Skyler King, Ismail Karabas and Anthony Allred
In the 1980s and 1990s, Nintendo was dominating the video game industry with a market share of 90 per cent. Since that time, market share has dropped substantially with new…
Abstract
Case overview/synopsis
In the 1980s and 1990s, Nintendo was dominating the video game industry with a market share of 90 per cent. Since that time, market share has dropped substantially with new competitors, new technology and changing consumer preferences. This case examines the history of Nintendo including its loss of market share in a rapidly changing industry.
Complexity academic level
This case is suitable for undergraduate courses in strategic management where an instructor’s focus is on strategic decision-making.
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Ismail Karabas and Jeff Joireman
Non-voluntary tipping (e.g. automatic gratuity) has received growing attention in the service industry. Existing research suggests customers respond unfavorably to non-voluntary…
Abstract
Purpose
Non-voluntary tipping (e.g. automatic gratuity) has received growing attention in the service industry. Existing research suggests customers respond unfavorably to non-voluntary tipping, yet little research has examined why. The current study aims to address this question, with particular interest in response to non-voluntary tipping under high-quality service.
Design/methodology/approach
Two scenario-based experiments tested the proposed hypotheses in between-participants design using ANOVA, hierarchical regression and PROCESS.
Findings
Study 1 showed that non-voluntary tipping resulted in higher negative emotions, which led to lower return intentions. Surprisingly, the negative effect of non-voluntary tipping was as strong (or stronger) under high (vs low) quality service. To understand this counterintuitive effect, Study 2 developed and tested two competing process models (i.e. blocked vengeance vs blocked gratitude). Supporting the blocked gratitude model, results revealed that non-voluntary tipping hinders customers’ ability to reward service employees, undermining positive emotions and lowering return intentions.
Research limitations/implications
Current work was conducted in two settings using two scenario-based experiments. Hence, additional settings with non-scenario-based studies are encouraged.
Practical implications
The present work cautions managers considering a move to non-voluntary tipping to be aware of its negative effects, especially when the service quality is high. The blocked gratitude model suggests that managers should clarify methods available for customers who wish to reward good service.
Originality/value
This paper is the first to examine customer response to non-voluntary tipping under different levels of service quality and the underlying emotional mechanisms.
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Ismail Karabas, Marissa Orlowski and Sarah Lefebvre
Tipping within the foodservice industry has traditionally been reserved for full-service restaurants. However, there is a growing trend of tip requests at limited-service…
Abstract
Purpose
Tipping within the foodservice industry has traditionally been reserved for full-service restaurants. However, there is a growing trend of tip requests at limited-service restaurants, where tipping occurs prior to consuming the product. This research aims to examine the effect of a point-of-sale tip request at limited-service restaurants on return intentions via customer irritation. It also aims to analyze the moderating effects of check amount and perceived deservingness.
Design/methodology/approach
Four online scenario-based experiments were conducted to test the hypotheses. Participants were recruited from MTurk for all experiments (NStudy 1 = 152; NStudy 2 = 296; NStudy 3 = 206; NStudy 4 = 134).
Findings
Studies 1 and 2 suggested a negative impact of presenting a tip request on return intentions, with customer irritation as the underlying mechanism. Study 3 found the indirect effect was significant only when the check amount was low. Study 4 found that perceived deservingness of a tip also moderated this effect; the indirect effect was significant only when customers felt the employee did not deserve a tip. The effect was attenuated when customers felt the employee deserved a tip.
Originality/value
This paper contributes to the underexplored area of tipping behavior in the limited-service context. The findings contrast extant research on voluntary tipping at full-service restaurants, thus advancing theory by suggesting the consequences of tip requests are contextual and providing practical insights to limited-service establishments contemplating whether to begin requesting tips.
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The COVID-19 pandemic resulted in significant declines in international tourist arrivals and receipts. It has also influenced destination preference, tourist demographic, travel…
Abstract
The COVID-19 pandemic resulted in significant declines in international tourist arrivals and receipts. It has also influenced destination preference, tourist demographic, travel motivation, and behavior. Recognizing health and safety as the new considerations in pursuing tourism activities in the better normal, this necessitated a reassessment of the current tourism industry by directing the attention from the usual destination-centric perspective to a value chain perspective. This chapter proposes a new paradigm for the better normal value chain by deconstructing the concepts of travel, tourism, and travel sectors and revisiting the concept of the tourism value chain (TVC) by mapping out the chain and its functional levels and integrating travel, tourism, and hospitality sectors in one value chain. Policymaking approaches such as reorganizing the value chain, empowering stakeholder involvement through coopetition, and resilience building in the face of possible adversities in the future should be adapted to achieve this suggested paradigm's goals. This analysis provides stakeholders with a broader understanding of the needed interventions in future-proofing the industry backed by industry trends in the better normal while fostering collaboration and offering flexibility to cope better in other possible shocks in the future.
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Niharika Gupta and Harsh V. Verma
Service failure and recovery encounters are often witnessed by other customers, but little is known about how these encounters impacts other customers. With an aim to bridge this…
Abstract
Purpose
Service failure and recovery encounters are often witnessed by other customers, but little is known about how these encounters impacts other customers. With an aim to bridge this gap, the purpose of the paper is to explore why and how service recovery directed at a focal customer impacts other customers who are present in the same service environment.
Design/methodology/approach
The paper follows a qualitative research methodology. Purposive sampling was used to collect data from 30 customers through semi-structured face-to-face interviews. The data was analysed using thematic analysis.
Findings
Findings of the study show that service recovery directed at a focal customer has an impact on other customers' fairness judgments, emotions, service quality perceptions and behaviour. Other customers' behavioural reactions in response to observed service recovery are driven by two different motives: self-interest and moral obligation. Observing customers' cautious behaviour and (re)purchase behaviour are found to be primarily driven by self-interest, whereas their helping behaviour, punishment behaviour and word-of-mouth behaviour are found to be driven by moral obligation.
Research limitations/implications
This study findings contribute to theory development on “other-oriented” effects of service recovery and provides valuable insights for effective management of service failures in the shared service environment.
Originality/value
This is the first study, which qualitatively explores the “other customers” perspective of service recovery in the context of shared servicescape.
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Md. Mahmudul Alam, Yusnidah Binti Ibrahim and Jaka Sriyana
The credit card market is very large and segmented by targeting different types of consumers. One type of credit card is one that specifically targets people in the education…
Abstract
Purpose
The credit card market is very large and segmented by targeting different types of consumers. One type of credit card is one that specifically targets people in the education sector, for instance, students, teachers and other staff members. This study aims to compare the features of education and other credit cards in Malaysia.
Design/methodology/approach
The study analyzes data concerning 234 credit cards by using descriptive statistics and a one-way analysis of variance test.
Findings
Out of 234 credit cards, this study found only two credit cards especially target education sector customers. The study evaluated 13 features of these credit cards and found that only 2 features are statistically significantly different from other conventional credit cards in Malaysia. These features are interest rate and cash withdrawal charge fees.
Originality/value
This is an original study based on the compilation of data from secondary sources. The findings will provide valuable insights to financial regulatory policymakers, academics and business managers.
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Novira Kusrini, Dwi Septiyarini and Wahyu Rafdinal
Rice is an essential determinant of food security in some developing countries as it has become the state’s staple food. Due to its essential role, rice supplies have been studied…
Abstract
Purpose
Rice is an essential determinant of food security in some developing countries as it has become the state’s staple food. Due to its essential role, rice supplies have been studied over the years. For this reason, it is essential to ensure quantity and quality availability, safety, distribution and affordability from input suppliers, farmers and milling industries to consumers. This study aims to assess and evaluate the relationship between sustainability risk factors for each rice supply chain actor to minimise uncertainty and losses in the supply chain and achieve a sustainable rice supply chain (SRSC).
Design/methodology/approach
A total of 50 sub-risk factors for the rice supply chain, divided into four sustainability dimensions, were derived through a literature review. Next, it was identified through interviews with 12 experts in 2 stages: the first stage, reviewing the literature review results, and the second stage, finalising with Pareto analysis. Each stage produces 28 and 21 sub-risk factors. Fuzzy-decision-making trial and evaluation analysis was used to evaluate the relationship between sub-risk factors in the context of SRSC.
Findings
The sub-risk factors that need to be managed to achieve SRSC are climate change risk (floods and rainfall) from the environmental dimension (case group) and operational risk (loss of low-quality results) from the process dimension (impact group). These practical findings provide actionable insights for supply chain actors and contribute to a deeper understanding of the complexities of the rice supply chain.
Research limitations/implications
This study underscores the urgent need for a comprehensive understanding of the risks faced by all actors in the rice supply chain. Such an understanding is crucial for future research and practical applications, and it is the key to ensuring the sustainability and security of the rice supply chain.
Originality/value
To the best of the authors’ knowledge, this is the first comprehensive study in the context of SRSC that evaluates the relationship between risk factors to achieve food security in developing countries.
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Richard Kadan and Jan Andries Wium
Due to the uniqueness of individual construction projects, identifying the dominant risk factors is needed for risk mitigation in ongoing and future projects. This study aims to…
Abstract
Purpose
Due to the uniqueness of individual construction projects, identifying the dominant risk factors is needed for risk mitigation in ongoing and future projects. This study aims to identify the dominant construction supply chain risk (CSCR) factors, based on studies conducted between 2002 and 2022.
Design/methodology/approach
The study adopts the preferred reporting items for systematic reviews and meta-analysis (PRISMA) procedure to identify, screen and select relevant articles in order to provide a bibliography and annotation of the prevalent risks in the supply chains. A descriptive analysis of the findings then follows.
Findings
The study’s findings have highlighted the three most prevalent risks in the construction supply chain (poor communication across project teams, changes in foreign currency rate, unfavorable climate conditions) as reported in literature, that project teams need to pay closer attention to and take proactive steps to mitigate.
Research limitations/implications
Due to limitations imposed by the chosen research methodology, tools, time frame and article availability, the study was unable to examine all CSCR-related papers.
Practical implications
The results will serve as a useful roadmap for risk/supply chain managers in the construction industry to take strategically proactive steps towards allocating resources for CSCR mitigation efforts.
Social implications
Context-specific research on the impact of social and cultural risks on the construction supply chain would be beneficial, due to emerging social network risk factors and the complex socio-cultural settings.
Originality/value
There is presently no study that has reviewed extant studies to identify and compile the dominant risk factors (DRFs) associated with the supply chain of construction projects for ranking in the supply chain risk management process.