Current approaches to organizational effectiveness are conceptually conflicting and empiricaiiy arid. They appear handicapped by a desire to produce a single effectiveness statement about any given organization. We propose a "multipie-constituency" approach to avoid this requirement, explicitiy assuming that an organization's different constituencies will form different assessments of its effectiveness. We aiso suggest several conceptuai and empiricai implications of this reorientation.This paper attempts to define a broad perspective on organizational effectiveness that encompasses rather than conflicts with existing perspectives. The proposed perspective will not attempt to prescribe research directions or methodology. Rather, it will attempt to define areas of convergent theorizing and rich empirical domains.
Staw's (1981) theory of escalation, that decision makers who are responsible for a failure will be more retrospectively oriented than those who are not responsible for a Jailnre, was tested by monitoring the information requests of subjects performing the Adams and Smith decision case (Staw, 1976). A total of 72 Master of Business Administration (MBA) students completed a computer-administered version of the ease, in which they were permitted to request information files that had been preclassified as retrospective or prospective on the basis of the results of data collected from a different sample of MBA students. We found that 75% of the subjects who were responsible for a previous failure requested retrospective information, compared to about 25% of the subjects who were not responsible for a failure. This significant difference (i.e., p < .05) supported Staw's theory. We also found that the information manipulation eliminated the tendency of subjects who were responsible for failure to escalate allocations.We gratefully acknowledge the useful comments of Joel Brockner, Jay Christensen-Szalanski, Gary Gaeth, Jerry Rose, and two anonymous reviewers on a draft of this article.
Prior literature has examined product quality and service quality separately as antecedents of customer loyalty. In the context of the automotive industry, we present a framework that examines the simultaneous impact of product and service quality on consumers' purchase intentions. The framework is operationalized as several hypotheses that posit relationships between service quality, service satisfaction, product quality, and customer loyalty. The hypotheses are tested using three sources of data: (i) archival data on product quality and customer purchases, (ii) consumersíresponses to a survey instrument, and (iii) Consumer Reports. Results indicate general support for main hypotheses proposed.
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