Customer Perceptions Of Quality Research Articles

Smart service value: Conceptualization, scale development, and validation in the retailing context

In-store smart technology is rapidly transforming service delivery and value creation in the retail sector. However, despite these advances, academic acumen of customers' perceived value of their smart service interactions remains tenuous, exposing an important omission in extant literature. Addressing this gap, we conceptualize, operationalize, and validate smart service value (SSV) in the retailing context. We first define SSV as the costs and benefits as perceived by customers of using in-store smart service applications. We then operationalize SSV and validate a third-order, reflective-formative construct by means of a scale development survey through Amazon MTurk (study 1; n = 326). To further validate the proposed SSV scale, we subsequently tested our conceptual model using a survey querying a hypothetical retail setting through an Australian panel provider (study 2; n = 298), which was analyzed by using PLS path modeling. Specifically, we explore SSV's effect on customer engagement and trust, which are in turn envisaged to impact customers' quality of life. The results reveal a significant mediating effect of affective customer engagement/trust in the association of SSV and customer-perceived quality of life, highlighting the pertinence of customers' emotional (vs. cognitive) SSV assessments. Our findings are aimed at helping retailers to strategically position smart service technologies in their stores based on customer-perceived SSV.

The U.S. Heavy-Duty Liquid Laundry Detergent Market: A Competitive Profile

This is the twentieth paper—and the 21st study--that follows the footsteps of twenty studies that have tried to analyze the competitive profiles of U.S. consumer markets: Men’s Shaving Cream, Beer, Shampoo, Shredded/Grated Cheese, Refrigerated Orange Juice, Men’s Razor-Blades, Women’s Razor-Blades, Toothpaste, Canned Soup, Coffee, Potato Chips, Alkaline AA Battery, Facial Tissue, Toilet Paper, Paper Towel, Disposable Diapers, Sanitary Pads, Automatic-Dishwasher Detergent, Hand-Dishwashing Detergent, and Household Liquid Non-Disinfectant Cleaner. Michael Porter associates high market share with cost leadership strategy, which is based on the idea of competing on a price that is lower than that of the competition.However, customer-perceived quality—not low cost—should be the underpinning of competitive strategy, because it is far more vital to long-term competitive position and profitability than any other factor. So, a superior alternative is to offer better quality vs. the competition.In most consumer markets, a business seeking market share leadership should try to serve the middle class by competing in the mid-price segment; and offering quality better than that of the competition: at a price somewhat higher to signify an image of quality, and to ensure that the strategy is both profitable and sustainable in the long run. The middle class is the socio-economic segment that represents about 40% of households in America.Quality, however, is a complex concept, consumers generally find difficult to understand. So, they often use relative price, and a brand’s reputation, as a symbol of quality.The U.S. Heavy-Duty Liquid Laundry Detergent Market had retail sales of $3,034 million in 2008. We have focused our attention on the 100-128 Oz size because it was by far the most popular, with sales of 1,158 million, constituting 38.2% sales of that market.By far the most dominant player in this market was the mega multi-brand Tide with an overall brand market share of 45.2%. Yet, the market was highly competitive with 39 brands: each with 2008 brand sales over $1 million.Using Hierarchical Cluster Analysis, we tested two hypotheses: (I) That the market leader is likely to compete in the mid-price segment, and that (II) Its unit price is likely to be higher than that of the nearest competition.For 2008—and 2007--the data did not support Hypothesis I, because Tide (100 Oz), the market leader, was a member of the premium segment.Yet, for 2008, the data did support Hypothesis II because, Gain (100 Oz), the runner-up, was a member of the mid-price segment, with a unit price lower than that of Tide (100 Oz), the market leader.For 2007, technically, the runner-up was Purex (100 Oz.) with sales of $169 million in the 100-128 size. However, the real runner-up was Gain which had 100-128 Oz 2007 sales of $153 million—not very far from Purex. But this distinction appears to be random, and not long-term. This is because the sales of Purex dived precipitously in 2008, from $169 million in 2007, to $53 million in 2008, compared to Gain’s 2008 sales of $137 million.So, based on the above argument, we have determined that—for all practical purposes--Gain was the runner-up in 2007 as well. We found that relative price was a strategic variable, as we have hypothesized.We also discovered three strategic groups in this market.A pattern is emerging in price-quality segmentation analysis. In thirteen of twenty-one studies—that exclude Men’s Razor-Blades, Women’s Razor-Blades, Coffee, Toilet Paper, Paper Towels, Disposable Diapers, Sanitary Pads, and Liquid Heavy-Duty Laundry Detergent—the market leader was found to be a member of the mid-price segment, as we have hypothesized.Also, results in ten markets supported Hypothesis II.

The U.S. Household Liquid Non-Disinfectant Cleaner Market: A Competitive Profile

This is the nineteenth paper—and twentieth study--that follows the footsteps of nineteen studies that have tried to analyze the competitive profiles of U.S. consumer markets: Men’s Shaving Cream, Beer, Shampoo, Shredded/Grated Cheese, Refrigerated Orange Juice, Men’s Razor-Blades, Women’s Razor-Blades, Toothpaste, Canned Soup, Coffee, Potato Chips, Alkaline AA Battery, Facial Tissue, Toilet Paper, Paper Towel, Disposable Diapers, Sanitary Pads, Automatic-Dishwasher Detergent, and Hand-Dishwashing Detergent. Michael Porter associates high market share with cost leadership strategy, which is based on the idea of competing on a price that is lower than that of the competition.However, customer-perceived quality—not low cost—should be the underpinning of competitive strategy, because it is far more vital to long-term competitive position and profitability than any other factor. So, a superior alternative is to offer better quality vs. the competition.In most consumer markets, a business seeking market share leadership should try to serve the middle class by competing in the mid-price segment; and offering quality better than that of the competition: at a price somewhat higher to signify an image of quality, and to ensure that the strategy is both profitable and sustainable in the long run. The middle class is the socio-economic segment that represents about 40% of households in America.Quality, however, is a complex concept, consumers generally find difficult to understand. So, they often use relative price, and a brand’s reputation, as a symbol of quality.The U.S. Household Liquid Non-Disinfectant Cleaner market had retail sales of $381 million in 2008. It was by far the largest segment of the eleven-segment Household Cleaners market, which had 2008 retail sales of $1,747 million. We have focused our attention on the 24-40 Oz size because it was the most popular, constituting 46% sales of the former market.The Household Liquid Non-Disinfectant Cleaner market was highly competitive, with no dominant player. In 2008 it had 24 brands each with sales over $ 1 million.Using Hierarchical Cluster Analysis, we tested two hypotheses: (I) That the market leader is likely to compete in the mid-price segment, and that (II) Its unit price is likely to be higher than that of the nearest competition.For 2008--and 2007--the data supported both Hypothesis I and II, because the market leader, Formula 409, was a member of the mid-price segment, and its unit price was higher that of the runner-up, Fantastic, also a member of the same segment. We found that relative price was a strategic variable, as we have hypothesized.We also discovered four strategic groups in this market.A pattern is emerging in price-quality segmentation analysis. In thirteen studies—that exclude Men’s Razor-Blades, Women’s Razor-Blades, Coffee, Toilet Paper, Paper Towels, Disposable Diapers, and Sanitary Pads—the market leader was found to be a member of the mid-price segment, as we have hypothesized.Also, results in ten markets supported Hypothesis II.

Unveiling the Black Box of Influencer Marketing: The moderating role of Parasocial interaction and persuasion knowledge

The digital era has significantly transformed the manner in which consumers perceive and interact with brands, primarily due to the emergence of influencer marketing. This study examines the complex relationship between influencer attributes—attractiveness, trustworthiness, and familiarity—and customer-perceived quality. Furthermore, it explores the moderating role of parasocial and persuasion knowledge on the relationship between customer-perceived quality and purchase intention. The study employed a quantitative research design, utilizing survey questionnaires to collect data from 390 consumers across a diverse range of consumers. Data analysis was conducted using Smart PLS. The results revealed that influencer familiarity, customer-perceived quality, and the moderating effects of parasocial and persuasion knowledge were all found to be significant. However, Influencer attractiveness and Influencer trustworthiness were insignificant. This study examines how parasocial interaction and persuasion knowledge moderate the influencer marketing-purchase intention relationship on social media. This research may help influencer marketers build more effective ads that consider parasocial interaction and persuasion knowledge in generating purchase intention. The study makes a valuable contribution to the developing area of influencer marketing by providing insights into the relationship between influencer characteristics, customer-perceived quality, and purchase intention. The results provide valuable insights for marketers seeking to enhance influencer selection and campaign strategies in a practical manner. Moreover, by an examination of the moderating effects of parasocial contact and persuasion knowledge, this study offers a more elaborate understanding of influencer marketing, thereby increasing its significance and efficacy within the contemporary digital marketplace.

The U.S. Toilet Paper Market: A Competitive Profile

This is the fourteenth paper that follows the footsteps of thirteen studies that have tried to analyze the competitive profiles of U.S. consumer markets: Men’s Shaving Cream, Beer, Shampoo, Shredded/Grated Cheese, Refrigerated Orange Juice, Men’s Razor-Blades, Women’s Razor-Blades, Toothpaste, Canned Soup, Coffee, Potato Chips, Alkaline AA Batteries, and Facial Tissue.Michael Porter associates high market share with cost leadership strategy, which is based on the idea of competing on a price that is lower than that of the competition.However, customer-perceived quality—not low cost—should be the underpinning of competitive strategy, because it is far more vital to long-term competitive position and profitability than any other factor. So, a superior alternative is to offer better quality vs. the competition.In most consumer markets, a business seeking market share leadership should try to serve the middle class by competing in the mid-price segment; and offering quality better than that of the competition: at a price somewhat higher to signify an image of quality, and to ensure that the strategy is both profitable and sustainable in the long run. Quality, however, is a complex concept, consumers generally find difficult to understand. So, they often use relative price, and a brand’s reputation, as a symbol of quality.The 2008 net sales for the Toilet Paper market were $4,117 million. By far the most popular pack size was the 12-roll pack which constituted 38% of total sales. So, we have concentrated our statistical analysis on that size.For 2008 we found 25 brands with 12‑roll sales over $70,000. However, three of those brands had no sales for 2007. So, we had to restrict our analysis to the remaining 22 for both years.Using Hierarchical Cluster Analysis, we tested two hypotheses: (I) That the market leader is likely to compete in the mid-price segment, and that (II) Its unit price is likely to be higher than that of the nearest competition.For both 2008 and 2007, the results did not support Hypothesis I. This is because both Charmin, the market leader, and Kleenex Cottonelle, the runner-up, were found to be members of the premium segment.However, the data supported Hypothesis II, because the unit price of Charmin was higher than that of (Kleenex) Cottonelle.We found that relative price was a strategic variable, as hypothesized.A pattern is emerging in price-quality segmentation analysis. In ten of the fourteen studies—that exclude Men’s and Women’s Razor-Blades, Ground Coffee, and Toilet Paper—the market leader was found to be a member of the mid-price segment, as we have hypothesized.Moreover, results in seven markets supported Hypothesis II.We also discovered four strategic groups in the industry.

The U.S. Facial Tissue Market: A Competitive Profile

This is the thirteenth project that follows the footsteps of twelve studies that have tried to analyze the competitive profiles of U.S. consumer markets: Men’s Shaving Cream, Beer, Shampoo, Shredded/Grated Cheese, Refrigerated Orange Juice, Men’s Razor-Blades, Women’s Razor-Blades, Toothpaste, Canned Soup, Coffee, Potato Chips, and Alkaline AA Batteries.Michael Porter associates high market share with cost leadership strategy, which is based on the idea of competing on a price that is lower than that of the competition.However, customer-perceived quality—not low cost—should be the underpinning of competitive strategy, because it is far more vital to long-term competitive position and profitability than any other factor. So, a superior alternative is to offer better quality vs. the competition.In most consumer markets, a business seeking market share leadership should try to serve the middle class by competing in the mid-price segment; and offering quality better than that of the competition: at a price somewhat higher to signify an image of quality, and to ensure that the strategy is both profitable and sustainable in the long run. Quality, however, is a complex concept, consumers generally find difficult to understand. So, they often use relative price, and a brand’s reputation, as a symbol of quality.For 2008 the U.S. Facial Tissue market had sales of $1035 million.Using Hierarchical Cluster Analysis, we tested two hypotheses: (I) That the market leader is likely to compete in the mid-price segment, and that (II) Its unit price is likely to be higher than that of the nearest competition.For both 2008 and 2007 the results supported Hypothesis I. The market leader Kleenex was a member of the mid-price segment, as hypothesized.However, the results did not support Hypothesis II for both 2008 and 2007, because the runner-up, Puffs was a member of the premium segment with a higher price tag to match.We found that relative price was a strategic variable, as hypothesized.A pattern is emerging in price-quality segmentation analysis. In ten of the thirteen studies—that exclude Men’s and Women’s Razor-Blades, and Ground Coffee—the market leader was found to be a member of the mid-price segment, as we have hypothesized.Moreover, results in seven markets supported Hypothesis II.We also discovered three strategic groups in the industry.

Influence of customer perceived ethicality on customer loyalty in the banking industry of Pakistan

PurposeThe 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/approachIn 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.FindingsResearch 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 implicationsThis 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/valueFirst, 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.

The U.S. Alkaline AA Battery Market: A Competitive Profile

This paper follows the footsteps of eleven studies that have tried to analyze the competitive profile of U.S. consumer markets: Men’s Shaving Gel, Beer, Shampoo, Shredded/Grated Cheese, Refrigerated Orange Juice, Men’s Razor-Blades, Women’s Razor-Blades, Toothpaste, Canned Soup, Coffee, and Potato Chips.Porter associates high market share with cost leadership strategy which is based on the idea of competing on a price that is lower than that of the competition. However, customer-perceived quality—not low cost—should be the underpinning of competitive strategy, because it is far more vital to long-term competitive position and profitability than any other factor. So, a superior alternative is to offer better quality vs. the competition.In most consumer markets a business seeking market share leadership should try to serve the middle class by competing in the mid-price segment; and offering quality better than that of the competition: at a price somewhat higher to signify an image of quality, and to ensure that the strategy is both profitable and sustainable in the long run. Quality, however, is a complex concept consumers generally find difficult to understand. So, they often use relative price, and a brand’s reputation, as a symbol of quality.For 2008 we chose the Alkaline AA Battery because its sales were $667 million vs. $283 million for AAA. By the same token, we have focused our analysis on AA 4-pack because it was the most popular size with 2008 sales of $190 million.In 2008 the AA 4-pack Alkaline Battery market was quite competitive with 30 brands with sales over $25,000.Using Hierarchical Cluster Analysis, we tested two hypotheses: (1) That the market leader is likely to compete in the mid-price segment, and that (2) Its unit price is likely to be higher than that of the nearest competition.For 2008 the results supported Hypothesis I and II. Both the market leader Energizer, and the runner-up Duracell, were members of the mid-price segment. Moreover, the unit price of Energizer was higher than that for Duracell, as we have hypothesized.For 2007 the results did not support Hypothesis I, because Energizer found it to be a member of the premium segment, even though Duracell maintained its association with the mid-price segment. We found that relative price was a strategic variable, as hypothesized.We also discovered four strategic groups in the industry.

The U.S. Potato Chip Market: A Competitive Profile

This paper follows the footsteps of ten studies that have tried to analyze the competitive profile of U.S. consumer markets: Men’s Shaving Gel, Beer, Shampoo, Shredded/Grated Cheese, Refrigerated Orange Juice, Men’s Razor-Blades, Women’s Razor-Blades, Toothpaste, Canned Soup, and Coffee.Porter associates high market share with cost leadership strategy which is based on the idea of competing on a price that is lower than that of the competition. However, customer-perceived quality—not low cost—should be the underpinning of competitive strategy, because it is far more vital to long-term competitive position and profitability than any other factor. So, a superior alternative is to offer better quality vs. the competition.In most consumer markets a business seeking market share leadership should try to serve the middle class by competing in the mid-price segment; and offering quality better than that of the competition: at a price somewhat higher, to signify an image of quality, and to ensure that the strategy is both profitable and sustainable in the long run. Quality, however, is a complex concept consumers generally find difficult to understand. So, they often use relative price, and a brand’s reputation, as a symbol of quality.In 2008 the U.S. retail sales for the Potato Chip market were $3.07 Billion. The pack sizes varied from 0.8oz to 50oz, with the 9-13oz packs being the most popular with a 33% share. So, we have focused cluster analysis on this size.In 2008 the U.S. Potato Chip market was highly competitive—notwithstanding the dominance of Pepsi Co.’s Lay’s brand family—with a total of 254 brands.Using Hierarchical Cluster Analysis, we tested two hypotheses: (1) That the market leader is likely to compete in the mid-price segment, and that (2) Its unit price is likely to be higher than that of the nearest competition. Employing U.S. retail sales data for 2008 and 2007 we found that the results supported Hypothesis I; both the market leader Lay’s Plain Potato Chip brand--and the runner-up Pringles Original Potato Chip brand--were members of the mid-price segment. However, while the unit price of the market leader was somewhat higher than that of the runner-up for 2008—as we have hypothesized--this was not the case for 2007, although the price difference between the two brands did not seem statistically significant.We found that relative price was a strategic variable, as hypothesized.We also discovered four strategic groups in the industry.This is the eleventh in the study of U.S. consumer markets we have cited above. In eight of these—that exclude Men’s and Women’s Razor-Blades, and Ground Coffee—a pattern has emerged. In all eight cases the market leader was a member of the mid-price segment, as we have hypothesized.Finally, in the words of Dirk Burhans, the author of Crunch, it is important to realize that a “potato chip could be such a subtle, delicate experience”.

OSS-Qual: Holistic Scale to Assess Customer Quality Perception When Buying Secondhand Products in Online Platforms

Online secondhand markets have been growing substantially over the last decade and are expected to grow further. In order to effectively promote the growth of online secondhand markets, this paper designs and validates a scale to assess customer perception of the service quality of secondhand products purchased via online platforms. Complementarily, the paper assesses how each of the different dimensions that configure the scale contributes to explaining the fulfillment of customers’ expectations. The scale is defined by 23 items and is arranged in 5 dimensions from the literature on online commerce as well as on the sharing economy. A sample of 200 questionnaires is used for exploratory factor analysis. A second sample of 507 users is used for confirmatory factor analysis. The quality perceived by online customers of secondhand products depends on the quality of the interactions that they have with the website, with the vendor, and with the product. The dimension that contributes the most to customer fulfillment of expectations is product quality. Findings identify the items that contribute the most to quality perception and fulfillment of expectations, facilitating the development of more effective strategies for platform owners and vendors who want to attract and retain customers of secondhand products. Complementarily, these findings are useful to businesses and governments that want to promote a more sustainable economy by reducing consumption of new products and promoting reutilization of existing ones.

Ratings meet reviews in the monitoring of online products and services

User-generated content including both review texts and user ratings provides important information regarding the customer-perceived quality of online products and services. This article proposes a modeling and monitoring method for online user-generated content. A unified generative model is constructed to combine words and ratings in customer reviews based on their latent sentiment and topic assignments, and a two-chart scheme is proposed for detecting shifts of customer responses in dimensions of sentiments and topics, respectively. The proposed method shows superior performance in shift detection, especially for the sentiment shifts in customer responses, based on the results of simulation and a case study.

The U.S. Coffee Market: A Competitive Profile

This paper follows the path of nine studies of U.S. consumer markets: Men’s Shaving Gel, Beer, Shampoo, Shredded/Grated Cheese, Refrigerated Orange Juice, Men’s Razor-Blades, Women’s Razor-Blades, Toothpaste, and Canned Soup.Porter associates high market share with cost leadership strategy which is based on the idea of competing on a price that is lower than that of the competition. However, customer-perceived quality—not low cost—should be the underpinning of competitive strategy, because it is far more vital to long-term competitive position and profitability than any other factor. So, a superior alternative is to offer better quality vs. the competition.In most consumer markets a business seeking market share leadership should try to serve the middle class by competing in the mid-price segment; and offering quality better than that of the competition: at a price somewhat higher, to signify an image of quality, and to ensure that the strategy is both profitable and sustainable in the long run. Quality, however, is a complex concept consumers generally find difficult to understand. So, they often use relative price, and a brand’s reputation, as a symbol of quality.In 2008 the U.S. retail sales for the Coffee market were $3.78 Billion. The market featured five varieties of coffee: Ground, Soluble (Instant), Whole Bean, Liquid, and Flavored. We have focused our analysis on Ground Coffee which had a 70% share in 2008.In 2008 the Ground Coffee market leader was the Folgers brand family with a market share of 21.8%, followed by the Maxwell House brand with 11.6%. The pack sizes varied from 1.3- to 52oz, with the 10-13 oz packs being the most popular. So, we have focused cluster analysis on this pack.The Ground Coffee market was highly competitive. In 2008 it had 450 brands.Using Hierarchical Cluster Analysis, we tested two hypotheses: (1) That the market leader is likely to compete in the mid-price segment, and that (2) Its unit price is likely to be higher than that of the nearest competition. Employing U.S. retail sales data—for both 2008 and 2007—we found that the results did not support our hypothesis that the market leader would be a member of the mid-price segment. Instead, the results show that both the market leader, the Folgers flagship brand—and the runner-up Maxwell House—were members of the economy segment, although Folgers’ unit price was higher than that of Maxwell House, as we have hypothesized.This implies that both Folgers and Maxwell House were following the cost leadership strategy based on lower price than better quality, and treated coffee as a commodity to gain market share. This is truly a stunning result! In all similar nine studies preceding this one, not a single market leader—or runner-up—competed in the economy segment! The spectacular success of Starbucks demonstrated in no uncertain terms that the consumers were no longer content to treat coffee as a run-of-the mill drink—but rather something special—that deserved to be relished, and for which they were willing to pay a premium price.Finally, we discovered five strategic groups in the industry.

The Influence of the color of light on the customers' perception of service quality and satisfaction in the restaurant

AbstractThe physical evidence is influential on the consumer's attitude, quality perception, and purchasing behavior. The service atmosphere within the physical evidence scope is an element that requires huge investments. Together with low‐cost small changes, the physical environment could be rendered much more attractive to the consumer. Color and light are among the elements that are suitable for these changes. This research aims to determine whether the color of light in the service atmosphere affects the customer's quality perceptions and customer satisfaction and whether this effect differs according to the color of light. To this end, the restaurant business, which has an essential place in the tourism industry, was chosen as the research experiment ambient. A total of five experiments were conducted in five ambient lighted in different colors with participants. Data were collected with 204 the form of the experiment question According to the analysis results, the perception of service quality and the level of satisfaction were higher in red and yellow‐lighted ambient than those in blue and green‐lighted ambient. In line with the results, recommendations were made to reduce the physical environment costs in the service production process in restaurants and to achieve a cleaner service production, sustainable production, and consumption through more efficient use of resources.Highlights The light color in the service atmosphere affects the perceived quality and customer satisfaction. Perceived service quality and customer satisfaction differ according to the light color in the service atmosphere. By changing the light color in the service atmosphere, it is possible to increase the level of quality perception and customer satisfaction in a positive way. By changing the color of the light in the service environment, efficient and sustainable cleaner production can be realized with low costs.

Customer-perceived quality, innovation and tradition: some empirical evidence

PurposeThis study aims to explore how customer-perceived quality is affected by innovation in traditional products in the bread, bakery and pastry industry. The study assesses whether innovating traditional products is an effective strategy, especially in traditional industries.Design/methodology/approachThis study followed a quantitative method of analysis. Data were gathered from a sample of 200 Italian bread consumers and analysed using a two-pronged correlation analysis, and two hypotheses were tested using Pearson’s correlation.FindingsThe results showed the negative relationship between customer-perceived quality and innovating traditional products in traditional industries embedded in closed contexts.Research limitations/implicationsThe study has several academic implications. First, by focusing on the traditional food industry, the study contributes to the theory by answering the call for research in this field; second, the findings contribute to the embeddedness construct and, third, to the studies of customer-perceived quality and to the literature on innovation.Practical implicationsThe findings are particularly interesting for entrepreneurs and consultants in traditional industries who make decisions on whether it is better to innovate or to remain anchored to tradition.Originality/valueThe present study clarifies the shadowy side of innovation in traditional industries, such as the bread, bakery and pastry industry, and it reveals how tradition plays a meaningful role in those sectors.

The U.S. Canned Soup Market: A Competitive Profile

This paper follows the path of eight studies of U.S. markets: Men’s Shaving Cream, Beer, Shampoo, Shredded/Grated Cheese, Refrigerated Orange Juice, Men’s Razor-Blades, Women’s Razor-Blades, and Toothpaste.Porter associates high market share with cost leadership strategy which is based on the idea of competing on a price that is lower than that of the competition. However, customer-perceived quality—not low cost—should be the underpinning of competitive strategy, because it is far more vital to long-term competitive position and profitability than any other factor. So, a superior alternative is to offer better quality vs. the competition.In most consumer markets a business seeking market share leadership should try to serve the middle class by competing in the mid-price segment; and offering quality better than that of the competition: at a price somewhat higher, to signify an image of quality, and to ensure that the strategy is both profitable and sustainable in the long run. Quality, however, is a complex concept that consumers generally find hard to understand. So, they often use relative price, and a brand’s reputation, as a symbol of quality.In 2008 the U.S. retail sales for the Canned Soup market were $3.44 Billion. The market leader Campbell had a commanding share of 52.5%, followed by a far-distant second Progresso with a share of 17.8%. A notable feature of this market was the tremendous variety of soups, albeit many with minor variations, that equaled the unbelievable figure of 1011!We focused our attention on the two best-selling varieties of soup: (1) Chicken Broth canned, the market leader, with 11.1% market share, and (2) Chicken Noodle Soup canned, with a 7.4% share. Within each variety we chose the can-size range with the highest sales.Using Hierarchical Cluster Analysis, we tested Hypotheses I that a market leader is likely to compete in the mid-price segment. Employing U.S. retail sales data for 2008 and 2007, we found that for both Chicken Broth and Chicken Noodle Soup—for 2008 and 2007—the market leader Campbell was a member of the mid-price segment.For Hypothesis II we wanted to test the proposition that the unit price of the market leader would be somewhat higher than that of the nearest competition. For Chicken Broth we could not test this hypothesis because Progresso, the runner-up, could not be included in this analysis.However, for Chicken Noodle Soup the results did not support the hypothesis because Progresso happened not to be a part of the mid-price, but that of the premium segment.Finally, we discovered four strategic groups in the industry.

‘Manufacturing is coming home’: does reshoring improve perceived product quality?

PurposeRecently, many firms have reshored manufacturing activities back to their home countries to increase customer perceptions of product quality. However, there is no evidence that relocating production to the home country improves customer-perceived quality. This study intends to address this gap by assessing the variations between pre- and post-reshoring product quality, as perceived by domestic customers.Design/methodology/approachData were collected through a questionnaire, which used the case of an Italian fashion brand that had reshored its manufacturing from Romania to Italy as the stimulus. Two analyses of the collected data (n = 399) were conducted, applying both 2 × 2 × 2 factorial design and partial least squares–structural equation modelling (PLS–SEM) multigroup analysis.FindingsReshoring increased the level of perceived product quality only for customers that both were aware of the firm's past offshoring decision and had high levels of affective ethnocentrism. For all other customers, no significant variations between pre- and post-reshoring product quality were observed.Research limitations/implicationsThis study challenges previous findings, revealing that only a minor share of customers perceived products to be of higher quality after reshoring.Practical implicationsIncreasing customer-perceived quality may not be a sufficient motivation to select the reshoring strategy. In addition, when announcing reshoring strategies, producers should appeal to customers' emotions and not use rational arguments about objective product quality.Originality/valueThis is the first study to assess variations between pre- and post-reshoring customer-perceived quality and to identify factors that explain such variations.

The U.S. Toothpaste Market: A Competitive Profile

This paper follows the path of seven studies (see below). However, it is different in one important respect: it also offers a benefit segmentation profile of the U.S. Toothpaste Market.Porter associates high market share with cost leadership strategy which is based on the idea of competing on a price that is lower than that of the competition. However, customer-perceived quality—not low cost—should be the foundation of competitive strategy, because it is far more vital to long-term competitive position and profitability than any other factor. So, a superior alternative is to offer better quality vs. the competition.In most consumer markets a business seeking market share leadership should try to serve the middle class by competing in the mid-price segment; and offering quality better than that of the competition: at a price somewhat higher, to signify an image of quality, and to ensure that the strategy is both profitable and sustainable in the long run. Quality, however, is a complex concept that consumers generally find difficult to understand. So, they often use relative price, and a brand’s reputation as a symbol of quality.In 2008 retail sales in the U.S. were $1.27 Billion for the Toothpaste Market. The market leader Crest had a market share of 34.7%, closely followed by Colgate with a share of 33.5%. We focused on the most popular pack-size—5.8-6.5oz—which had a 45.3% share. Employing Hierarchical Cluster Analysis, we tested two hypotheses: (1) That a market leader is likely to compete in the mid-price segment, and (2) That the unit price of the market leader is likely to be somewhat higher than that of the nearest competition. Employing U.S. retail sales data for 2008 and 2007, we found that, for both 2008 and 2007, the market leader in the U.S. Toothpaste market—Crest—was a member of the mid-price segment. Furthermore, the unit price of Crest was somewhat higher than that of Colgate, the runner-up, which was also a member of the mid-price segment.Thus, the results fully supported both Hypothesis I and II—for 2008 and 2007.We also found strong support for the idea, that relative price is a strategic variable, as we have hypothesized.We discovered five benefit segments. The most fundamental result of this analysis is that it revealed an avalanche of various brands of toothpaste that not only whitened teeth, but were also helpful in preventing tooth decay, as before.Finally, we discovered four strategic groups in the industry.

Integration of Green Lean Six Sigma: a novel approach for sustainable development

The increased awareness about sustainability, health issues associated to the emission of greenhouse gases, and changed customer quality perception has forced the industries to rethink their operational methods. Green Lean Six Sigma (GLS) is a sustainable development approach that reduces negative environmental effects and delivers products of near true value. Individual Green, Lean, and Six Sigma approaches have their associated drawbacks that can be overcome by one other. So, there is a need for an integrated approach that reduces wastes, rejection, and emission of harmful gases. The present study provides integration of Green, Lean, and Six Sigma based on theoretic found elements i.e., readiness measures, barriers, toolset, etc. This study will facilitate the practitioners and industrial organisation managers to implement a sustainable GLS approach in the business organisations for improved productivity and environmental sustainability.

Integration of Green Lean Six Sigma: a novel approach for sustainable development

The increased awareness about sustainability, health issues associated to the emission of greenhouse gases, and changed customer quality perception has forced the industries to rethink their operational methods. Green Lean Six Sigma (GLS) is a sustainable development approach that reduces negative environmental effects and delivers products of near true value. Individual Green, Lean, and Six Sigma approaches have their associated drawbacks that can be overcome by one other. So, there is a need for an integrated approach that reduces wastes, rejection, and emission of harmful gases. The present study provides integration of Green, Lean, and Six Sigma based on theoretic found elements i.e., readiness measures, barriers, toolset, etc. This study will facilitate the practitioners and industrial organisation managers to implement a sustainable GLS approach in the business organisations for improved productivity and environmental sustainability.

The U.S. Women’s Razor-Blade Market: A Competitive Profile

This paper follows the path of six studies: the U.S. Men’s Shaving Cream, the U.S. Beer, the U.S. Shampoo, the U.S. Shredded/Grated Cheese, the U.S. Refrigerated Orange Juice, and the U.S. Men’s Razor-Blade markets.Porter associates high market share with cost leadership strategy which is based on the idea of competing on a price that is lower than that of the competition. However, customer-perceived quality—not low cost—should be the foundation of competitive strategy, because it is far more vital to long-term competitive position and profitability than any other factor. So, a superior alternative is to offer better quality vs. the competition.In most consumer markets a business seeking market share leadership should try to serve the middle class by competing in the mid-price segment; and offering quality better than that of the competition: at a price somewhat higher, to signify an image of quality, and to ensure that the strategy is both profitable and sustainable in the long run. Quality, however, is a complex concept consumers generally find difficult to understand. So, they often use relative price, and a brand’s reputation as a symbol of quality.In 2008 sales in the U.S. were $83 million for the Women’s Razors, and $192 million for the Women’s Blades. In both markets there were two major players. In the Women’s Razors market P&G’s Gillette had a 58% market share, followed by Schick, a distant second, with a 31% share. Likewise, in the Women’s Blade market, Gillette had a 61% share, and Schick a 35% share.We tested two hypotheses: (1) That a market leader is likely to compete in the mid-price segment, and (2) That the unit price of the market leader is likely to be somewhat higher than that of the nearest competition. Employing U.S. retail sales data for 2008 and 2007, we found that for 2008 the market leader in the Women’s Razor market—Gillette Venus Embrace—was not a member of the mid-price segment, but the super-premium segment. Likewise, in the Women’s Blade market, the market leader—Gillette Venus Original (Note 1)—was part of the premium segment, not the mid-price segment.Several arguments can be offered to explain this deviation: (1) There is not much competition in this market with only two major players, (2) The technology of producing Razors and Blades has become more complex and consequently more expensive, (3) Producers are now offering many more new feature—and benefits—than ever before that further raise the cost of production, and (4) For many American women, having smooth armpits and legs is an important social norm they must observe for which they are willing to pay a premium price.Based on Gillette Fusion, the first men’s five-blade Razor, Gillette introduced Venus Embrace, a first five-blade Razor for women. Whereas Gillette had positioned itself as a premium brand in the past, it moved up the ladder and placed Venus Embrace in the super-premium segment in 2008.We also found strong support for the idea, that relative price is a strategic variable.Finally, we discovered three strategic groups in the industry.