scholarly journals Leveraging social network sites for new product launch

2017 ◽  
Vol 117 (10) ◽  
pp. 2400-2416 ◽  
Author(s):  
Deborah Lynn Roberts ◽  
Marina Candi ◽  
Mathew Hughes
Keyword(s):  
Social Network ◽  
Online Survey ◽  
Word Of Mouth ◽  
Social Network Sites ◽  
New Product ◽  
Product Launch ◽  
Societal Implications ◽  
Media Campaigns ◽  
Content Type ◽  
New Product Launch

Purpose The ability to make use of social network sites (SNSs) to promote new products and facilitate positive word of mouth around new product launch (NPL) presents an important opportunity. However, the mechanisms and motivations of SNS users are not well understood and businesses frequently fail to realise these opportunities. The purpose of this paper is to examine some of the forces that motivate people to spend time on SNS sites and how these motivations are related with people’s propensity to engage in behaviours that can be beneficial for NPL. Design/methodology/approach Hypotheses are tested using data collected using an online survey from a broad sample of SNS users worldwide. Findings People who spend time on SNSs to be challenged, to escape, or to connect with others are more likely than other users to pay attention to advertisements on SNS. Users that spend time on SNSs in the pursuit of information, to be challenged, or to connect with others are more likely than other users to provide word of mouth reviews and recommendations about products. Research limitations/implications The authors make an empirical contribution to knowledge by providing evidence about the categories of user motivations for engagement with SNSs that might be related with their contributions to NPL activities, namely, paying attention to advertisements and providing WOM recommendations. Practical implications By understanding what motivates SNS users, firms can identify potentially valuable users and develop a more strategic and targeted approach to NPL. This can help firms turn disappointing social media campaigns into more successful ones. Social implications Whilst the growth in usage of SNS has important implications for business and NPL there are also wider societal implications. Arguably, even before the widespread adoption of SNSs, society has been in a state of flux and transition as people sought to liberate themselves from the norms and social codes of previous generations. We have witnessed a rise of individualism, associated with values such as personal freedom and where people actively construct their own identities. Somewhat ironically, individualism has motivated people to seek alternative social activities and form communities, such as those on SNSs where they can fulfil their need for connection and belonging. SNSs appear to have accelerated this trend. Originality/value This study provides new insights about the use of SNSs for NPL and what motivates users to engage in behaviours that are beneficial to NPL.

The influence of subjective characteristics of social network sites on consumers' word-of-mouth sharing

2020 ◽  
Vol 44 (5) ◽  
pp. 977-994
Author(s):  
Yan Li ◽  
Ruijuan Wu ◽  
Dongjin Li
Keyword(s):  
Social Network ◽  
Structural Equation ◽  
Online Survey ◽  
Word Of Mouth ◽  
Social Network Sites ◽  
Positive Influence ◽  
Equation Modeling ◽  
Content Type ◽  
Interpersonal Closeness ◽  
Significant Positive Influence

PurposeThe purpose of this paper is to examine how subjective characteristics of social network sites (SNSs) affect consumers' positive and negative word-of-mouth (WOM) sharing.Design/methodology/approachThe data used for this study were obtained from an online survey with a sample size of 369 consumers. Structural equation modeling was performed to test hypotheses and examine the research questions.FindingsThe authors found that the perceived anonymity of an SNS is negatively correlated with its perceived interpersonal closeness of friends, and the number of friends in an SNS is positively correlated with its perceived interpersonal closeness of friends. With regard to positive WOM, the perceived anonymity of the SNS has a significant negative influence on consumers' WOM, and both perceived interpersonal closeness and the number of friends have a significant positive influence on consumers' WOM. But, in the case of negative WOM, only perceived interpersonal closeness of friends has a significant positive influence on consumers' WOM.Practical implicationsWhen attempting to promote positive WOM, marketers should choose consumers who possess the “right” subjective characteristics of SNSs (i.e. low anonymity, high interpersonal closeness of friends and a large number of friends). At the same time, marketers should monitor the emergence of consumers' negative WOM, especially those consumers who have a high level of interpersonal closeness of friends in SNSs, and respond to the content of negative WOM without delay.Originality/valueThis study investigates the influence that subjective characteristics of SNSs have on consumers' WOM sharing and therefore contributes to the literature on the antecedents of WOM generation and also contributes to the research that compares positive WOM with its negative counterpart.

Relevance of salespeople profiles: an analysis in an emerging economy

2019 ◽  
Vol 38 (4) ◽  
pp. 433-448
Author(s):  
Luis Arditto ◽  
Jesus Cambra-Fierro ◽  
Ana Olavarría ◽  
Rosario Vazquez-Carrasco
Keyword(s):  
New Product ◽  
Emerging Economy ◽  
Sales Force ◽  
Structural Equations ◽  
Product Launch ◽  
General Interest ◽  
Retail Sector ◽  
Content Type ◽  
New Product Launch ◽  
The Impact

Purpose The purpose of this paper is to analyze the impact of the salespeople profile (i.e., effort, commitment and creativity) – and its degree of market orientation (MO) – on the success of new product launch and sales outcomes. An emerging economy context is taken as a reference. Design/methodology/approach A structural equations model is proposed. The data are based on a sample of retail sector sales managers in Peru. Findings The results indicate that salespeople effort, creativity and degree of MO influence overall sales performance. Salespeople commitment, however, does not have a significant impact. These antecedents are helpful when attempting to understand both the potential success of a new product and sales outcomes. Originality/value There is no evidence to date of studies that simultaneously assess the impact of seller profiles and degree of MO on new product launch success and sales outcomes. This paper breaks new ground in analyzing this phenomenon in the context of an emerging economy. The findings are of general interest both for sales force management and for companies interested in familiarizing themselves with the peculiarities of emerging economies and the potential need to adapt policies to these specific realities.

Cost of quality consideration following product launch in a present worth assessment

2016 ◽  
Vol 33 (3) ◽  
pp. 399-413 ◽  
Author(s):  
Jeff Guinot ◽  
Dustin Evans ◽  
M. Affan Badar
Keyword(s):  
New Product ◽  
Cash Flows ◽  
Product Launch ◽  
Potential Cost ◽  
Content Type ◽  
Cost Of Quality ◽  
New Product Launch ◽  
Present Worth ◽  
Automobile Manufacturer ◽  
The Impact

Purpose – The purpose of this paper is to investigate the impact of costs of quality on the present worth (PW) of a new product launch at a North American automobile manufacturer. Design/methodology/approach – The paper is based on the examination of various cash flows associated with a new product launch within an automobile manufacturer. Standard cash flows and a PW analysis were examined and compared to non-standard cash flows which take into consideration post-launch cost of quality (CoQ). A sensitivity analysis was used to determine if any CoQ factors affected the integrity of the product launch. Findings – The paper concludes that there is an impact on the PW of a program when CoQ is considered as a cash flow element. CoQ should be considered in a product launch PW analysis preceding any commitment to invest. Research limitations/implications – This study suggests that, given data on the costs that will accrue assuming standard quality concerns following product launch, and the occurrence of special cause issues, the business case can establish a better estimate of the costs a program will face under varying levels of post-launch quality. An understanding of the potential cost consequences of quality issues can shape the understanding of the risks in a planned project. Practical implications – The paper shows that CoQ can have a significant impact on a PW analysis. CoQ concerns should be considered during pre-launch planning of a new product. Originality/value – The paper satisfies the need to study when a manufacturer considers investment in the launch of a new product with CoQ concerns.

scholarly journals The impact of information integration on purchase order finance and new product launch: a case study

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Min Zhang ◽  
Qiuping Huang ◽  
Xiande Zhao ◽  
Lijun Ma
Keyword(s):  
Information System ◽  
Supply Chain ◽  
Social Interaction ◽  
Information Integration ◽  
System Integration ◽  
New Product ◽  
Product Launch ◽  
Content Type ◽  
New Product Launch ◽  
Information System Integration

PurposeIn this study, we examine the implementation of purchase order finance (POF) which is an innovative supply chain finance (SCF) solution by an innovative SCF lender (i.e. supply chain service provider (SCSP)). The effect of information integration between the SCSP (lender) and product designers (borrowers) on the lender's POF decisions and the borrowers' new product launch is investigated.Design/methodology/approachWe conduct a case study in the Chinese smartphone industry. A mixed methods design is used, and data are collected from both the supply chain service provider (SCSP) and product designers. We first conduct a qualitative study. Hypotheses are developed concerning the relationships between information integration, in terms of social interaction and information system integration, POF and new product launch. We then conduct a quantitative study. The multilevel structural equation modelling method is used to test the hypotheses.FindingsWe find that information system integration is positively associated with POF but has no significant effect on new product launch. Social interaction is negatively associated with POF but positively associated with new product launch. POF is positively associated with new product launch.Originality/valueThis study contributes to the literature by empirically examining the implementation of POF from both the lender's and borrower's perspectives. We find that information system integration and social interaction have different effects on POF and new product launch. The results thus provide insights into how a lender makes POF decisions and reveal the benefits of POF for borrowers.

The role and impact of firm’s strategic orientations on launch performance: significance of relationship orientation

2016 ◽  
Vol 31 (5) ◽  
pp. 625-639 ◽  
Author(s):  
Minna Matikainen ◽  
Harri Terho ◽  
Petri Parvinen ◽  
Anne Juppo
Keyword(s):  
New Product ◽  
Product Launch ◽  
Cross Sectional ◽  
Content Type ◽  
Strategic Orientations ◽  
New Product Launch ◽  
Relationship Orientation ◽  
Performance Effects ◽  
Mediating Mechanisms

Purpose This study examines the role and relative impact of market orientation, product orientation and relationship orientation on new product launch performance, investigating product advantage and market-based assets as alternative mediating mechanisms, which link these strategic orientations to launch performance. Design/methodology/approach Survey data from the pharmaceutical industry are used to test hypotheses in the research model using partial least squares modeling. Findings Findings show that while each examined strategic orientation relates positively to launch performance, their performance effects and related mechanisms vary significantly. Results demonstrate a firm’s relationship orientation is the strongest predictor of launch performance, and accumulated market-based assets represent an alternative relational mediator besides product advantage linking firms’ orientations and launch performance. Research limitations/implications The empirical study is based on cross-sectional data collected in one specific industry sector. The authors encourage researchers to confirm the key findings in different industry and other contextual settings. Practical implications New product launch can be effectively managed as a relational activity. Firms benefit from paying explicit attention to strategic orientations and relationships. Especially, top management should foster a relationship-oriented organizational culture, develop relational competences and fully use the firm’s accumulated market-based assets for increased launch performance. Originality/value The study extends knowledge on the role of strategic orientations in launch performance by highlighting the significance of relationship orientations and providing novel knowledge on the key mediating mechanisms between strategic orientations and launch performance.

The fall of smart organic fertilizer: can it be revived?

2015 ◽  
Vol 5 (6) ◽  
pp. 1-9
Author(s):  
Rozhan Abu Dardak ◽  
Farzana Quoquab
Keyword(s):  
Product Development ◽  
New Product Development ◽  
Organic Fertilizer ◽  
New Product ◽  
Product Launch ◽  
Strategic Marketing ◽  
Research Centre ◽  
Content Type ◽  
New Product Launch ◽  
The Government

Subject area Entrepreneurship, Strategic Marketing, Innovation, New Product Development (NPD). Study level/applicability This case is suitable to be used in advanced undergraduate and MBA/MSc. Case overview This case illustrates the challenges related to designing and launching an innovative product in the market. It revolves around the issues pertaining to smart organic fertilizer's (SOF) pre- and post-launch experiences. Haji Sani Kimi, a Senior Research Officer of the Strategic Research Centre at MARDI, had developed a zeolite-based organic fertilizer which he believed to be the first of its kind in Malaysia. He had taken five years to complete his research in developing SOF. Seeing its potential benefits for the land and farmers, the then Director General of MARDI asked Sani to speed up the process of technology transfer to be the first to launch the product in the market. In 2005, MARDI established a five-year agreement with Hicotech Sendirian Berhad to license its intellectual property rights (IPR). Adnan, a successful automobile business entrepreneur, ventured into the organic fertilizer business, as this product was in high demand and extensively used by paddy farmers in Malaysia and was subsidized by the government. However, Hicotech failed to get government contract to supply organic fertilizer under the government subsidy program. As such, it had to compete in the open market which was dominated by already-established Chinese entrepreneurs. At the beginning, SOF was doing well in the market, but, during 2007, Hicotech experienced great financial loss due to its mismanagement of collecting payment from its customers. Hicotech tried to work in partnership with ABH Mega Sendirian Berhad to overcome its financial difficulties. However, due to some disagreements, the collaboration was terminated within a short period of time. From 2005 to the end of 2009, Hicotech was not able to pay any royalties to MARDI and the license of Hicotech was to expire in February 2010. Haji Sani was trying to get a solution to revive SOF in the market. Moreover, he was confused whether to renew the license of SOF IPR with Hicotech or to search for another company. Expected learning outcomes Using this case, students can learn how a small- and/or medium-scale companies can strategize their new product launch. Based on the given industry scenario, students can realize the potential challenges that are related to launching a new product. Furthermore, this case demonstrates that producing a high-quality product is not enough to succeed in the market; the right strategy also plays an important role in making it successful. Last, it can be also learned that proper managerial control and financial support are two important factors that contributes in any business success. Overall, strategic marketing/management students will learn the importance of adopting proper strategy, while the students who are undertaking the new product development course benefit by seeing the practical situation of a new product launch, its rise and its fall. Supplementary materials Teaching notes are available for educators only. Please contact your library to gain login details or email [email protected] to request teaching notes.

Commercialization of the coconut dehusker and defibering machine: don’t lose your courage Md Akhir

2016 ◽  
Vol 6 (2) ◽  
pp. 1-18
Author(s):  
Rozhan Abu Dardak ◽  
Farzana Quoquab
Keyword(s):  
Product Development ◽  
New Product Development ◽  
Agricultural Research ◽  
New Product ◽  
Product Launch ◽  
Strategic Marketing ◽  
Research Centre ◽  
Innovative Product ◽  
Content Type ◽  
New Product Launch

Subject area Entrepreneurship, Strategic Marketing, Innovation, New product development (NPD). Study level/applicability This case is suitable to be used in advanced undergraduate, and MBA/MSc. Case overview This case illustrates the challenges related to commercializing an innovative product, the coconut dehusking machine in the Malaysian market. It revolves around the issues pertaining to the pre and post-lunch activities and bottleneck of the coconut dehusking and defibering (CDD) machine which was developed by Md Akhir in July 2003. Md Akhir, the senior research officer at Mechanization and Automation Research Centre, Malaysian Agricultural Research and Development Institute (MARDI), believed that it was the first coconut dehusker in Malaysia. During 2000, farmers used to dehusk coconut manually, as there was no readily available machine to help them. Thus, Md Akhir felt the necessity to innovate such a machine that could help the farmers to dehusk efficiently in comparatively less effort and time. From 2003 to 2005, he presented his innovation in several national and international exhibitions and received accolades for such innovative product. In 2005, MARDI signed the memorandum of agreement of five years to license the CDD with Phytofolia Sendirian Berhad without having Md Akhir’s consent. Phytofolia was a comparatively new company owned by two entrepreneurs – Azmin Samin and Abd Hamid. During 2007, Phytofolia changed the specification of the CDD without informing to Md Akhir. Furthermore, two machines were sold to a company in Papua New Guinea, but no feedback was sought about the performance of the modified CDD. The price of CDD was set very high and thus the local farmers refused to buy it. In 2009, Hamid left Phytofolia due to disagreement with his business partner. He collaborated with Mr Sigiarno a venture capitalist from Indonesia and offer MARDI RM200,000 up-front to buy the IP of the CDD. At the end of the contract, Phytofolia failed to pay the royalty to MARDI and the contract ended in 2010. By seeing the fall of memorandum of agreement, MARDI asked Md Akhir to decide the next step whether to sign new agreement with Phytofolia, to sign agreement with Hamid’s newly formed company Kelapa Gading, to giving up commercialization and provide this machine to the farmers free of cost or to create a start-up company, fabricate and market the CDD. Md Akhir was really confused about which way to go! Expected learning outcomes Using this case, students can learn how a small and/or medium scale company can strategize its new product launch. Based on the given industry scenario, students can realize the potential challenges that are related to launching a new product. Furthermore, this case demonstrates that producing a high-quality product is not enough to succeed in the market; right strategy also plays an important role in making it successful. Finally, it can be also learned that proper marketing strategy, good coordination and communication with support companies as well as internal harmony are three important factors that contributes in any business success. Overall, entrepreneurship students will learn how to use the opportunity and manage the innovation. On the other hand, strategic marketing students will learn the importance of adopting proper strategy, while the students who are undertaking the new product development course will be benefited by seeing the practical situation of a new product launch, its rise and its fall. Supplementary materials Teaching notes are available for educators only. Please contact your library to gain login details or email [email protected] to request teaching notes. Subject code CSS 3: Entrepreneurship

“Click like if you like it”: the effect of directional posts on social network sites

2017 ◽  
Vol 41 (5) ◽  
pp. 672-690 ◽  
Author(s):  
Manuela López ◽  
Maria Sicilia ◽  
Peeter W.J. Verlegh
Keyword(s):  
Social Network ◽  
Experimental Design ◽  
Design Methodology ◽  
Word Of Mouth ◽  
Social Network Sites ◽  
Marketing Channel ◽  
Electronic Word Of Mouth ◽  
Content Type ◽  
Consumer Responses ◽  
Everyday Lives

Purpose Social network sites (SNSs) are an important part of consumers’ everyday lives, and have been recognized as a useful marketing channel. However, little is known about how brands should communicate in order to be more effective and maximize the diffusion of electronic word of mouth (eWOM) in these platforms. The purpose of this paper is to explore the effect of directional posts on consumers depending on previous diffusion of the post and consumers’ connectivity. Design/methodology/approach A between-subjects experimental design was used. The sample consisted of 369 individuals. Findings The results show that directional posts only enhance the intention to spread eWOM and the attitude toward the product when the brand post was highly diffused. This effect is stronger among highly connected consumers (hubs) than among less well-connected individuals. Originality/value To the best of the authors̓ knowledge, this is one of the first studies to analyze the persuasiveness of marketers’ explicit encouragements to “like” brand posts, a tactic known as directional posts. The study investigates whether and how consumer responses to directional posts are influenced by responses from others and by the number of connections that consumers have within the SNSs.

Social network sites: early adopters’ personality and influence

2017 ◽  
Vol 26 (1) ◽  
pp. 42-51 ◽  
Author(s):  
Theo Lynn ◽  
Laurent Muzellec ◽  
Barbara Caemmerer ◽  
Darach Turley
Keyword(s):  
Social Network ◽  
Personality Traits ◽  
Information Sharing ◽  
Online Survey ◽  
Negative Impact ◽  
Social Network Sites ◽  
Content Type ◽  
Early Adopters ◽  
Industry Standard ◽  
Leadership Impact

Purpose This paper aims to provide a social network site influence (SNSI) profile of early adopters. This study explores the relationship between personality traits of early adopters of social network sites (SNS), their propensity to share information and rumors and their general SNSI. Design/methodology/approach An online survey was sent to the first users of Twitter (n = 200) and Google+ (n = 130) to assess their personality traits. Answers of each respondent were matched to their SNSI scores from Klout and PeerIndex, the industry standard for measuring SNSI. Findings Early adopters of SNS, in comparison to market mavens, are more likely to exert influence on one particular topic related to their profession: technology and the internet. Their levels of extraversion, openness and conscientiousness have a positive and significant impact on information sharing, and a negative impact on rumor sharing. Both, information sharing and rumor sharing have a positive and significant impact on the general SNSI of early adopters. Originality/value Firms struggle to decide whether to invest early in the life of newly created SNS as they are unsure about the characteristics of early adopters of such networks, and, more importantly, whether these sites are effective initial vectors for word-of-mouth. The findings demonstrate that early adopters’ influence (SNSI score) is on par with that of the rest of SNS users, suggesting their influence may be somewhat limited. The study also shows that the opinion leadership impact of the more influential early adopters is monomorphic in nature, being mainly confined to the related technology and internet domains.

New product launch actions and firm performance

2018 ◽  
Vol 12 (1) ◽  
pp. 79-105 ◽  
Author(s):  
Yang Liu ◽  
Peng Cheng ◽  
Dingtao Zhao
Keyword(s):  
Firm Performance ◽  
Fixed Effects ◽  
New Product ◽  
Superior Performance ◽  
Product Launch ◽  
Firm Reputation ◽  
Content Type ◽  
New Product Launch ◽  
Two Factors ◽  
Fixed Effects Regression

Purpose This paper aims to examine the effect of new product launch actions and firm reputation on firm performance in the Chinese auto industry. Design/methodology/approach This analysis adopts empirical data from 66 auto firms in China’s auto market from 2007 to 2012 to explore how new product launch actions undertaken by a firm can contribute to achieving superior performance and to investigate the relationships between new product launch actions and firm performance. Moreover, how firm reputation interacts with new product launch actions to affect firm performance is also investigated. Fixed effects regression model following the Hausman specification test was used to quantitatively examine the relationship. Findings It was concluded that the focal firm’s new product launch actions, including new product launch breadth, complexity and heterogeneity of its new repertoire of product launch actions, and firm reputation can impact its performance. Firm reputation can impact the signaling process and the capability of firms to enhance their performance via new product launch movements. Originality/value This research contributes to new product launch research by providing a more comprehensive view of competitive dynamic actions by which a firm’s performance is strengthened by examining the effects of two factors that affect performance. These factors are as follows: the characteristics in terms of breadth, complexity, and heterogeneity of new product launch actions undertaken by a firm and the characteristic of firm reputation.

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