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The optimal internal marketing strategy in services under open economy

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  • Wann-Yih Wu
  • Cheng-Feng Cheng

Abstract

This article attempts to develop a conceptual model to evaluate the optimal internal marketing strategy in services under open economy, and then verifies the effect of this marketing strategy on the satisfaction of marketing channel members. For its conceptual model, this study employs the concept of natural logarithm and Lagrange function to optimize an internal marketing strategy for international service that can maximize satisfaction of marketing channel members. The results suggest that service providers should increase the proportion of their portfolio's standardization strategy in their overall international marketing strategy if the positive association between their standardization strategy and strategic performance is relatively strong. We also provide optimal guideline for determining the allocation of resources. Furthermore, the results of structural equation modelling also ascertain the fitness of structure of the model.

Suggested Citation

  • Wann-Yih Wu & Cheng-Feng Cheng, 2009. "The optimal internal marketing strategy in services under open economy," Applied Economics Letters, Taylor & Francis Journals, vol. 16(8), pages 841-845.
    • Handle: RePEc:taf:apeclt:v:16:y:2009:i:8:p:841-845
    DOI: 10.1080/13504850701221964
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    References listed on IDEAS

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    1. Wasseem Mina, 2006. "Does contract enforcement matter for international lending?," Applied Economics Letters, Taylor & Francis Journals, vol. 13(6), pages 359-364.
    2. Byung In Lim & Jason Shogren, 2004. "Unilateral delegation and reimbursement systems in an environmental conflict," Applied Economics Letters, Taylor & Francis Journals, vol. 11(8), pages 489-493.
    3. Mottner, Sandra & Ford, John B., 2005. "Measuring nonprofit marketing strategy performance: the case of museum stores," Journal of Business Research, Elsevier, vol. 58(6), pages 829-840, June.
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