Faculty of Management Sciences
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Item Size matters : the market–non-market strategy nexus and firm performance in South Africa(AOSIS, 2024-02) Parnell, John A.; Troilo, Michael L.; Dobbelstein, ThomasPurpose: This study seeks to discover how a firm’s size and its use of both market and non-market strategies (MS and NMS) impact firm performance in South Africa.Design/methodology/approach: We used the Prolific platform to gather survey data from 247 executives and managers across the country representing a variety of firm sizes and industries. Cronbach’s alpha, analysis of variance (ANOVA) and structural equation modelling via partial least squares (PLS-SEM) were then employed to test constructs and hypotheses. Configuration theory and social exchange theory (SET) are the conceptual foundations for this study.Findings/results: Firm size is a driver of the market strategy of differentiation, but not cost leadership. Larger firms are also more likely to pursue both political and social NMS. Differentiation and social NMS positively impact firm performance, but cost leadership and political NMS do not.Practical implications: Managers should emphasise differentiating their products and services rather than being a low-cost provider. When considering various non-market strategies, they should emphasise social NMS. Although large firms are more likely than small firms to pursue political NMS, they do not appear to accrue any benefit.Originality/value: This study fills gaps in the strategy-performance literature by directly linking firm size to strategic choices and by analysing the effects of different types of MS and NMS on firm performance. As such, it is valuable to both academics and practitioners. This study also advances our understanding of MS and NMS in South Africa.Item Challenges during installation and maintenance of water delivery infrastructure : a citizen perspective(Beykent University, 2023-10-30) Mokgobu, Matlou Lesley; Mason, Roger; Dobbelstein, ThomasThe installation and maintenance of water infrastructure in South African cities poses a challenge to communities, municipalities, and installation contractors, who face problems such as inadequate access to homes, traffic jams, inadequately barricaded trenches, leaking water pipes, water supply cut offs, vandalism, and theft of water. The research problem, therefore, involves an inadequate understanding of what drives these problems and how to mitigate them through better management. The aim of this study was to investigate the challenges of managing water infrastructure as perceived by the citizens of a South African municipality. The study was a descriptive and cross-sectional survey, with data collected, via a literature derived, emailed questionnaire, from a self-selected non probability sample of 402 City of Tshwane residents. Analysis, via SPSS Version 27, used descriptive and inferential statistics. The findings revealed that both the municipality and the contractors contributed to the challenges experienced by citizens, with maintenance challenges being more serious than installation challenges. Municipal and political challenges were the main drivers, with political ownership of construction companies and political interference being the biggest problems. The findings contributed to a better understanding of the challenges inhibiting effective installation and maintenance of water infrastructure, and are important to the municipality, and the community at large, because they contribute to a better understanding of service delivery from the citizens’ perspectives.Item How to encourage buying recycled products : a South African : German comparison(2023-06-16) Dobbelstein, Thomas; Lochner, CarinaDue to an increasing demand, companies have started producing recycled products. However, little is known about the specific purchase behavior. Hence, this study analyses the factors influencing purchase intention for recycled products including differences related to different types of products and between Germany and South Africa. A quantitative study in Germany (n = 603) and South Africa (n = 692). shows that purchase intention is significantly higher in South Africa. The influencing factors (individual, product, and context related constructs) are the same in both countries, but they differ regarding their strength. Thus, the factor “attitude/environmental concern” has the strongest influence in South Africa, while it is “value/accessibility” in Germany. Furthermore, purchase intention for mobile phones is generally smaller than for t‐shirts and toilet paper. Purchase intention for recycled t‐shirts is significantly higher in South Africa than in GermanyItem Gamified promotions in shopping apps : the role of regret and its impact on purchase intention(2023-06-17) Dobbelstein, Thomas; Sinemus, Kathrin; Zielke, Stephan; Timmermans, Harry; Rasouli, SooraThe topic of gamification has received more attention in recent years (Huang et al., 2019), particularly in the marketing context (Bauer et al., 2020; Berger et al., 2018). Prior research has shown that gamification has a positive influence on consumer behavior such as consumers’ purchase intention (e.g., Balakrishnan and Griffiths, 2018; Kim et al., 2020). As traditional promotions and advertisements often not catch consumers’ attention (Stipp, 2018), gamified promotions might be a solution to attract customers. When consumers earn a discount through gamified elements, this could increase their intention to redeem the discount (compared to a traditional promotion) and consequently make a purchase. Previous gamification literature focuses on flow theory (e.g., Berger et al., 2018; Waiguny et al., 2012) and self-determination theory (e.g., Bauer et al., 2020; Feng et al., 2018; Hollebeck et al., 2021). For our context of gamified promotions, we use regret theory to explain the effects on customer behavior. According to regret theory, consumers should feel stronger anticipated regret when they do not redeem the discount of a gamified promotion compared to a traditional banner ad promotion. This could be due to the fact that consumers invested more effort get the discount than if they had received it as a traditional pop-up ad. As gamification enhances positive emotions (Harwood & Garry, 2015; Koroleva & Novak, 2020), we further assume that the gamified promotion triggers such emotions in the consumer, which in turn lead to increased purchase intentions (Nasermoadeli et al., 2013). The study uses a scenario-based online experiment with a between-subjects design (gamified promotion vs. non-gamified promotion). Data from 96 respondents were collected and analyzed with M/ANOVA and PROCESS (see Hayes, 2018) in SPSS. Findings suggest that a gamified promotion has a greater effect on consumers’ purchase intention than a non-gamified promotion. The same is true for the effect on anticipated regret. The positive influence of gamified promotion on purchase intention is mediated by firstly the perceived effort to obtain the discount and anticipated regret and secondly via the enjoyment with the app directly and via anticipated regret (serial mediation effects). This research is novel, as it explains the impact of a gamified promotion on purchase intention based on regret theory. Prior research on promotions has rarely concentrate on gamification (e.g., Bauer et al., 2020). Based on the results, retailers should use gamified promotions instead of traditional banner ad promotions and the game should not be to simple so that consumers perceive an effort. As a next step, we plan to add two more studies. The first study should validate the results of this study. Further it should show that the results are independent of the level of the discount. The second study should focus on the reinforcement of regret. It should provide management implications whether a specified or an unspecified discount leads to higher anticipated regret and consequently purchase intention.Item Factors influencing purchase intention for recycled products : a comparative analysis of Germany and South Africa(Wiley, 2023-01-27) Dobbelstein, Thomas; Lochner, KarinaDue to an increasing demand, companies have started producing recycled products. However, little is known about the specific purchase behavior. Hence, this study ana lyses the factors influencing purchase intention for recycled products including differ ences related to different types of products and between Germany and South Africa. A quantitative study in Germany (n = 603) and South Africa (n = 692). shows that purchase intention is significantly higher in South Africa. The influencing factors (indi vidual, product, and context related constructs) are the same in both countries, but they differ regarding their strength. Thus, the factor “attitude/environmental con cern” has the strongest influence in South Africa, while it is “value/accessibility” in Germany. Furthermore, purchase intention for mobile phones is generally smaller than for t-shirts and toilet paper. Purchase intention for recycled t-shirts is signifi cantly higher in South Africa than in Germany.Item Millennial’s consumer behaviour during the COVID-19 pandemic : perspectives from an emerging and a developed economy(Adonis & Abbey Publishers Ltd, 2022-11-10) Tshikovhi, Ndivhuho; Dobbelstein, Thomas; Moyo, SibusisoOne of the impacts of the COVID-19 pandemic was on shopping behaviour patterns due to lockdown restrictions and social distancing requirements. In this study, South African and German millennials (those born between 1980 and 2002) are analyzed to determine their buying behaviour during the COVID-19 pandemic in the year 2020. We demonstrate the choices of purchases amongst African Journal of Business and Economic Research (AJBER) (Online) ISSN 1750-4562 (Print) ISSN 1750-4554 Indexed by SCOPUS, UGC CARE List, IBSS, EBSCO, ProQuest, ABDC, SAJE, COPERNICUS,ERIH PLUS, CABELL, Sabinet and J-Gate Vol. 17, (Issue 4), December 2022 Pp 283–309 Millennial’s consumer behaviour during the COVID-19 … 284 millennials between the two countries, that is, South Africa as an emerging and Germany as an advanced economy. This study shows how consumers' choice was influenced by the pandemic before, during, and after the first lockdown. Making use of an online survey (meaning accessing millennials with internet access in both countries), it was found from a data set of 949 millennials in Germany and 676 millennials in South Africa that millennial’s shopping behaviour varied for specific product categories before, during and after the lockdown. As a result, this study concluded by providing recommendations for retailers, policymakers and researchers taking into account a pandemic scenario.Item Shopping app features : their impact on customer satisfaction and loyalty(Informa UK Limited, 2022-07) Sinemus, Kathrin; Zielke, Stephan; Dobbelstein, ThomasItem A pursuit to identify brick-and-mortar and online consumer decision-making styles that are globally relevant(2022-07-20) Erasmus, Alet; Donoghue, Sune; Dobbelstein, Thomas; Cant, M.C.This cross-country comparison of consumer decision-making styles for brick-and-mortar and online shopping was inspired by notable changes in the marketplace. Conflicting evidence of the popularity of brick-and-mortar versus online shopping globally and the emergence of the so-called “global consumer” are increasingly questioning our understanding of consumers’ behaviour in the marketplace, challenging ways retailers can optimise their service offering to meet consumers’ needs. Extensive research on consumers’ decision-styles, conducted over more than three decades, aiming to indicate how consumers cognitively and emotionally deal with shopping decisions, have produced conflicting findings, further complicating retailers’ predicament. This quantitative survey was conducted before the COVID-19 pandemic in 2019 and involved South African (N=1495) and German adults (N=1344) as representatives of a developing and developed economy. The Sproles and Kendall (1986) Consumer Styles Inventory served as the point of departure to identify the prevailing consumer decision styles for the respective shopping modes in both countries. Data analysis was conducted separately for the two countries, using Exploratory Factor Analysis, t-tests/Anova, and relevant reliability measures. For the first time, this study presents consumer decision-making styles for brick-and-mortar and online shopping that concur for both countries, having achieved satisfactory internal consistency for the final factors. Particularly noteworthy for retailers is that “Perfectionism” is the most important decision style irrespective of the shopping mode. This translates as a prioritisation of trusted, good-quality products. A concern raised is the confusion experienced in physical stores due to the array of products and apparent impulsiveness when shopping online, which suggests consumer-friendly rather than product-oriented approaches by retailers to reduce consumers’ cognitive dissonance. The findings suggest that the so-called “global consumer” is not a far-fetched idea, as consumers’ needs and behaviour are more consistent than different despite demographic and geographic differences.Item Social norm compliance and involvement with Covid-19: demographic differences in developing and developed countries(www.ssbfnet.com/ojs/index.php/ijrbs, 2022-06-30) Mason, Roger Bruce; Corbishley, Karen Margaret; Dobbelstein, ThomasConsumer decisions are influenced by various variables, including compliance with society’s social norms and by involvement by consumers with the issue under consideration. Both variables have influenced consumers’ actions during previous pandemics. Therefore, this study investigated involvement with the Covid-19 pandemic, together with social norm compliance (SNC), their mutual influence, and how demographic characteristics and country of residence influenced these three issues. The methodology involved a quantitative descriptive cross-sectional survey, with a quota sample of 1096 responses, based on age, gender, education, habitation, and income. The research was conducted with populations representing the consumers who patronize major retailers in a developed country (Germany) and a developing one (South Africa). Data was collected via questionnaires e-mailed to commercial consumer panels covering both countries. The findings showed that involvement is influenced by gender, age, education, habitation, and country of residence, but that SNC is not influenced by demographics but does differ according to country. Further findings were that involvement with Covid-19 strongly influences SNC and, similarly, SNC also strongly influences involvement with Covid-19. Furthermore demographics, excluding habitation, also influence these variables. However, the relationship between the involvement and SNC variables does not differ between the two countries. This study has provided a better understanding of consumers’ involvement with Covid-19 and SNC as components of consumer behavior, which is important since, during the Covid-19 pandemic, retailers have been instrumental in implementing health protocols. Therefore, understanding the relationship between involvement with Covid-19 and SNC, and how they are influenced by consumer demographics, is important.Item Measurements to support farmers’ markets - a South African German comparison(ISER Explore, 2022-05-25) Dobbelstein, Thomas; Mason, Roger Bruce; Corbishley, Karen MargaretFarmers’ markets have become fashionable places for shopping, entertainment, and socializing, and in many cases are not only sources of cheaper or more convenient shopping. With the growth of the craft and the organic food movements, such products are often marketed through farmers’ markets. Entertainment is also often provided. Such shopping locations often charge premium prices. Why farmers’ markets have become so popular may be due to a variety of reasons such as shopping, entertainment, and socializing. Furthermore, a variety of different factors may cause customer satisfaction or dissatisfaction. This research identifies what attracts customers to farmers’ markets and what creates satisfaction for the customer. A quantitative study was used, based on a sample of 1141 respondents from an e-mailed survey. It is also a comparative study between a developed nation (Germany) and a developing nation (South Africa). The research culminated in a Kano model for farmers’ markets in each of the countries. There was considerable similarity in the ‘delight’ and ‘performance’ factors in the two countries, but only South Africa has ‘basic’ factors, while Germany had none. The study has thus contributed to knowledge about consumer behaviour and attitudes towards farmers’ markets and provides suggestions to increase their attractivity.