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Proactive Service Recovery Performance in Emerging (vs. Developed) Market-Based Firms: The Role of Clients’ Cultural Orientation

Nik Bakhsh, Naghmeh ; Hollebeek, Linda LU ; Riivits-Arkonsuo, Iivi ; K. Clark, Moira and Casas, Ramunas (2023) In Organizations and Markets in Emerging Economies 14(2(28)). p.260-285
Abstract
Though service recovery plays a key role in industrial clients’ post-recovery supplier evaluations, the impact of customers’ cultural orientation on the effectiveness of supplier-instigated proactive recovery (i.e., a supplier’s recovery efforts before clients notice/complain) remains tenuous, particularly in emerging (vs. developed) markets. Addressing this gap, we develop a model that examines (a) the moderating role of clients’ cultural orientation on the association of supplier-instigated proactive recovery and client-perceived recovery-related justice, and (b) the impact of customer-perceived justice on relationship quality in the emerging (vs. developed) market context. To test the model, we deploy a cross-cultural scenario-based... (More)
Though service recovery plays a key role in industrial clients’ post-recovery supplier evaluations, the impact of customers’ cultural orientation on the effectiveness of supplier-instigated proactive recovery (i.e., a supplier’s recovery efforts before clients notice/complain) remains tenuous, particularly in emerging (vs. developed) markets. Addressing this gap, we develop a model that examines (a) the moderating role of clients’ cultural orientation on the association of supplier-instigated proactive recovery and client-perceived recovery-related justice, and (b) the impact of customer-perceived justice on relationship quality in the emerging (vs. developed) market context. To test the model, we deploy a cross-cultural scenario-based experiment using 117 Danish industrial clients (i.e., developed market) and 109 Iranian industrial clients (i.e., emerging market). The results suggest that customers’ cultural orientation partially moderates the relationship of suppliers’ proactive recovery and customer-perceived justice, in turn boosting relationship quality in the emerging/developed market context. (Less)
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author
; ; ; and
organization
publishing date
type
Contribution to journal
publication status
published
subject
keywords
proactive service recovery, emerging markets, cultural orientation, perceived justice, relationship quality, scenario-based experiment
in
Organizations and Markets in Emerging Economies
volume
14
issue
2(28)
pages
260 - 285
publisher
Vilnius University Press
external identifiers
  • scopus:85166907369
ISSN
2029-4581
DOI
10.15388/omee.2023.14.92
language
English
LU publication?
yes
id
a2cb5f7f-4d19-4476-a3ca-b5528792c3f8
date added to LUP
2023-08-14 12:02:44
date last changed
2023-08-17 08:23:14
@article{a2cb5f7f-4d19-4476-a3ca-b5528792c3f8,
  abstract     = {{Though service recovery plays a key role in industrial clients’ post-recovery supplier evaluations, the impact of customers’ cultural orientation on the effectiveness of supplier-instigated proactive recovery (i.e., a supplier’s recovery efforts before clients notice/complain) remains tenuous, particularly in emerging (vs. developed) markets. Addressing this gap, we develop a model that examines (a) the moderating role of clients’ cultural orientation on the association of supplier-instigated proactive recovery and client-perceived recovery-related justice, and (b) the impact of customer-perceived justice on relationship quality in the emerging (vs. developed) market context. To test the model, we deploy a cross-cultural scenario-based experiment using 117 Danish industrial clients (i.e., developed market) and 109 Iranian industrial clients (i.e., emerging market). The results suggest that customers’ cultural orientation partially moderates the relationship of suppliers’ proactive recovery and customer-perceived justice, in turn boosting relationship quality in the emerging/developed market context.}},
  author       = {{Nik Bakhsh, Naghmeh and Hollebeek, Linda and Riivits-Arkonsuo, Iivi and K. Clark, Moira and Casas, Ramunas}},
  issn         = {{2029-4581}},
  keywords     = {{proactive service recovery; emerging markets; cultural orientation; perceived justice; relationship quality; scenario-based experiment}},
  language     = {{eng}},
  number       = {{2(28)}},
  pages        = {{260--285}},
  publisher    = {{Vilnius University Press}},
  series       = {{Organizations and Markets in Emerging Economies}},
  title        = {{Proactive Service Recovery Performance in Emerging (vs. Developed) Market-Based Firms:  The Role of Clients’ Cultural Orientation}},
  url          = {{http://dx.doi.org/10.15388/omee.2023.14.92}},
  doi          = {{10.15388/omee.2023.14.92}},
  volume       = {{14}},
  year         = {{2023}},
}