Thursday, October 31, 2019
Green management Dissertation Example | Topics and Well Written Essays - 10000 words
Green management - Dissertation Example However, environmental education needs to start with children. With the motivation to evaluate how schools discharge their responsibility towards the environment as well as towards the future citizens, this study was undertaken. The study aims and objectives were stated and after extensive literature review on the subject, data was gathered through a qualitative case study approach. This study is based on a particular boarding school in London. Both primary and secondary data were gathered through multiple sources for the purpose of the study. The study finds a strong positive link between green initiatives and economic performance. However, corporations should not expect immediate short-term gains. In the short-term some gains may be achieved but sustainable gains can be achieved only in the long-term. Most companies that have adopted ââ¬Ëgreen marketingââ¬â¢ as a strategy, into their overall corporate and business strategy, have registered enhanced performance. This should be based on an efficient internal and external assessment. Consumer consciousness has also prompted companies to adopt green marketing, as customer satisfaction is critical to survival. Compelled by government regulations corporations have been taking different initiatives such as efficient packaging, reuse and recycling of packaging materials, better waste management, efficient lighting, use of renewable energy sources, and viewing compliance as an opportunity. The study however finds that in the school under study environmental education and environmental management system is extremely poor. No standards are maintained and no regulations are imposed. Investments are poor as the management is unaware of the benefits that it can achieve through environmental management system. The school has undertaken some initiatives but due to lack of training and education of the teaching and non-teaching staff, as well as students, these investments have not reaped any benefits. Schools stand to gain competitive and comparative advantage through environmental education and environmental management system. However, the authorities and the school management have now become conscious and are willing to invest in green technology. The study has highlighted the savings that can be expected just by switching over to low-power bulbs and following a discipline of switching off lights, bulbs, heaters and shutting windows. The study concludes by recommending a strategy for environmental management system that can be implemented at schools. Acknowledgments I will write this one Chapter 1 1 Introduction This chapter begins by introducing the subject green management and highlights the importance of ââ¬Ëgreen managementââ¬â¢ through statistics and data from different sources. An overview of the subject helps to develop the study outline and evaluate which factors need to be given importance. 1.1 Background Climate change and global warming are evident from the rising annual temper atures, extreme weather changes, heat waves and from the melting ice cap and glaciers. Global warming has influenced business strategies as they try to reduce green house gas emissions, through efficient operations or through energy conservation techniques. Referring to companies such as GE, Wal-Mart and Dupont, Gunther (2006) states that smart companies know which way the wind is blowing and they use the climate change as an opportunity; they try to introduce innovation and creativity with the help of advanced
Tuesday, October 29, 2019
MIH514 - Cross-Cultural Perspectives Module 3 - Case Essay - 1
MIH514 - Cross-Cultural Perspectives Module 3 - Case - Essay Example the arrests made by the law enforcers and should one look at the actual picture, arrests are not indicators that the people arrested are the actual offenders (The Sentencing Project 2008). Moreover, based on the study, African Americans and Latinos are most likely incarcerated and in many instances receive longer sentence compared with their white counterparts. Statistics even show that African-Americans are often stopped and searched for contraband compared to their white counterparts. These are clear manifestations of racial disparity and clearly are not helping the society at large to deal with the real crime problems. Decision making bodies in the criminal justice system should make it a point that there should be no racial prejudice when dealing with criminal offenders, but instead the bail system results in higher rates of minorities being jailed before trial compared with whites in the same scenario. Minorities are also less likely to receive fair trial because of their ââ¬Å"reduced access to defense counsel and community resources and treatment optionsâ⬠(The Sentencing Project 2008). Racial disparities can be seen in the following examples: The widely discussed phenomenon ââ¬Å"driving while blackâ⬠. Study reveals that whites are less likely to be stopped and searched for contraband by police while the minorities are often being stopped and questioned (The Sentencing Project 2008). While racial disparity is an issue in the criminal justice system, mental health services in the system is equally an important matter. The Council of State Governments Justice Center in a report says that 16.9% of adults in a sample of local jails are suffering from serious mental illness. The record shows that 14% of serious mental illnesses are found in men and 31% are found in women. According still to this report, if these rates were applied to 13 million jail admissions reported only in 2007, this would mean that every year there are 2 million bookings of a person who
Sunday, October 27, 2019
Customer Loyalty Schemes in Automotive Sector
Customer Loyalty Schemes in Automotive Sector The creation of customer loyalty in the automotive sector Marketers push for brand loyalty, across all product ranges, from toothpaste to larger purchases such as a new car. Within the automobile industry there is little product differences in each segment, as partnerships, coalitions and takeovers bind manufacturers together. Each manufacturer is striving to obtain brand loyalty, not only at the point of purchase, through servicing the vehicle, supply parts and encouraging repurchases. This adds value to the organisation, and increases profits. Loyalty schemes have been a success in supermarkets and other retail outlets, can this form of marketing be transferred to the automotive industry. This paper sets out to review the current literature of the subject, discuss what loyalty schemes the automotive industry offers its customers, and to focus on one Manufacturer Volvo. Volvo have in the last decade turned around flagging sales, this was achieved through placing a higher value on their customers, who responded by increased usage of their service departments. 3.0 Introduction The ultimate obtainment for marketers would be for complete brand loyalty, across all product ranges, from toothpaste to larger purchases such as a new car. Although without any brand loyalty, organisations could not survive. So is it possible to increase brand loyalty through schemes that target the consumer? One of the hardest areas to increase brand loyalty is the automotive industry. Manufacturers are constantly offering discounts, free insurance, sales and other packages to attract new customers and to resell to existing consumers. Consumers expect a good service and deal as it will be their second largest purchase (a house being the first). The result of partnerships, coalitions and takeovers in the automobile industry has bonded manufacturers together. This has left very little product differentiation, with more marketing on the brand than product. Manufacturers have to look for different methods to attract customers. Each manufacturer is motivated to obtain brand loyalty, not only at the point of purchase, through servicing the vehicle, supply parts and encouraging repurchases. This adds value to the organisation, and increases profits. The added value can be the emotional tie the customer has with the brand. Customer loyalty is not a new notion, although it is now the focus of many PR actioners, retaining existing customers is more important than attracted new. If you lose your core customers a higher level of resources is required to maintain the same level of sales. Therefore itââ¬â¢s vital to maintain loyal customers to utilise economies of scales. Loyalty schemes have been a success in supermarkets and other retail outlets. Some schemes involve several brands collaborating to give the consumer a choice of where to spend. The question is can this form of marketing be transferred to the automotive industry. This paper sets out to review the current literature of the subject, discuss in general what loyalty schemes the automotive industry offers its customers, and to focus then on one Manufacturer Volvo. Volvo was chosen for this research as an example of using customer loyalty as a change agent to turn the organisation around. Brand loyalty is very strong with Volvo, although this did not correlate with the dealerships. Volvo has introduced methods to increase loyalty with their dealerships. They have taken loyalty a step further and strengthen all supply chains Volvo traditionally had a strong brand recognition, but went sales went into decline the organisation had to re-focus on core values. The methods that Volvo used to build the brand and to increase customer loyalty will be discussed, comparing them to the literature. We are loyal to brands; our degree differs as to how we value the closeness of the product. Can this be influence by strong marketing tactics? With such a large purchase as a vehicle can the manufacturers sway our opinion, or do we remain loyal to what we know and trust? 4.0 Methodology This chapter discusses the research methods used for the project and the justification for the choice of methods. It discusses methods that were not used, with justification of why they were not included. Included is a critique of methods selected, and with hindsight identifies any changes that would have enhanced the research. This paper evaluates brand loyalty within the automobile industry. Selection of the topic was stimulated and formed out of all manufacturers offering loyalty schemes; therefore could they individual schemes succeed. The nature of the research was discussed with colleagues and fellow students this not only added practical ideas and suggestions, it opened new avenues of thought. This was the discussed with lecturers sounding out ideas, gauging opinions and clarifying the question. Focusing in on the question was obtained by employing relevance trees, narrowing the research area. This gave direction tithe research, although with reviewing the literature this changed several times (Buzan, J. 1995). Next, a research proposal was compiled, with the benefit of organising ideas and setting a time-scale for research. Theoretically, the proposal would highlight any difficulties with the research question and access to data. Creating a time-scale would focus on targets and meet deadlines in the completion of the paper. The literature review, discussing theories and ideas that exist on the topic formed the foundation of the paper. The findings from the research are then tested on theories for validity (Saunders, M. et al1997). The literature review was challenging, there is very little academic research specifically on the topic area, although is a lot of research in the wider markets for example Supermarket loyalty schemes. Journals and books were the back bone for the review, together with internet sites. Tertiary data sources, such as library catalogues and indexes were used to scan for secondary data. This produced journals and newspaper articles, books and Internet addresses. With the amount of literature, it took time to sort out relevant material to the research. Narrowing down the search Bellââ¬â¢s (1993) six pointââ¬â¢s parameters was applied. Applying key words that were identified in the first search produced relevant and up-to-date material (Bell, J.1993). A limitation on the literature search was the amount of time to read all articles and books on the subject. Whilst reviewing the literature references to other publications were followed and reviewed. Bells checklist on identifying the relevance of literature found was a practical method to reduce the amount of reading (Bell, J. 1993). Ethical considerations in research fall into three categories, during design, collection, and reporting of the data. These areas were carefully considered at all stages of the research (Oppenheim,A.1996:84). The data sought throughout the research should remain within the scope of the project (Saunders, M. et al 1997). Case studies of organisations that through varying factors have use customer loyalty schemes to improve market share have been reviewed and compared to the literature. The case studies discuss the organisations strategy in the use of the data they have collected. This information was gathered from secondary data and their web sites. To produce primary data on brand loyalty within the automobile industry proved to be a vast task, taking a lot of time to produce results. Internal and external operations of several organisations would have tube compared to reach any level of validity. Instead it was decide to review previously published case studies, interviews and surveys. This was then compared to the literature review. Other methods of data collection were considered and rejected. Focus groups would have offered free flowing information. This could have been facilitated with discussion led by the researcher. The idea was rejected due to the limited resources. The major limitation of the study lies in its relatively small sample size and the limited coverage. This was mainly attributable to the limited time and other resources available for the study. 5.0 Literature review This chapter will review and discuss all the relevant published material on brand loyalty. This starts of wide to gain insight into brands and the theory that has driven brand loyalty. 5.1 Brands Kotler (2000) described a brand as a ââ¬Å"name, term, symbol, or design (oar combination of them) which is intended to signify the goods or services of the seller or groups of sellers and to differentiate them from those of the competitorsâ⬠(Kotler (2000) cited in Groucutt, J etal 2004:275). The brand is part of the products tangible features, itââ¬â¢s the verbal and physical clues that help the consumer identify what they want and to influence choice (Groucutt, J et al 2004). The actual word ââ¬Å"brandâ⬠is derived from a Norse word which means to ââ¬Å"burnâ⬠. It is assumed that this means to imprint ideas or symbols on product. This then gives the product identification and leaves lasting mark on the consumer (Groucutt, J et al 2004). Because product features are easily imitated brands have been considered a marketers major tool for creating product differentiation. Even when differentiation based on product characteristics is possible, often consumers do not feel motivated oracle to analyse them in adequate depth. Therefore the combination of brand name and brand significance has become a core competitive asset in an ever-growing number of contexts. Brands incite beliefs, evoke emotions and prompt behaviours (Aaker, D. (1991) cited in Kotler, Pand Gertner, D. 2002:249). The brand in the automobile industry is of great importance, purchasing vehicle is a status indicator for the consumer. Manufactures brand their vehicles to attract the target audience; the next step is retaining the customer to the brand. This is not just for repurchase, there is great value in retaining the customer to the brand through out the life of their purchase (Kottler, P et al . 2005). 5.0 Global Brands There are very few car manufactures products that are not a global brand. Their appeal can span in a multitude of markets. Each manufactures portfolio is designed to attract a wide audience. The rapid development of telecommunication and strong consuming capability of youth have created common demands, tastes and values globally in last two or three decades, which thus has driven international marketers to increasingly focus on the importance of global brands. In recent years, global branding has not only taken root, its in full bloom. As Peter Doyle (1998:165) said: Brands area the heart of marketing and business strategy The purpose of marketing is to create a preference for the companys brand. The trend towards global branding, moreover, is accelerating rapidly. Successful global brands are powerful to obtain a number of benefits. Consumers are willing to pay a premium price for global brands; they imply credibility, high quality and up-to-date global trend. To the consumers, brand choice somewhat reflects a certain lifestyle, taste, image or even social status beyond the product. If they feel the brand fits into this category, theyll not only prefer it, but are also willing to a higher price for it. Consumers perceive added values, itââ¬â¢s the the subjective beliefs of the customers (Doyle 1998:168). Global branding can benefit the organisation by considerably cut costs, not only because of the significant scales of economy it achieved(Aaker 2000:306) in terms of new brand development, packaging and manufacturing, but also because with global reputations can enter new markets at lower cost than new national brands: if you move into a Newmarket with a brand that is already global in scope, it reduces the cost of introductory and follow-up marketing programs. Suppliers and distributors obtain a comparatively stable marketing environment and can obtain higher profit, with less risk by trading as business partners with global brands. Therefore companies that market global brands possesââ¬â¢ powerful trade leverage, in bargaining with for efficient service and lower costs, they have more options on choosing its suppliers and retailers. Although there are many advantages to a global brand, each area has tube considered as an individual market. Firstly, culture and custom difference can lead to market difference, which enhance the difficulty of growth of global brand. To meet the different preference of consumers in different countries, global brand may have to adjust its marketing strategy accordingly and customise products. Secondly, localisation and increase in nationalism to some extent may resist the marketing development of global brands. Thirdly, the political factories considered as another main barrier to global brand. Last but not least, along with the technology improvement and product innovation, the rise of local competitors is becoming an inevitable threat to global brand. 5.3 Brand Building Once a brand is established it requires nurturing, to bring out the full potential and add value to the organisation. Kashia (1999) believes that powerful brands are built over time through a conscious management effort. This is achieved through strategic decision making and appropriate actions. All brands ââ¬Å"need tube based on values and attributes that are permanent and, purposeful and fundamental to its strategyâ⬠(Kashia (1999) cited in Groucutt, Jet al 2004:285). Therefore by creating such values in an organisation it will provide direction and a future for the brand. A brand with strong ââ¬Å"brand equityâ⬠is a valuable asset to an organisation. This asset is difficult to measure; although it has emerged as key strategic asset. A powerful brand enjoys a high level of consumer awareness and loyalty, with the organisation benefiting from lower marketing costs relative to revenues. Consumers expect more outlets to carry strong brands; therefore the organisation has more leverage when bargaining with retailers. This all adds to the ââ¬Å"brands equityâ⬠, which needs to be managed by the organisation (Kotler, P. etal 2005). This brand asset management is a concept that is closely related to positioning, since certain brands are central to a companys current and future performance. They need to be managed, enhanced and protected as assets. This allows brand names like Coca-Cola, Sony, Intel and Disney to extend into new product categories, and produce product variants and services (Kotler, P. 2004). Brand asset management is an area of increasing importance to marketers today, particularly as organisations move toward attempts to communicate ever complex and intangible messages, as part of brand management strategies (Davis, 2000; Goodchild and Callow, 2001). Brand managers are concerned with how to develop a better understanding of the appropriate relationship between brand equity and customer loyalty, particularly in relation to the multitude of known variables to customer loyalty (Davis, (2000) Goodchild and Callow (2001) cited in Taylor, S. et al 2004:219). It is vital that marketers position the brand correctly, and consider the fit with its attributes, values, culture, benefits, and personality. For example Mercedes suggests that it attributes are ââ¬Å"well engineered and well built, it is durable, high prestige, fast and expensiveâ⬠. These attributes tell the consumer the benefits and values that are placed in the product. These attributes represent the German philosophy and culture, which reassures the consumer the high value of the product. The personality of the product is wealthy, well-built and reliable (Kotler, P. 2005). Within the Motor Industry it is difficult to extend products without inexpensive development and launch of a new vehicle, although continual research and development are vital to maintaining market position. Many manufacturers have extended their brands by introducing for example clothing, toys, consumables and sporting equipment. These are retailed mainly through their network of dealerships, utilising economies of scale. These items are inclusive to them, adding value to the products(Johnson, G Scholes J 2004). The emerging literature suggests that customer brand loyalty is generally considered the ultimate desirable marketing-based outcome from strategic marketing activities (Chaudhuri, (1999) Gwinner et al.,(1998); Kumar, (1999) Mittal and Lassar (1998) Reichfeld and Schefter,(2000) Strauss and Friege, (1999) Kotler (1999) have all published article that point to loyalty as the ultimate attainment in marketing. This assertion is largely based on the growing influence of the relationship marketing orientation on marketing theory and practice (Taylor, S. et al 2004:219) 5.4 Brand Loyalty Brands have a personality and speak for the user. They enhance the perceived utility and desirability of a product. Brands have the ability to add to or subtract from the perceived value of a product. On one hand, consumers expect to pay lower prices for unbranded products or for those with low brand equities. On the other hand, they pay premiums for their treasured or socially valued brands. Brands have equity for both customers and investors. Brand equity translates into customer preference, loyalty and financial gains. Brands are appraised and traded in the marketplace. Brand equity has been pointed out to include many dimensions, such as performance, social image, value, trustworthiness and identification (Kotler, P and Gertner, D. 2002) The four types of brand loyalty are characterised as (1) No loyalty: No purchase at all, and a complete lack of attachment to the brand, no social influences to be even cognitively loyal to a brand. (2) Covetous loyalty: No purchase but, unlike the case of no loyalty, the individual exhibits a very high level of relative attachment to the brand as well as a strong positive predisposition towards the brand, which is developed from the social environment. (3) Inertia loyalty: An individual, although purchasing the brand, does so out of habit, convenience or for some other reason, but not as a consequence of emotional attachment to the brand or a real social motive. (4) Premium loyalty: An individual exhibits a high degree of relative attachment tithe brand, a high instance of repeat purchases, and appears to be highly influenced by social pressure. Premium loyalty is characterised by the greatest degree of consumer attachment to the brand, and in this case the consumer purposefully see ks to purchase the particular brand, while attempting to overcome obstacles (Gounaris, S. and Stathakopoulos, V. 2004). Chaudhuri and Holbrook (2001) proposed a model of brand loyalty that suggests that purchase loyalty tends to lead to greater market share, while attitudinal loyalty leads to higher relative brand pricing. Morgan (2000) suggests that the term loyal can be interpreted indifferent ways, ranging from affective loyalty (what I feel) to behavioural loyalty (what I do)â⬠. Thus separating loyalty into emotional and actionable (Chaudhuri and Holbrook (2001) and Morgan(2000) cited in Taylor, S. et al 2004:221). There are different levels of trust that affect brand loyalty, they are(1) calculus-based trust, the consumer believes it is in the service provider interest are not to suffer the loss of reputation and profits(2) Knowledge-based trust, as the name suggests, is based on knowing the service firm well and being able to anticipate its actions. Effective two-way communication is important for knowledge-based trust to develop because it ensures that the parties exchange information about their preferences and approaches to problems. (3) Customers with identification-based trust have full confidence in the service company and believe that it will act in their best interests. The service provider has in-depth knowledge of customers needs and desires, and customers perceive that their desires are fulfilled, and they shared values (Liljander, V. and Roos, I. 2002) In terms of brand purchase expectations, the implicit assumption is that a satisfied customer will remain loyal to the brand (all other factors being equal). In the modern automotive marketing environment, this is indeed a fair assumption to make. The degree of price competition at the retail level is so intense that, when factoring in discounts, rebates and low interest finance rates, price parity inevitably results. Furthermore, the growing oligopolisation of the manufacturing industry (e.g. Ford owning/controlling Jaguar, Mazda,Volvo and Aston Martin) and co-operation between manufacturers (e.g.Ford/VW, Ford/Nissan, GM/Toyota) has resulted in few, if any, sustainable product differences (Liljander, V. and Roos, I. 2002) Is brand loyalty resistance to change? The literature accepts that commitment is central to relationship marketing. There is a link between commitment, trust and loyalty. Pritchard et al. (1999) define commitment as ââ¬Å"the emotional or psychological attachment to a brandâ⬠. They argue that resistance to change is the root tendency of commitments well as the primary evidence of commitment, and that resistance to change is a key antecedent to loyalty (Pritchard et al. (1999) cited in Taylor, S. et al 2004:221). 5.5 Relationship Marketing Organisations should build a stronger relationship with their profitable customers. There are five different levels of relationship marketing that can be practiced. The basic level does not really involve building a relationship, for example it is when a car salesperson smiles and sells you a car and waves good-bye as you drive it off the lot. You never see him again; if you need service you talk to someone in the service department. Very few auto dealership systems succeed in building such a strong bond between the dealership and the client that the client keeps buying from the same dealership (Kotler,P. 1992:52). Reactive marketing is the next level of relating. At this level, as the salesperson waveââ¬â¢s good-bye to the customer, he says, By the way, if thereââ¬â¢s any problem, please call me. You dont have to call the service department; I am responsible for your satisfaction The employee has taken on some of the responsibility of managing the customerââ¬â¢s needs(Kotler, P. 1992:52). A higher form of relationship is accountability. At this level, the salesperson calls the new car owner within two weeks of the sale and asks how he likes the car, and if there is any way the car could have been better. Those salespeople often get an earful. The customer might say, I wish the door had a pocket for maps. I wish there was a rear window wiper. At that point, the dealer should ask, How much would it have been worth to you if the car did have a map pocket in the door and rear window wiper? That type of information will help the automobile manufacturer continuously improve its product (Kotler, P. 1992:52). Still, a higher level is proactive, where the salesperson will call the customer from time to time and say The manufacturer has developed product that will help you save fuel, its something we can add to your engine and it will reduce your fuel costs. Customers get a sense that the company still is interested in their needs. Partnerships are the ultimate form of relationship marketing. They involve actually living with the customer and are mostly confined to business-to-business relationships (Kotler, P. 1992:52). Each level requires more cost, so it is important for organisations to determine when it is worth going to the next level. Two dimensions that are particularly critical are the margin that the firm makes on the business and the number of customers making purchases. For example, allow-margin business with many customers, for example selling toothpaste would operate at the basic level. The organisation has so many customers for that product and makes so little per unit that it would not be cost-effective to develop a high-level relationship (Kotler, P.1992:52). There are five levels of response for each customer service and retention tool. Those levels vary within companies; an organisation might be reactive with respect to technical assistance, accountable with respect to service and basic in terms of value-added. The important thing is to know where your competitors stand, what is their profile with respect to relationship investments, and what things should you do to be superior to the target market. 5.6 Service Quality The organisation has to decide and implement which level of value-added service it will offer its customers. This experience of the customer will reflect in brand loyalty. Relationship marketing strategy will decide the level of service customer will receive. For example on the basic level technical assistance might be a ownerââ¬â¢s manual, yet on the reactive level perhaps help line, at the level of accountability, perhaps an occasional visit to the customer to see if the customer is using the product correctly and efficiently(Kotler, P. 1992:52). Training of employees would appropriate at the proactive level. This can offer the customer a higher level of service, making them feel valued by the organisation. Many manufacturers offer in house training to the employees within the dealerships. This not only trains employees to a similar level of customer service skills, it reinforces the brand. The customerââ¬â¢s experience of the brand is uniform across the manufacturerââ¬â¢s network (Kotler, P. 1992:52). Frequently organisations move from one strategic initiative to another with little consideration of their natural progression. This has been the case for many companies that have moved from an emphasis on quality in the 1980s, to customer satisfaction in the early 1990s, to customer loyalty and retention today. Managers proclaim that they have moved beyond quality and customer satisfaction to focus on what really matters, namely loyalty and profitability. Although it is argued that there is ââ¬Å"no such thing as moving beyond quality and satisfaction. They are essential building blocks toward building loyalty and a valuable business organisation.â⬠(Gustafsson, A. and Johnson, M. 2002:249). The service quality perceived by the customer varies across the spectrum. Relationship benefits are perceived advantages that the regular customer receives over and above the core service. These are rewards; the individual has gained over time by being a regular customer. The benefits tie him or her to the company by making it unattractive to switch providers. They may take the form of loyalty programmes, which are offered to all customers, or benefits that can be customised to individual consumers (Liljander, V. and Roos, I. 2002) . This then becomes a relationship benefit, but only when it is not offered to any customer who enters the dealership, regardless of relationship length. However, companies may believe that they are offering benefits, but only customers can tell if they are experiencing any. Therefore the level of service received is subjective (Liljander,V. and Roos, I. 2002) 5.7 Customer Value Customer value management (CVM) has become a major focus in current marketing, as value marketing has become a slogan among marketing practitioners. Sinha, I and DeSarbo, W. (1998) defined this as ââ¬Å"in the marketplace, value often is defined as quality at the right price and is seen as more important to consumers than quality, because value is quality that the consumers can afford (Sinha, I and DeSarbo, W.1998:236). Zeithaml (1988) reports considerable heterogeneity among consumers in the integration of the underlying dimensions of perceived value. They define the perceived value as a trade-off of higher order abstractions, such as perceived benefits and sacrifice, which are formed from both intrinsic and extrinsic product attributes, including texture, quality, price, performance, service, and brand name (Zeithaml(1988) cited in Sinha, I and DeSarbo, W. 1998:236). Zeithaml 1988:236) There is a strong link between relationship marketing and customer value, the higher value placed on the customer will reflect in their purchasing choices. True and spurious relationships are the extreme points on a continuum. At the lower end, customers may be behaviourally committed to the service but satisfaction is only latent. At the higher end, customers are more manifestly satisfied and more affectively committed to the service (Liljander, V. and Roos, I. 2002) Berry (2000) proposed three relationship levels of customer perceived value. These are based on financial, social and structural bonds. Financial bonds, such as loyalty programmes, are considered the weakest form and may only lead to spurious relationships Social and structural bonds are more closely related to true customer relationships. According to Berry (2000), ââ¬Å"structural bonds offer value-adding problem solutions that are not dependent on individual service representatives, and which are difficult for competitors to copyâ⬠(Berry (2000) cited inLiljander, V. and Roos, I. 2002:598) 5.8 Customer Loyalty Customer satisfaction can be considered the central determinant in all phases of the contact chain. Multi-dimensional recording of customer loyalty reveals clear differences in the interactions first with brand loyalty and, second, with dealer loyalty. In contrast to the opinion widely held in practice, customers in the automotive sector definitely do not perceive the brand and the dealer as one unit. The results obtained are so fundamental that they can be translated into implications even by internationally operating companies (Huber, F and Herrmann, A 2001) The relationship between the purchase intention and customer satisfaction has been widely investigated (for example, Oliver 1980;Bearden and Teel 1983). The evidence suggests that there is a strong positive relationship between the two. Several of these studies indicate that higher levels of satisfaction lead to greater customer loyalty (Yi (1991); Anderson and Sullivan (1993) Boulding, Staelin,Kalra, and Zeithaml (1993) all cited in Dervaraj, S. et al 2001:425) Consumers who purchase higher quality vehicles expect to receive higher quality service, therefore the assumption is made that poor service will lead to greater dissatisfaction among those that purchase the higher quality vehicles. Conlon, et al (1997) observed that ââ¬Å"customers who purchase higher quality rated vehicles are more likely to use dealer facilities to maintain their vehiclesâ⬠(Conlon, et al(1997) cited in Dervaraj, S. et al 2001:425) An explanation for such behaviour is that there is a correlation between the perception of vehicle quality and the perception of the quality of service at dealer facilities. Therefore, high customer expectations of service quality can lead to better service performance which, in turn, this positively influences customer satisfaction with service. Therefore in the higher end of the industry there is greater loyalty (Dervaraj, S. et al 2001:425) Oliver (1999) suggests that ââ¬Å"ultimate customer loyalty is a function of perceived product superiority, personal fortitude, social bonding, and their synergistic effects. His arguments generally support the assertion that measures of loyalty that are constrained only to repurchase considerations fail to capture the richness of the loyalty construct ââ¬Å" (Oliver (1999)cited in Taylor, S. et al 2004:219). If loyalty is essentially an irrational and emotional attachment to product, service or business, then marketers need to focus on elements that create this emotional attachment. In developing a strategy that draws on the irrational attitudes of consumers, brand equity plays an important role. All the elements that contribute to the development of brand equity are difficult to mea
Friday, October 25, 2019
Terrorism Essay: War on Terrorism - Round 1 :: September 11 Terrorism Essays
War on Terrorism: Round 1 The Bush Troika´s war on terrorism reached first base after installing a new government in Afghanistan. One of the poorest and most defenseless countries on earth has been bombed into rubble by a megalomaniac superpower that can see no limits to its rights of domination. The country that harbors more Southern American terrorists, executioners and dictators than anyone else in the world has shown us all what happens when others harbor wanted men! What has been achieved if we look beyond Bush's clichés, Pentagon's hype and Rumsfeld´s and Ashcroft´s rhetoric? Is the world any safer? Have the suspected evildoers been brought to justice? Has it been a "just war"? Are there less people who hate or dislike the western powers? The good news is: The Talibans are ousted. American oil companies will be able to build that pipeline and the new ruler Karzai have old ties with Unocal and supports the scheme as do others in the new interim(?) government!!! The bad news is: Between 40,000 and 60,000 innocent civilians, already oppressed by their government in Afghanistan have been killed according to independent studies. Millions more refugees have been created and the starvation has increased due to stopped relief deliveries before winter was setting in. The final death toll may rise to 3 million. The same government that was helped to power by CIA and Pakistan´s secret service in -96 now has been defeated and other known crooks, gangsters and opium sellers, responsible for the death of maybe 50,000 civilians when last in power, have again taken power, for some time or indefinitely remains to be seen. Large parts of the infrastructure in Afghanistan have been bombed into oblivion as have Red Cross buildings and important depots. Unexploded cluster bombs will cause carnage for generations. Some thousands of brainwashed Taliban soldiers, most of whom had no knowledge whatsoever of any terrorist actions outside Afghanistan, have been killed. A few hundred lower level commanders have been captured and will be questioned. The main "enemies" and raison d étre of the "war", the monster, evildoer, fanatic (etc), Bin Laden and his sidekick Mullah Omar, suspected (but not convicted) of atrocities and certainly no friends of capitalism, are not to be found even after levelling the topography of parts of the country and their whereabouts may be any place in the eastern parts of the world. Terrorism Essay: War on Terrorism - Round 1 :: September 11 Terrorism Essays War on Terrorism: Round 1 The Bush Troika´s war on terrorism reached first base after installing a new government in Afghanistan. One of the poorest and most defenseless countries on earth has been bombed into rubble by a megalomaniac superpower that can see no limits to its rights of domination. The country that harbors more Southern American terrorists, executioners and dictators than anyone else in the world has shown us all what happens when others harbor wanted men! What has been achieved if we look beyond Bush's clichés, Pentagon's hype and Rumsfeld´s and Ashcroft´s rhetoric? Is the world any safer? Have the suspected evildoers been brought to justice? Has it been a "just war"? Are there less people who hate or dislike the western powers? The good news is: The Talibans are ousted. American oil companies will be able to build that pipeline and the new ruler Karzai have old ties with Unocal and supports the scheme as do others in the new interim(?) government!!! The bad news is: Between 40,000 and 60,000 innocent civilians, already oppressed by their government in Afghanistan have been killed according to independent studies. Millions more refugees have been created and the starvation has increased due to stopped relief deliveries before winter was setting in. The final death toll may rise to 3 million. The same government that was helped to power by CIA and Pakistan´s secret service in -96 now has been defeated and other known crooks, gangsters and opium sellers, responsible for the death of maybe 50,000 civilians when last in power, have again taken power, for some time or indefinitely remains to be seen. Large parts of the infrastructure in Afghanistan have been bombed into oblivion as have Red Cross buildings and important depots. Unexploded cluster bombs will cause carnage for generations. Some thousands of brainwashed Taliban soldiers, most of whom had no knowledge whatsoever of any terrorist actions outside Afghanistan, have been killed. A few hundred lower level commanders have been captured and will be questioned. The main "enemies" and raison d étre of the "war", the monster, evildoer, fanatic (etc), Bin Laden and his sidekick Mullah Omar, suspected (but not convicted) of atrocities and certainly no friends of capitalism, are not to be found even after levelling the topography of parts of the country and their whereabouts may be any place in the eastern parts of the world.
Thursday, October 24, 2019
Managing Diversity in the Workplace
Many people believe that discrimination is a thing of the past. They acknowledge that discrimination in the workplace was a serious problem in earlier times. In the present times, there is already heightened awareness of the problem, as well as the significant legal and financial consequences, have eliminated most forms of discrimination.Aside from globalization, ââ¬Å"multiculturalismâ⬠has become one of the buzzwords of the Information Age. Multiculturalism connotes diversity in culture and society. In realization of the diversity in American culture, multiculturalism has its roots in the things that separate people from each other. Varieties of multiculturalism go in different directions; but whether radical or liberal, whether emphasizing power or weakness and the distinct contributions of each ethnic group, multiculturalism keeps coming back to its roots in the word ââ¬Å"differenceâ⬠.The ideal of diversity, the mixing of things up, spreading the wealth, creating a n ew concept of ââ¬Å"usâ⬠, never quite ensued rapidly. In relating to racial, ethnic and sexual identity, multiculturalism carved out discrete areas of high visibility but kept those areas self-contained. Since the middle of the 1990's, dissatisfaction with this situation has been widespread, especially as the very concept of race has been forcefully called into question. Black may have been beautiful in the 1960's, and powerful in the 1970's, but it has also become increasingly viewed by cultural historians as a social construct, one fixed in place only by racism itself (Cotter, 2001).As most of the people leading America's major institutions have grown up in segregated communities with segregated schools, they have had limited opportunities to interact with people from different cultures-people whose first language may not be English, or whose skin color is not the same as their own. Many of these leaders have internalized all the stereotypes about race, gender, sexual orient ation and ethnicity that are built into the structures of our society and our organizations.They are ill prepared for the heterogeneity which exists in most organizations today and will surely exist in all organizations tomorrow. The dramatic changes that are upon us are creating an imperative to consider real integration of all workersââ¬ânot as a matter of social justice or civil rights, but as a necessity for survival (Cross, 2000, p. 2).Despite the fact that there are laws that inhibit, discrimination still exists in many corporations. Class-action discrimination lawsuits are still being settled every day to the tune of millions of dollars. For example, Texaco settled a $176.1 million racial discrimination lawsuit involving 1,400 employees;Ford Motor Company agreed to pay $3 million to settle allegations that women and minority applicants were discriminated against in the hiring process at several Ford plants; and Coca-Cola settled a racial discrimination lawsuit for $192.5 million. Currently, unsettled suits alleging workplace discrimination are pending at organizations ranging from Johnson & Johnson and BellSouth to the National Football League (George and Jones 2005, 341).In someone's place of employment, for example, what does it mean when individual differences are distributed unequally across organizational levels or among work functions? What are the implications of some members holding majority status while others are minorities in respect to representation with the organization?The daily work challenges faced by minority cultures or populations in organizations can range from having to deal with misunderstandings and lack of sensitivity on the one hand to suffering harassment and discrimination, active or subtle, on the other. In respect to race relations in the workplace, a Fortune magazine article once concluded: ââ¬Å"The good news is, there's plenty of progress for companies and employees to talk about.â⬠¦ But what often doesn't get s aid, especially in mixed-race settings, is how much remains to get doneâ⬠(Mehta 2000, p. 182).A recent study revealed that when rà ©sumà ©s are sent to potential employers, those with white-sounding first names, such as Brett, received 50 percent more responses than those with black-sounding first names, such as Kareem. The fact is that such bias can still be limiting factors in too many work settings (Columbus Dispatch, 2003). Prejudice, or the holding of negative, irrational opinions and attitudes regarding members of diverse populations, sets the stage for diversity bias in the workplace.Such bias can result in discrimination that actively disadvantages individuals by treating them unfairly and denying them the full benefits of organizational membership. This means that even though organizations are changing today, people are still aware that most senior executives in large organizations are older, white, and male. There is still likely to be more workforce diversity at l ower and middle levels of most organizations than at the top.In seeing diversity, one common theme in some approaches is that ââ¬Å"diversity is about all kinds of difference.â⬠However, this view takes us down a dead-end road. Surely, the goal of management in general is just that: ââ¬Å"managing all kinds of difference.â⬠It is clear that what isà needed from a field that is called ââ¬Å"managing diversityâ⬠are theories and practices that help organizations reduce discrimination and enable employees who are increasingly diverse by race, gender, sexual orientation and ability to work together effectively.Managers not only need to be competent in basic management skills, they need to learn how to apply those skills competently and comfortably when the employees in their charge are not like them. They need to know how to apply the organization's policies and practices equitably to all employees.When managers become aware of evidence of potential discrimination, they need to pay immediate attention and act proactively to address the potential problem and perhaps change the organization's policies and practices. The management and leadership implications should be summed up in the concept of managing diversity. R. Roosevelt Thomas Jr. (1992) defines this as the process of comprehensively developing a work environment that is for everyone, that allows ââ¬Å"all kinds of people to reach their full potential.â⬠To help guide others in managing diversity, he poses these questions: (1) ââ¬Å"What do I as a manager need to do to ensure the effective and efficient utilization of employees in pursuit of the corporate mission?â⬠(2) ââ¬Å"What are the implications of diversity for the way I manage?â⬠When all managers can answer these questions positively Thomas calls the organization ââ¬Å"diversity mature.â⬠In such organizations, there is a diversity mission as well as an organizational mission; diversity is viewed as a strat egic imperative and the members understand diversity concepts. Ultimately, Thomas & Woodruff (1999) considered the basic building block of a diversity-mature organization is to become the ââ¬Å"diversity-mature individualâ⬠. According to Thomas & Woodruff, a ââ¬Å"diversity-mature individualâ⬠is someone who can positively and honestly answer the nine questions posed in The Effective Manager 2.1:Are You Mature on Diversity?1.à à à à à Do you accept personal responsibility for improving your performance?2.à à à à à Do you accept personal responsibility for improving your organization's performance?3.à à à à à Do you understand yourself and your organization?4.à à à à à Do you understand important diversity concepts?Do you make decisions involving differences based on ability to meet job requirements? Do you understand that diversity is complex and accompanied by tensions? Are you able to cope with complexity and tensions in addr essing diversity? Are you willing to challenge the way things are? Are you willing to learn continuously?In a research reported by the Gallup Management Journal (December 2001), revealed that establishing a racially and ethnically inclusive workplace is good for morale. In a study of 2014 American workers, those who felt included were more likely to stay with their employers and recommend them to others. Survey questions asked such things as: ââ¬Å"Do you always trust your company to be fair to all employees?â⬠ââ¬Å"At work, are all employees always treated with respect?â⬠ââ¬Å"Does your supervisor always make the best use of employees' skills?â⬠they have gathered a conclusion that organizational culture of inclusivity counts both in terms of respect for people and in building organizational capacities for sustainable high performance.Thus, managers and business leaders today find that managing diversity makes good business sense as a strategic imperative, not ju st a legal and moral one. A diverse workforce offers a rich pool of talents, ideas, and viewpoints useful for solving the complex problems of highly competitive and often-uncertain environments. No doubt that well-managed workforce diversity increases human capital. If we are to succeed in helping our organizations and our society become more equitable, more open, more inclusive and more profitable, we must not fall into power struggles between the management and its subordinates.There is still no panacea that would eventually eliminate racial and gender biases, but in working together to the advantage of everyone will somehow dissolve the various barriers that impede productive output and understanding our fellowmen. This is because the success of an organization mainly lies on a common consensus that considers diversity to be an opportunity for everyone in an organization to learn from each other and harness each otherââ¬â¢s cooperation in order to improve the quality of the pe rformance ââ¬â as an individual, as a group and as a company.ReferencesColumbus Dispatch. (2003, January 17). Racism in Hiring Remains, Study Says. p. B2.Cross, E. Y. (2000). Managing Diversityââ¬âThe Courage to Lead. Westport, CT: Quorum Books.Gallup Management Journal. (2001, December). The Most Inclusive Workplaces Generate the Most Loyal Employees. Gallup Group.George, Jennifer M. & Jones, Gareth R. (2005). Understanding and Managing Organizational Behavior, (4th ed.), New York: Prentice-Hall ââ¬â Pearson Education Company.Mehta, Stephanie N. (2000, July 10). What Minority Employees Really Want, Fortune, pp. 181ââ¬â186.Thomas, R. Roosevelt Jr. (1992). Beyond Race and Gender (New York: AMACOM), p. 10Thomas, R. Roosevelt Jr. & Woodruff, Marjorie I. (1999).Building a House for Diversity (New York: AMACOM).
Wednesday, October 23, 2019
Cultural Approach Towards Brandsing by Starbucks
Study of cultural approach taken by Starbucks to branding in global marketplace ABSTRACT: _The international marketing promises to solve managerial problems using technical and universalizing approach. Ethnocentric approach to branding is been adopted by the researchers. As the global market develops this seems to be problematic. Thus it is important that some key premises and foundation needs to be revised. The branding research needs to be historically and contextually grounded, polycentric in orientation, and acutely attuned to the symbolic significance of brands of all types. INTRODUCTION: Brands are going everywhere in the global popular market. The Nike tick mark, the Coco-Cola symbol or McDonaldââ¬â¢s M triggers tens and hundreds of responses. Brands are becoming integral part of our culture thus there is a great need for international marketing scholars to change with the changing global market condition and also contribute to the public dissonance of branding practices. T he theory and tools available are not sufficient to analyze the complexity of globalization and the brands role in it. The international marketing still does not suggest the appropriate theoretical and methodological challenges brought by globalization, and also in branding. AIM: Study of cultural approach taken by Starbucks to branding in global marketplace. OBJECTIVE: Theoretical and methodological blueprint for studying the cultural role of Starbucks in global market. LITERATURE REVIEW: 1. A* Cultural Approach to Branding in the Global Marketplace*. Review: Related Questions: Premises: What cultural differences (national, regional) do branding strategies embed? How have different branding concepts and theories emerged and for what purposes? Analytical approach: How do traditional brand landscapes affect globalized brands? How do brands at different geographical scales interact in market space? What kinds of mythic elements make for good brand stories? Can we predict the emergence of ââ¬Å"antibrandsâ⬠(e. g. , Mecca Cola, fair trade)? Units of analysis: How do brands globalize? To what degree do various brand architectures translate across cultures? Is it possible to develop an archive of commercially compelling narrative elements? Review: The Starbucks Brandscape and Consumersââ¬â¢ (Anti-corporate) Experiences of Globalization Review: Significance of Research: Help Starbucks understand the cultural effect on globalization. Help Starbucks to adopt appropriate strategy depending on the cultural aspects and consumer behavior geographically. Data collection: Journals from Internet. Personal visit to Starbucks. Interview with the staff and manager of Starbucks. BIBLOGRAPHY: Burgess, Steven M. and Jan-Benedict E. M. Steenkamp (2006), ââ¬Å"Marketing Renaissance: How Research in Emerging Consumer Markets Advances Marketing, 23 (4), 337ââ¬â56. Aaker, Jennifer and Patti Williams (1998), ââ¬Å"Empathy Versus Pride: The Research, 25 (December), 241ââ¬â61.
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