John Fahy

The performance impact of marketing resources

Recently, there has been much interest in the role of marketing resources in contributing to the creation of competitive advantage and subsequently firm performance. Most of this work to date, however, has been conceptual or theoretical in nature, and there has been little empirical research into the nature and impact of marketing resources. Drawing on literature from both the marketing and strategic management disciplines, the authors develop and empirically test scales for measuring marketing resources and assess their impact on performance outcomes. The findings indicate that marketing resources impact on financial performance indirectly through creating customer satisfaction and loyalty and building superior market performance.

The resource‐based view of the firm: some stumbling‐blocks on the road to understanding sustainable competitive advantage

The resource‐based view of the firm (RBV) is an important, emerging theory of firm heterogeneity. It is well grounded in industrial economics and has benefited in its development from a multiplicity of contributions by management writers. But like any developing body of knowledge, it is not short of confusion, ambiguity and conceptual and empirical difficulties. This paper provides an integrated review of the resource‐based view of the firm in an effort to eliminate much of the ambiguity caused by weak taxonomies and the inconsistent and conflicting use of terminology. It provides a detailed insight into the logic of the RBV and illuminates its contributions to the debate on the nature of competitive advantage. The paper then evaluates the status of some ongoing debates that are germane to our understanding of competitive advantage and outlines prospective directions for the development of the resource‐based view.

A resource-based analysis of sustainable competitive advantage in a global environment

The extant business literature on global competitive advantage has been dominated by a contingency-based approach, which advocates the attainment of fit between the firms strategy, structures and processes and its competitive conditions. However, most support for this view has been anecdotal and rigorous empirical evidence has been lacking. This study adopts a more voluntaristic stance, and integrates perspectives from international business and strategic management to propose a resource-based model of global sustainable competitive advantage (GSCA). A series of hypotheses are presented on the nature of global resources and on the relationships between these resources and sustained superior performance. The model is tested on a sample of firms in the global automotive components industry with promising results. Conclusions are drawn and the implications for research and practice are outlined.

Market Orientation in the Transition Economies of Central Europe:: Tests of the Narver and Slater Market Orientation Scales

Abstract The Narver and Slater (Narver, J.C., and Slater, S.F.: The Effect of Marketing Orientation on Business Profitability. Journal of Marketing 54 (1990): 20–35.) market orientation scale is tested in the context of the transition economies of central Europe and found to be both valid and reliable. Relationships between market orientation and both marketing strategy and performance broadly follow predictions from the Western literature indicating that the adoption of a market orientation is equally applicable in transition as in Western economies. A number of different approaches, however, are evident in the transition economies suggesting that other business orientations may coexist with a market orientation creating a richer and more complex set or organizational drivers.

Competitive advantage through sponsorship: A conceptual model and research propositions

The increasingly important role played by sponsorship in the marketing mix has given rise to the view that it should be considered a strategic activity with the potential to generate a sustainable competitive advantage in the marketplace. This paper extends that line of argument through the development of a conceptual model of the sponsorship – competitive advantage relationship. In particular, it argues that two levels of competitive advantage need to be considered, namely the competitive advantage of the sponsorship and competitive advantage in the market. Critical to attaining an advantage in the competitive world of sponsorship is the deployment of a range of organisational resources to support the sponsorship investment. A series of research propositions are advanced showing the relative importance of different organisational resources. Effectively resourced sponsorships generate a competitive advantage in the “market” for sponsorships, which in turns leads to competitive advantage and superior performance in product markets. The implications for research and practice are discussed and conclusions are drawn.

Marketing Capabilities and Firm Performance: A Hierarchical Model

The resource based theory of the firm (RBV) is briefly reviewed together with its recent application in the marketing literature. Significant contributions by Webster (1992) and Day (1994) are identified and an integration of the two presented as a hierarchical model of marketing capabilities. Three research propositions concerning the relationships between marketing capabilities and performance are developed and tested empirically in the transition economies of central and eastern Europe. In line with expectations from the theory of the RBV, higher order marketing capabilities are seen to be more important than operational capabilities in explaining superior competitive performance. The overall model is shown to be a helpful conceptualization of marketing capabilities and a number of issues for further research are identified.

Market orientation in the service sector of the transition economies of central Europe

The Narver and Slater market orientation scale is tested in the context of service firms in the transition economies of central Europe and found to be both valid and reliable. The survey examined levels of market orientation in 205 business to business services companies and 141 consumer services companies in Hungary, Poland and Slovenia. As predicted by the predominantly western marketing literature, those service firms with higher levels of market orientation; were more often found in turbulent, rapidly changing markets; were more likely to pursue longer term market building goals rather than short term efficiency objectives; more likely to pursue differentiated positioning through offering superior levels of service compared to competitors; and also performed better on both financial and market based criteria. A number of different business approaches, however, are evident in the transition economies suggesting that other business orientations may co‐exist with a market orientation creating a richer and more complex set of organizational drivers.

Seeing market orientation through a capabilities lens

Purpose – The purpose of this paper is to examine how conceptualising market orientation within a capabilities framework may assist in developing further understanding of the construct.Design/methodology/approach – Compelling issues in the market orientation literature relating to the nature of the market orientation construct, the relationship of the construct with performance, and identifying antecedents to market orientation are discussed. The capabilities perspective is explored in the context of these issues. In particular, a perspective of market orientation based on the market‐sensing capability is proposed, which may provide additional insights into the construct.Research limitations/implications – The capabilities framework facilitates a more comprehensive approach to understanding the nature of market orientation, which captures the complex interaction of behavioural and cultural factors in the conceptualisation of the construct.Originality/value – This paper addresses the need to examine how ma...

Social media engagement behaviour: a uses and gratifications perspective

The proliferation of social media platforms and corresponding consumer adoption in recent years has precipitated a paradigm shift, significantly altering the ways customers engage with brands. Organisations recognise the social and network value of engagement within social media, and practitioners are endeavouring to build engagement through their social media content. However, theoretically based academic guidance concerning marketing practice and engagement in new media social networks is limited. This article provides a theoretical model to explicate the role of social media content in facilitating engagement behaviour within a social media context. Based on uses and gratifications theory, it provides a model for how an organisation can stimulate positively valenced engagement behaviour through social media and dissuade negatively valenced engagement behaviour in this forum. A typology of social media engagement behaviour is proposed and a series of hypotheses exploring the relationships between social media content and engagement behaviour are presented.

Network resources and international performance of high tech SMEs

Purpose – This study aims to identify and examine the relationship between network resources and international performance of high tech small to medium‐sized enterprises (HTSME) in the telecommunications industry in Ireland. The network resource construct for this paper comprises three dimensions: network human capital resources, network resource combination, and information sharing.Design/methodology/approach – Empirical research was carried out using a mail survey in which 154 firms completed and returned the questionnaire. Three hypotheses were analysed using structural equations modelling using LISREL.Findings – The studys main finding suggests a positive relationship between a firms network human capital resources and international performance. However, no support was found for the relationship between network resources combinations, information sharing and international performance.Research limitations/implications – This study is cross‐sectional, confined to a single industry and focused on the r...