Corporate reputation, service innovation and cross-buying intention: a test on reciprocal relationship and mediation effect

Sridhar Manohar and Ganesan Palanisamy

International Journal of Services, Economics and Management, 2018, vol. 9, issue 2, 158-176

Abstract: This study empirically established the reciprocal relationship between service innovation and corporate reputation and its effect on cross-buying intention with mediation effect of service innovation between corporate reputation and cross-buying intention. The findings established that there is a reciprocal relationship between service innovation and corporate reputation and that both the constructs independently influence the cross-buying intention of the customer. The result further clarifies that there is the least combined effect of service innovation and corporate reputation on cross-buying intention, which means that service innovation and corporate reputation do not mediate the other variable's relationship with cross-buying intention. The findings help the managers/decision makers of a telecommunication service firm to understand that customer may cross-buy a product/service even from a non-reputed firm if the product/service is innovative. On the other hand, customers might cross-buy a product/service if it is from a reputed firm where the product/service may not always be innovative. Thus, for a new firm (which is less reputed in the market), service innovation helps in cross-selling whereas cross-selling of service is comparatively easier for a reputed firm even in the absence of innovative idea.

Keywords: service innovation; corporate reputation; reciprocal relationship; cross-buying intention. (search for similar items in EconPapers)
Date: 2018
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