The Impact of Stakeholder Communication Strategies on Consumers- Acceptance and Financial Performance: In the Case of Fertilizer Industry in Malaysia

Authors: Hasnida Abdul Wahab, Shahrina Md Nordin, Lai Fong Woon, Hasrina Mustafa

Abstract:

There has been a growing emphasis in communication management from simple coordination of promotional tools to a complex strategic process. This study will examine the current marketing communications and engagement strategies used in addressing the key stakeholders. In the case of fertilizer industry in Malaysia, there has been little empirical research on stakeholder communication when major challenges facing the modern corporation is the need to communicate its identity, its values and products in order to distinguish itself from competitors. The study will employ both quantitative and qualitative methods and the use of Structural Equation Modeling (SEM) to establish a causal relationship amongst the key factors of stakeholder communication strategies and increment in consumers- choice/acceptance and impact on financial performance. One of the major contributions is a conceptual framework for communication strategies and engagement in increasing consumers- acceptance level and the firm-s financial performance.

Keywords: Consumers' acceptance, financial performance, stakeholder communication strategies.

Digital Object Identifier (DOI): doi.org/10.5281/zenodo.1062614

References:

[1] Freeman, R. & Lifdtka, J. (1997).Stakeholder Capitalism and the Value Chain.European Management Journal, 15(3):286-296.
[2] Harrison J. S. & St John, C. H. (1998).Strategic Management of Organizational and Stakeholder: Concepts and Cases. Cincinnati, Ohio: South-Western College Publishing
[3] L├ªgreid, M., B├©ckman, OC, Kaarstad O, 1999, Agriculture, Fertilizers & the Environment CABI Publishing,Wallingford, United Kingdom
[4] Morgan, Robert M., and Shelby D. Hunt. (1994) "The Commitment- Trust Theory of Relationship Marketing." Journal of Marketing, 58 (3), 20-38.
[5] Moorman, C., Deshpande, R. and Zaltman, G. (1993). Factors Affecting Trust in Market Research Relationships. Journal of Marketing, 81-101
[6] Choi, J., Wang, H., 2009. Stakeholder Relations and the Persistence of Corporate Financial Performance. Strategic Management Journal 30 (8), 895-907.
[7] Forman, J., Argenti, P., 2005. How Corporate Communication Influences Strategy Implementation, Reputation And The Corporate Brand: An Exploratory Qualitative Study. Corporate Reputation Review 8 (3), 245-264.
[8] Hooley, G., Greenley, G., Cadogan, J., Fahy, J., 2005. The Performance Impact of Marketing Resources. Journal of Business Research 58 (1) 18-27.
[9] Lazer, W. (1969). Marketing Changing Social Relationship. Journal of Marketing Research, 46(5), 573-583.
[10] Kotler, P. (1972). A Generic Concept of Marketing. Journal of Marketing, 33, 10-15.
[11] Marketing News (1985). AMA Board Approves New Marketing Definition (March 1).
[12] Keefe, L. M. (2004), "What Is the Meaning of Marketing?" Marketing News, (September 15), 17-18.
[13] Keefe, L. M. (2008). Marketing defined. Marketing News, (January 15), 28-29
[14] Kotler, P. (2005), Principles of Marketing, Fourth European Edition, Pearson Education, Prentice Hall
[15] Schultz, D. E. (1993). Integrated Marketing Communications: Maybe Definition is in the Point of View. Marketing News,
[16] Schultz, D. E., Tannenbaum, S. I., & Lauterborn, R. F. (1993). The New Marketing Paradigm: Integrated Marketing Communications. Lincolnwood, IL: NTC
[17] McGrath, J. (2005a) IMC at a Crossroads: A Theoretical Review and A Conceptual Framework for Testing. Marketing Management Journal, 15(2), pp. 55-66
[18] Schultz, D. E. (1993). Integrated Marketing Communications: Maybe Definition Is in the Point of View. Marketing News
[19] Jaworski, J., Kohli, A., (1993): Market Orientation: Antecedents and Consequences, the Journal of Marketing, Vol. 57, No.3, pp. 53-70
[20] Paul, S. (1998) Marketing Communications. An Integrated Approach. 2nd ed, Kogan Page, London
[21] Gupta.S & Zeitham, V. (2006). Customer Matrics and Their Impact on Financial Performance. Marketing Science 25(6).718-739
[22] Narver, J. C. & Slater, S. F. (1990). "The Effect of a Market Orientation on Business Profitability". Journal of Marketing, 54(4), pp. 20-35.
[23] Deshpande Rohit, Farley John U., Webster Frederick (1993): Corporate Culture, Customer Orientation, and Innovativeness. Journal of Marketing. Vol. 57 (January 1993), pp. 23-37.
[24] Oliver, R. L. (1993). Cognitive, Affective and Attribute Bases of Satisfaction Response. Journal of Consumer Research.20(3).418-430.
[25] Mithas, Sunil, M.S. Krishnan, and Claes Fornell. (2005) "Why Do Customer Relationship Management Applications Affect Customer Satisfaction?" Journal of Marketing, 69 (4) 201-209.
[26] Parasuraman, A., Zeithaml, V.A. and Berry, L.L. (1985)," A Conceptual Model of Service Quality and Its Implication for Future Research", Journal of Marketing, Vol. 49, 41-50
[27] Sasser, W. E., Olsen, P., Wyckoff, D. D. (1978). Designing the Service Firm Organisation. Management of Service Operations. Allyn & Bacon, Boston, MA.
[28] Ziethaml, V. A. & Parasuraman, A. (2004). Service Quality, Marketing Science Institute
[29] Oliver, R. L. (1997). Satisfaction: A Behavioral Perspective on the Customer. New York, NY: McGraw Hill.
[30] Ziethaml, V. A., Berry, L. L. &Parasuraman, A. (1996).The Behavioral Consequences of Service Quality.Journal of Marketing, 60.31-46.
[31] Teague, J and Eilon, S (1973), Productivity measurement: A Brief Survey, Applied Economics, Vol. 5, pp. 133-145
[32] Gruca, T. S. & L. L. Rego (2005). Customer Satisfaction, Cashflow and Shareholder Value. Journal of Marketing. 69(3).115-130.
[33] Anderson, E. W., Claes, F. & S. K. Mazvancheryl. (2004). Customer Satisfaction and Shareholder Value. Journal of Marketing, 68(3).172- 185.
[34] Hallowell, R. (1996). The Relationship of Customer Satisfaction, Customer Royalty and Profitability: An Empirical Study. International Journal Service Industry Management 7(4) 27-42.
[35] Anderson, E. W.& V. Mittal.(2000). Strengtening the Satisfaction - Profit Chain. J. Service Res 3(2)
[36] Anderson, E.W., Fornell, C., & Lehman, D.R. 1994. Customer Satisfaction, Market Share and Profitability: Findings from Sweden. Journal of Marketing, 58 (July): 53-66.
[37] Rust, Roland, Khaterine, L., V. Zeithaml (2004). Return on Marketing: Using Customer Equity to Focus Marketing Strategy. J. Marketing 68(1) 109-126