Market Context Research Articles

Marketing Capabilities and Competitive Performance in the SMEs Context: A Bi-Theoretical Perspective

Underpinned by the Resource-Based View (RBV) and Competence-Based View (CBV) of the firm, this study investigates how marketing capabilities relate to SME competitive performance in an emerging economy, Ghana. The study adopted a quantitative study design through a survey questionnaire and utilized Structural Equation Model-Partial Least Square (SEM-PLS) variance-based approach to test the formulated hypotheses of 506 samples. Results reveal that: (1) Marketing communication capability, channel management capability, and product development capability significantly and positively influence marketing performance, customer performance, and adaptability performance of SMEs, but not financial performance; (2) Marketing implementation capability positively and significantly influences the financial performance, marketing performance, and customer performance, but not adaptability performance of SMEs; (3) Selling capability and marketing planning capability have a significant, positive effect on all the competitive performance—financial performance , marketing performance, customer performance, and adaptability performance of SMEs. The implication is that, with their limited resources and budget constraint, SMEs can be selective in developing their marketing capabilities based on particular performance goals they set to achieve in a given time. The value of the study lies in its all-encompassing comprehensive assessment of the marketing capabilities—SME competitive performance relationships, using a holistic, multidimensional approach to performance measurement in an emerging market context. The study provides SMEs and practitioners with valuable insights vis-à-vis the marketing capabilities they can selectively and strategically use to enhance their competitiveness.

Economic modelling of flexible carbon capture and storage in a decarbonised electricity system

This research provides new techno-economic insights into integrating flexible combined-cycle gas turbines with post-combustion carbon capture and storage (CCGT-CCS) for low-carbon power systems. This study developed a versatile unit-commitment optimisation model of CCGT-CCS. This research highlights the model’s adaptability, accommodating diverse techno-economic configurations, feed gases (e.g., biomethane or fossil natural gas), carbon capture rates, and policy instruments. This generalisation empowers seamless application in various policy and market contexts, making the model a potent tool for researchers and policymakers. While the case study focuses on the UK, the findings are relevant for most low-carbon power systems with variable renewable supplies. Analysing the UK’s net-zero scenarios from 2030 to 2050, the economic viability of flexible CCGT-CCS was highlighted. Intertemporal flexibility proves highly valuable with greater electricity price volatility, with a total ROI range of 81–246 %, surpassing the CCGT-CCS plant’s ROI (7–64 %). A flexible solvent storage solution should be seen in the context of the overall system ‘flexibility’ requirements of a low-carbon power system. On a cost basis, solvent storage represents just a fraction of the capital costs of more “mainstream” energy storage technologies, such as lithium-ion batteries or hydro-pumped storage, while CCGT-CCS offers firm power. Overall, while seen as a rather technical solution, if abated fossil fuel generation is to be part of a future low-carbon power system, having this flexibility adds economic benefits not just to operators but also improves overall system security and complements high shares of variable renewables on the grid.

Apparel behavioural intentions of urban bottom-of-the-pyramid consumers: exploring the role of store atmospherics

Purpose This study aims to explore the impact of store atmospherics on urban bottom-of-the-pyramid consumers’ behavioural intentions to purchase apparel in an emerging African market context. This study also considers purchase antecedents to attitude, perceived behavioural control and social norms as determinants of urban bottom-of-the-pyramid consumers’ apparel behavioural intentions. Design/methodology/approach Using non-probability sampling, specifically purposive and interlocking sampling, data collection was secured from 881 economically active Namibian urban bottom-of-the-pyramid respondents through interviewer-administered questionnaires. Covariance-based structural equation modelling assessed the significant relationships among all constructs in the conceptual model. Findings This study found that for favourable apparel behavioural intentions of urban bottom-of-the-pyramid consumers to occur, apparel retailers should emphasise trust, perceived awareness and self-identity through apparel assortment and groupings, easy-to-read visible signage, together with competent, friendly and respectful sales personnel in their store atmospherics. Practical implications The findings of this study may guide apparel retailers in other emerging African markets to develop regional integration, market-based solutions and inclusive economic growth focusing on “non-essential” products, such as apparel, among urban bottom-of-the-pyramid consumers. Originality/value This study expands the intellectual boundaries of urban bottom-of-the-pyramid consumers’ behavioural intentions towards “non-essential” products. The theoretical framework supports the integration of both the stimulus-organism-response model and the theory of planned behaviour into one single model for empirical investigation. Additionally, adopting a novel theoretical framework helped identify the impact of store atmospherics from a bottom-of-the-pyramid perspective in an emerging African market context, such as Namibia.

Quality recognition method of oyster based on U-net and random forest

Oysters are one of the most important cultivated marine resources globally. The shape of oysters is an essential reference criterion for consumers to judge the quality of oysters. In order to recognize oyster’s shape, the U-Net model and random forest are combined to compose a creative strategy. To be more specific, the U-Net neural network model is firstly developed to segment the image and obtain the contours of oysters, and the shape features of oysters are extracted. Then, a random forest model with shape feature parameters depending on customer preference is created to identify oyster quality. The results indicate that the intersection-over-union of segmentation outcomes achieved by U-Net reaches 99.06%, surpassing the 93.50% obtained by traditional methods. The accuracy of the classification strategy based on the shape features parameters of consumer preference is 94.18%, which further proves the effectiveness of the proposed strategy. This study might provide valuable data and guidelines to oyster product classification based on shell shape within market contexts.

Contextual marketing and information privacy concerns in m-commerce and their impact on consumer loyalty

PurposeThis study examines the effect of contextual perceived value activated by contextual marketing offers and information privacy concerns on consumer loyalty in mobile commerce.Design/methodology/approachThe survey was conducted through 340 mobile users in Morocco and the collected data were analyzed using structural equation modeling.FindingsThis study's results show that contextual marketing and information privacy concerns are key determinants in improving customer loyalty in the m-commerce context. Perceived ubiquity has a positive impact on perceived trust, which also impacts consumer loyalty. Information privacy concerns also have a positive impact on customer satisfaction, yet it does not impact perceived trust, which is contrary to the results of other researchers. It can also be concluded that customer satisfaction and trust are important antecedents of consumer loyalty.Practical implicationsThis research gives rise to some important managerial and strategic implications in order to integrate contextual marketing strategies, as well as theoretical implications that concern this field of study.Originality/valueThis research makes a significant contribution to knowledge by examining the role of contextual marketing and information privacy concerns in the m-commerce context. These results will be considered useful for marketers and for businesses in general who wish to integrate a marketing strategy that is based on a customer-centric approach. It also contributes to the related literature, as there are few studies focused on m-commerce and contextual marketing within the context of Morocco.

Risk-return tradeoff and serial correlation in the Chinese stock market: A bailout-driven crash feedback hypothesis

This paper explores two puzzling phenomena about aggregate stock market behavior: the weak mean–variance (risk-return) relation and return autocorrelation. Existing literature typically analyzes these two phenomena in isolation, with few attempts to understand their coexistence. To bridge this gap, we integrate two key factors, market-wide bailout guarantees and feedback trading, within the context of the Chinese stock market. We develop joint pricing formulas to theoretically show that feedback traders’ speculation on bailouts can simultaneously produce these anomalies by tying them to features typical of market crashes. Our empirical analysis, based on Chinese market data from 1997 to 2020 and a market crash index, provides consistent support for these theoretical derivations. The results highlight the significant role of speculation driven by bailout expectations in influencing aggregate stock market dynamics. Accordingly, this also illuminates the necessity for further research on the extensive pricing implications of both government intervention and speculative trading.

Market crises and benchmark-adjusted fund alphas in a small market context

Most mutual fund performance evaluation studies interpret fund alphas as the incremental performance of managers in relation to passive benchmark indices, which should exhibit statistically insignificant alphas. However, if these indices present significant non-zero alphas, standard (non-adjusted) fund alphas are biased. This paper investigates the impact of using benchmark-adjusted alphas to assess the performance of Portuguese-based mutual funds, investing in domestic and European equities. For the period 2000-2020, our results show that fund benchmarks exhibit significantly negative alphas, which lead to an underestimation of mutual fund performance when employing standard models. As a result, benchmark-adjusted alphas are significantly higher than unadjusted alphas for both fund categories, though the differences are larger for domestic than for European funds. We have also found that the impact of the benchmark-adjustment procedure depends on the state of markets. The domestic (European) benchmark exhibits considerably lower (higher) alphas during crisis than during non-crisis periods. During market crises, the differences between pre- and post-adjustment alphas are statistically significant only for domestic funds, whereas during non-crisis periods, both fund categories exhibit significant performance improvements. Our findings suggest that the benchmark-adjustment procedure has a higher impact when benchmark indices exhibit higher concentration.

Determinants of overlapping mismatch in the Turkish labour market

Using a micro dataset from labour force survey of Turkey and employing a multinomial logistic regression, this paper examines the determinants of mere overeducation, mere field of study mismatch and full-mismatch (who are both overeducated and field of study mismatched simultaneously). The target group consists of full-time wage-based employees who graduated from higher education and are aged 20–65. The determinants of mismatch are analysed under four variable groups which are labour market context, demography, field of study and job-specific characteristics. In line with the earlier empirical evidence, we find that the unfavourable economic conditions at the time of entry into the labour market might affect the behavioural pattern of individuals while searching for a matching job. Moreover, the sharp increase in university graduates increased further the fierce competition for the limited jobs available in the labour market, and resulted in a high likelihood of mismatch especially for the recent graduates. In sum, the estimation results yield that any mismatch category is responsive to those determinants where fully-mismatched employees are more responsive. Hence, we propose that the policy implications should better focus on the full-mismatch category.

Intergenerational transmission or local labour market context? A comparative analysis of the formation of work value patterns in 65 European regions

AbstractThis article analyses the driving factors behind the formation of individual work values in European welfare states. By comparing relative preferences for extrinsic and intrinsic work values, we shed light on the discussion of the effects of intergenerational transmission and the structuring effects of labour market policies and regional opportunity structures on the formation of work values. Therefore, a multilevel analysis is applied using the innovative CUPESSE data set, which provides data on young adults and their parents in 65 NUTS‐1‐regions from 11 European countries. The results show that individual work values of young Europeans are most substantively shaped by the respective values of their parents. Furthermore, we demonstrate that individual characteristics such as sex, education and personal unemployment experiences determine preferences for work values. Finally, the paper shows that the local labour market context and welfare state arrangements also play a decisive role in the formation of individual work values.

Coalition game theoretic P2P trading in a distribution network integrity-ensured local energy market

This paper presents a peer-to-peer (P2P) trading-enabled local energy market (LEM) mechanism and analyses it in the Australian market context to verify its feasibility. To do so, a coalition game theoretic-model is adopted to model the mutual trading interactions between participating purchasers and sellers in the LEM, in which energy is purchased/sold at a rate lower/higher than the business-as-usual purchase/sell price while the margin of the LEM operator is locked on. Further, both purchased and sold energy quantities are also decided on following the import, export, voltage, and line flow constraints, respectively, prescribed for the P2P trading in the LEM. The properties of the proposed coalition game are examined, and the beneficial aspects and stability of the structured P2P coalition are guaranteed. Besides, an algorithm is proposed to formulate energy contract and pricing mechanisms in the P2P coalition-structured LEM, and to distribute the economic benefit among the LEM participants efficiently. Finally, extensive simulation results are demonstrated to validate the structured P2P trading-based LEM strategy in the context of the Australian market and distribution network. The simulation results confirm that participants, both sellers and purchasers, can decrease their energy costs substantially, and the LEM operator can also secure its margin while the distribution network voltages and line congestion are within the prescribed ranges.

Does economic policy uncertainty matter for a firm's leverage and speed of adjustment?

PurposeThis research intends to investigate the impact of economic policy uncertainty (EPU) on the firm's leverage and its adjustment speed.Design/methodology/approachThis study applies dynamic panel data modeling by using a partial adjustment model. The study is based on secondary data of the non-financial firms that are listed on the Pakistan stock exchange. For the analysis purpose, the study applies the generalized method of moments (GMM) estimation technique and uses a newly developed text-based measure of economic policy uncertainty.FindingsThe results show the negative impact of EPU on leverage decisions but a positive impact of EPU on leverage speed of adjustment for both, short-run and long-run economic policy shocks. Additional analysis reveals that the negative influence of long-run policy shocks on leverage decisions is moderated through profitability, and the negative influence of short-run policy shocks on leverage is moderated through firm size, tangibility and available growth prospects. However, the significant positive impact of EPU on the leverage speed of adjustment in both short and long-term policy shocks indicates that the speed of adjustment for these firms is not affected by policy shocks.Originality/valueThis research contributes to the existing literature on capital structure dynamics,by investigating the impact of EPU on firm financing decisions and estimating the adjustment speed of capital structure in a developing market context. The study also extends the existing literature by applying the concept of long-run and short-run economic policy uncertainty in the capital structure dynamic framework. Additionally, the new news-based measure of EPU is used. Moreover, it also looks into the COVID-19 effect on the relationship.

FINANCIAL ASPECTS AND FINANCIAL RISK DISCLOSURE: EVIDENCE FROM VIETNAM

This study delves into the dynamic relationship between profitability, liquidity, and financial risk disclosure within the context of the Vietnamese business landscape. Employing a comprehensive dataset spanning the period from 2011 to 2020, encompassing 350 publicly listed companies, we scrutinize the intricate interplay of these critical financial factors. Our investigation reveals significant insights into the influence of profitability and liquidity on the extent of financial risk disclosure by Vietnamese listed firms. Through rigorous statistical analysis and econometric modeling, we establish a clear and robust link between these variables. The findings underscore the pivotal role played by profitability and liquidity as determinants shaping the propensity of firms to disclose information pertaining to their financial risks. As Vietnam's financial landscape continues to evolve and integrate within the global economy, the implications of our research offer valuable insights for regulators, investors, and corporate decision-makers alike. By shedding light on the nuanced relationship between profitability, liquidity, and financial risk disclosure, this study contributes to a deeper understanding of the mechanisms that underpin corporate financial reporting practices in an emerging market context.

Worcester Red Sox: Let's grow our brand

Research methodology This case was developed through interviews with Brooke Cooper, Dr. Charles Steinberg and others at the WooSox, as well as a thorough analysis of the Worcester Red Sox’s social media and company websites. Purpose The purpose of this marketing case study is to This case focuses on understanding the process involved in conceptualizing and developing a marketing plan and strategy, and the ability to define and articulate the importance of BRAND in a marketing context. Case overview/synopsis The Pawtucket Red Sox relocated to Worcester, Massachusetts in Spring of 2019. The citizens of Worcester embraced their new team – the WooSox – as did many of the surrounding towns in Worcester County. The marketing arm of the WooSox worked tirelessly to develop a plan that included immersion in the cultures of the cities and towns within Worcester County; becoming a presence in their schools, businesses and community-based organizations; learning the priorities of the individual communities and supporting those needs; building a consistent, interactive and strong presence on social media; highlighting various interactions with their fan base; providing an outstanding experience at Polar Park; creating a loyal fan base ultimately driving ticket and merchandise sales and cultivating new fans to experience Polar Park; and understanding that word of mouth is the best form of marketing. The WooSox leadership team understood the need to expand its reach into new markets. In this case, the marketing team has been charged with exploring the Western Massachusetts region as a potential growth opportunity. The WooSox have a strong brand in the greater Worcester County area – but can they travel 60–90 min west and establish the same presence? Complexity academic level This case was written for undergraduate-level Marketing Principles or Sport Marketing courses.

Tailoring Marketing to Young Chinese Car Buyers: Leveraging Automotive Cultural Experiences and Behavioral Personalities

Objective - This study was initiated to develop an alternative positive car-user experience to enhance automotive sales by considering customers’ desires. Method - The study employed the “Systematic Literature Review Synthesis Process,” harnessing the online EAGLE Navigator System to document the literature review synthesis process to identify relevant literature and establish a theoretical background for research ideation. Findings – A theoretical model for combining personal cultural customization, simplicity, accessibility, affordable technology, and sensory modalities could improve the in-car experience and satisfaction of younger Chinese car buyers, thus leading to satisfying car-user purchasing experiences. Novelty - This study breaks new ground by offering a holistic perspective on enhancing the automotive user experience within the context of the Chinese market. An innovative blend of cultural customization and technology accessibility is introduced, which is poised to reshape the automobile industry's engagement with younger consumers in China. Type of Paper: Review JEL Classification: M31, M39. Keywords: Automotive Marketing; Car-User Experience; Young Customers’ Personalities; Automotive Culture; Sustainable Design Informatics Reference to this paper should be made as follows: Jiandou, C; Ibrahim, R; Azmi, A. (2023). Tailoring Marketing to Young Chinese Car Buyers: Leveraging Automotive Cultural Experiences and Behavioral Personalities, J. Mgt. Mkt. Review, 8(3), 104 – 110. https://doi.org/10.35609/jmmr.2023.8.3(2)

Aspects of Life Insurance Agents' Performance in Vietnam: A Study from the Impact of Customer-Oriented Behavior

This study examined the influence of life insurance agents' customer-oriented action research on aspects of agents' personal sales performance. In particular, the agent's performance is considered in terms of behavioral effectiveness and outcome performance. The research was conducted through interviews and surveys of insurance agents of life insurance businesses in Hanoi city, with 158 feedback forms received. Data collection is group processed through supporting software support SPSS and PLS-SEM. The study results show that customer-oriented behavior substantially impacts life insurance agents' behavioral performance more than outcome performance. At the same time, behavioral performance also plays a mediating role in providing the performance of customer-oriented behavior to the performance outcomes of life insurance agents. The research results are the basis for the authors to propose some key tips for life insurance businesses in the current context of Vietnam's insurance market.

Artificial Intelligence and its Application in Today's Marketing Context

Artificial Intelligence (AI) has emerged as a transformative influence in the realm of marketing, reshaping approaches, and strategies across various sectors. This research study delves into the myriad applications of AI in contemporary marketing, with a specific focus on its influence on customer engagement, data analysis, customization, and the promising prospects it presents for marketing practitioners. The paper relies on secondary data resources to furnish a comprehensive overview of the present state of AI in marketing, drawing from articles in respected publications such as the International Journal of Management Science and Engineering Management, among others. The results underscore AI's pivotal role for modern marketers, providing inventive solutions that amplify efficiency, efficacy, and customer contentment.

Theory and analysis of disruptive deception: SME responses to B2B supply chain opportunism

Purpose This study aims to examine small-firm shifts in behavior during major supply chain disruptions that change supply chains permanently. The study focuses on small to mid-sized enterprise (SME) responses to suppliers’ opportunistic behaviors within a larger disruptive environment. The study addresses two broad research questions: how do small businesses adapt to supply chain disruptions, and under what conditions are such adoptions warranted? Design/methodology/approach This study used mixed methods, a qualitative netnography and a quantitative analysis of survey data. It tested a model based on responses from members of an online business-to-business community. The model development was driven by the findings from netnography and two theoretical lenses. Findings The responses suggested a strong relationship between the two theoretical approaches. The conditions described by the resource-based view (RBV) of the firm led to many real options. Supply chain disruptions and deceptive suppliers triggered rapid adaptation through traditional marketing tactics and strategies. Changes in the supply chain, and place, led to responses in price, promotion and product. Respondents hoarded, developed relationships with new, nonopportunistic suppliers and changed prices, products and product mixes. They developed cooperative relationships – coopetition – to deal with shared problems. Originality/value This study interprets supply chain disruptions through the lens of marketing in SMEs; it combines qualitative and quantitative methods to better understand supply chain disruptions in a marketing context; it applies the real options theory and the RBV of the firm to marketing in the context of supply chain disruptions, and it reflects real-time small-firm behavior in a crisis.

THE ROLE OF MARKETING TECHNOLOGIES IN THE POST-WAR RECOVERY OF THE LUXURY SEGMENT IN UKRAINE

INTRODUCTION. The relevance of the study lies in examining the use of marketing technologies in the luxury segment during the post-war recovery in Ukraine. After the conflict, there was a need for effective marketing strategies to support the development of Luxury goods and services in the country.
 RESEARCH HYPOTHESIS: The main hypothesis of the study is that the use of marketing technologies can stimulate the recovery of the Luxury segment in post-war Ukraine, attracting customers and strengthening the position of luxury brands in the market.
 The main objective of the research is to investigate the effectiveness of marketing technology utilization in the Luxury segment of post-war Ukraine and identify key factors contributing to the success of marketing strategies in this industry.
 METHODS. To achieve the set objective, the following research methods were employed: analysis of scientific literature, empirical research, consumer surveys, and analysis of statistical data on the luxury segment market in Ukraine.
 FINDINGS. The results of research strongly confirm the hypothesis regarding the importance of marketing technologies in the recovery of the luxury segment in post-war Ukraine. It has been found that the effective use of these technologies significantly influences the development of this segment, ensuring attractiveness to new customers, strengthening brands, and increasing sales. These findings underscore the necessity of actively implementing marketing strategies utilizing modern technologies for the successful development of the luxury segment within the context of post-war recovery in Ukraine.
 CONCLUSION. Based on the obtained results, it can be concluded that the use of marketing technologies is a crucial success factor for the Luxury segment in post-war Ukraine. The research findings confirm that the effective utilization of these technologies contributes to attracting new customers, strengthening brands, and increasing sales in the luxury segment. Depending on the industry context and specific conditions of the Ukrainian market, it is recommended to actively develop and implement effective marketing strategies to support the development of luxury goods and services in the country.
 KEYWORDS: marketing technologies; Luxury segment; post-war recovery; Ukraine; marketing strategies; customers; brands; market research.

Quantifying additionality thresholds for forest carbon offsets in Mississippi pine pulpwood markets

Concerns over the additionality of carbon sequestration achieved through voluntary carbon market have threatened offset market credibility and stability. There is an urgent need to examine additionality in a dynamic market context. To this end, our analysis focuses on the extent to which deferred harvests of pine roundwood as an offset source can achieve additionality under changing roundwood prices across a large wood-producing region. Specifically, we consider the potential for offset market activity itself and for unexpected demand shocks to adjust carbon baselines as they each have an impact on the relative prices observed for industrial roundwood. We use a bioeconomic model of the roundwood market to simulate harvest activity and estimate the economically feasible levels of carbon storage across four wood-producing basins in Mississippi. We then present estimates of the expected changes in carbon storage under a given change in timber prices and demonstrate how this information can be used to approximate the optimal reaction curve for an offset broker, dealer, or verification program manager seeking to ensure additionality with credits they exchange. The optimal reaction curve consists of a response to a change in the roundwood price state by either approving supplementary harvest deferral contracts or by restricting the supply of new contracts, depending on the direction of the observed price change. Alternatively, the results suggest that contracts could be structured to facilitate payment conditional on realized timber price outcomes, rather than solely on evidence of a delayed harvest.

On suspicious tracks: Machine-learning based approaches to detect cartels in railway-infrastructure procurement

In railway infrastructure, construction and maintenance is typically procured using competitive procedures such as auctions. However, these procedures only fulfill their purpose – using (taxpayers’) money efficiently – if bidders do not collude. Employing a unique dataset of the Swiss Federal Railways, we present two methods in order to detect potential collusion: First, we apply machine learning to screen tender databases for suspicious patterns. Second, we establish a novel category-managers’ tool, which allows for sequential and decentralized screening. To the best of our knowledge, our study represents the first attempt to adapt and implement machine-learning-based price screens within the context of a railway-infrastructure market.