Faisal Rasool, Pisut Koomsap, Bilal Afsar and Babrak Ali Panezai
Disruptive innovations have the potential to fundamentally change how businesses operate. This study aims to propose a five-step framework to help firms develop disruptive…
Abstract
Purpose
Disruptive innovations have the potential to fundamentally change how businesses operate. This study aims to propose a five-step framework to help firms develop disruptive innovations and to offer a scale for evaluating their disruptive potential. This scale can also be applied to identify the disruptive potential of innovations introduced to the market by competitors.
Design/methodology/approach
The framework was designed on the basis of criteria chosen to identify the disruptive potential of innovations at early stages of development based on a theoretical understanding of disruptive innovation, its challenges and holistic consideration of innovation as a dynamic process. It consists of steps that could serve as a reference model during the process of developing innovations with disruptive potential. A case study is discussed in detail to demonstrate the applicability of the framework.
Findings
A simple yet comprehensive assessment framework for disruptive innovation has been developed, which can help develop innovations with disruptive potential in existing settings of incumbent firm. A case study of the Wii demonstrates that Nintendo could have planned its disruptive product using the proposed framework.
Originality/value
Most research works in this area have focused on difficulties experienced by firms facing disruption and failed to highlight its opportunities; this study argues that firms can intentionally create disruptive innovations. The results of this study offer firms a tool that facilitates a proactive approach, helping develop new disruptive innovations and identify those from competitors.
Details
Keywords
Shahina Batool, Babrak Ali Panezai, Ghulam Jan Baloch and Shamaila Sohail
The purpose of this paper is to determine empirically the effect of customer perceived ethicality (CPE) on customer loyalty (CL) and further the authors ascertained if customer…
Abstract
Purpose
The purpose of this paper is to determine empirically the effect of customer perceived ethicality (CPE) on customer loyalty (CL) and further the authors ascertained if customer trust (CT), customer affective commitment (CAC) and customer perceived quality (CPQ) acted as mediating mechanisms linking CPE and CL. This study also tested the influence of CL on customer word of mouth (CWOM).
Design/methodology/approach
In this study, data were collected from 390 customers of banks in Pakistan through a self-administered questionnaire and tested through partial least squares (PLS) with smart PLS 3.2.7 version.
Findings
Research findings provided evidence for the positive relationship between CPE and CL and mediating effects of CT, CAC and CPQ for the CPE–CL linkage. Furthermore, a positive and significant relationship between CL and CWOM was experienced.
Practical implications
This study can help banks to determine the importance of CT, CAC and CPQ, as they can facilitate translating CPE into CL. Furthermore, managers need to effectively communicate about their ethical activities and encourage their customers to share their experiences.
Originality/value
First, this paper has considered the effect of CPE on customer loyalty under research area of corporate service brands. Second, it examines the mediating role of three factors (CT, CAC and CPQ) between CPE and customer loyalty in the banking industry.