Andrew S. Gallan, Diogo Hildebrand, Yuliya Komarova, Dan Rubin and Ronen Shay
Designing and developing responsible business practices can create various tensions for service organizations. The purpose of this research is to develop a deeper understanding of…
Abstract
Purpose
Designing and developing responsible business practices can create various tensions for service organizations. The purpose of this research is to develop a deeper understanding of the relationship between customer engagement (CE) and responsible business practices (e.g. environmental, social and/or governance [ESG], corporate social responsibility [CSR] and diversity, equity, and inclusion [DEI]) and explore customer engagement tensions that service organizations may face.
Design/methodology/approach
This research develops a list of CE-related responsible business practice tensions and empirically explores their relevance through in-depth interviews with nine ESG professionals.
Findings
This paper makes three important contributions. First, we find support for nine distinct but related tensions with implications for CE that organizations must navigate when pursuing responsible business practices. Second, interview participants provide some suggestions for tackling these tensions, which we support with relevant theories. Finally, we develop a conceptual framework that may stimulate future service research and inform the implementation of ESG strategies.
Originality/value
To the best of the authors’ knowledge, this research is the first to conceptualize and empirically explore the tensions that emerge between responsible business practices and CE. The authors develop a novel analysis of the CE-related tensions that emerge when pursuing an ESG strategy.
Research limitations/implications
The findings are based on a small sample of ESG professionals. Future research may take a quantitative approach to further evaluate the role that these tensions play in engaging customers.
Practical implications
This research provides a conceptual framework that may guide ESG professionals in understanding, framing and navigating CE-related tensions when pursuing responsible business practices.
Social implications
A social benefit may be found when service organizations are better able to successfully navigate CE-related tensions when pursuing responsible business practices.
Details
Keywords
Yuliya Komarova Loureiro and Laura Gonzalez
The purpose of this paper is to provide insights into peer-to-peer (P2P) lending which has served as one important tool to mitigate financial exclusion. The main proposition of…
Abstract
Purpose
The purpose of this paper is to provide insights into peer-to-peer (P2P) lending which has served as one important tool to mitigate financial exclusion. The main proposition of this research is that P2P platforms, which in many ways resemble auctions, naturally instill competitive mindset among lenders; furthermore, given only limited objective decision criteria, certain borrower personal characteristics fuel interpersonal competition enough to impact lending decisions in suboptimal ways. The two experiments support this proposition. As the result, while P2P lending offers unprecedented financial opportunities to some consumer groups, it may unintentionally exclude others, and even pose threat to the financial well-being of lenders.
Design/methodology/approach
Two experiments were used to collect data and are reported here. Rigorous pretesting of manipulation stimuli preceded a pilot (exploratory) and the main experiment.
Findings
The authors generally find a significant age bias, where ceteris paribus, younger borrowers are offered lower loan amounts as lenders most likely infer greater risk and lower likelihood to repay loans on time. However, and perhaps more interestingly, when age is not a strong indicator of experience (as in the case with 30 something), the authors repeatedly find evidence of lending decisions driven by interpersonal competition: more attractive and financially successful loan applicants of the same gender as lenders are most likely perceived as a personal threat, decreasing lenders’ confidence, which subsequently results in lower amounts being invested into loans that are possibly the most promising.
Originality/value
To the best knowledge, this research is first to demonstrate the impact of interpersonal competition on decision making in the context of P2P lending. Furthermore, this paper contributes to better understanding of P2P lending as a tool to allay financial exclusion, while raising concerns of possible unintended exclusion of certain consumer segments due to the competitive nature of P2P platforms.
Details
Keywords
Ruth N. Bolton, A. Parasuraman, Ankie Hoefnagels, Nanne Migchels, Sertan Kabadayi, Thorsten Gruber, Yuliya Komarova Loureiro and David Solnet
The purpose of this paper is to review what we know – and don't know – about Generation Y's use of social media and to assess the implications for individuals, firms and society.
Abstract
Purpose
The purpose of this paper is to review what we know – and don't know – about Generation Y's use of social media and to assess the implications for individuals, firms and society.
Design/methodology/approach
The paper distinguishes Generation Y from other cohorts in terms of systematic differences in values, preferences and behavior that are stable over time (as opposed to maturational or other differences). It describes their social media use and highlights evidence of intra‐generational variance arising from environmental factors (including economic, cultural, technological and political/legal factors) and individual factors. Individual factors include stable factors (including socio‐economic status, age and lifecycle stage) and dynamic, endogenous factors (including goals, emotions, and social norms).The paper discusses how Generation Y's use of social media influences individuals, firms and society. It develops managerial implications and a research agenda.
Findings
Prior research on the social media use of Generation Y raises more questions than it answers. It: focuses primarily on the USA and/or (at most) one other country, ignoring other regions with large and fast‐growing Generation Y populations where social‐media use and its determinants may differ significantly; tends to study students whose behaviors may change over their life cycle stages; relies on self‐reports by different age groups to infer Generation Y's social media use; and does not examine the drivers and outcomes of social‐media use. This paper's conceptual framework yields a detailed set of research questions.
Originality/value
This paper provides a conceptual framework for considering the antecedents and consequences of Generation Y's social media usage. It identifies unanswered questions about Generation Y's use of social media, as well as practical insights for managers.
Details
Keywords
Alexander Buoye, Yuliya Komarova Loureiro, Sertan Kabadayi, Mohammad G. Nejad, Timothy L. Keiningham, Lerzan Aksoy and Jason Allsopp
The satisfaction and loyalty research argues that customer satisfaction is an antecedent to share of wallet (SOW). The double jeopardy view, however, argues that satisfaction and…
Abstract
Purpose
The satisfaction and loyalty research argues that customer satisfaction is an antecedent to share of wallet (SOW). The double jeopardy view, however, argues that satisfaction and SOW levels are driven exclusively by penetration levels. Customer satisfaction and penetration, however, are not always positively related. The purpose of this paper is to explore the relevance and validity of these two divergent perspectives to creating growth in customer share of spending.
Design/methodology/approach
The authors examine a series of models evaluating the impact of both the relative penetration of a brand, and the satisfaction ratings of its customers on SOW using data covering 11 industry sectors, 188 brands, and 4,263 customers.
Findings
The authors find that part of the problem in reconciling these two views has been in how satisfaction is measured and analyzed. When using absolute satisfaction ratings of the firm/brand, the explanatory power of satisfaction on SOW is very weak at both the individual and firm level. When using satisfaction metrics relative to other competing brands, however, satisfaction is a strong predictor of customers’ share of category spending.
Research limitations/implications
As predicted by double jeopardy, penetration is a strong predictor of firm-level SOW, but has almost no explanatory power at the individual level.
Practical implications
Managers need to focus on both improving penetration/reach and becoming the preferred brand in a customer’s usage set.
Originality/value
The research examines if (and if yes, how) satisfaction and penetration contribute to customers’ SOW allocations both at the individual and brand level.
Details
Keywords
Julita Haber, Heng Xu and Kanu Priya
Virtual reality (VR) technologies have been gaining popularity in training and development in many fields to promote embodied training. However, its adoption in management has…
Abstract
Purpose
Virtual reality (VR) technologies have been gaining popularity in training and development in many fields to promote embodied training. However, its adoption in management has been slow and rigorous empirical research to understand its impact on learning and retention is scarce. Thus, this paper aims to examine the benefits of VR technologies for management training.
Design/methodology/approach
Through a longitudinal experiment comparing VR platforms and a traditional video platform, this study examines two as yet unexplored benefits of VR technologies vis-à-vis management training – the cognitive outcome and affective reaction of the training experience over time.
Findings
This study finds that, for cognitive outcomes, immediate gains are similar across video and VR platforms, but subsequent knowledge retention is significantly higher for VR platforms. In terms of affective reaction, VR platforms generate significantly more enjoyment, which carries over to two weeks later, and is partially associated with higher knowledge retention.
Practical implications
This study has implications for management and human resource trainers and system designers interested in integrating VR for training and development purposes.
Originality/value
This study makes a unique contribution by unpacking the long-term benefits of an embodied training system, as well as identify a possible link between cognitive outcomes and affective reaction.
Details
Keywords
Long Thang Van Nguyen, Rajkishore Nayak, Jerry Watkins and Phuong Ngoc Duy Nguyen
This paper aims to identify and discuss selected reasons for social media disengagement (SMD). Drawing upon two-factor theory, it is argued that the determinants of consumer…
Abstract
Purpose
This paper aims to identify and discuss selected reasons for social media disengagement (SMD). Drawing upon two-factor theory, it is argued that the determinants of consumer disengagement may be different from those that enable consumer engagement. Accordingly, extrinsic factors of social media experiences (SMEs), subjective norms (SN), perceived anonymity (PA) and perceived credibility (PC) trigger previously engaged consumers to terminate their interactions with the brand on social media.
Design/methodology/approach
A quantitative survey targeting young members from one of the largest social media communities in Vietnam was used in 2018. A total of 387 completed questionnaires were used for data analysis using covariance-based structural equation modeling.
Findings
Results reveal that PC is the main driver of SMD. Moreover, PA, SME and SN are indirectly related to SMD via PC.
Practical implications
The study provides some strategic recommendations for brand managers to re-design user interaction with social media brand pages to improve consumer retention and minimize consumer disengagement.
Originality/value
While consumer engagement with social media has received much attention from practitioners and academics, a research gap exists around the “dark side” of consumer engagement in which consumers can disengage from their relationship with brand on social media. This disengagement can lead ultimately to the termination of the relationship between the consumer and the brand. This research contributes to marketing literature by providing empirical evidence for relevant constructs driving consumer disengagement from the brand’s social media pages.