Enhancing corporate reputation for market expansion in China

Customer orientation and the mediating effect of product and service quality

Tung lung Steven Chang, Weichun Zhu

Research output: Contribution to journalArticle

8 Citations (Scopus)

Abstract

Corporate reputation could be a vital means for multinationals to reduce market entry barriers, foster customer retention, and strengthen competitive advantage in China. This study investigates the link between customer orientation, product and service quality, and corporate reputation. We conducted hierarchal regression analyses to examine survey data of 615 foreign firms which entered China by means of wholly-owned subsidies or joint-ventures. Our findings reveal that quality customer services are critical for foreign firms penetrating local markets in China. However, without proper targeting and positioning strategies, even quality products are unable to create the desired efficacy in enhancing corporate reputation. We show that the adoption of customer orientation positively associates with corporate reputation for foreign firms making successful inroads in China; and that product and service quality may be used as marketing means for those firms embracing customer orientation to obtain desired corporate reputation.

Original languageEnglish (US)
Pages (from-to)153-170
Number of pages18
JournalJournal of Strategic Marketing
Volume19
Issue number2
DOIs
StatePublished - Apr 1 2011

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Product quality
Service quality
Customer orientation
China
Mediating effect
Corporate reputation
Market expansion
Foreign firms
Efficacy
Marketing
Entry barriers
Joint ventures
Targeting
Competitive advantage
Subsidies
Market entry
Survey data
Local markets
Multinationals
Positioning strategies

All Science Journal Classification (ASJC) codes

  • Strategy and Management
  • Marketing

Cite this

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Enhancing corporate reputation for market expansion in China : Customer orientation and the mediating effect of product and service quality. / Chang, Tung lung Steven; Zhu, Weichun.

In: Journal of Strategic Marketing, Vol. 19, No. 2, 01.04.2011, p. 153-170.

Research output: Contribution to journalArticle

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