In this paper,we preset a critique of the work of Rapp et al (2009) titled "Performance implications of customer-linking capabilities: Examining the complementary role of customer orientation and CRM technology" with a view of establishing its success and failure as well as gaps in knowledge that it fills. Theoretical models are also included
Rapp, Adam; Trainor, Kevin J; & Agrihotr, Raj (2009). Performance implications of customer-linking capabilities: Examining the complementary role of customer orientation and CRM technology. Journal of Business Research, in Press, Corrected Proof,
Since the advent of customer relation management (CRM) technology, a lot of gains have been reported by the various companies that have implemented this piece of technology. However, most companies fail to realize the full potential of CRM due to their failure to engage the complementary business as well as human resources that are needed in order to successfully deploy as well as fully leverage this investment as noted by Reinartz et al. (2004).In this paper, we preset a critique of the work of Rapp et al. (2009) titled "Performance implications of customer-linking capabilities: Examining the complementary role of customer orientation and CRM technology" with a view of establishing its success and failure as well as gaps in knowledge that it fills.
1.1 Hypothesis:
The most significant hypotheses are;
H1: CRM technology capability positively affects customer-linking capability
H2: Customer orientation positively affects customer-linking capability
1.2. What this study is supposed to add to the existing body of knowledge
This work is supposed to highlight the complementary role of customer orientation as well as CRM technology on the success of customer-linking initiatives.
2. Summary of the study
This article critically examines how technology as well as complementary resources can be bundled in order to form capabilities that can create and foster a durable customer relationship. The article employs a theoretical framework that is based on theories of marketing, information systems as well as strategic management. The very first outcome of the work is a theoretically founded conceptualization of Customer Relations Management (CRM) technology with capabilities made up of three main complementary resources; business, human resource and technology. This work also produced a second key finding that indicated that CRM technology and the concept of customer orientation bear appositive correlation with the development of a durable customer relationship. The same resources are also noted to have positive association and interactive effect on the customer-linking capabilities thus highlighting the need for aligning technology resources with strategic business. The authors concluded that customer-linking capability has a very positive association with customer relationship performance and that this relationship is moderated by the various changes in the external environment. This work addressed the research questions in a cross-sectional research study comprising of a total of two hundred and fifteen organizations by means of a partial least squares modeling technique.
2.1Critique of the research
The work of Rapp et al. (2009 is rooted on a theoretical background and conceptual framework of resource-based view of technological adoption for the sake of gaining a competitive advantage. The theory of CRM technology is also part and parcel of this work. The theoretical model is indicated below;
The hypothesized model
I believe the hypothesized model is appropriate in proving the hypothesis.
The major hypotheses are;
H1: CRM technology capability positively affects customer-linking capability
H2: Customer orientation positively affects customer-linking capability
This is because they are the ones that capture the spirit and aim of our study;: Examining the complementary role of customer orientation and CRM technology.
2.2. Internal validity
This work has a good internal validity. This is because of the various statistical tests of validity that were carried out and gave appositive answer. The tests included Cronbach's Alpha, Average Variance Extracted and Composite Reliability tests.
2.3. Sample and population
The data was collected from the top management teams of the group of firms which was representative of the U.S.-based firms. The sample size was good and representative (about 96% were Chief Executive Officers).I believe this was a huge drawback since the part of the management that knows more on the advantages and deficiencies of a CRM system are the human resource managers. Therefore, data was collected from the wrong population.
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