Database Marketing: A Potent Tool for Hospitality Marketers

Nearly every industry, including hospitality, has adopted database marketing techniques. Why have they become so popular and what advantages do they offer for hospitality companies? The authors examine these issues.

Market definition in industrial high-technology markets

This dissertation analyzes how marketers define markets in technology-based industries. One of the most important strategic decisions marketers face is determining the optimal market for their products. Market definition is critical in dynamic high technology markets characterized by high levels of market and technological uncertainty. Building on literature from marketing and related disciplines, this research is the first in-depth study of market definition in industrial markets. Using a national, probability sample stratified by firm size, 1,000 marketing executives in nine industries (automation, biotechnology, computers, medical equipment and instrumentation, pharmaceuticals, photonics, software, subassemblies and components, and telecommunications) were surveyed via a mail questionnaire. A 20.8% net response rate yielding 203 surveys was achieved. The market structure-conduct-performance (SCP) paradigm from industrial organization provided a conceptual basis for testing a causal market definition model via LISREL. A latent exogenous variable (competitive intensity) and four latent endogenous variables (marketing orientation, technological orientation, market definition criteria, and market definition success) were used to develop and test hypothesized relationships among constructs. Research questions relating to market redefinition, market definition characteristics, and internal (within the firm) and external (competitive) market definition were also investigated. Market definition success was found to be positively associated with a marketing orientation and the use of market definition criteria. Technological orientation was not significantly related to market definition success. Customer needs were the key market definition characteristic to high-tech firms (technology, competition, customer groups, and products were also important). Market redefinition based on changing customer needs was the most effective of seven strategies tested. A majority of firms regularly defined their market at the corporate and product-line level within the firm. From a competitive perspective, industry, industry sector, and product-market definitions were used most frequently.

Globalization of the Internet: Convergence or a multicultural community?

The purpose of this dissertation was to investigate cross-cultural differences in the use of the Internet. Hofstede's model of national culture was employed as the theoretical foundation for the analysis of cross-cultural differences. Davis's technology acceptance model was employed as the theoretical foundation for the analysis of Internet use. ^ Secondary data from an on-line survey of Internet users in 22 countries conducted in April 1997 by the Georgia Tech Research Corporation measured the dependent variables of Internet use and the independent variables of attitudes toward technology. Hofstede's stream of research measured the independent variables of the five dimensions of national culture. ^ Contrary to expectations, regression analyses at the country level of analysis did not detect cultural differences. As expected, regression analyses at the individual level of analysis did detect cultural differences. The results indicated that perceived usefulness was related to the frequency of Internet shopping in the Germanic and Anglo clusters, where masculinity was high. Perceived ease of use was related to the frequency of Internet shopping in the Latin cluster, where uncertainty avoidance was high. Neither perceived usefulness nor perceived ease of use was related to the frequency of Internet shopping in the Nordic cluster, where masculinity and uncertainty avoidance were low. ^ As expected, analysis of variance at the cluster level of analysis indicated that censorship was a greater concern in Germany and Anglo countries, where masculinity was high. Government regulation of the Internet was less preferred in Germany, where power distance was low. Contrary to expectations, concern for transaction security. was lower in the Latin cluster, where uncertainty avoidance was high. Concern for privacy issues was lower in the U.S., where individualism was high. ^ In conclusion, results suggested that Internet users represented a multicultural community, not a standardized virtual community. Based on the findings, specific guidance was provided on how international managers and marketers could develop culturally sensitive strategies for training and promoting Internet services. ^

Japanese, U.S Tourists: Hotel Selections

The author reports the results of an exploratory study concerning the importance placed on attributes of hotel selection by Japanese and American guests and cultural differences between these two groups, which represent the largest market for Korean international tourist hotels. The findings suggest that Hofstede's (1960) four dimensions of cultural values can be used to help marketers better understand their guest's hotel selection criteria.

The Influence of Purchase Confidence on Information Source Selection: Implications for Hospitality Industry

Whether the product of choice is a restaurant, vacation resort or hotel, it is important for hospitality marketers to understand how consumers treat purchase decisions and the influence purchase confidence and situation play on that decision. This study investigated the role purchase confidence plays with knowledge in the selection of sources of information during purchase decisions. The results indicate sources of information are perceived differently by consumers and depending on the purchase situation, subjective knowledge is influenced by purchase confidence affecting the source of information considered when making a purchase decision. The results also indicated that those with high purchase confidence and subjective knowledge will rely on themselves as a source when making a purchase rather than a retail clerk or published material.

Advertising effects on brand search and preference: Assessing the mediational role of *Aad and *Ab

Most advertising research has focussed at examining effects of advertising on attitudinal responses or brand preference and choice. However, in a natural environment, the time period between advertising exposure and purchase decision is filled with prepurchase search. Prepurchase external search refers to information search from sources other than memory, prior to making a purchase decision. Usually consumers access only a small subset of available information and base their choice decisions on it. Prepurchase search therefore acts as a filter and, the final choice depends critically on the small subset of potential inputs the consumer notes in the environment and integrates into the decision. Previous research has identified a variety of factors that affect consumers' prepurchase search behavior. However, there is little understanding of how specific advertisements designed by marketers impact consumers' prepurchase search. A marketer would like consumers to search information that reflects favorably on his/her brand. Hence, s/he would attempt to influence the brands and attributes on which consumers seek information prior to making a choice. The dissertation investigates the process by which a particular marketer's advertising influences consumers' search on available brands, i.e., the marketer's brand and other competing brands. The dissertation considers a situation where exposure to advertising occurs prior to seeking information from any other source. Hence, the impact of advertising on subsequent search behavior is the topic of interest. The dissertation develops a conceptual model of advertising effects on brand search and conducts two experiments to test the tenets of this model. Specifically, the dissertation demonstrates that attitudinal responses generated by advertising mediate advertising effects on search attitudes and behaviors. The dissertation goes on to examine how attitudinal responses generated by advertising and subsequent effects on search alter brand preference and choice. ^

Perceived Value of Fast-food Restaurant Franchises in the USA

The main research objective of this study was to find out whether perceived value significantly affects consumers’ purchase intention. Additionally, this study examined if there are any significant differences in perceived value for different fast-food restaurant brands and attempted to identify which fast-food restaurant is perceived to be the industry leader. A total number of six fast-food restaurants (McDonalds, Subway, Starbucks, Wendy’s, Burger King, and Taco Bell) were selected. Findings showed that among the five perceived service value dimensions, Starbucks is the leader in terms of quality, emotional response, and reputation. Multivariate analysis of variance (MANOVA) and multiple regression analysis were performed to test the study hypotheses. Results indicated that there were significant differences in perceived value for different fast-food restaurant brands. Besides, monetary and behavioral price significantly affects consumers’ purchase intention. Findings are expected to help hospitality marketers to strategically manage their brands.