Supplemental Material, Web_Appendix for An Investigation of Nonbeneficiary Reactions to Discretio... more Supplemental Material, Web_Appendix for An Investigation of Nonbeneficiary Reactions to Discretionary Preferential Treatments by Kimmy Wa Chan, Chi Kin (Bennett) Yim and Taeshik Gong in Journal of Service Research
Supplemental Material, Chan_Yim_Gong_Executive_Summary for An Investigation of Nonbeneficiary Rea... more Supplemental Material, Chan_Yim_Gong_Executive_Summary for An Investigation of Nonbeneficiary Reactions to Discretionary Preferential Treatments by Kimmy Wa Chan, Chi Kin (Bennett) Yim and Taeshik Gong in Journal of Service Research
The authors report results from a controlled experiment designed to investigate the impact of a b... more The authors report results from a controlled experiment designed to investigate the impact of a brand's price promotion frequency and the depth of promotional price discounts on the price consumers expect to pay for that brand. A key feature of the work is that expected prices elicited directly from respondents in the experiment are used in the analysis, as opposed to the latent or surrogate measures of expected prices used in previous studies. As hypothesized, both the promotion frequency and the depth of price discounts are found to have a significant impact on price expectations. Evidence also supports a region of relative price insensitivity around the expected price, such that only price changes outside that region have a significant impact on consumer brand choice. Further, the authors find that consumer expectations of both price and promotional activities should be considered in explaining consumer brand choice behavior. Specifically, the presence of a promotional deal when one is not expected or the absence of a promotional deal when one is expected may have a significant impact on consumer brand choice. Finally, as in the case of price expectations, consumer response to promotion expectations is found to be asymmetric in that losses loom larger than gains.
Abstract In the past few decades, the extant literature has examined the impact of RD (b) this re... more Abstract In the past few decades, the extant literature has examined the impact of RD (b) this relationship is stronger for IJVs than for WOSs; and (c) local government support appears to have a stronger moderating effect for IJVs than for WOSs on this relationship. Our study contributes to the growing literature on foreign firms’ internationalization of R&D, emerging market innovations and organizational entry modes.
This study attempts to empirically test an alternative conceptualization that directly integrates... more This study attempts to empirically test an alternative conceptualization that directly integrates perceived justice within the expectancy-disconfirmation framework. While the model acknowledges injustice as an important psychological motivator of redress seeking after service failures, the study hypothesizes that different components of injustice, namely distributive, procedural, and interactional justice, can be meaningfully integrated within the expectancy-disconfirmation model. It is found that consumers form normative recovery expectations distinctly in terms of distributive justice and procedural/interactional justice. These justice-based recovery expectations are also negatively related to recovery disconfirmation as hypothesized. The study also explored potential antecedents to consumer recovery expectations and found that each of the two justice components draws from distinct antecedents. All three tested antecedents - magnitude of service failure, switching cost, and length...
Efforts to engage customers in cocreating new products have garnered much research attention from... more Efforts to engage customers in cocreating new products have garnered much research attention from studies documenting customer cocreation’s (CC’s) positive impact on firm innovation and performance. Less research, however, has counterbalanced the bright side with the potential dark side of CC, especially as a strategy for multinational corporations (MNCs) operating in foreign markets. This study examines how MNC subsidiaries’ CC affects new product innovativeness and knowledge leakage to competitors. Adopting a broader agency perspective to recognize that subsidiaries often do not perform up to headquarters’ expectations due to both self-serving opportunism and honest incompetence, this study explores how CC effects are contingent on MNCs’ global management mechanisms. Using a dyadic managerial survey of 238 MNC subsidiaries, the authors find that MNCs can control knowledge leakage by implementing proper global integration and local adaptation mechanisms. However, CC may not improve...
For many professional services, advice adherence is a necessary condition for achieving service s... more For many professional services, advice adherence is a necessary condition for achieving service success for both customers and service providers. Despite their pivotal roles in value co-creation, typical conversational interactions often lead to low adherence. We propose that enabling a “dominance transition,” from provider dominance in the pre-advice stage to customer dominance in the post-advice stage, enhances advice adherence because it increases customers’ perceived common ground. Furthermore, providers’ consultation focus, customers’ prior knowledge, and customers’ perceived adherence effort moderate this process. Using mixed methods, including both empirical modeling and controlled and field experiments, we validate the proposed model in various contexts (healthcare, financial services, and fitness and wellness counseling). The findings establish several theoretical contributions and offer managerial implications for improving advice adherence by managing dominance transitions in conversational interactions more effectively through training service providers or even programming AI chatbots.
... behavior" in adoption of high-tech products can occur when expected technologica... more ... behavior" in adoption of high-tech products can occur when expected technological advances lead customers ... found that adoption was not significantly related to the rate of technological improvement (a ... two studies suggest a need for further research on the effects of customer ...
Offering discretionary preferential treatments (DPTs) to selected customers is a prevalent practi... more Offering discretionary preferential treatments (DPTs) to selected customers is a prevalent practice in hospitality services, yet its nature and effects on nonbeneficiaries are unclear. Drawing from social comparison and appraisal theories and relationship marketing literature, this study examines how nonbeneficiaries appraise and respond to witnessing service employees offering DPTs to others through the separate emotions of malicious and benign envy, that drive their respective contrasting reactions. Nonbeneficiaries’ relationship strength with the firm and their perceived continuity of the preferential treatment (PT) further alter the proposed effects on experiences of envy. A customer survey and three experiments (laboratory and field) consistently affirm the distinctiveness of DPT and support a dual pathway model of the mediating processes of malicious and benign envy on nonbeneficiaries’ behavioral outcomes (e.g., derogating the beneficiary, cooperating with the employee, loyal...
Offering discretionary preferential treatments (DPTs) to selected customers is a prevalent practi... more Offering discretionary preferential treatments (DPTs) to selected customers is a prevalent practice in hospitality services, yet its nature and effects on nonbeneficiaries are unclear. Drawing from social comparison and appraisal theories and relationship marketing literature, this study examines how nonbeneficiaries appraise and respond to witnessing service employees offering DPTs to others through the separate emotions of malicious and benign envy, that drive their respective contrasting reactions. Nonbeneficiaries’ relationship strength with the firm and their perceived continuity of the preferential treatment (PT) further alter the proposed effects on experiences of envy. A customer survey and three experiments (laboratory and field) consistently affirm the distinctiveness of DPT and support a dual pathway model of the mediating processes of malicious and benign envy on nonbeneficiaries’ behavioral outcomes (e.g., derogating the beneficiary, cooperating with the employee, loyal...
Supplemental Material, Web_Appendix for An Investigation of Nonbeneficiary Reactions to Discretio... more Supplemental Material, Web_Appendix for An Investigation of Nonbeneficiary Reactions to Discretionary Preferential Treatments by Kimmy Wa Chan, Chi Kin (Bennett) Yim and Taeshik Gong in Journal of Service Research
Supplemental Material, Chan_Yim_Gong_Executive_Summary for An Investigation of Nonbeneficiary Rea... more Supplemental Material, Chan_Yim_Gong_Executive_Summary for An Investigation of Nonbeneficiary Reactions to Discretionary Preferential Treatments by Kimmy Wa Chan, Chi Kin (Bennett) Yim and Taeshik Gong in Journal of Service Research
The authors report results from a controlled experiment designed to investigate the impact of a b... more The authors report results from a controlled experiment designed to investigate the impact of a brand's price promotion frequency and the depth of promotional price discounts on the price consumers expect to pay for that brand. A key feature of the work is that expected prices elicited directly from respondents in the experiment are used in the analysis, as opposed to the latent or surrogate measures of expected prices used in previous studies. As hypothesized, both the promotion frequency and the depth of price discounts are found to have a significant impact on price expectations. Evidence also supports a region of relative price insensitivity around the expected price, such that only price changes outside that region have a significant impact on consumer brand choice. Further, the authors find that consumer expectations of both price and promotional activities should be considered in explaining consumer brand choice behavior. Specifically, the presence of a promotional deal when one is not expected or the absence of a promotional deal when one is expected may have a significant impact on consumer brand choice. Finally, as in the case of price expectations, consumer response to promotion expectations is found to be asymmetric in that losses loom larger than gains.
Abstract In the past few decades, the extant literature has examined the impact of RD (b) this re... more Abstract In the past few decades, the extant literature has examined the impact of RD (b) this relationship is stronger for IJVs than for WOSs; and (c) local government support appears to have a stronger moderating effect for IJVs than for WOSs on this relationship. Our study contributes to the growing literature on foreign firms’ internationalization of R&D, emerging market innovations and organizational entry modes.
This study attempts to empirically test an alternative conceptualization that directly integrates... more This study attempts to empirically test an alternative conceptualization that directly integrates perceived justice within the expectancy-disconfirmation framework. While the model acknowledges injustice as an important psychological motivator of redress seeking after service failures, the study hypothesizes that different components of injustice, namely distributive, procedural, and interactional justice, can be meaningfully integrated within the expectancy-disconfirmation model. It is found that consumers form normative recovery expectations distinctly in terms of distributive justice and procedural/interactional justice. These justice-based recovery expectations are also negatively related to recovery disconfirmation as hypothesized. The study also explored potential antecedents to consumer recovery expectations and found that each of the two justice components draws from distinct antecedents. All three tested antecedents - magnitude of service failure, switching cost, and length...
Efforts to engage customers in cocreating new products have garnered much research attention from... more Efforts to engage customers in cocreating new products have garnered much research attention from studies documenting customer cocreation’s (CC’s) positive impact on firm innovation and performance. Less research, however, has counterbalanced the bright side with the potential dark side of CC, especially as a strategy for multinational corporations (MNCs) operating in foreign markets. This study examines how MNC subsidiaries’ CC affects new product innovativeness and knowledge leakage to competitors. Adopting a broader agency perspective to recognize that subsidiaries often do not perform up to headquarters’ expectations due to both self-serving opportunism and honest incompetence, this study explores how CC effects are contingent on MNCs’ global management mechanisms. Using a dyadic managerial survey of 238 MNC subsidiaries, the authors find that MNCs can control knowledge leakage by implementing proper global integration and local adaptation mechanisms. However, CC may not improve...
For many professional services, advice adherence is a necessary condition for achieving service s... more For many professional services, advice adherence is a necessary condition for achieving service success for both customers and service providers. Despite their pivotal roles in value co-creation, typical conversational interactions often lead to low adherence. We propose that enabling a “dominance transition,” from provider dominance in the pre-advice stage to customer dominance in the post-advice stage, enhances advice adherence because it increases customers’ perceived common ground. Furthermore, providers’ consultation focus, customers’ prior knowledge, and customers’ perceived adherence effort moderate this process. Using mixed methods, including both empirical modeling and controlled and field experiments, we validate the proposed model in various contexts (healthcare, financial services, and fitness and wellness counseling). The findings establish several theoretical contributions and offer managerial implications for improving advice adherence by managing dominance transitions in conversational interactions more effectively through training service providers or even programming AI chatbots.
... behavior" in adoption of high-tech products can occur when expected technologica... more ... behavior" in adoption of high-tech products can occur when expected technological advances lead customers ... found that adoption was not significantly related to the rate of technological improvement (a ... two studies suggest a need for further research on the effects of customer ...
Offering discretionary preferential treatments (DPTs) to selected customers is a prevalent practi... more Offering discretionary preferential treatments (DPTs) to selected customers is a prevalent practice in hospitality services, yet its nature and effects on nonbeneficiaries are unclear. Drawing from social comparison and appraisal theories and relationship marketing literature, this study examines how nonbeneficiaries appraise and respond to witnessing service employees offering DPTs to others through the separate emotions of malicious and benign envy, that drive their respective contrasting reactions. Nonbeneficiaries’ relationship strength with the firm and their perceived continuity of the preferential treatment (PT) further alter the proposed effects on experiences of envy. A customer survey and three experiments (laboratory and field) consistently affirm the distinctiveness of DPT and support a dual pathway model of the mediating processes of malicious and benign envy on nonbeneficiaries’ behavioral outcomes (e.g., derogating the beneficiary, cooperating with the employee, loyal...
Offering discretionary preferential treatments (DPTs) to selected customers is a prevalent practi... more Offering discretionary preferential treatments (DPTs) to selected customers is a prevalent practice in hospitality services, yet its nature and effects on nonbeneficiaries are unclear. Drawing from social comparison and appraisal theories and relationship marketing literature, this study examines how nonbeneficiaries appraise and respond to witnessing service employees offering DPTs to others through the separate emotions of malicious and benign envy, that drive their respective contrasting reactions. Nonbeneficiaries’ relationship strength with the firm and their perceived continuity of the preferential treatment (PT) further alter the proposed effects on experiences of envy. A customer survey and three experiments (laboratory and field) consistently affirm the distinctiveness of DPT and support a dual pathway model of the mediating processes of malicious and benign envy on nonbeneficiaries’ behavioral outcomes (e.g., derogating the beneficiary, cooperating with the employee, loyal...
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Papers by Chi Kin (Bennett) Yim