IDEAS home Printed from https://ideas.repec.org/a/pal/jorapm/v20y2021i4d10.1057_s41272-021-00306-1.html
   My bibliography  Save this article

Configurational theory and practices of firms employing multiple pricing policies: assessing effective and ineffective pricing recipes in multiple firm contexts

Author

Listed:
  • Stephan M. Liozu

    (Case Western Reserve University)

  • Sven Feurer

    (Karlsruhe Institute of Technology (KIT))

  • Andreas Hinterhuber

    (Università Ca Foscari)

  • Arch Woodside

    (Yonsei University)

Abstract

This study examines the presence and impact of complex alternative organizational configurations of pricing on firm performance. The dataset is from a survey of company owners and company CEOs, of which a subsample was used previously and analyzed with multiple regression analysis. Analyzing an enlarged dataset that includes new data using fuzzy-set qualitative comparative analysis (fsQCA) supports the perspective that multiple price policy paths are identifiable for indicating high performance for different firm operational contexts. By applying the perspective of complex interdependences of specific pricing activities and specific organizational configurations related to pricing, this study offers a nuanced contribution to marketing theory. To practicing managers, this study offers guidance for adopting specific configurations of pricing policies in specific contexts for achieving high firm performance as well as guidance on which configurations indicate negative firm performance outcomes.

Suggested Citation

  • Stephan M. Liozu & Sven Feurer & Andreas Hinterhuber & Arch Woodside, 2021. "Configurational theory and practices of firms employing multiple pricing policies: assessing effective and ineffective pricing recipes in multiple firm contexts," Journal of Revenue and Pricing Management, Palgrave Macmillan, vol. 20(4), pages 420-435, August.
    • Handle: RePEc:pal:jorapm:v:20:y:2021:i:4:d:10.1057_s41272-021-00306-1
    DOI: 10.1057/s41272-021-00306-1
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1057/s41272-021-00306-1
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1057/s41272-021-00306-1?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Paul Ingenbleek & Marion Debruyne & Ruud T. Frambach & Theo M. M. Verhallen, 2003. "Successful New Product Pricing Practices: A Contingency Approach," Marketing Letters, Springer, vol. 14(4), pages 289-305, December.
    2. Gregory G. Dess & Richard B. Robinson, 1984. "Measuring organizational performance in the absence of objective measures: The case of the privately‐held firm and conglomerate business unit," Strategic Management Journal, Wiley Blackwell, vol. 5(3), pages 265-273, July.
    3. Dutta, Shantanu & Bergen, Mark & Levy, Daniel & Ritson, Mark & Zbaracki, Mark, 2002. "Pricing as a Strategic Capability," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 43(3 (April ), pages 61-66.
    4. Hinterhuber, Andreas, 2017. "Value quantification capabilities in industrial markets," Journal of Business Research, Elsevier, vol. 76(C), pages 163-178.
    5. Armstrong, J. Scott & Overton, Terry S., 1977. "Estimating Nonresponse Bias in Mail Surveys," MPRA Paper 81694, University Library of Munich, Germany.
    6. Neil A. Morgan & Douglas W. Vorhies & Charlotte H. Mason, 2009. "Market orientation, marketing capabilities, and firm performance," Strategic Management Journal, Wiley Blackwell, vol. 30(8), pages 909-920, August.
    7. Ragin, Charles C., 2000. "Fuzzy-Set Social Science," University of Chicago Press Economics Books, University of Chicago Press, edition 1, number 9780226702773, September.
    8. Jay R. Galbraith, 1974. "Organization Design: An Information Processing View," Interfaces, INFORMS, vol. 4(3), pages 28-36, May.
    9. Dean, Joel, 1969. "Pricing Pioneering Products," Journal of Industrial Economics, Wiley Blackwell, vol. 17(3), pages 165-179, July.
    10. Woodside, Arch G., 2014. "Embrace•perform•model: Complexity theory, contrarian case analysis, and multiple realities," Journal of Business Research, Elsevier, vol. 67(12), pages 2495-2503.
    11. Zeki Simsek & Ciaran Heavey & John (Jack) F. Veiga, 2010. "The impact of CEO core self‐evaluation on the firm's entrepreneurial orientation," Strategic Management Journal, Wiley Blackwell, vol. 31(1), pages 110-119, January.
    12. Shantanu Dutta & Mark J. Zbaracki & Mark Bergen, 2003. "Pricing process as a capability: a resource‐based perspective," Strategic Management Journal, Wiley Blackwell, vol. 24(7), pages 615-630, July.
    13. Wu, Pei-Ling & Yeh, Shih-Shuo & Huan, Tzung-Cheng (.T.C.). & Woodside, Arch G., 2014. "Applying complexity theory to deepen service dominant logic: Configural analysis of customer experience-and-outcome assessments of professional services for personal transformations," Journal of Business Research, Elsevier, vol. 67(8), pages 1647-1670.
    14. Anja Lambrecht & Katja Seim & Naufel Vilcassim & Amar Cheema & Yuxin Chen & Gregory Crawford & Kartik Hosanagar & Raghuram Iyengar & Oded Koenigsberg & Robin Lee & Eugenio Miravete & Ozge Sahin, 2012. "Price discrimination in service industries," Marketing Letters, Springer, vol. 23(2), pages 423-438, June.
    15. Mark J. Zbaracki & Mark Bergen, 2010. "When Truces Collapse: A Longitudinal Study of Price-Adjustment Routines," Organization Science, INFORMS, vol. 21(5), pages 955-972, October.
    16. Arch G. Woodside & Alexandre Schpektor & Xin Xia, 2013. "Triple Sense-Making of Findings from Marketing Experiments Using the Dominant Variable Based-Logic, Case-Based Logic, and Isomorphic Modeling," International Journal of Business and Economics, School of Management Development, Feng Chia University, Taichung, Taiwan, vol. 12(2), pages 131-153, December.
    17. Said Elbanna & John Child, 2007. "Influences on strategic decision effectiveness: Development and test of an integrative model," Strategic Management Journal, Wiley Blackwell, vol. 28(4), pages 431-453, April.
    18. repec:ucp:bkecon:9780226702766 is not listed on IDEAS
    19. Howell, Jane M. & Shea, Christine M. & Higgins, Christopher A., 2005. "Champions of product innovations: defining, developing, and validating a measure of champion behavior," Journal of Business Venturing, Elsevier, vol. 20(5), pages 641-661, September.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Stephan M. Liozu, 2021. "The adoption of pricing from an organizational perspective and its impact on relative firm performance," Journal of Revenue and Pricing Management, Palgrave Macmillan, vol. 20(4), pages 390-402, August.
    2. Veríssimo, José Manuel Cristóvão, 2018. "Usage intensity of mobile medical apps: A tale of two methods," Journal of Business Research, Elsevier, vol. 89(C), pages 442-447.
    3. Xue, Jinjie & Yuan, Hongping & Shi, Benshan, 2016. "Investigating partners' opportunistic behavior in joint ventures in China: The role of transaction costs and relational exchanges," Journal of Business Research, Elsevier, vol. 69(12), pages 6067-6078.
    4. Leischnig, Alexander & Kasper-Brauer, Kati, 2016. "How to sell in diverse markets? A two-level approach to industry factors and selling factors for explaining firm profitability," Journal of Business Research, Elsevier, vol. 69(4), pages 1307-1313.
    5. Frambach, Ruud T. & Fiss, Peer C. & Ingenbleek, Paul T.M., 2016. "How important is customer orientation for firm performance? A fuzzy set analysis of orientations, strategies, and environments," Journal of Business Research, Elsevier, vol. 69(4), pages 1428-1436.
    6. Leischnig, Alexander & Henneberg, Stephan C. & Thornton, Sabrina C., 2016. "Net versus combinatory effects of firm and industry antecedents of sales growth," Journal of Business Research, Elsevier, vol. 69(9), pages 3576-3583.
    7. Tessa Christina Flatten & Andreas Engelen & Timo Möller & Malte Brettel, 2015. "How Entrepreneurial Firms Profit from Pricing Capabilities: An Examination of Technology–Based Ventures," Entrepreneurship Theory and Practice, , vol. 39(5), pages 1111-1136, September.
    8. Bodlaj, Mateja & Čater, Barbara, 2022. "Responsive and proactive market orientation in relation to SMEs’ export venture performance: The mediating role of marketing capabilities," Journal of Business Research, Elsevier, vol. 138(C), pages 256-265.
    9. Van Wijk, Raymond & Nadolska, Anna, 2020. "Making more of alliance portfolios: The role of alliance portfolio coordination," European Management Journal, Elsevier, vol. 38(3), pages 388-399.
    10. Sheng, Margaret L. & Chien, Iting, 2016. "Rethinking organizational learning orientation on radical and incremental innovation in high-tech firms," Journal of Business Research, Elsevier, vol. 69(6), pages 2302-2308.
    11. Russo, Ivan & Confente, Ilenia & Gligor, David M. & Autry, Chad W., 2016. "To be or not to be (loyal): Is there a recipe for customer loyalty in the B2B context?," Journal of Business Research, Elsevier, vol. 69(2), pages 888-896.
    12. Ferguson, Graham & Megehee, Carol M. & Woodside, Arch G., 2017. "Culture, religiosity, and economic configural models explaining tipping-behavior prevalence across nations," Tourism Management, Elsevier, vol. 62(C), pages 218-233.
    13. Pappas, Nikolaos & Caputo, Andrea & Pellegrini, Massimiliano Matteo & Marzi, Giacomo & Michopoulou, Eleni, 2021. "The complexity of decision-making processes and IoT adoption in accommodation SMEs," Journal of Business Research, Elsevier, vol. 131(C), pages 573-583.
    14. Pappas, Nikolaos & Papatheodorou, Andreas, 2017. "Tourism and the refugee crisis in Greece: Perceptions and decision-making of accommodation providers," Tourism Management, Elsevier, vol. 63(C), pages 31-41.
    15. Olya, Hossein G.T. & Altinay, Levent, 2016. "Asymmetric modeling of intention to purchase tourism weather insurance and loyalty," Journal of Business Research, Elsevier, vol. 69(8), pages 2791-2800.
    16. Jan Stejskal & Petr Hajek, 2019. "Modelling collaboration and innovation in creative industries using fuzzy set qualitative comparative analysis," The Journal of Technology Transfer, Springer, vol. 44(3), pages 981-1006, June.
    17. Hinterhuber, Andreas & Kienzler, Mario & Liozu, Stephan, 2021. "New product pricing in business markets: The role of psychological traits," Journal of Business Research, Elsevier, vol. 133(C), pages 231-241.
    18. Ferguson, Graham & Megehee, Carol M. & Woodside, Arch G., 2018. "Applying asymmetric, case-based, forecasting modeling in service research: Cultures’ consequences on customers’ service gratuities," Australasian marketing journal, Elsevier, vol. 26(4), pages 369-381.
    19. Pinho, José Carlos & Prange, Christiane, 2016. "The effect of social networks and dynamic internationalization capabilities on international performance," Journal of World Business, Elsevier, vol. 51(3), pages 391-403.
    20. Hervas-Oliver, Jose-Luis & Sempere-Ripoll, Francisca & Arribas, Ivan, 2015. "Asymmetric modeling of organizational innovation," Journal of Business Research, Elsevier, vol. 68(12), pages 2654-2662.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:jorapm:v:20:y:2021:i:4:d:10.1057_s41272-021-00306-1. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.