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Proceedings
of the
LCBR European Marketing Conference
2010
ISSN 2190-7935
Munich, Germany
June 3-4, 2010
Hosted by the Lupcon Center for Business Research
(www.lcbr-online.com)
All rights reserved. No part of this publication may be reprinted in any form (including
electronically) without the explicit permission of the publisher and/or the respective authors.
The publisher (LCBR) is in no way liable for the content of the contributions. The author(s) of
the abstracts are solely responsible for the texts submitted.
The Relationship between Marketing Capabilities and Strategy Using Porter’s
Framework
Afzal, Sarwat (KASBIT, Pakistan)
In this paper an attempt has been made to demonstrate a positive relationship between
marketing capabilities and strategy using Porter’s framework and corporate performance in the
emerging/developing market of Pakistan. This paper reports a study that marketing practice
regulates the relationship between marketing capabilities and strategy using Porters framework
and business performance. In turn, the type of marketing practice adopted is moderated by the
market served. Various studies have suggested that marketing capabilities and strategy using
Porters framework influences business performance. These discussions are summarized by a
theoretical model and a series of theoretical propositions.
The results suggest that Marketing Capabilities and Strategy Frame exist in the business
environment of Pakistan, but there is a weak relationship with firm performance.
Literature Review on the Influence of Television Consumption over the Cultivation of
Material Values
Mihalache, Monica (Al.I.Cuza University, Romania)
The influence of television consumption over the audience represents one of the most discussed
topics in media, in general. Romania represents a newer market to the freedom of speech. Since
1990, television became one of the most influential media channels. However, the
understanding of how this influence of television is taking place into people’s preferences,
habits, system of personal values remains a matrix of studies in different domain areas. The
influence of television consumption over the cultivation of material values has been the topic of
various prior research in different areas such as Marketing, Psychology, Sociology or
Journalism. This article brings together the main research lines in these domains. It reflects the
conclusions and opinions that reported the complex phenomena of cultivation effect on the
television audience, with focus on how one personal value, materialism, is influenced by the
television consumption.
Journey to Market Segmentation Theory: Islamic Perspectives
Arham, Muhammad (Durham University, United Kingdom)
This paper is conceptual and qualitative in nature. In this paper, the author would utilize the
already available body of literature from modern market segmentation and contrast that to the
same practice employed by Prophet Muhammad.
Aims: 1). To discuss the history of market segmentation theory and its development to present
time.
2). To discuss the market segmentation practice in the time of Prophet Muhammad.
3) To compare and to contrast the practice of today’s modern market segmentation and the one
employed by Prophet Muhammad.
Likely Limitation: Though many articles on modern market segmentation exist, the supply of
articles concerning Islamic Market Segmentation is rather limited.
Originality: In general, the author argued that this paper might fill the lack of available literature
on Islamic Marketing. In Particular, this paper might bring an understanding on how market
segmentation was done in Prophetic era and how the scientific community could utilize such
practice in order to bring value to today’s market segmentation theory.
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A Study of Customer Ethics in Small Enterprises
Banerjee, Sharmista (University of Calcutta, India)
Dutta, Sraboni (University of Calcutta, India)
Given the ubiquitous role of small and medium businesses and their expanding realm in the
globalised era, it is becoming imperative that these enterprises reckon with the ethical
dimension of business on a much more stringent basis. The SMEs encounter unique challenges,
which often induce them to become ethically infractious. This research utilises the stakeholder
theory as a conceptual basis to scrutinise the extent to which SMEs conform to ethical norms.
With the use of empirical data collected from 200 small firms in India, a multidimensional
ethical index has been constructed to measure their ethical behaviour. Three ethical sub-indices
were constructed as an attempt to identify non-conformance to ethical standards in firms
interactions with customers, employees and other stakeholders. Consumers constitute an
important external stakeholder group and scholars have stressed that being ethical to customers
constitute the primary obligation of a firm. This exploratory study looked into the truth of these
issues from the small business perspective and confirmed the notion of the said scholars. This
research has shown that ethical behaviour towards customers has been a predominant factor in
driving profitability and sustainability of the sampled firms. The ethical sub-index for customers
reported the highest mean score in comparison to the scores of the comprehensive index and the
other two sub-indices. Significant associations between customer-related ethical issues and
firm-profile variables prompted a regression analysis. Through this analysis, the parameters
(both qualitative and quantitative in nature), which significantly explain the variation in
commitment to marketing ethics by a small firm, has been explored.
Analyzing Demand and Consumers’ Willingness to Pay for Organic Fruits and Vegetables
Basarir, Aydin (United Arab Emirates University)
The consumers' awareness, trust, and willingness to pay (WTP) for organic food and products
have increased starting from US (1960s), Europe (1980s) and then all around the world. In order
to sustain the future organic markets in UAE, understandings of the effects that motivate the
consumers become an important issue. Since the unit price of organic products is and will be
higher than that of the conventional products (price premium), consumers should believe that
the extra amount they are paying is worth off. This can be done by informing and persuading
the consumers about organically grown products. Then, it will be necessary develop the markets
of organic fruits and vegetables in the UAE.
The main objective of this research is to analyze demand, elicit the UAE consumers' awareness,
and WTP for organic fruits and vegetables. A face-to-face survey technique was used to collect
the primary data. A total of 500 respondents were surveyed. Of the 500 respondents 201, 100,
100, and 99 were selected from Abu Dhabi, Al Ain, Dubai, and Sharjah, respectively. More than
half of the sample (291) was willing to pay more over current prices for organic fruits and
vegetables. Of the 291 respondents, 38.2, 28.5, 12.7, 5.5, 7.9, and 7.2 were willing to pay less
than 20, 21-40, 41-60, 61-80, 81-100 and over 100 percent more for over current prices for
organic fruits and vegetables. Tobit model was used to see the factors affecting the consumers
WTP for organic fruits and vegetables. According to the result, the consumers organic foods
knowledge, the expense they spend each week for fruits and vegetables, their opinions whether
it worth to pay extra for the organics, and their monthly income had positive effect on
consumers WTP for organic fruits and vegetables.
Impact of Integrated Marketing Communication on the Image Financial Institutions
Bevanda, Arnela (University of Mostar, Bosnia)
This paper is particularly focused on analysis of the impact of integrated marketing
communication (IMC) onto the image of the financial institutions in the Federation of Bosnia
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and Herzegovina (F BiH). The main issue under research could be defined by a concrete
question: What is the intensity of impact the IMC has on quality of the image of the financial
institutions, and is the image quality dependent on the degree of integration of individual forms
of marketing communication?
The data are supported by the field research with the application of polling survey techniques.
The poll sample included the total of 500 participants, namely 250 bank clients and 250
insurance houses clients. The basic characterization of the research sample is a stratified sample,
categorized by the size of towns. For a starting identification of the problem and the research
goal defined, the following hypotheses have been defined:
H0: Integrated marketing communication has a major impact on development of the financial
institutions image and
H1: The greater the level of integration of individual forms of marketing communication the
better the image of the company.
The data have been analyzed by application of the descriptive statistics method (marginal values
and standard deviation method), Cronbach Alpha coefficient and correlation analysis.
The results of empirical research supported the hypotheses defined and indicated that IMC has a
major impact on development of a company’s image, as well as that the company’s image
quality directly depends on the level of integration of individual forms of marketing
communication.
Helping Consumers Make Their Own Green Cars
Chen, Viviane (Northeastern Illinois University, USA)
Fuel-efficient automobiles are the hope for the automobile industry. However, the survival of
this innovative product depends not only on the design guided by Lean engineering theories but
also on consumers’ expectations and willingness to adopt the automobile. The development of
fuel efficient automobiles can require a tremendous investment. This investment should be
directed both to improve the design and manufacturing technology and to understand consumer
expectations. As such, a good connection needs to be established between the engineering
design and the consumer demand with consideration of technological, economic and
environmental constraints. Consequently, consumers’ expectations should be considered
important factors at the first stage of the development. Mass customization serves as a bridge
between manufacturers and consumers, however, automotive design with a fuel-efficient
specialty encounters several serious problems under the general mass-customization (with users
participation and design) approach: consumers lack in engineering expertise and are often
unwilling to spend hours after work to figure out complex automotive design; further, a mature
platform has not yet been fully established to facilitate the interaction. Facing these challenges,
the automotive industry needs to propose a realistic resolution of interaction which is adequate
for the actual situation. An online dialogue with a web-based virtual adviser could help
consumers identify their desires and make reasonable choices within a short time; it also plays
as an intermediary of translation between engineers and consumers. Listening In, as one of the
advanced web-based virtual adviser systems, refers to the ongoing dialogues created when
customers use the Internet to search for information and for advice about automotive purchases
(Urban & Hauser 2004). This proposal suggests the application of the Listening In method to
find a complement between customer needs and fuel-efficient automobile designs. Based on six
hypotheses, this research aims to identify the relationships among consumer purchase
preferences, consumer perception of fuel-efficient automobile benefits, and virtual marketing
conditioning (virtual interaction with consumers and experimental stimuli during the
interaction).
Service Quality in Indian Education Industry
Choudhury, Koushiki (Indian Institute of Management, India)
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The Indian education industry is facing turbulent times. With the lowering of entry barriers, the
advent of distance education, international educational institutes ready to enter the country and
innovations in the marketplace, educational institutes are functioning increasingly under
competitive pressures. Therefore the current problem for the education industry in India is to
determine the dimensionality of customer-perceived service quality, to enable service providers
to improve the delivery of customer- perceived quality and increase customer satisfaction and
loyalty.
However, quality in education services is largely undefined. This research attempts to rectify
this situation with the research question how do you define service quality in the education
sector, and the research objective to explore the dimensions of service quality in the context of
the Indian education industry.
The study suggests that customers distinguish four dimensions of service quality in the case of
the HEI (Higher educational Institutes) industry in India, namely, teaching, facilities, attitude
and convenience. A methodological innovation in this study has been in the use of TOPSIS in
the field of customer-perceived service quality. TOPSIS has been used to evaluate and ranking
the relative performance of the HEIs across the service quality dimensions. Identifying the
underlying dimensions of the service quality construct and evaluating the performance of the
HEIs across these factors is the first step in the definition and hence provision of quality service
in the Indian HEI industry.
An Empirical Investigation of the Relationship between Market Orientation and
Performance of Microfinance Providers in Pakistan
Ghani, Usman (Institute of Management Sciences, Pakistan)
Zahid, Mahmood (Bahria University, Pakistan)
In Pakistan, the market for microfinance is large and growing but sustainability and outreach of
the firms are very low. Some authors argue that performance of Microfinance Institutions in
terms of outreach and sustainability can be improved if they become market oriented as market
orientation has been found to be positively related to institutional performance in the general
business field. However, their arguments are not based on empirical evidence as they have not
tested this relationship in the microfinance industry. This study attempted to empirically
investigate this relationship in the microfinance industry of Pakistan. The target population
comprised of all those Microfinance Providers (MFPs) which reported their financial data to the
Pakistan Microfinance Network. These MFPs account for approximately 95 percent of total
MFPs in Pakistan. Primary data for measuring the level of market orientation of firms was
collected through 200 fully structured questionnaires which were personally distributed amongst
the area/branch mangers of these MFPs. For measuring market orientation, the MKTOR scale
developed by Narver and Slater (1990) was selected. Secondary data regarding the performance
of MFPs was obtained from the Pakistan Microfinance Network. The hypotheses of the study
were tested by using stepwise regression analysis. The results of the study show that market
orientation is not significantly related positively with the performance in the microfinance
industry of Pakistan. Rather, operating efficiency and ages of the microfinance providers have
been found to have a significant relationship with performance.
Cooperative Marketing: A Case Study for Health Tourism Destinations in Turkey
Haseki, Murat (Cag University, Turkey)
Tourism is a phenomenon, which may have positive or negative effects on people in cities,
towns, and regions, on elements of the private and civil sectors, and on the ecological
environment and socio-cultural structure. In order for tourism to undertake the function to
contribute to the regional development, it is essential that each of these elements in tourism
destination be taken into consideration as a cooperator, and that the destination be introduced to
target markets with contributions based on the consensus of all the cooperators. Briefly, to
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market the destination successfully, it is essential to establish an attitude of “cooperative
marketing” in a serious manner among the partners with the same objectives but different
functions.
In developed countries, awareness concerning the cooperative marketing for destination and
institutionalization are relatively in better positions. Besides, in the destinations of developed
countries, the level of awareness for the cooperative marketing and institutionalization are not
considered sufficient. It is necessary to give more importance to the subject of cooperative
marketing in destinations in order to get the benefits which can be acquired from tourism, such
as providing sustainability, acculturation, enhancing competition power, and economical
development. However, in literature, there exists a lack of academic studies concerning the
cooperative marketing for destinations in developing countries. This study, based on the results
of a case study carried out in Adana –Turkey, which is a destination for the future health
tourism, aims to show the feasibility of the cooperative marketing subject of the destination in a
developing health tourism destination, and to produce a descriptive collection about the
theoretical infrastructure of the cooperative marketing of destinations and its opportunities. In
the application part of the study, data concerning what can successfully be done on the
marketing destination have been gathered using “Focus Group”, method, from the destination
partners. At the end of this study, with the help of the data, a model for marketing organization
concerning the cooperative marketing for the destination is suggested.
The Influences of Hedonic Responses on Psychological • Behavioral Responses in the Store
Jeong, Yun Hee (Chonnam National University, South Korea)
Kim, Sang Hee (Chonnam National University, South Korea)
Kim, Kyung Ae (Chonnam National University, South Korea)
This study attempts to suggest a model on the hedonic shopping experience in the store, based
on the studies on hedonic responses. We propose a model that includes (1) the hedonic
responses of shopping -sensory response, emotional response (pleasure, arousal), imaginal
response - as exogenous constructs, (2) absorbing experience for shore shopping, positive
attitude toward the store as mediating constructs (3) the purchase intention for the product in the
store, revisiting intention to the store, as endogenous constructs. (4) the salience of
(chronic)hedonic goal on shopping, as moderating construct of relationship between hedonic
responses and absorbing experience/positive attitude.
To test the model, we analyze the data using the LISREL structural modelling and moderated
regression. The results of our analyses suggest, as expected, that hedonic responses influence
absorbing experience to shopping and positive attitude toward the store, in turn, influence
purchase intention to product and revisit intention. Also, our findings indicate the salience of
(chronic) hedonic goal on shopping moderates relationship between hedonic responses and
absorbing experience for store shopping/positive attitude toward the store. We conclude with a
discussion of managerial implications, including the potential to advance understanding hedonic
shopping experience.
The Effect of Emotional Intelligence on Salesperson's Behavior and Customers' Perceived
Service Quality
Kim, Sang Hee (Chonnam National University, South Korea)
Jeong, Yun Hee (Chonnam National University, South Korea)
Kim, Kyung Ae (Chonnam National University, South Korea)
This study discusses salespersons' emotional intelligence, one of the key abilities necessary to
meet customers' needs effectively, and express positive emotions in frequent interactions with
customer. Emotional intelligence refers to self-controllability and social ability emphasizing
pro-social aspect and understanding of others. This study investigates how salespersons'
emotional intelligence affects adaptive selling and positive emotional expression during the
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process of interaction with customers, and how such adaptive selling and positive emotional
expression affects the quality of service perceived by customers. The results show that greater
salespersons' emotional intelligence results in better adaptive selling and positive emotional
expression. Such adaptive selling and positive emotional expression had significant effects on
the quality of service perceived by customers. These results are important in that they address
emotional intelligence as salespersons' emotional ability, which has been overlooked as an
antecedent variable for improving adaptive selling and display of positive emotion,
consequently provide another factor to help salespersons improve their selling behavior.
Marketing Strategies Used in the Automobile Industry and Adjacent Businesses
Lahti, David (University of Richmond, USA)
A model has been constructed that describes various pathways upon which automobiles and
trucks can become differentiated. At the center of this model, is the parent auto brand that could
be Ford or Mercedes, or another brand. Surrounding this are three other groups that describe the
methods that are directly connected to the brand by arrows to describe the relationship, in some
cases the relations are one directional, in some cases, they go in both directions.
The first is co-branding, the second is enhancement partners, and the third is private
customization. As an example of co-branding, the Ford motor company has partnered with
Harley Davidson for a special version of their F-150 pickup truck that sells for a price premium.
An example for enhancement partners would be an auto manufacturer sourcing car audio
systems from a partner like the Bose company.
There is one direct pathway that bypasses the parent brand, from enhancement partners
supplying parts to the private customization group. Some historical perspectives are given about
co-branding, as a method of offering product differentiation in the auto industry; included are
examples from the Japanese, American, and Europe auto industry. Generally, co-branding
and/or enhancement partners make automobiles and trucks much more unique.
Green Food Consumption in China
Lau, Lorett (Hong Kong Polytechnic University, China)
This is an exploratory study that examines the market awareness of green food in China, tests
purchase intention of different segments and their willingness to pay green premium. Also, it
tries to identify the potential green consumers in the market. The preliminary survey was
carried out in Beijing interviewed with 300 respondents. It found that market awareness of
green food stood at 14 percent which is comparatively lower than western countries. The
purchase intention of different groups was compared and it stood lower than average level in
general and Beijing consumers were willing to pay 3.3 percent green premium on average.
Analyzed with demographic factors, female and male had no significant difference in purchase
intention and willingness to pay more. Regression analysis on the data revealed that consumer’s
knowledge of green food labels had no correlation between their purchase intentions; purchase
intention level had no positive correlation between levels of willingness to pay green premium.
Education level was a significant factor that would affect green purchase intention.
Market Orientation, firm performance and strategic innovation: the case of Greek
insurance Market
Papadimitriou, Thanos (University of Athens, Greece)
Despite, the increasing research interest of market orientation in marketing literature, few
studies for evolving markets have been conducted. The dramatic changes that occur in the Greek
social security system, including pension’s reductions and increase of limits pension, along with
the shutdown of many insurance companies, may represent great opportunities for the remaining
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companies in the life insurance market. On the other hand, the firm requirements of Solvency II
– starting in 2012 or 2013 – along with the overall review of market regulations, constrain the
ability of insurance companies to offer lower prices and advanced services. Tangible assets may
become less important against intangible assets, thus, integrated marketing strategies and
innovation may be the key factors for success in the next years. The main objectives of the paper
are to define and analyze the importance of Market Orientation and strategic innovation across
the Greek insurance market and to develop an instrument for measuring the level of marketing
orientation in these companies. The marketing orientation instrument was derived from analysis
of the relevant marketing literature, leading to the development of a number of research
hypotheses. Specifically, an extension of MARKOR scale (Jaworski & Kohli 1993) and
LEONORA instrument (Bennett 1988) was used to investigate the relationship between market
orientation, innovation, learning orientation and firm performance in Greek insurance market.
Hindrances to Economic success among small medium and micro entrepreneurs involved
in Informal Cross-Border Trade (ICBT) between Malawi and South Africa
Phiri, Maxwell (University of Kwa Zulu – Natal, South Africa)
This paper critically looks at Informal Cross Border Trade (ICBT) 1 conducted by small,
medium and micro entrepreneurs between Malawi and South Africa. The focus is on the
hindrances to economic success among the traders who have been involved in the cross border
trade for economic sustainability and poverty alleviation. It has been shown in this paper that
poverty which is so prevalent in Malawi and in some parts of South Africa forces people to go
into business so that they can find means to improve and sustain their lives. The earnings made
from the small scale businesses are used by households to buy basic essential commodities and
if any extra money is available, are used to buy some luxury goods for their homes. People have
been conducting trade between nations for a long time. This has developed over the years
between Malawi and South Africa especially after South Africa opened its borders to the
African Continent after the democratic elections of 1994.
The influence that primary reference groups have on publicly consumed luxury productsmotor vehicles in Pietermaritzburg, South Africa
Phiri, Maxwell (University of Kwa Zulu – Natal, South Africa)
The motor industry is a major segment in the South Africa market. With many consumers
having disposable income to purchase motor vehicles, motor vehicle marketers should pay close
attention to whom or to what, influences an individuals purchasing decisions. Motor vehicles
are highly conspicuous because people drive their vehicles in front of other people. The use of a
motor vehicle is more than just to transport individuals around, it is also used to demonstrate an
individual’s social status. Consumers use reference groups as a guide to specific behaviours.
Research was carried out using structured questionnaires on a randomly selected sample of the
university students at the University of Kwa Zulu Natal: Pietermaritzburg (UKZNP) to
investigate the type of reference group that has the greatest influence on consumers when they
make their vehicle purchasing decisions.
Customers' Perception of Service Quality, Satisfaction and Behavioral Intention in the
Commercial Banks of Bahrain
Ramez, Wathek (University of Bahrain, Bahrain)
1
According to Thesaurus English Dictionary this is an informal and not officially prepared, organized, or
sanctioned agreement. It is a form of trade which is not formalised between nations. People who see the
opportunity enter into this business and buy goods from one country to sell in another.
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This research aims: to apply the SERVQUAL instrument to evaluate the service quality of
commercial banks of Bahrain; the relationship between service quality dimensions and the
overall customers' satisfaction and, also, to investigate their behavioral intention. The study was
based on a questionnaire survey of 195 customers. After conducting descriptive and factor
analysis, regression and correlation were employed to investigate the relationship between (SQ)
dimensions, (SAT) and (BI).
Finance-related Problems Faced by Pakistan’s SMEs
Sheikh, Rauf (IIU Islamabad, Pakistan)
Finance is one of the elements of conducive environment which fueled SMEs ability to emerge,
survive & excel. This research (Funded by Higher Education Commission of Pakistan) was
conceived to explore finance related problems faced by Pakistan based SMEs and as to why
they are shy of Banks? Questionnaire based face to face interviews were conducted in 3 clusters
i.e., Surgical Instruments, Leather Garments, and Fan manufacturers. 218 responses were
received and based upon their analysis it has been concluded that it’s the combination of push
and pull factors which has created this shyness. Among the push factors; it’s the high rate of
interest and among the pull factors; don’t need and owners’ religious attitude towards interest
based financing are the main causes of shyness. Thus, we concluded that there is a need to
design more SME specific financial products along with introducing Islamic based financing
options for these SMEs.
Consumer Awareness and Demand for Food Labelling
Sherif, Sherin (United Arab Emirates University, United Arab Emirates)
UAE is the third largest country in the Middle East after Saudi Arabia and Sultanate of Oman.
Its gross domestic product (GDP) per capita was estimated at $53,300 in 2008. The population
of the country is roughly 4.8 million of which 80 percent are expatriates. The country has a
desert climate which causes a shortage in irrigation water for agricultural production. This
characteristic makes hard to produce most of agricultural products. According to 2008 annual
report agriculture contributed only 1.5 percent to the GDP. As a result of that, over 95% of the
food in UAE is imported from all over the world. In order to provide quality and safety product
food labeling became an important issue for the food consumed in UAE.
The main objective of this study is to examine consumer awareness and demand for food
labeling and to compare the socioeconomic characteristics and attitudes which make the
respondent aware of the subject. A total of 500 respondents from all over the UAE were
randomly selected and surveyed by face to face technique. According to result majority of the
respondents (89.6 percent) indicated that they read information provided on food labels. The
percentage of respondents who wanted all food products should be labeled was 55.9 percent.
Among the attributes written on the labels the three most important that were checked by
respondents were expiration date, list of ingredients, and the country of origin. The
biotechnology information, Food storage and handling instructions, and the organic certification
were read rarely by the respondents. Finally, an ordered probit model was utilized to see the
effect of social characteristic and attributes on the consumer awareness and demand for food
labeling.
The study is a good source of information for policy makers and marketers to value the kind of
information that the consumer of UAE is asking and demanding.
Mall Shopping Behavior
Telci, Eser (Bogazici University, Turkey)
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In line with the growth of the retailing industry and the increase in the number of the shopping
malls across the globe, consumer behavior with respect to these enclosed environments have
attracted serious scholarly interest. While mall related consumer responses include preference
and choice as well; patronage, commonly measured in terms of visit frequency, has been the
most frequently investigated topic. To date, several mall patronage models have been developed
that frequently discussed mall image, mall atmospherics, mall excitement, social aspects of mall
patronage, and activities performed in the mall as influencers of consumers mall shopping
patterns. However, while most of these studies focused on consumers perceptions of the mall
environment and their social or emotional experiences at the mall, there is still a lack of research
that gives attention to a broad array of shopper characteristics as possible drivers of increased
patronage. This study is also an attempt to identify the factors that influence consumers mall
patronage behavior and to create mall shopper profiles. The study’s significance is that it
examines the relative effects of consumers perceptions of mall characteristics and their
personality traits (i.e. need for social recognition and need for social affiliation), level of
shopping involvement, and mall shopping motivations in explaining their behavior. Data has
been collected from 603 citizens selected through random sampling, by the use of selfadministered questionnaires. Each questionnaire also included an up-scale, a normal, or an
outlet mall as a reference point in order to avoid any potential biases. Data analyses has not yet
been finalized.
Examining the Effectiveness of Online Communications/PR on Brand Image
Theofilou, Anastasios (University of Bournemouth, United Kingdom)
Purpose: Primary aim of this paper is to explore whether or not the perceived attributes and
benefits which Online Communications/PR may lend to a product, influence the perceived
brand image. The research investigates the case of a hardcopy magazine which has a specific
focus on the food industry and which is supported by Online Communications/PR activities.
Design/methodology/approach: A mixed method approach, consisting of self completion
questionnaires and semi structured interviews was adopted. This approach facilitated the
exploration of online communications from both a consumer and company perspective thus
providing a more holistic case study.
Findings: Research results so far suggest that the companion website is the most widely used
and effective online communication tool for the brand. Additionally, specific attributes present a
unique opportunity for 2-way communication and brand image development. It may be said that
the existence of an electronic version of a magazine accompanied by supportive material could
offer inexpensive competitive advantage.
Originality/value: Little research has been undertaken on exploring the effects of a website used
as a companion of a hardcopy version of a magazine especially for such a specific segmentation
of lifestyle activities (food industry).
A Comparative Study of India’s Popular Brand Endorsers
Trott, Sangeeta (ITM, India)
Amitabh Bachan and Shahrukh Khan are popular and dynamic celebrities of Indian Bollywood.
They are also successful brand endorsers and companies look upon them with a lot of trust and
faith. The purpose of this paper is to make a comparative study of the brand endorsers using
certain items from the credibility scale.
Data collection-Data is collected from a well known management institute from India.300
respondents are selected for the purpose and are asked to rate the various attributes on a five
point rating scale.
Data Analysis-Data is analyzed using SPSS software. Paired t-test is used for analysis.
Limitation-The size of the sample is limited and includes respondents from a particular area
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only
originality-This paper contributes to the field of research in terms of Indian scenario.
Supplying Private Label Products or Not: The Dilemma Confronting National Brand
Manufacturers
Wang, Ning-Ying (NCCU, Taiwan)
Threatened by the growing success of private labels over the past decades, more and more
national-brand manufacturers are considering supplying private labels as one of their strategic
options. However, the benefits of private-label manufacturing are far from obvious, especially
for the manufacturers who not only sell their own brands but also produce retailer brands
competing against their own. As many leading brands are facing the dilemma, this study offers
practical guidelines to help them make a genuinely informed decision about whether - and on
what terms - to proceed. A qualitative research approach and field interviews were conducted.
We selected two national brands, Becks Beer and Kellogg Company, as our focal cases.
Interviewees are the managers of marketing or production function. Besides, we gathered data
from multiple sources, including company websites, internal and external documents, and
archival records. We analysed the evidence revealed from in-depth interviews and compared the
findings with previous theoretical arguments. Finally, we concluded our findings in three
arguments: (1) it is not the excess capacity that motivates national brands to produce privatelabel goods. The dominant retailers, such as Aldi and Lidl, require a large number of production
capacities to fulfil their demand. Only occasional spare capacity of national brands will not
match retailers requirements; (2) Because own-brand marketing and private-label producing are
based on such different business philosophy, it is difficult for one organization to do the both
jobs well; and (3) leading brands should emphasize their strengths in innovation and brand
building, but not in short-term rewards.
Strategic Relationship between Marketing and Supply Chain Management
Upadhyay, Arvind (University of Bergamo, Italy)
Let us take a typical problem in a company ‘Marketing people say that the company needs a
specific level of Inventory all the time to meet the end customer’s demand otherwise company
will lose the market, however the cost of maintaining that level of inventory means grinding
down the company’s profit hence supply chain people suggest to implement Just In Time (JIT)
inventory system’. Now the company is in fix. Both the departments are against each other.
This is the most prevalent problem in companies and it’s persistent from long time. The main
purpose of this study is to highlight this problem and to find out feasible solutions. The
marketing’s main motive is always to generate maximum revenue while at the same time supply
chain’s main motive is to minimize the cost. Smyth (2005) tried to study this issue and found
out that procurement push and marketing pull the supply chain management. But how long can
this push and pull situation sustain. This paper discusses these issues in detail by taking the case
study of a manufacturing company and tries to find out the exact relationship between them. As
I progressed in the study, the findings were discussed with the top management. Some new
issues linked with communication and human resource also emerged during this study will give
a new direction to the other researchers in this field. I suggest that some more empirical and
cause and effect study are needed in this area to get more concrete results.
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The Lupcon Center for Business Research would like to thank all conference
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