Muhammad Kashif Javed, Ma Degong and Talat Qadeer
Most business-related studies on ethics focus on consumers in developed western economies but ignore developing economies. Therefore, to fill this void in the literature and…
Abstract
Purpose
Most business-related studies on ethics focus on consumers in developed western economies but ignore developing economies. Therefore, to fill this void in the literature and address the concerns of prior studies, the purpose of this paper is to examine the ethical perceptions of Chinese consumers as an example of effective and efficient management of company/brand strategies in an economy experiencing rapid socioeconomic growth.
Design/methodology/approach
This study examines 328 Chinese consumers’ purchase intentions based on their ethical perceptions toward Apple and P&G through mediating (i.e. consumer–corporate identification (CCI) and brand trust) and moderating (i.e. consumer gender, age, education and residence) effects. Structural equation modeling is used to analyze the constructs and overall model.
Findings
The ethical perceptions of consumers translate into purchase intentions, both at the corporate and product brand levels. Similarly, a significant direct relationship between CCI and brand trust reveals that corporate-level ethical identification is a trivial matter to customers, although these perceptions do apply to product brands under a corporate umbrella. Furthermore, to identify target groups of Chinese consumers who are receptive to ethical appeals, moderating variables were found to be useful.
Originality/value
The results confirm that the mediating role of CCI is more influential in the context of Chinese consumers’ ethical perceptions, followed by brand trust. In relation to demographics, ethical perceptions affect CCI and brand trust more positively in females and highly educated consumers in China. Similarly, the relationship between consumers’ ethical perception and their trust in brand is revealed more influential in urban residents than they do in rural. This broadens the applications and contexts of this research model. The results provide managerial guidance on enhancing potential ethical perceptions.
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Ibraheem Saleh Al Koliby, Nurul Aini Binti Mehat, Abdullah Kaid Al-Swidi and Mohammed A. Al-Hakimi
Although the importance of entrepreneurial culture (EC) has been recognized, it remains unclear how EC affects sustainable competitive performance (SCP). This study aims to…
Abstract
Purpose
Although the importance of entrepreneurial culture (EC) has been recognized, it remains unclear how EC affects sustainable competitive performance (SCP). This study aims to explore how EC affects SCP via the mediating role of innovation capability (IC) and the moderating role of digital marketing capability (DMC).
Design/methodology/approach
Based on data gathered from manufacturing small and medium-sized enterprises (SMEs) in Malaysia, the proposed model was tested using partial least squares structural equation modeling via SmartPLS software.
Findings
The analysis results indicate that EC affects IC, which in turn has a positive effect on SCP. In addition, IC mediates the EC-SCP relationship. Importantly, DMC positively moderates the EC–SCP relationship.
Research limitations/implications
This study combines IC, DMC and SCP under resource-based view and dynamic capabilities theory into a single framework. Results confirm EC's impact on SMEs' manufacturing sector SCP, with IC mediating this link. However, the cross-sectional design restricts deeper respondent analysis.
Practical implications
This study offers SME managers/owners and decision-makers insights on enhancing EC for better performance and competitive edge. It highlights IC's crucial role in translating EC into innovation and value creation. Policymakers can also use these findings to design programs for SMEs in emerging markets.
Social implications
This study underscores the significance of EC adoption not only to generate a sustainable competitive advantage for the firm but also to increase the social as well as economic well-being of the firm, especially in the context of emerging economies, such as Malaysia; which are characterized by diverse ethnic groups contributing to their unique social fabric.
Originality/value
This work fills the knowledge gap by providing empirical evidence for the mediating and moderating role of IC and DMC, respectively, in the link between EC and SCP, thus significantly contributing to emerging markets, where managers seek to enhance their understanding of using EC for fostering SCP.
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Rajeev Verma, Vikas Arya, Asha Thomas, Enrica Bolognesi and Jens Mueller
The purpose of this paper is to examine the role of green intellectual capital in fostering societal sustainability. Also, this study investigated how co-creational customer…
Abstract
Purpose
The purpose of this paper is to examine the role of green intellectual capital in fostering societal sustainability. Also, this study investigated how co-creational customer capital mediates the relationship between green intellectual capital and societal sustainability. The paper draws attention to co-creating customer capital and understanding its impact on societal sustainability in high-contact service startups.
Design/methodology/approach
Data were collected from responses from 376 high-contact service startup firms headquartered in the Indian subcontinent, particularly emerging markets. The proposed conceptual model was analyzed using the partial least squares structural equation modeling (PLS-SEM) approach. The analysis is based on primary data obtained from strategic-level employees.
Findings
The results highlight the impact of co-creational customer capital in the Green Intellectual Capital – Societal Sustainability (GICS) model. Green intellectual capital components significantly influence societal sustainability outcomes in the existence of co-created customer values. It establishes customer capital as an essential factor that mediates the relationship between green intellectual capital and societal sustainability.
Research limitations/implications
This research provides conceptualization and subsequent investigation of customer value creation in service-led startups. The construct co-creation is more appropriate for the service industry in common.
Practical implications
This paper establishes co-created customer capital as an enabler in transforming underlying components of green intellectual capital into societal sustainability measures. Firms may generate higher customer value by pooling green human and relational capital along with active customer response and shared knowledge. This creates an organizational asset termed co-created customer capital specific to service industries.
Originality/value
The article proposes a novel way to analyze customer value in service organizations. To the best of the authors’ knowledge, no study has looked at how co-creational customer capital could act as a mediator between green intellectual capital and societal sustainability in the service industry context, particularly for SMEs and startups from emerging economies. Co-created customer capital may be used as an instrument to overcome managerial challenges in the context of transforming green intellectual capital into societal capital.
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Daniel Esteban May, Sara Arancibia, Calvin Wang, Nigel Hill and Karl Behrendt
This research explores the purchasing behavioural drivers of young Chinese consumers purchasing foreign clothing brands. The aim is to include a range of drivers identified by…
Abstract
Purpose
This research explores the purchasing behavioural drivers of young Chinese consumers purchasing foreign clothing brands. The aim is to include a range of drivers identified by different investigations into a single approach, to determine direct and indirect channels by which these drivers influence purchasing behaviour, and their relative importance in quantitative terms.
Design/methodology/approach
The methodology is based on an extended version of the theory of planned behaviour that considers hypotheses based on a number of studies revised in the literature review. This theoretical framework was used as the basis for a questionnaire applied to a sample of 362 young Chinese consumers. A Partial Least Squares Structural Equation Modelling approach was used to analyse the collected data.
Findings
The results revealed three main channels influencing purchasing behaviour which were shown to share the same root, corresponding to the influences of the social network young consumers belong to. This result suggests that social norms have a key role in explaining young consumers' purchasing behaviour through its impact on their needs for status and social recognition, their attitudes towards foreign cultures and foreign brands, and their beliefs regarding the attributes of foreign clothing.
Practical implications
The work therefore provides companies operating in the foreign clothing market the confidence to devise business strategies that focus on the channel demonstrating the highest influencing power. A strategy likely to have the highest influencing power is one that uses celebrities to promote the reputation of products and reinforce the messages associated with status and social recognition. Reinforcement of these strategies could include secondary strategies linked to the other channels such as the one related to the adoption of foreign cultural symbolism.
Originality/value
In contrast to the majority of related studies, this investigation also explores indirect channels or paths by which a behavioural driver affects the behaviour of young Chinese consumers. In fact, this investigation not only simultaneously identified the different paths influencing young Chinese consumers purchasing behaviour but also quantitatively identified their relative importance.
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Muhammad Sualeh Khattak, Qiang Wu, Maqsood Ahmad and Rizwan Ullah
Grounded in upper echelon (UE) theory, this study aims to examine the role of managerial competencies (business experience, financial literacy and digital literacy) in sustainable…
Abstract
Purpose
Grounded in upper echelon (UE) theory, this study aims to examine the role of managerial competencies (business experience, financial literacy and digital literacy) in sustainable development strategy, with resource management as a mediator.
Design/methodology/approach
The empirical data collection is conducted through a survey completed by 297 top management teams of small and medium-sized enterprises (SMEs) operating in Pakistan. Structural equation modelling in Smart PLS is used to substantiate the hypotheses.
Findings
The findings reveal that financially and digitally literate managers significantly contribute to the sustainable development strategies of SMEs. However, experienced managers do not focus significantly on sustainable development strategies. Resource management partially mediates the nexus between financial literacy and sustainable development strategy, as well as between digital literacy and sustainable development strategy. In contrast, resource management does not mediate the nexus between business experience and sustainable development strategy.
Research limitations/implications
This study recommends that SMEs should prioritize managers with digital and financial literacy over those with experience. SMEs led by a management team with digital and financial literacy are more effective in resource management for sustainable development practices, whereas experienced managers may not significantly prioritize managing resources for sustainability.
Originality/value
While research based on the UE theory significantly contributes to the body of knowledge on sustainable development, the role of managerial competencies, particularly business experience, financial literacy and digital literacy, in sustainable development strategy via resource management is neglected. This research fills this gap in the context of UE theory and thereby enriches the literature.
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Ruoshi Geng, Ruijie Sun, Jie Li, Fan Guo, Wangshuai Wang and Gong Sun
This paper examined the relationship between firm innovativeness and consumer trust in the sharing economy. In addition, the authors examine the mediating effect of organizational…
Abstract
Purpose
This paper examined the relationship between firm innovativeness and consumer trust in the sharing economy. In addition, the authors examine the mediating effect of organizational legitimacy and the moderating effect of social worth.
Design/methodology/approach
To examine the hypotheses, the authors collected data from 276 users of a sharing platform (Didi) in China to conduct empirical research. The “lavaan” packages in R and SPSS were used to analyze the data and test the proposed hypotheses.
Findings
The results reveal that sharing platforms' innovativeness is positively related to consumer trust, and this relationship is mediated by organizational legitimacy. Furthermore, sharing platforms' social worth moderates the relationship between firm innovativeness and organizational legitimacy as well as the indirect effect of firm innovativeness on consumer trust via organizational legitimacy.
Practical implications
This article proposes strategies that enable sharing platforms to increase consumer trust, which can also better promote the development of the sharing economy.
Originality/value
This paper contributes to the literature by focusing on the social attributes of the sharing economy. By building a more detailed model of consumer trust, this paper adds to the knowledge on the influencing mechanism of consumer trust in the sharing economy.
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This study aims to assess how ethical sales behaviour affects switching costs typology, mediated by trust and moderated by brand affiliation, monthly contributions and the number…
Abstract
Purpose
This study aims to assess how ethical sales behaviour affects switching costs typology, mediated by trust and moderated by brand affiliation, monthly contributions and the number of dependent beneficiaries in medical schemes in South Africa.
Design/methodology/approach
A quantitative study targeted a non-probability judgement sample of 250 main members of medical schemes, elicited near health-care facilities in South Africa’s Gauteng province. Data was collected in a face-to-face survey and analysed using structural equation modelling on AMOS version 29 and PROCESS procedure for Statistical Package of Social Science release 2.041.
Findings
The results show that ethical sales behaviour negatively affects trust and positively affects evaluation, monetary and personal relational loss costs. Trust positively affects personal relational loss costs, economic risk, evaluation, monetary and benefit loss costs. Moreover, trust mediates the effect of ethical sales behaviour on evaluation, monetary and personal relational loss costs. Finally, the number of dependent beneficiaries, monthly contributions and brand affiliation significantly moderate these interactions.
Originality/value
The paper validates the application of commitment-to-trust theory in mediating how the effects of the general theory of marketing ethics on switching costs typology differ according to the number of dependent beneficiaries, monthly contributions and brand affiliation with medical schemes.
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Yufan Li, Weichen Teng, Tien-Tien Liao and Tom M.Y. Lin
The recent rise of economic nationalism intensifies consumers' patriotic attitudes toward goods or services and thus encourages enterprises to build patriotic brand images…
Abstract
Purpose
The recent rise of economic nationalism intensifies consumers' patriotic attitudes toward goods or services and thus encourages enterprises to build patriotic brand images. Nevertheless, few studies have discussed how a patriotic brand image is developed. The purpose of this study aims to fill the gap by examining whether and how a positive corporate image helps a domestic brand establish a patriotic brand image and in turn enhances consumers' purchase intentions in relation to domestic brand products.
Design/methodology/approach
A research model identifying the antecedents of patriotic brand image (the components of corporate image) is proposed and empirically tested using structural equations with a questionnaire investigating Taiwanese college students' attitudes toward Taiwanese smartphone brands. Three competing models are also proposed and tested to confirm the appropriateness of the research model.
Findings
In addition to the widely recognized impact of perceived quality on purchase intentions, patriotic brand image is found to be effective in enhancing local consumers' intentions to purchase domestic brand products. To shape a patriotic brand image, perceived quality, perceived corporate ability and perceived corporate integrity are the direct approaches, while perceived corporate social responsibility works through perceived corporate integrity, and perceived employer brand enhances only perceived corporate social responsibility.
Research limitations/implications
Potential sampling (college students) and subject (smartphones) biases may limit the generalizability of the presented findings
Practical implications
While patriotic appeals have long been used in marketing communication, they are also likely to precipitate negative brand associations (e.g. nationalism), offending consumers in other countries. By contrast, the development of a positive corporate image serves as an implicit and neutral approach to building a patriotic brand image and can help domestic brands attract local consumers with less harm to foreign markets.
Originality/value
This study is one of notably few studies discussing patriotic brand image and its impacts on purchase intentions. This study also identifies the antecedents of patriotic brand image and how each of them affects patriotic brand image. The findings can help guide domestic brands in building a patriotic brand image.
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Junhee Seok, Youseok Lee and Byung-Do Kim
This study clarifies the relationship between corporate social responsibility (CSR) news reports and firm value and identifies the mechanisms that constitute this relationship…
Abstract
Purpose
This study clarifies the relationship between corporate social responsibility (CSR) news reports and firm value and identifies the mechanisms that constitute this relationship. Specifically, it identifies the roles of word of mouth (WOM) and traditional advertising in this relationship.
Design/methodology/approach
The data set used for the analysis covers 77 firms in Korea from 2012 to 2015. The random-effects model is applied to verify three hypotheses. Using a three-step regression analysis and the Sobel test, this study reveals the roles of WOM and advertising expenditure in the relationship between CSR news reports and firm value.
Findings
CSR news reports positively affect firm value, and this relationship is mediated by WOM and moderated by advertising expenditure. Notably, the positive effect of WOM on firm value is stronger for companies that spend less on advertising.
Practical implications
The evidence implies that marketing managers could benefit from not only conducting CSR activities but also widely publicizing them. CSR news reports could help companies enhance public awareness of and interest in them.
Originality/value
This is the first study to investigate the influence of CSR news reports using empirical data in Korea.
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Muhammad Sualeh Khattak, Qiang Wu, Maqsood Ahmad and Muhammad Anwar
This study explores the mechanism by which intellectual capital (IC) [i.e. human capital (HC), structural capital (SC) and relational capital (RC)] influences small and…
Abstract
Purpose
This study explores the mechanism by which intellectual capital (IC) [i.e. human capital (HC), structural capital (SC) and relational capital (RC)] influences small and medium-sized enterprise (SME) efficiency in the presence of business model innovation (BMI) as a mediator.
Design/methodology/approach
Data collection is conducted through a survey completed by 319 owners and top managers of SMEs operating in the manufacturing sector in three cities in Pakistan. A simple random sampling method is used. A structural equation modeling artificial neural network (SEM-ANN)-based approach is applied to evaluate the role of IC predictors. The mediation results are authenticated using PROCESS.
Findings
The results indicate that HC, SC and RC significantly influence SME efficiency and BMI. Furthermore, BMI fully mediates the relationship between human capital and SME efficiency, while partially mediating the relationship between structural capital and SME efficiency, as well as between SC and SME efficiency.
Originality/value
This study pioneers research into the link between IC and SME efficiency. It contributes to the literature by defining IC as an antecedent of SME efficiency. It further contributes to the literature by defining IC as an antecedent and BMI as an intervening variable of SME efficiency.