IDEAS home Printed from https://ideas.repec.org/a/aes/icmbdj/v2y2016i1p122-135.html
   My bibliography  Save this article

Entrepreneurial Approach on Relationship Marketing in Family Owned Business

Author

Listed:
  • Nicolae Al. Pop

    (The Bucharest University of Economic Studies - Marketing Department)

  • Silvia Fotea

    (The Bucharest University of Economic Studies - Marketing Department)

  • Silvia Dusa

    (The Bucharest University of Economic Studies - Marketing Department)

  • Alexandru Palade

    (The Bucharest University of Economic Studies - Marketing Department)

Abstract

The importance of marketing for the success of any business is unquestionable, especially in the light of the well-known saying “nothing happens in a company until a sales happens”. Despite being considered the backbone of most economies (Văduva & Fotea, 2011), little it is known about the way family businesses incorporate and communicate their identity as “family business” in their marketing process and whether this “strategic asset”, as it is labeled in the literature, helps them gain competitive advantage (Reuber & Fischer, 2011). Data regarding the marketing processes employed by family businesses is even scarcer in the context of Romania (Szabo, 2014). Family owned businesses are the playground of two apparently antagonist orientations namely the entrepreneurial orientation and the family orientation. Entrepreneurial orientation (Lumpkin et al. (2010), Nordqvist, Habbershon, and Melin (2008) with its focus on risk taking, aggressiveness, autonomy, innovativeness, and proactiveness has the potential to lead to trans-generational value creation, while family orientation with its dimensions of interdependency, loyalty, security, stability, and tradition (Martin & Lumpkin, 2003) brings forth the relationship approach that is inherent to the nature of this type of business and which leads to trans-generational relationship creation. Harnessed and synergized these two orientations can foster a unique capability and distinctive competitive advantage for this category of business in its approach of marketing because they bring forth two important ingredients for successful marketing, namely, an entrepreneurial approach and a relationship approach. The article is grounded in a qualitative exploratory marketing research conducted by authors among entrepreneurs in family owned businesses using semi-structured free discussions, in-depth interviewing technique and conversation guide as research instrument with the aim of identifying the particularities of these businesses and the role relationship marketing plays to enhance their competitiveness.

Suggested Citation

  • Nicolae Al. Pop & Silvia Fotea & Silvia Dusa & Alexandru Palade, 2016. "Entrepreneurial Approach on Relationship Marketing in Family Owned Business," International Conference on Marketing and Business Development Journal, The Bucharest University of Economic Studies, vol. 2(1), pages 122-135, July.
    • Handle: RePEc:aes:icmbdj:v:2:y:2016:i:1:p:122-135
    as

    Download full text from publisher

    File URL: http://www.mbd.ase.ro/RePEc/aes/icmbdj/2016/ICMBD_V2_2016_41.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Stijn Claessens & Simeon Djankov & Joseph P. H. Fan & Larry H. P. Lang, 2002. "Disentangling the Incentive and Entrenchment Effects of Large Shareholdings," Journal of Finance, American Finance Association, vol. 57(6), pages 2741-2771, December.
    2. Aldrich, Howard E. & Cliff, Jennifer E., 2003. "The pervasive effects of family on entrepreneurship: toward a family embeddedness perspective," Journal of Business Venturing, Elsevier, vol. 18(5), pages 573-596, September.
    3. Sascha Kraus & Rainer Harms & Matthias Fink, 2010. "Entrepreneurial marketing: moving beyond marketing in new ventures," International Journal of Entrepreneurship and Innovation Management, Inderscience Enterprises Ltd, vol. 11(1), pages 19-34.
    4. De Castro, Julio O. & Balkin, David B. & Shepherd, Dean A., 2008. "Can entrepreneurial firms benefit from product piracy?," Journal of Business Venturing, Elsevier, vol. 23(1), pages 75-90, January.
    5. De Bruyn, Arnaud & Lilien, Gary L., 2008. "A multi-stage model of word-of-mouth influence through viral marketing," International Journal of Research in Marketing, Elsevier, vol. 25(3), pages 151-163.
    6. Jess H. Chua & James J. Chrisman & Pramodita Sharma, 1999. "Defining the Family Business by Behavior," Entrepreneurship Theory and Practice, , vol. 23(4), pages 19-39, July.
    7. Wennberg, Karl & Wiklund, Johan & Hellerstedt, Karin & Nordqvist, Mattias, 2011. "Implications of Intra-Family and External Ownership Transfer Of Family Firms: Short Term and Long Term Performance," Ratio Working Papers 172, The Ratio Institute.
    8. Gaglio, Connie Marie & Katz, Jerome A, 2001. "The Psychological Basis of Opportunity Identification: Entrepreneurial Alertness," Small Business Economics, Springer, vol. 16(2), pages 95-111, March.
    9. Kati Schmengler & Sascha Kraus, 2010. "Entrepreneurial marketing over the internet: an explorative qualitative empirical analysis," International Journal of Entrepreneurial Venturing, Inderscience Enterprises Ltd, vol. 2(1), pages 56-71.
    10. Swanepoel, Celeste & Lye, Ashley & Rugimbana, Robert, 2009. "Virally inspired: A review of the theory of viral stealth marketing," Australasian marketing journal, Elsevier, vol. 17(1), pages 9-15.
    11. James Hayton & Gaylen N. Chandler & Dawn R. DeTienne, 2011. "Entrepreneurial opportunity identification and new firm development processes: a comparison of family and non-family new ventures," International Journal of Entrepreneurship and Innovation Management, Inderscience Enterprises Ltd, vol. 13(1), pages 12-31.
    12. ., 2008. "The Carriers of Change: The Role of Entrepreneurs," Chapters, in: Law, Informal Rules and Economic Performance, chapter 12, Edward Elgar Publishing.
    13. Zahra, Shaker A. & Garvis, Dennis M., 2000. "International corporate entrepreneurship and firm performance: The moderating effect of international environmental hostility," Journal of Business Venturing, Elsevier, vol. 15(5-6), pages 469-492.
    14. Habbershon, Timothy G. & Williams, Mary & MacMillan, Ian C., 2003. "A unified systems perspective of family firm performance," Journal of Business Venturing, Elsevier, vol. 18(4), pages 451-465, July.
    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. Barros, Ismael & Hernangómez, Juan & Martin-Cruz, Natalia, 2016. "A theoretical model of strategic management of family firms. A dynamic capabilities approach," Journal of Family Business Strategy, Elsevier, vol. 7(3), pages 149-159.
    2. Francesca Ricciardi & Elisa Giacosa & Francesca Culasso, 2021. "Stepchildren or prodigal employees? Motives and consequences of employee entrepreneurship in family business," International Entrepreneurship and Management Journal, Springer, vol. 17(1), pages 229-247, March.
    3. Bird, Miriam & Wennberg, Karl, 2014. "Regional influences on the prevalence of family versus non-family start-ups," Journal of Business Venturing, Elsevier, vol. 29(3), pages 421-436.
    4. James J. Chrisman & Jess H. Chua & Lloyd Steier, 2005. "Sources and Consequences of Distinctive Familiness: An Introduction," Entrepreneurship Theory and Practice, , vol. 29(3), pages 237-247, May.
    5. Llach, Josep & Sanchez-Famoso, Valeriano & Danes, Sharon M., 2023. "Unmasking nonfamily employees’ complex contribution to family business performance: A place identity theory approach," Journal of Family Business Strategy, Elsevier, vol. 14(4).
    6. Clinton, Eric & McAdam, Maura & Gamble, Jordan Robert, 2018. "Transgenerational entrepreneurial family firms: An examination of the business model construct," Journal of Business Research, Elsevier, vol. 90(C), pages 269-285.
    7. Rantanen, Noora & Jussila, Iiro, 2011. "F-CPO: A collective psychological ownership approach to capturing realized family influence on business," Journal of Family Business Strategy, Elsevier, vol. 2(3), pages 139-150.
    8. Rajan, Bharath & Salunkhe, Uday & Kumar, V., 2023. "Understanding customer engagement in family firms: A conceptual framework," Journal of Business Research, Elsevier, vol. 154(C).
    9. D’Allura, Giorgia Maria, 2019. "The leading role of the top management team in understanding family firms: Past research and future directions," Journal of Family Business Strategy, Elsevier, vol. 10(2), pages 87-104.
    10. Weiping Liu & Haibin Yang & Guangxi Zhang, 2012. "Does family business excel in firm performance? An institution-based view," Asia Pacific Journal of Management, Springer, vol. 29(4), pages 965-987, December.
    11. Jorge A. Durán-Encalada & Juan M. San Martin-Reyna & Héctor Montiel-Campos, 2012. "A Research Proposal to Examine Entrepreneurship in Family Business," Journal of Entrepreneurship, Management and Innovation, Fundacja Upowszechniająca Wiedzę i Naukę "Cognitione", vol. 8(3), pages 58-77.
    12. Jennifer E. Cliff & P. Devereaux Jennings, 2005. "Commentary on the Multidimensional Degree of Family Influence Construct and the F–PEC Measurement Instrument," Entrepreneurship Theory and Practice, , vol. 29(3), pages 341-347, May.
    13. Nonyelum Lina Eze & Mattias Nordqvist & Georges Samara & Maria José Parada, 2021. "Different Strokes for Different Folks: The Roles of Religion and Tradition for Transgenerational Entrepreneurship in Family Businesses," Entrepreneurship Theory and Practice, , vol. 45(4), pages 792-837, July.
    14. Mazzi, Chiara, 2011. "Family business and financial performance: Current state of knowledge and future research challenges," Journal of Family Business Strategy, Elsevier, vol. 2(3), pages 166-181.
    15. Todor S. Lohwasser & Felix Hoch & Franz W. Kellermanns, 2022. "Strength in Stability: A Meta-Analysis of Family Firm Performance Moderated by Institutional Stability and Regime Type," Entrepreneurship Theory and Practice, , vol. 46(1), pages 117-158, January.
    16. Matthew W. Rutherford & Donald F. Kuratko & Daniel T. Holt, 2008. "Examining the Link between “Familiness†and Performance: Can the F–PEC Untangle the Family Business Theory Jungle?," Entrepreneurship Theory and Practice, , vol. 32(6), pages 1089-1109, November.
    17. Kraus, Sascha & Kallmuenzer, Andreas & Stieger, Daniel & Peters, Mike & Calabrò, Andrea, 2018. "Entrepreneurial paths to family firm performance," Journal of Business Research, Elsevier, vol. 88(C), pages 382-387.
    18. James J. Chrisman & Jess H. Chua & Pramodita Sharma, 2005. "Trends and Directions in the Development of a Strategic Management Theory of the Family Firm," Entrepreneurship Theory and Practice, , vol. 29(5), pages 555-575, September.
    19. Najoua Dali & Sana Harbi, 2016. "The Effect of Risk Perception and Cognitive Biases on the Evaluation of Opportunity in Family and Non-Family Entrepreneurs: The Case of Tunisian Entrepreneurs," Journal of Enterprising Culture (JEC), World Scientific Publishing Co. Pte. Ltd., vol. 24(03), pages 281-312, September.
    20. Nerine Mary George & Vinit Parida & Tom Lahti & Joakim Wincent, 2016. "A systematic literature review of entrepreneurial opportunity recognition: insights on influencing factors," International Entrepreneurship and Management Journal, Springer, vol. 12(2), pages 309-350, June.

    More about this item

    Keywords

    relationship marketing; entrepreneurial orientation; family orientation; transgenerational entrepreneurship; relationship approach; qualitative marketing research; in-depth interview;
    All these keywords.

    JEL classification:

    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups

    Statistics

    Access and download statistics

    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:aes:icmbdj:v:2:y:2016:i:1:p:122-135. 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: Lucian Onisor (email available below). General contact details of provider: https://edirc.repec.org/data/aseeero.html .

    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.