Today we identify service articles published in Marketing, Management, Operations, Productions, Information Systems & Practioner-oriented Journals in February 2017.
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Villarroel Ordenes, F., S. Ludwig, K. O. De Ruyter, D. Grewal and M. Wetzels (2017): Unveiling What Is Written in the Stars: Analyzing Explicit, Implicit, and Discourse Patterns of Sentiment in Social Media, Journal of Consumer Research, 43(6), pp.875-894
Deciphering consumers‘ sentiment expressions from big data (e.g., online reviews) has become a managerial priority to monitor product and service evaluations. However, sentiment analysis, the process of automatically distilling sentiment from text, provides little insight regarding the language granularities beyond the use of positive and negative words. Drawing on speech act theory, this study provides a fine-grained analysis of the implicit and explicit language used by consumers to express sentiment in text. An empirical text-mining study using more than 45,000 consumer reviews demonstrates the differential impacts of activation levels (e.g., tentative language), implicit sentiment expressions (e.g., commissive language), and discourse patterns (e.g., incoherence) on overall consumer sentiment (i.e., star ratings). In two follow-up studies, we demonstrate that these speech act features also influence the readers‘ behavior and are generalizable to other social media contexts, such as Twitter and Facebook. We contribute to research on consumer sentiment analysis by offering a more nuanced understanding of consumer sentiments and their implications.
Chatterjee, J. (2017): Strategy, human capital investments, business-domain capabilities, and performance: a study in the global software services industry, Strategic Management Journal, 38(3), pp.588-608
Research summary: In knowledge-based industries, continuous human capital investments are essential for firms to enhance capabilities and sustain competitive advantage. However, such investments present a dilemma for firms, because human resources are mobile. Using detailed project-level operational, financial, and human capital data from a leading multinational firm in the global IT services industry, this study finds that deliberate investments in improving general human capital can help firms develop superior capabilities and maintain high profits. This paper identifies two types of capabilities essential for success in this industry-technological and business-domain capabilities-and provides empirical evidence justifying such investments. Theoretical and practical implications of capability-seeking general human capital investments are discussed. Managerial summary: The primary managerial implication of this research is that capability-seeking investments in developing general human capital through strategic learning (training and internal certifications) can enhance firm performance. Although investing in general human capital is risky, the firm considered this a strategic necessity in order to thrive in the fast paced IT services industry. By leveraging general technological skills in combination with business-domain knowledge to address customer’s business problems firms can earn and sustain higher profits. Our study also demonstrates how a developing-country firm responded to strong competitive challenge from global rivals possessing superior capabilities by upgrading the capabilities of its employees through internal development. In doing so the firm was able to narrow the capability gap vis-
deLeon, A. and S. Chatterjee (2017): B2B relationship calculus: quantifying resource effects in service-dominant logic, Journal of the Academy of Marketing Science, 45(3), pp.402-427
Increasingly, knowledgeable business-to-business (B2B) customers and evolving customer needs are leading to seismic shifts in vendor-client interactions. Across industries, sellers are changing their business models from a simple goods orientation to a hybrid goods-services model, placing greater emphasis on delivering complete customer solutions. In such an environment, companies must find ways to prioritize investments in resource development. The service-dominant (S-D) logic framework offers significant insights into this challenge; however, these effects have not been tested quantitatively. This study addresses that gap, examining the influence of various seller resources on buyer satisfaction. An empirical analysis of buying organizations that purchased and implemented business intelligence systems finds that ‘augmented’ operant resources that the buyers ascribe to the software’s sellers-resources that go above and beyond expectations-are the most significant predictors of both successful technology assimilation and overall customer relationship quality. In particular, an augmented operant resource reflecting a seller’s ability to see value creation opportunities from the buyer’s perspective ( value mindset) has up to three times the effect on relationship satisfaction as ‘core’ operant resources such as product-specific expertise or basic interpersonal service skills. These results can help sellers prioritize resource investments.
Guo, L., T. Gruen and C. Tang (2017): Seeing relationships through the lens of psychological contracts: the structure of consumer service relationships, Journal of the Academy of Marketing Science, 45(3), pp.357-376
Serving as mental models, psychological contracts guide consumers’ service interactions with their service providers. This study incorporates a psychological contract perspective into the relationship marketing literature, exploring service customers’ beliefs about the terms and conditions of the resource exchange process and the types of relationships they form with service providers. It provides new insights that explain why and how some customers respond favorably to a company’s relationship overtures and investments while others do not. A latent class analysis on a sample of 700 consumers across three different service industries reveals that consumers form four distinct types of psychological contracts: relational, standard, transitional, and captive. To further validate the differences between the contract types, open-ended responses from the respondents were sorted by each class. The distinctive themes that emerged provide a richer understanding of the characteristics of each class beyond those inferred from the quantitative results. Each contract type is also profiled against its underlying level of trust, satisfaction, and commitment to understand the relationship between the contract types and these traditional relationship marketing variables. Marketers can differentiate their relationship marketing strategies and allocate their resource investments more effectively by segmenting consumers according to their psychological contract type.
Menguc, B., S. Auh, V. Yeniaras and C. Katsikeas (2017): The role of climate: implications for service employee engagement and customer service performance, Journal of the Academy of Marketing Science, 45(3), pp.428-451
This research attempts to challenge the resource-engagement and engagement-performance linkage of the job demands-resources model by testing these links under the moderating role of two climates: performance-focused and service failure recovery. Two studies test a model on the boundary conditions of the linkages across four service industries. The results suggest that whether a resource (i.e., self-efficacy and job autonomy) positively or negatively affects engagement depends on whether (1) a climate is appraised as a challenge or hindrance demand and (2) a climate is deemed a complementary or compensatory resource. Using multi-respondent data from customer service employees and their supervisors in the health care industry, Study 1 conceptualizes climate as organizational climate and finds that performance-focused climate strengthens (weakens) the positive effect of self-efficacy (job autonomy) on engagement while service failure recovery climate weakens the positive impact of self-efficacy on engagement. Study 2 generalizes the findings from Study 1 and provides broad support by testing the model using psychological climate in the financial services, tourism and hospitality, and retailing industries. This study closes with a configuration approach to climate research by discussing when multiple climates can co-exist under different types of resources.
Ou, Y.-C., P. Verhoef and T. Wiesel (2017): The effects of customer equity drivers on loyalty across services industries and firms, Journal of the Academy of Marketing Science, 45(3), pp.336-356
Customer equity drivers (CEDs)-value equity, brand equity, and relationship equity-positively affect loyalty intentions, but this effect varies across industries and firms. We empirically examine potential industry and firm characteristics that explain why the CEDs-loyalty link varies across services industries and firms in the Netherlands. The results show that (1) some previously assumed industry and firm characteristics have moderating effects while others do not and (2) firm-level advertising expenditures constitute the most crucial moderator because they influence all three loyalty strategies (significant for value equity and brand equity; marginally significant for relationship equity), while three industry contexts (i.e., innovative markets, visibility to others, and complexity of purchase decisions) each influence two of the three loyalty strategies. Our results clearly show that specific industry and firm characteristics affect the effectiveness of specific loyalty strategies.
Pansari, A. and V. Kumar (2017): Customer engagement: the construct, antecedents, and consequences, Journal of the Academy of Marketing Science, 45(3), pp.294-311
In this study, we highlight the need and develop a framework for customer engagement (CE) by reviewing the marketing literature and analyzing popular press articles. By understanding the evolution of customer management, we develop the theory of engagement, arguing that when a relationship is satisfying and has emotional connectedness, the partners become engaged in their concern for each other. As a result, the components of customer engagement include both the direct and the indirect contributions of CE. Based on the theoretical support, our proposed framework elaborates on the components of CE as well as the antecedents (satisfaction and emotion) and consequences (tangible and intangible outcomes) of CE. We also discuss how convenience, nature of the firm (B2B vs. B2C), type of industry (service vs. product), value of the brand (high vs. low), and level of involvement (high vs. low) moderate the link between satisfaction and direct contribution, and between emotions and indirect contribution of CE, respectively. Further, we show how customer engagement can be gained and how firm performance can be maximized by discussing relevant strategies.
Amatulli, C., R. Nataraajan, M. Capestro, M. Carvignese and G. Guido (2017): ‘Service’ in Luxury Retailing in the Twenty-First Century: An Exploratory Look at the Pleasure Boating Sector, Psychology & Marketing, 34(5), pp.569-579
ABSTRACT This study explores the most effective retailing strategies with which luxury retailers can achieve a competitive advantage. The central role of services in enhancing the consumption experience in the luxury segment has been analyzed considering the pleasure boating sector, with a focus on the role that the dealer may have, both in the integration of different services and in the development of a durable competitive advantage. A qualitative study has been carried out through semistructured, in-depth, one-to-one interviews with representatives of companies that deal with the pleasure boating sector. The results show that in the luxury pleasure boating sector, the introduction of a better-defined retail strategy focused on services and its integration within the entire distribution channel may be crucial but also difficult to achieve in contexts that lack a marketing orientation. The contribution to extant literature on service in the pleasure boating sector and in luxury retailing in general is outlined. The managerial implications for practitioners in the pleasure boating sector are also discussed.
Obeidat, Z. M. I., S. H. Xiao, G. R. Iyer and M. Nicholson (2017): Consumer Revenge Using the Internet and Social Media: An Examination of the Role of Service Failure Types and Cognitive Appraisal Processes, Psychology & Marketing, 34(4), pp.496-515
ABSTRACT Given the pervasive spread and use of the Internet and social media, consumer use of these new forums for expressing their revenge intentions has also increased. This research examines the impacts of service outcome and service process failures on consumer online revenge intentions. Using insights from cognitive appraisal theory, a comprehensive model is developed and tested to examine the impacts of service failure types on consumers’ primary and secondary appraisal processes that lead to online revenge intentions. The model was tested in the United Kingdom and Jordan. Results show that for the two countries, different service failure types lead to different cognitive appraisal processes, and to intentions to use different online revenge platforms.
Bachrach, D. G., R. R. Mullins and A. A. Rapp (2017): Intangible sales team resources: Investing in team social capital and transactive memory for market-driven behaviors, norms and performance, Industrial Marketing Management, 62(), pp.88-99
Complex offerings and evolving customer needs increase the demand for market-driven salespeople. Yet many of today’s managers struggle to effectively deploy this selling approach. In light of this reality, we develop and test a multi-level market capabilities framework to examine team-level drivers and boundary conditions of market-driven salesperson behaviors, norms, and performance. Data collected in a lagged, multi-source, cross-level field study of 246 salespeople nested within 54 sales teams provide evidence that investments in team social capital (ITSC) support the self-correcting, customer-centric, learning behaviors needed for performance. Results show that managers’ ITSC are positively associated with team goal monitoring, commitment to service quality, and learning effort. Further, goal monitoring and learning effort increase commitment to service quality, which helps drive sales performance. We also find that transactive memory systems (TMS) can be an efficient team knowledge resource that strengthens the learning effort-to-performance and service quality-to-performance relationships.
Johnson, J. S. and R. S. Sohi (2017): Getting business-to-business salespeople to implement strategies associated with introducing new products and services, Industrial Marketing Management, 62(), pp.137-149
Strategy implementation remains a perennial challenge for firms. While several studies have examined implementation phenomena at the firm level, we know little about what firms can do to get their salespeople to implement strategies for new products and services. Understanding salespeople’s individual-level implementation is of particular importance as salespeople are the frontline employees of the firm responsible for implementing strategies with customers. Drawing from motivation, opportunity, and ability (MOA) theory, this examination investigates factors impacting the implementation of strategies associated with introducing new products and services by the salesperson. We use a sample of 277 business-to-business salespeople to test our hypothesized relationships. The findings show both positive and negative moderation among the implementation MOA variables and also provide broad support for their proposed drivers. Additionally, the identified implementation facets of responsiveness and effort are found to positively impact implementation success.
Xu, Y., M. Pinedo and M. Xue (2017): Operational Risk in Financial Services: A Review and New Research Opportunities, Production & Operations Management, 26(3), pp.426-445
We present a framework to describe and analyze operational risk in financial services from an operations management perspective, focusing in particular on process design, process management, and human behavior aspects. The financial services industry differs from other service industries in ways that affect the nature of the operational risks it is subject to. In recent decades, many books and papers have focused on operational risk in financial services; however, this literature has focused mainly on the conceptual and statistical aspects of operational risk management and not on its operational aspects. Operational risk in financial services has not received much attention from the operations management community. The framework presented here is based on the premise that operational risk in financial services can reap significant benefits from research done in the theory and practice of operations management in manufacturing industries as well as in other services industries. The objective of this study is to propose particular challenges and questions raised in the practice of operational risk management that may stimulate future research in this particular area of operations management.
Kalia, P. (2017): Service quality scales in online retail: methodological issues, International Journal of Operations & Production Management, 37(5), pp.630-663
Purpose Measuring service quality in online retail is critical. The purpose of this paper is to put in foreground key methodological issues of prevailing research related to scale development for the measurement of service quality in the context of online retail.Design/methodology/approach Content analysis of 30 research papers sourced from prestigious databases has been done to detect defects within research and sampling methods, survey administration, item generation and purification, dimensionality analysis, reliability and validity assessment. Also observations regarding dimensionality of online service quality constructs have been highlighted.Findings Study revealed deficiencies in sample size and composition, quantitative orientation in research methods, leniency in item generation/purification and negligent assessment of reliability and validity. It was found that e-service quality is multidimensional in nature and there is no consensus on number and nature of dimensions, although security/privacy, website design, reliability, responsiveness and information emerged as most cited dimensions. Electronic and traditional service quality dimensions displayed analogy in direct or adapted form.Originality/value This paper is first to highlight key methodological issues of prevailing research on e-service quality scale development in context of online retail. Implications for researchers and managers are summarized at the end of the study.
Sousa, R. and G. J. C. da Silveira (2017): Capability antecedents and performance outcomes of servitization, International Journal of Operations & Production Management, 37(4), pp.444-467
Purpose The purpose of this paper is to theoretically articulate and empirically test an integrated model of capability antecedents and performance outcomes of servitization strategies. The authors characterize servitization strategies based on the offering of two types of services: basic services (BAS) and advanced services (ADS).Design/methodology/approach Hypotheses are tested based on statistical analyses of a large survey of manufacturers from different countries and sectors.Findings The authors find that manufacturing capabilities associate with the provision of BAS, while service capabilities associate with both BAS and ADS; BAS do not impact financial performance, but support the offering of ADS; there seem to be naturally occurring servitization trajectories involving the gradual development of balanced levels of BAS and ADS and adequate levels of manufacturing and service capabilities.Research limitations/implications The findings on servitization trajectories are based on the observation of manufacturing business units at different stages of servitization (cross-sectional data).Practical implications Manufacturers wishing to servitize should distinguish between BAS and ADS and deploy a balanced adoption of BAS and ADS, using BAS as a platform. This should be accompanied with the building of appropriate capabilities.Originality/value This is one of the first studies to show an explicit link between different servitization strategies, capabilities, and servitization maturity. It provides new insights into the servitization paradox and servitization trajectories.