Ethical performance and relationship in retailing mix

ethical performance and relationship in retailing mix

in analysing the role of ethical sales behaviour, as perceived by bank . Satisfaction is an overall evaluation of performance based on all prior “ Customer-Sales Associate Retail Relationships”, Journal of Retailing, 72, 3, .. standards variable which is related to the elements of marketing mix of the. Real world examples of retailers who practice ethical retailing are also given in this It is a general evaluation of “values” linked to the relationship a business organisation and its environment. can be turned off while trucks are parked along with other fuel efficiency measures. . But some researches shows mix results. between two outcomes of relationship marketing? affective commitment unethical behavior of retailers, the unit of analysis in this study is . performance. While empirical .. This pro cedure allowed us to combine all the informa tion from a.

In many cases, the contact employee is the service —there is nothing else Zeithaml and Bitner For example, Solomon et al.

ethical performance and relationship in retailing mix

According to the expectancy disconfirmation paradigm e. Oliver and DeSarbo ; Tse and Wiltonconsumers make a comparison between service expectations and performance that will result in either confirmation or disconfirmation.

Disconfirmation will be the result of a discrepancy between expectations and performance. Confirmation and positive disconfirmation will be likely to result in satisfaction, whereas negative disconfirmation leads to dissatisfaction.

Consequently, these actions may result in confirmation or even positive disconfirmation between expectations and service performance, thus resulting in customer satisfaction with the core service.

Some preliminary evidence for such a proposition can be found in Kennedy et al. Later, results from the exploratory study of Wray et al. In some service settings, discriminant validity between satisfaction with the salesperson and the organisation should not be necessarily expected Goff et al. Derived from these findings, and taking into account that in a service context the salesperson and the selling organisation are often indistinguishable in the mind of the customer Crosby et al.

Customer Trust in the Company Customer trust relates to a belief on the part of the customer that obligations will be fulfilled Swan and Nolan ; Swan et al.

In other words, the customer believes and feels that the selling company can be relied upon to behave in such a manner that the long-term interest of the customer will be served Crosby et al. Our conceptualization of trust corresponds to the concept of post-trust that is developed after an exchange episode has taken place Singh and Sirdeshmukh Following several researchers, we see trust as a global, unidimensional construct e. This has the benefits of brevity and simplicity, and is more generalizable across situations Kumar et al.

Service employees with whom the customer interacts, confirm and build trust in the organization or detract from its reputation and ultimately destroy trust Zeithaml and Bitner Findings from Wray et al.

Building and Sustaining Relationships in Retailing - ppt video online download

Likewise, different exploratory studies have shown that customer trust in the salesperson can be earned by The Impact of Ethical Sales Behaviour the honest actions of sales representatives Swan et al. We expect a positive association between ethical sales behaviour and customer trust in the company. This can be explained by taking into account the important role of salespeople in the service setting.

Based on the above discussion the following hypothesis is proposed: Next, we explain why ethical sales behaviour is likely to play a major role in developing customer loyalty.


From a theoretical perspective, Dubinsky et al. Likewise, Gundlach and Murphy argued that following ethical principles allows sellers to foster long-term relationships with buyers. Building on equity theory, ethical sales behaviour can be considered to be an investment in the equity formulation. If customers feel they are being treated unfairly by the salesperson e.

As for the empirical evidence, Trawick et al. Furthermore, Whalen et al. Therefore, we formulate the following: Relationships among the outcome variables Early research by Czepiel et al. In this sense, Westbrook demonstrated that satisfaction with a retail establishment was influenced by satisfaction evaluations with the products.

Ethics and the marketing mix : recommendations to marketing managers | Human Marketing Project

Most frequently found problems are rigged contests or games e. Marketers should be allowed to charge any price they want provided there is no price discrimination among consumers and that prices are all inclusive. However, too high prices are not ethical, when they do not reflect the existing cost structure but are a means to take advantage of consumers. This is especially true in the case of monopolies, oligopolies or cartels.

Building and Sustaining Relationships in Retailing

Besides, advertised prices should always be realistic prices that consumers will find in stores. The odd-pricing and partitioned prices practices can also be questionable on ethical grounds. With odd-pricing, marketers resort to odd numbers e. Partitioned prices aim at sharing the total price in several sub prices to make consumers believe the price is lower than in reality. Consumers can be manipulated without knowing it through subtle marketing techniques in distribution outlets.

For example, shelves at lower heights target children, and stores can be organised in such a way that it encourages consumers to pass through more shelves.

The ethical concern of such practices is whether subliminal incentives are morally acceptable: Can those techniques cause economic hardships to shoppers by making them buy more than they can afford? Ethical concerns are also linked with the segmenting, targeting and positioning process. Efforts to target consumer populations can be subject to unethical attitudes e.

ethical performance and relationship in retailing mix

For example, the issue of higher insurance premiums to people with poor credit ratings is morally questionable.

Marketing to children also raises ethical concerns. Wharton marketing professor Lisa Bolton asks the question: That is the reason why candies have been suppressed from the shelves before the tills in French supermarkets. Recommendations to marketing managers by Human Marketing Project Marketers should always consult the following guidance levels: Statutory regulation of the countries they operate in as well as the current self-regulation in their profession and industry. Those regulations are a first condition to ensure ethical marketing practices but are not sufficient.

Internal procedures are to be set to guarantee conformed marketing practices. Such a procedure should be compulsory and systematic.