758
Views
3
CrossRef citations to date
0
Altmetric
Original Articles

Combined effects of franchise management strategies and employee service performance on customer loyalty: a multilevel perspective

, &
Pages 479-497 | Received 29 Aug 2016, Accepted 31 Jan 2017, Published online: 01 Mar 2017

References

  • Anand, P., & Stern, L. W. (1985). A sociopsychological explanation for why marketing channel members relinquish control. Journal of Marketing Research, 22, 365–376.10.2307/3151582
  • Annabel, B. (2006). Confronting the brutal facts. Australian Journal of Pharmacy, 87, 78–82.
  • Arndt, A., Arnold, T. J., & Landry, T. D. (2006). The effects of polychronic-orientation upon retail employee satisfaction and turnover. Journal of Retailing, 82, 319–330.10.1016/j.jretai.2006.08.005
  • Ashforth, B., & Humphrey, R. (1993). Emotional labour in service roles: The influence of identity. Academy of Management Review, 18, 88–115.
  • Beecroft, G. (2007). Generic drug policy in Australia: A community pharmacy perspective. Australia and New Zealand Health Policy, 4(1), 1–7.
  • Berry, L. L. (1995). Relationship marketing of services – Growing interest, emerging perspectives. Journal of the Academy of Marketing Science, 23, 236–245.10.1177/009207039502300402
  • Berry, L. L., & Parasuraman, A. (1991). Marketing services: Competing through quality. New York, NY: Free Press.
  • Bitner, M. J. (1990). Evaluating service encounters: The effects of physical surroundings and employee responses. Journal of Marketing, 54, 69–82.10.2307/1251871
  • Bitner, M. J., Booms, B. H., & Tetreault, M. S. (1990). The service encounter: Diagnosing favorable and unfavorable incidents. Journal of Marketing, 54, 71–84.10.2307/1252174
  • Blut, M., Backhaus, C., Heussler, T., Woisetschläger, D. M., Evanschitzky, H., & Ahlert, D. (2011). What to expect after the honeymoon: Testing a lifecycle theory of franchise relationships. Journal of Retailing, 87, 306–319.10.1016/j.jretai.2010.06.003
  • Bordonaba-Juste, V., & Polo-Redondo, Y. (2008). The effect of relationship marketing strategy on franchise channels. Journal of Marketing Channels, 15, 71–91.10.1080/10466690802081392
  • Bowen, D. E., & Waldman, D. A. (1999). Customer-driven employee performance. In D. A. Ilgen & E. D. Pulakos (Eds.), The changing nature of performance (pp. 154–191). San Francisco, CA: Jossey-Bass.
  • Brooks, J. M., Klepser, D. G., Urmie, J. M., Farris, K. B., & Doucette, W. R. (2007). Effect of local competition on the willingness of community pharmacies to supply medication therapy management services. Journal of Health and Human Services Administration, 30, 4–27.
  • Bush, J., Langley, C. A., & Wilson, K. A. (2009). The corporatization of community pharmacy: Implications for service provision, the public health function, and pharmacy’s claims to professional status in the United Kingdom. Research in Social and Administrative Pharmacy, 5, 305–318.10.1016/j.sapharm.2009.01.003
  • Campbell, J. P., McCloy, R. A., Oppler, S. H., & Sager, C. E. (1993). A theory of performance. In N. Schmitt & W. C. Borman (Eds.), Personnel selection in organizations (pp. 35–70). San Francisco, CA: Jossey-Bass.
  • Castrogiovanni, G. J., Combs, J. G., & Justis, R. T. (2006). Shifting imperatives: An integrative view of resource scarcity and agency reasons for franchising. Entrepreneurship Theory and Practice, 30, 23–40.10.1111/etap.2006.30.issue-1
  • Chiou, J. S., Hsieh, C. H., & Yang, C. H. (2004). The effect of franchisors’ communication, service assistance, and competitive advantage on franchisees’ intentions to remain in the franchise system. Journal of Small Business Management, 42, 19–36.10.1111/j.1540-627X.2004.00095.x
  • Chung, J. E., Sternquist, B., & Chen, Z. (2006). Retailer–buyer supplier relationships: The Japanese difference. Journal of Retailing, 82, 349–355.10.1016/j.jretai.2006.08.008
  • Combs, J. G., Ketchen, D. J., Shook, C. L., & Short, J. C. (2011). Antecedents and consequences of franchising: Past accomplishments and future challenges. Journal of Management, 37, 99–126.10.1177/0149206310386963
  • Christen, M., Iyer, G., & Soberman, D. (2006). Job satisfaction, job performance, and effort: A reexamination using agency theory. Journal of Marketing, 70, 137–150.10.1509/jmkg.2006.70.1.137
  • Croonen, E. P., & Brand, M. J. (2015). Antecedents of franchisee responses to franchisor-initiated strategic change. International Small Business Journal, 33, 254–276.10.1177/0266242613499805
  • Dada, O., Watson, A., & Kirby, D. A. (2012). Toward a model of franchisee entrepreneurship. International Small Business Journal, 30, 559–583.10.1177/0266242610376078
  • Damanpour, F. (1991). Organizational innovation: A meta-analysis of effects of determinants and moderators. Academy of Management Journal, 34, 555–590.10.2307/256406
  • Damanpour, F., & Evan, W. M. (1984). Organizational innovation and performance: The problem of “organizational lag”. Administrative Science Quarterly, 29, 392–409.10.2307/2393031
  • Dant, R. P., Grünhagen, M., & Windsperger, J. (2011). Franchising research frontiers for the twenty-first century. Journal of Retailing, 87, 253–268.10.1016/j.jretai.2011.08.002
  • Dant, R. P., & Kaufmann, P. J. (2003). Structural and strategic dynamics in franchising. Journal of Retailing, 79, 63–75.10.1016/S0022-4359(03)00011-3
  • Dant, R. P., & Gundlach, G. T. (1999). The challenge of autonomy and dependence in franchised channels of distribution. Journal of Business Venturing, 14, 35–67.10.1016/S0883-9026(97)00096-7
  • Dant, R. P., Weaven, S. K., & Baker, B. L. (2013). Influence of personality traits on perceived relationship quality within a franchisee–franchisor context. European Journal of Marketing, 47, 279–302.10.1108/03090561311285556
  • Dant, R. P., & Nasr, N. I. (1998). Control techniques and upward flow of information in franchising in distant markets: Conceptualization and preliminary evidence. Journal of Business Venturing, 13, 3–28.10.1016/S0883-9026(97)00040-2
  • Davies, M. A. P., Lassar, W., Manolis, C., Prince, M., & Winsor, R. D. (2011). A model of trust and compliance in franchise relationships. Journal of Business Venturing, 26, 321–340.10.1016/j.jbusvent.2009.09.005
  • DiPietro, R. B., Severt, D., Welsh, D. H. B., & Raven, P. V. (2008). Franchisee leadership traits vs. manager leadership traits an exploratory study comparing hope, leadership, commitment and service quality delivery. International Entrepreneurship and Management Journal, 4, 63–78.10.1007/s11365-007-0042-3
  • Doherty, A., & Alexander, N. (2004). Relationship development in international retail franchising. European Journal of Marketing, 38, 1215–1235.10.1108/03090560410548942
  • Dodd, N. G., & Ganster, D. C. (1996). The interactive effects of variety, autonomy, and feedback on attitudes and performance. Journal of Organizational Behavior, 17, 329–347.10.1002/(ISSN)1099-1379
  • Eisenhardt, K., & Schoonhoven, C. B. (1996). Resource-based view of strategic alliance formation: Strategic and social effects in entrepreneurial firms. Organization Science, 7, 136–150.10.1287/orsc.7.2.136
  • Etgar, M. (1979). Sources and types of inter-channel conflict. Journal of Retailing, 55, 61–78.
  • Evanschitzky, H., Groening, C., Mittal, V., & Wunderlich, M. (2011). How employer and employee satisfaction affect customer satisfaction: An application to franchise services. Journal of Service Research, 14, 136–148.10.1177/1094670510390202
  • Evanschitzky, H., Sharma, A., & Prykop, C. (2012). The role of the sales employee in securing customer satisfaction. European Journal of Marketing, 46, 489–508.10.1108/03090561211202576
  • Evanschitzky, H., & Wunderlich, M. (2006). An examination of moderator effects in the four-stage loyalty model. Journal of Service Research, 8, 330–345.10.1177/1094670506286325
  • Gallini, N., & Lutz, N. (1992). Dual distribution and royalty fees in franchising. Journal of Law, Economics and Organization, 8, 471–501.
  • Gassenheimer, J. B., Baucus, D. B., & Baucus, M. S. (1996). Cooperative arrangements among entrepreneurs: An analysis of opportunism and communication in franchise structures. Journal of Business Research, 36, 67–79.10.1016/0148-2963(95)00164-6
  • Gassenheimer, J. B., & Ramsey, R. (1994). The impact of dependence on dealer satisfaction: A comparison of reseller–supplier relationships. Journal of Retailing, 70, 253–266.10.1016/0022-4359(94)90035-3
  • Gillis, W. E., & Combs, J. G. (2009). Franchisor strategy and firm performance: Making the most of strategic resource investments. Business Horizons, 52, 553–561.10.1016/j.bushor.2009.07.001
  • Grace, D., Weaven, S., Frazer, L., & Giddings, J. (2013). Examining the role of franchisee normative expectations in relationship evaluation. Journal of Retailing, 89, 219–230.10.1016/j.jretai.2012.12.002
  • Griffith, D. A., Noble, S. M., & Chen, Q. (2006). The performance implications of entrepreneurial proclivity: A dynamic capabilties approach. Journal of Retailing, 82, 51–62.10.1016/j.jretai.2005.11.007
  • Grönroos, C. (1990). Marketing redefined. Management Decision, 28, 5–12.
  • Gwinner, K. P., Gremler, D. D., & Bitner, M. J. (1998). Relational benefits in services industries: The customer’s perspective. Journal of the Academy of Marketing Science, 26, 101–114.10.1177/0092070398262002
  • Hamilton, J. (2009). Building a targeted pharmacy customer engagement approach. International Journal of Pharmaceutical and Healthcare Marketing, 3, 381–396.10.1108/17506120911006065
  • Han, J. K., Kim, N., & Srivastava, R. K. (1998). Market orientation and organizational performance: Is innovation a missing link? Journal of Marketing, 62, 30–45.10.2307/1252285
  • Hennig-Thurau, T., Groth, M., Paul, M., & Gremler, D. D. (2006). Are all smiles created equal? How emotional contagion and emotional labor affect service relationships. Journal of Marketing, 70, 58–73.10.1509/jmkg.70.3.58
  • Hochschild, A. (1983). The managed heart. Berkeley: University of California Press.
  • Hofmann, D. A. (1997). An overview of the logic and rationale of hierarchical linear models. Journal of Management, 23, 723–744.10.1177/014920639702300602
  • Hox, J. (1995). Applied multilevel analysis. Amsterdam: TT-Publikaties.
  • Jacobs, S., Ashcroft, D., & Hassell, K. (2011). Culture in community pharmacy organisations: What can we glean from the literature? Journal of Health Organization and Management, 25, 420–454.10.1108/14777261111155047
  • Jensen, R. J., & Szulanski, G. (2007). Template use and the effectiveness of knowledge transfer. Management Science, 53, 1716–1730.10.1287/mnsc.1070.0740
  • Jambulingam, T., Kathuria, R., & Doucette, W. R. (2005). Entrepreneurial orientation as a basis for classification within a service industry: The case of retail pharmacy industry. Journal of Operations Management, 23, 23–42.10.1016/j.jom.2004.09.003
  • Kaufmann, P. J., & Eroglu, S. (1999). Standardization and adaptation in business format franchising. Journal of Business Venturing, 14, 69–85.10.1016/S0883-9026(97)00097-9
  • King, C., & Grace, D. (2010). Building and measuring employee‐based brand equity. European Journal of Marketing, 44, 938–971.10.1108/03090561011047472
  • King, C., Grace, D., & Weaven, S. K. (2013). Developing brand champions: A franchisee perspective. Journal of Marketing Management, 29, 1308–1336.
  • Kozlowski, S. W. J., & Klein, K. J. (2000). A multilevel approach to theory and research in organizations: Contextual, temporal, and emergent processes. In K. J. Klein & S. W. J. Kozlowski (Eds.), Multilevel theory, research, and methods in organizations (pp. 3–90). San Francisco, CA: Jossey-Bass.
  • Kumar, P. (2002). The impact of performance, cost, and competitive considerations on the relationship between satisfaction and repurchase intent in business markets. Journal of Service Research, 5, 55–68.10.1177/1094670502005001006
  • Lafontaine, F., & Kaufmann, P. J. (1994). The evolution of ownersip patterns in franchise systems. Journal of Retailing, 70, 97–113.10.1016/0022-4359(94)90010-8
  • Larson, J. (1998). Patient satisfaction with delivery of products and information by an ambulatory care pharmacy. American Journal of Health-System Pharmacy, 55, 1025–1029.
  • Liao, H., & Chuang, A. (2004). A multilevel investigation of factors influencing employee service performance and customer outcomes. Academy of Management Journal, 47, 41–58.10.2307/20159559
  • Lundy, O., & Cowling, A. (1996). Strategic human resource management. London: Routledge.
  • Martin, K. D., & Paul Hill, R. (2012). Life satisfaction, self-determination, and consumption adequacy at the bottom of the pyramid. Journal of Consumer Research, 38, 1155–1168.10.1086/661528
  • McMillan, S. S., Sav, A., Kelly, F., King, M. A., Whitty, J. A., & Wheeler, A. J. (2014). How to attract them and keep them: The pharmacy attributes that matter to Australian residents with chronic conditions. International Journal of Pharmacy Practice, 22, 238–245.10.1111/ijpp.2014.22.issue-4
  • Menguc, B., Auh, S., Fisher, M., & Haddad, A. (2013). To be engaged or not to be engaged: The antecedents and consequences of service employee engagement. Journal of Business Research, 66, 2163–2170.10.1016/j.jbusres.2012.01.007
  • Netemeyer, R. G., Maxham, J. G., III, & Lichtenstein, D. R. (2010). Store manager performance and satisfaction: Effects on store employee performance and satisfaction, store customer satisfaction, and store customer spending growth. Journal of Applied Psychology, 95, 530–545.10.1037/a0017630
  • Norton, S. (1988). An empirical look at franchising as an organizational form. The Journal of Business, 61, 197–218.10.1086/jb.1988.61.issue-2
  • Offord, L. (2013). Feature – Vitamins and supplements: Complementing patient support with knowledge. The Australian Journal of Pharmacy, 94, 40–42.
  • Oliver, R. L. (1999). Whence consumer loyalty?. Journal of Marketing, 63, 33–44.10.2307/1252099
  • Menon, A., & Varadarajan, P. R. (1992). A model of marketing knowledge use within firms. Journal of Marketing, 56, 53–71.10.2307/1251986
  • Palmatier, R. W., Dant, R. P., Grewal, D., & Evans, K. R. (2006). Factors influencing the effectiveness of relationship marketing: A meta-analysis. Journal of Marketing, 70, 136–153.10.1509/jmkg.70.4.136
  • Parasuraman, A., Zeithaml, V. A., & Berry, L. L. (1988). Servqual. Journal of retailing, 64, 12–40.
  • Paswan, A. K., & Wittmann, C. M. (2009). Knowledge management and franchise systems. Industrial Marketing Management, 38, 173–180.10.1016/j.indmarman.2008.12.005
  • Powell, W., Koput, K., & Smith-Doerr, L. (1996). Interorganizational collaboration and the locus of innovation: Networks of learning in biotechnology. Administrative Science Quarterly, 41, 116–145.10.2307/2393988
  • Price, L. L., Arnould, E. J., & Tierney, P. (1995). Going to extremes: Managing service encounters and assessing provider performance. Journal of Marketing, 83–97.10.2307/1252075
  • Rabbanee, F. K., Burford, O., & Ramaseshan, B. (2015). Does employee performance affect customer loyalty in pharmacy services? Journal of Service Theory and Practice, 25, 725–743.10.1108/JSTP-06-2014-0126
  • Ramaseshan, B., Ishak, A., & Rabbanee, F. K. (2013). The role of marketing managers’ commitment and involvement in marketing strategy implementation. Journal of Strategic Marketing, 21, 465–483.10.1080/0965254X.2013.804858
  • Roh, E. Y., & Yoon, J. H. (2009). Franchisor’s ongoing support and franchisee’s satisfaction: A case of ice cream franchising in Korea. International Journal of Contemporary Hospitality Management, 21, 85–99.10.1108/09596110910930205
  • Salanova, M., Agut, S., & Peiró, J. M. (2005). Linking organizational resources and work engagement to employee performance and customer loyalty: The mediation of service climate. Journal of Applied Psychology, 90, 1217–1227.10.1037/0021-9010.90.6.1217
  • Saraogi, A. (2009). Exploring franchisor franchisee relationship: Building a predictive model of franchisee performance. Vision: The Journal of Business Perspective, 13, 31–58.
  • Selz, M. (1992). Many ex-executives tum to franchising, often find frustration. Wall Street Journal, 150, Al–A4.
  • Shane, S., Shankar, V., & Aravindakshan, A. (2006). The effects of new franchisor partnering strategies on franchise system size. Management Science, 52, 773–787.10.1287/mnsc.1050.0449
  • Shuai, G. E., Cheong, K. I., Hao, H. U., & Yitao, W. A. N. G. (2012). Provision and usage of medical services by community pharmacy: A comparative study of New York, Macao and Zhuhai (China). Canadian Social Science, 8, 11–17.
  • Singleton, J. (2013). Differentiating from the differentiators. The Australian Journal of Pharmacy, 94, 62–64.
  • Singleton, J. A., & Nissen, L. M. (2014). Future-proofing the pharmacy profession in a hypercompetitive market. Research in Social and Administrative Pharmacy, 10, 458–468.
  • Spinelli, S., & Birley, S. (1996). Toward a theory of conflict in the franchise system. Journal of Business Venturing, 11, 329–342.10.1016/0883-9026(96)00049-3
  • Strutton, D., Pelton, L. E., & Lumpkin, J. R. (1993). The influence of psychological climate on conflict resolution strategies in franchise relationships. Journal of the Academy of Marketing Science, 21, 207–215.10.1177/0092070393213004
  • Strutton, D., Pelton, L. E., & Lumpkin, J. R. (1995). Psychological climate in franchising system channels and franchisor–franchisee solidarity. Journal of Business Research, 34, 81–91.10.1016/0148-2963(94)00053-H
  • Szulanski, G., & Jensen, R. J. (2008). Growing through copying: The negative consequences of innovation on franchise network growth. Research Policy, 37, 1732–1741.10.1016/j.respol.2008.08.012
  • Uzkurt, C., Kumar, R., Semih Kimzan, H., & Eminoğlu, G. (2013). Role of innovation in the relationship between organizational culture and firm performance. European Journal of Innovation Management, 16, 92–117.10.1108/14601061311292878
  • Weaven, S., Grace, D., Dant, R., & Brown, J. R. (2014). Value creation through knowledge management in franchising: A multi-level conceptual framework. Journal of Services Marketing, 28, 97–104.10.1108/JSM-09-2013-0251
  • White, D. W. (2010). The impact of marketing strategy creation style on the formation of a climate of trust in a retail franchise setting. European Journal of Marketing, 44, 162–179.10.1108/03090561011008655
  • White, L., & Klinner, C. (2012). Service quality in community pharmacy: An exploration of determinants. Research in Social and Administrative Pharmacy, 8, 122–132.10.1016/j.sapharm.2011.01.002
  • Xu, T. (2002). Choice of and overall satisfaction with pharmacies among a community-dwelling elderly population. Medical Care, 40, 1283–1293.
  • Zeithaml, V. A., Berry, L. L., & Parasuraman, A. (1996). The behavioral consequences of service quality. Journal of Marketing, 60, 31–46.10.2307/1251929

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.