Franklin S. Houston

The Role of Economic Value, Social Value, and Perceptions of Fairness in Interorganizational Relationship Retention Decisions

Although previous research provides a foundation for developing, maintaining, and exiting relationships, the extant literature has yet to consider the influence that patterns of economic and social forces have in guiding the future of deteriorating relationships. To understand better and respond to relationships in decline and to salvage relationships that are destined to fail needlessly, the authors use the political economic paradigm to identify symptoms of deteriorating relationships and provide a framework for combining relational forces that best guides relationship retention decisions. They propose a model based on the theoretical foundations of transactional cost analysis (TCA), social exchange, and distributive justice. Using relative dependence, interdependence, and mutual dependence to define the economic and social worth of the relationship, they incorporate dyadic patterns of behavior to illustrate similar and different interpretations and evaluations of fairness and the impact on relational out-comes. The article culminates with managerial implications and directions for future research.

Ubiquitous Externalities: Characteristics, Climate, and Implications for Post-Acquisition Behaviors

The goal of this article is to raise awareness and encourage further research about uncalculated costs and benefits of exchange, often called externalities. Externalities are costs and benefits not calculated into the exchange equation, accruing to exchange actors or to others. This article provides a conceptual foundation of how externalities’ studies fit with exchange, relationships, and social systems. We delineate characteristics that differentiate one externality from another and offer potential for creating value: (1) tangibility; (2) separability; (3) storability; (4) marketability; (5) uniformity; (6) controllability; and (7) predictability. Characteristics create a climate for post-acquisition behavior, comprised of their: (1) determinacy; (2) directability; and (3) desirability. These characteristics suggest post-acquisition behavior options such as forfeiting, possessing, temporary disposal, or permanent disposal. Viewed thusly, studies of externalities and their disposition offer rich opportunities for understanding transactions, relationships, networks, market systems, communities, and micro/macro systems.

The Periodic Pain of Lydia E. Pinkham

In 1964, Palda published the results of the first application of lagged-variable regression models to the question of advertisings sales effectiveness. In doing this he supplied the first empirically supported quantification of the salesadvertising relationship. The purpose of this paper is to reexamine some of the issues which have been raised subsequent to Paldas research and to focus directly on some of the structural issues associated with the class of models examined by Palda (see Schmalensee 1972). As such this paper will focus on these issues by comparing results from the following models: (1) Paldas (1964) original distributed-lag model; (2) a current-effects model (Clarke and McCann 1973); (3) an extension of the above model utilizing a second-order autoregressive structure; (4) a brand-loyalty model, structured after early work by Kuehn (1961); and (5) several Pascal lag distributions (see Kmenta 1971).

Marketing exchange relationships, transactions, and their media

The Marketing Taxonomy by Franklin S. Houston Comments on Extending the Domain of the Marketing Discipline by Thomas Nine Reciprocity Within a Community by William James and Alice James Exchange as a Vital and Fundamental Consumer Behavior Phenomenon by Stephen J. Gould Refinements in The Model of Internal/External Market Exchange by Gary J. Brunswick and Robert F. Lusch Time, Potency, and Exchange: Making the Most of the Time Resource by Carol Felker Kaufman and Paul M. Lane The Spatial Dimension by Arthur (Buster) Allaway and Michael Richard The Evaluation Process and Its Impact on Decision Making in Exchange Relationships by John C. Mowen How Exchange For Resale Differs from Exchange for Consumption by Jule Gassenheimer Inequitable or Incomplete Social Marketing: The Case of Higher Education by Seymour H. Fine Externalities of Exchange: Foundations for Future Study by JoNel Mundt and Dennis E. Garrett Exchange and Legal Foundations by Gregory T. Gundlach and Patrick E. Murphy An Examination of Exchange Media from an Historical Perspective by Russell B. Gregory-Allen Some Ingestible and Other Types of Consumable Currencies by Allen R. Maxwell The Changing Role of Legal Tender: An Historical Perspective by Benton Gup Means of Payment in Marketing by James T. Lindley and Tyrone Black

The Determinants of Advertising Page Exposure

Abstract This report describes a model used to estimate the likelihood that a single, “average,” advertising page will be exposed in medical journals. The model translates the likelihood of a journal page exposure into the likelihood of an advertising page exposure. The factors which contribute to this translation include the number of pages in a journal, its frequency of publication, the regularity of its delivery, and the density of its advertising.

Pooled Marketing and Positioning

Abstract Pooled positioning is defined and suggested as a logical extension of product positioning and pooled marketing efforts. A number of examples are cited to show the relevancy of this concept to todays promotional manager.

Externalities and the Calculation of Exchange Outcomes

Externalities have been defined by marketers as the uncalculated costs and/or benefits of exchange, where uncalculated refers to costs and benefits that have not been accurately included in the exchange valuation (Mundt 1993). This article suggests that anticipation and valuation are necessary for accurate calculation of exchange outcomes and discusses their difficulties as they relate to externalities. A dyadic exchange relationship is then studied, as it relates to exchange parties having symmetric or asymmetric knowledge, to determine whether the uncalculated effects are first-or third-party effects. This design manifests a tripartite analysis. The article concludes with a discussion of how first parties and third parties attempt to manage externalities.

A taxonomy for marketing: Distinctions between exchange and non-exchange, and governance adaptations and need satisfying behaviors

SummaryThe idea of value passing between and among parties for the purpose of achieving one’s own goals is at the heart of marketing’s management function. This is the core of the discipline. It is important, however, for the marketer to understand the alternatives to marketing exchange, so that we know when marketing might be appropriate and when our needs might be better addressed through non-marketing behaviors. Further, we need to have a better understanding of how one might displace some forms of behavior (e.g., coercive behaviors) with exchange. This is of grave importance today in some Eastern European countries emerging from the he USSR.The tradition within marketing has been to study function, behavior, and need satisfaction. The interest in studying various organizational forms is owed to other disciplines. Marketers do need to address how best to organize themselves to achieve their ends. The perspectives derived from other disciplines provide valuable insights to those marketers studying form. We hope that by distinguishing between need satisfying solutions and relating need satisfying solutions to governance adaptations, we are better able to understand and apply these concepts to organizational needs and provide appropriate problem solutions.Marketers are not limited to the study of anonymous spot markets but also recognize and address markets found in a relational context. The idea of cooperation is not foreign to marketers. To the extent that marketers study within-hierarchy transfers, marketers study non-exchange behavior. Management of the internal function is different from inter-firm operations in that internal management has different objective functions and different assessment criteria, and makes use of different media. Understanding and managing transfer behavior requires more attention to a political science knowledge base than market behavior (Webster 1992). This istrue even if the intra-company transactions we are examining consists of firms working in cooperation with each other. Webster (1992) makes clear distinctions between two firms creating a joint venture and two firms forming a strategic alliance. In the latter case the coming together of the two firms is for a specific purpose, although it may be for an indefinite time. In the former case the firms formalize their relationship by way of a new entity which will continue to exist into the future. And what we elect to define as good marketing practice will be directly tied to the setting and what is appropriate for the particular form of governance.