEs in a period of the financial crises, committing more to internationalization may reduce the positive relationship between satisfaction and intention. Originality/value – The purpose of this study is to add to the small but growing work on large MNEs from Brazil in order to better understand their internationalization strategies. While there are literally hundreds of articles investigating the individual-level relationship between satisfaction and the intent to do something, there are a dearth at the firm level (see Wood et al., 2011, as a notable exception). The authors therefore attempt to extend the literature on internationalization by discussing how satisfaction at the firm level affects a firm-level decision.

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“…Therefore, we hypothesize the following: Hypothesis 3. Corporate brand pride emotions have a positive influence on attitudinal corporate brand pride Linking attitudinal corporate brand pride and WOM/Employee referrals Previous research on brand supporting behavior such as WOM and (employee) referrals identified multiple antecedents, such as brand passion (Albert et al, 2013), positive emotions (Lovett et al, 2013), satisfaction (Hagenbuch et al, 2008;Wangenheim & Baón, 2007), brand commitment (Albert et al, 2013), product (Wangenheim & Baón, 2007;Wolny & Mueller, 2013) or brand involvement (Wolny & Mueller, 2013). WOM can be defined as "informal, person-to-person communication between a perceived non-commercial communicator and a receiver regarding a brand, a product, an organization, or a service" (Harrison, 2001, p.63).…”

Section: Linking Perceived Negative Corporate Brand Publicity and Emo...mentioning

confidence: 99%

Should Corporation Care about Negative Brand Publicity? Understanding the Impact of Negative Brand Publicity on Employees' Corporate Brand Pride

Abed

Büttgen

2022

J Bus Strategies

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This article examines the effects of perceived negative brand publicity on employee emotions, attitudes and brand supporting behaviors. Drawing on Affective-Events-Theory (AET), it attempts to identify underlying affective and cognitive processes leading to behavioral change. Using data gathered from a large-scale survey of employees in Germany, our results show that perceived negative brand publicity affects emotional and attitudinal corporate brand pride of employees. In addition, higher levels of perceived negative brand publicity were negatively associated with brand-supporting behavior, such as employee referrals and word- of-mouth (WOM). We show that corporate brand experience through internal communications can be an effective tool in mitigating harmful effects of perceived negative brand publicity.

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Understanding Satisfied and Affectively Committed Clients' Lack of Referral Intent

Cited by 7 publications

References 57 publications

Longitudinal Effects of Corporate Social Responsibility on Customer Relationships

Longitudinal Effects of Corporate Social Responsibility on Customer Relationships

The effects of past satisfaction and commitment on the future intention to internationalize

Should Corporation Care about Negative Brand Publicity? Understanding the Impact of Negative Brand Publicity on Employees' Corporate Brand Pride

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