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KUMARKETING T H E O F F I C I A L M A G A Z I N E F O R J AY H AW K S I N M A R K E T I N G

ISSUE NO. 2, SPRING 2014

CONSERVATIVE WHEN CROWDED? Crowds affect

consumer behavior researcher says page 7

THE GROWING DIGITAL DIVIDE IN BUSINESS How can entrepreneurs compete? page 8

MAPPING THE WAY New course bridges geography, marketing and supply chian page 15


from the

from the

DEAN My vision for the University of Kansas School of Business is simple: Make it a great place to learn, a great place to work, and a great place in which to invest. It’s a message that has stayed with me since I returned to my alma mater in 2011 to serve as dean. In these pages, you’ll find stories of exciting momentum for our marketing and entrepreneurship programs. You’ll read of our student-driven classes and programs, all designed to enrich each student’s experience in the School of Business, and of our research that affects business. We’re conducting more marketing research than ever before, earning placement in top journals and growing our reputation as a leader in consumer behavior research. We’ve recruited a new class of top-rate doctoral candidates and assistant professors who will continue to push our research agenda into the future. Our people and our programs maintain the rich history of this great university. As an alumna of KU’s marketing doctoral program, I can attest to its caliber and know that its excellence is unchanged. At the undergraduate level, we’re finding new ways to engage future marketing students through student involvement, study abroad and interdisciplinary coursework. It’s an exciting time for Jayhawks in marketing. On a personal note, I am humbled by the support of our alumni. You’ve helped turn our dream of a new building into a reality. Enjoy this issue. Rock Chalk.

DIRECTOR This issue of KU Marketing highlights several exciting events and accomplishments. Due to the tireless efforts of Dean Neeli Bendapudi, the school’s ranking has skyrocketed. We hired

two new faculty members, six new lecturers (four of whom

hold doctorates) and admitted six doctoral students. Partly due to the new hires, our research productivity has soared. Between 2008 and 2013, we published numerous articles

–– 12 of those in top tier journals –– including Journal of Marketing Research, Journal of Consumer Research, Journal

of Personality and Social Psychology, Psychological Science,

Organization Behavior and Human Decision Process, and

Marketing Science. This high level of productivity has boosted our national reputation, with research findings cited in various

national media, including Wall Street Journal and The New York Times.

To diversify our offerings, we introduced three new courses: Managing Brands, Marketing Supply Chain and Geographic Information Systems, and Retailing, Distribution and Supply

Chains. A new, hybrid track in marketing and supply chain management was added to the Full-Time MBA program.

Once again, our advisory board offered much appreciated assistance. Lung Huang made presentations on big data. Lung,

Eric Joachimsthaler and Patrick Gahagan provided crucial

input in the development of new courses. Dan Zigulich visited with a number of faculty members, and Stefani Fuhrman participated in Marketing Night –– our first recruitment effort

on campus, which was a huge success, boosting the Marketing Club membership from 45 to 117. Our marketing student Neeli Bendapudi Dean

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credit hours are up by nearly 12 percent compared with the last year. We hope to continue growing our programs while maintaining very high quality.

Surendra N. Singh

Marketing Area Director


KU MARKETING is an annual publication produced by the KU School of Business that celebrates the accomplishments of Jayhawks in marketing and alumni engaged in entrepreneurial endeavors. The magazine aims to expose KU alumni and friends to the research, people, programs and places that define the Jayhawk experience.

IN THIS ISSUE A marketer on the move

COVER STORY

The growing digital divide in business: How can entrepreneurs compete?

08 07

Trying to save more? Consolidate your bank accounts

10

Call center customer service trumps prejudice researchers say

16

PEOPLE

Area selects six new doctoral candidates School welcomes new marketing faculty Students find success in case competition Charlotte Tritch: ‘Entrepreneurship is a mindset’

Marketing Night gives freshmen look into major

05 14

New course bridges geography, marketing and supply chain

15

MBA program rolls out full-time hybrid track

RESEARCH

Conservative when crowded? Crowds affect consumer behavior

PROGRAMS

06 11 11 17

21

YEAR IN REVIEW

A year in pictures Study abroad Board of advisors Faculty achievements Marketing faculty

12 18 21 22 23

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CREDITS Dean Neeli Bendapudi Area Director of Marketing, Entrepreneurship & Business Law Surendra Singh Editors Austin Falley Annie Montemayor Contributors Joe Monaco Greg Storm Project Manager Amber Rhoades Photography Ann Dean KU Archives Design Friesen Design, Inc. Printing Sun Graphics

CONTACT US The University of Kansas School of Business Summerfield Hall 1300 Sunnyside Avenue Lawrence, Kansas 66045-7601 P: 785-864-7500 bschoolinfo@ku.edu business.ku.edu

news BRIEFS Intern bids

farewell

after satisfying experiences

People around the School of Business have gotten used to her helpful nature.

Lillian Maggiorotto, a senior marketing major at KU, has worked in the

marketing department for the School of Business since fall 2011. This past summer she participated in an internship in London with ESPN – Europe. With the help of KU’s study abroad office, she was paired with a company

that leveraged her background and work experience but could also help

define her career progression. The focus of her internship this summer with ESPN was in the field of marketing research relating television and digital

aspects of the company with its competitors. Her internship varied daily. Some days she would research ratings of certain television programs, and other

days she would send out ESPN progress reports. She also gathered user data

about ESPN and competitor websites and offered ideas for improvement. Lillian got a lot out of KU’s marketing program, she says. “Not only did I

gain a tremendous amount of knowledge in marketing research, but I also benefited from living abroad, meeting new people and experiencing new cultures. This experience is something I will always cherish.”

Area

congratulates recent doctoral grad placements

The marketing area said goodbye to one of its recent stars, Jungsil Choi, who graduated in 2013. His dissertation, “Revisiting Positive and Negative Charity Appeal Effectiveness: Moderation Effect of Color and Victim-type,” was chaired by area director and professor Surendra Singh. Jungsil joined Cleveland State University as an assistant professor in fall 2013.

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For another recent doctoral graduate, the sunshine of Malibu set the scene for his placement. Duane Myer graduated from the School of Business in 2013 after earning a doctorate in marketing. He joined the faculty at Pepperdine University in the fall as an assistant professor, where he researches strategic marketing, marketing research, segmentation and consumer behavior. His dissertation is titled, “Essays on the Reaction of Financial Markets to Two Marketing Investments: Sports Sponsorships and Sales Force Sizing.”


MARKETING SUPPLY CHAIN MANAGEMENT

Marketing analyst Brand manager

Retail management

Supply Chain Analyst

MBA program rolls out full-time hybrid track

The marketing supply chain management track, or MSCM, provides insights into the integrated customer experience. “From understanding what customers need and want, to delivering the most relevant product or service to the customer in the best way, the new MSCM track’s core business competency crosses over disciplines in marketing and supply chain management,” Shenoy said. Recent graduates have gone into positions that required skills in supply chain and marketing. In

discussing a potential new track, employers and faculty alike were excited about the possibility for a hybrid track, Shenoy said. MSCM students will have a bevy of career placement opportunities, and the track has considerable value to a student interested in general management or strategy consulting, providing an important skill set for budding entrepreneurs.

“Many new ventures fail from lack of focus on the integrated customer experience,” Shenoy said. “Some of the world’s most successful startups found early success because of their focus on marketing supply chain management, such as Walmart, Zara, Apple and Amazon. Many others have excelled because they have been able to deliver, in a unique way, a product or service consumers want.”

“From understanding what customers need and want, to delivering the most relevant product or service to the customer in the best way, the new Marketing Supply Chain Management track’s core business competency crosses over disciplines in marketing and supply chain management,” Shenoy said.

Other supply chainfocused careers

Finance Track

The curriculum was designed looking “inward and outward,” said Catherine Shenoy, director of MBA programs. Committee members analyzed faculty strengths and MBA alumni career placement, and asked what recruiters and employers were looking for in MBA graduates.

Purchasing manager

MSCM Track Career Opportunities

Students entering the full-time MBA program in fall 2013 chose between two new tracks, or areas of specialization: finance and marketing supply chain management. The new sequences are part of a retooled, streamlined full-time MBA, comprising 49 credit hours, to be completed in 16 months.

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MARKETING AREA ADDS NEW DOCTORAL STUDENTS AMIN ATTARI Ph.D. Candidate AMIN ATTARI earned an MBA in marketing from the University of Tehran and bachelor ’s degree in industrial engineering from Isfahan University of Technology. Attari’s research interests include consumer behavior, social influences on consumer decision making, and hedonic consumption. He has worked as a product manager in both B2C and B2B companies. Prior to joining KU, he was working as a product manager at Puratos Group, an international B2B company and a world leader in the bakery, patisserie and chocolate industries.

SAMER SAROFIM Ph.D. Candidate SAMER SAROFIM earned an MBA from the American University in Cairo and a bachelor ’s degree in pharmaceutical sciences from Ain Shams University. He researches consumer behavior, with a particular interest in emotions and branding. Prior to joining KU, Sarofim taught for 2 years at the American University in Cairo, and he is currently teaching brand management at KU School of Business. He has 13 years of professional experience, working in healthcare, pharmaceuticals and business consulting.

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FRANK CABANO Ph.D. Candidate FRANK CABANO graduated with a Bachelor of Science in business economics, summa cum laude with honors distinction, from the University of South Florida in 2012. His research interests are how religiosity affects consumer decision making and risk perception. He is currently working on a project with Ahreum Maeng, assistant professor of marketing at the KU School of Business, that examines how religiosity affects pro-social behavior in the domain of climate change.

MIRANDA YIN Ph.D. Candidate MIRANDA YIN graduated with a Bachelor of Arts in English literature and international business from Wuhan University of Science & Technology and earned her MBA from Washburn University. Her research interests include visual imagery, attention, prosocial behavior and consumer decision making. Yin is also interested in data analysis using SEM and conditional process analysis. Yin has two years of professional experience in international importing and customs clearance.

The School of Business welcomes six new doctoral students to its marketing program.The new students have studied and worked around the world and now bring their research talents to KU.

LUXI CHAI Ph.D. Candidate LUXI CHAI received her Bachelor of Science and master ’s degrees in economics at KU. She is from Zhuhai, China and she attended The Hong Kong Polytechnic University briefly before coming to KU. Her research interests include consumer decision making and choice, behavioral economics, emotion and motivation, and evolutionary psychology.

SANIA ZEHRA Ph.D. Candidate SANIA ZEHRA earned her MBA in marketing and human resources from the Lal Bahadur Shastri Institute of Management in New Delhi and a bachelor’s degree in Biochemistry from the Aligarh Muslim University in Aligarh. Her research interests include altruism and charitable giving. Having worked with renowned companies like IPSOS and IMRB as a market researcher, she wants to further her knowledge and skills by exploring academic research and teaching.


CROWDED? C O N S E R VA T I V E

W H E N

Crowds affect consumer behavior researcher says

Heading to the mall this weekend for some new shoes? Dropping by Home Depot tonight? Or grabbing a burger at the McDonald’s drivethrough window? These three scenarios would obviously entail different levels of crowds, ranging from big crowds at the mall to no crowds at the drivethrough. And according to a University of Kansas researcher, that difference in crowd size can lead to dramatically different purchasing behavior by consumers.

Maeng describes her research in an article titled “Conservative When Crowded: Social Crowding and Consumer Choice,” in the Journal of Marketing Research. The article is co-authored by Robin J. Tanner at the University of Wisconsin-Madison and Dilip Soman at the University of Toronto.

New research by Ahreum Maeng, an assistant professor in the KU School of Business, finds that crowded environments lead consumers to be more conservative. Specifically, Maeng finds that consumers in crowded settings prefer safety-oriented options and are more receptive to prevention-framed messages than promotional messages — for example, preferring a toothpaste offering cavity protection over a toothpaste promising a whiter smile. Maeng also finds consumers in crowded settings are less willing to make risky investments.

Maeng’s research comprises six experiments, which collectively exposed participants to crowded or uncrowded settings, then had them complete tasks or indicate preferences for messages, products and behaviors. One study had participants complete a questionnaire measuring their preference for prevention-themed concepts (like “avoiding enemies”) versus promotion-themed concepts (like “making friends”). Another experiment asked participants to do a wordsearch task for safety-related words (like “insurance” or “helmet”) and neutral words (like “coffee”). Yet another experiment gave participants a $10 gift card and asked them to make a series of investment decisions based on different scenarios.

“Consumers in crowded environments get conservative and safety-focused,” Maeng said. “We believe this is because people in socially crowded settings activate an avoidance system that results in a more prevention-focused mindset. This, in turn, makes socially crowded individuals more likely to choose options that provide prevention-focused benefits.” Additionally, Maeng finds that the effect of crowd size is influenced by whether the consumer considers the crowd an “ingroup” or “out-group.” Specifically, outgroup crowds — people the consumer doesn’t identify as peers — lead to increased conservatism and a greater focus on safety.

Collectively, the experiments demonstrated that individuals in crowded settings were more conservative and less willing to gamble. And those effects were moderated by whether participants were surrounded by in- or out-group members.

IMPLICATIONS FOR RETAIL OUTLETS … AND BEYOND

Maeng’s research would seem to have important implications for various audiences, including consumers who could use the information to better plan the time

and location of their shopping in an effort to better control their decisions. Of course, perhaps the most obvious beneficiary of Maeng’s research would be store managers and retail marketers, who could use Maeng’s findings to drive decisions on product placement, marketing and advertising. “For example, our findings indicate a store would benefit by selling and marketing products differently on a crowded Saturday during the holidays versus a Tuesday morning in August,” Maeng said. “And even within the same day, stores might consider changing their signage or product placement to account for different levels of crowding.” But Maeng’s findings go beyond retail settings and could potentially apply to numerous environments that vary in their crowdedness. For example, a doctor in a crowded emergency room might be better off delivering a prevention-themed message to a patient – “This medicine will prevent the pain” – while a doctor in an uncrowded exam room might be successful with a promotion-themed message like, “This medicine will make you feel more youthful and energetic.” Another example: A political candidate might use a safety-themed message at a crowded rally — “I can protect you from terrorism” — versus a promotional message on a postcard mailed to people’s homes. “We believe our findings could have farreaching implications and help inform not only individual consumers and marketing professionals, but policymakers and citizens in any setting that experiences various levels of crowdedness,” Maeng said.

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THE GROWING

DIGITAL DIVIDE

IN BUSINESS

How Can Entrepreneurs Compete?

While many prominent companies have latched on to the benefits of business analytics, most entrepreneurial businesses are still lagging behind in putting the resource to work. In fact, the majority of the available research on business analytics doesn’t even sample entrepreneurial firms, likely due to a bias that resource-poor entrepreneurs aren’t even aware of the topic – let alone taking action to address the gap. Nearly all businesses do some level of business analytics – they use their financial data to at least calculate an income statement, balance sheet and cash flow statement. Many businesses go an additional step, using their financial data to also calculate information such as customer, product and geographic profitability. Some businesses go even further and combine their internal financial data with external data such as

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customer location or preference data or data on customer’s online behavior. They then apply sophisticated statistical analyses to develop targeted sales campaigns. As more and more data becomes available and computing power becomes cheaper, the ability to collect and analyze enormous amounts of potential customer data becomes more and more feasible for even small companies.


While many companies, regardless of size, are using the available data and computing power to analyze all dimensions of their businesses, customers, suppliers and stakeholders, most companies are not. The smaller the company, the less likely it is to be using sophisticated analysis. Most small business management teams seem to believe their companies can be managed with intuition, as they always have, rather than with hard data. But research shows that companies using hard data are transforming themselves into large companies much faster than those who are continuing to count on their intuition. For entrepreneurs looking to compete, they must first make the commitment to begin managing their company with facts rather than that intuition. This is a major mindset change and will be difficult, especially for management teams that are focused on minimizing expenses. In the short term, time, money and effort devoted to gathering and analyzing data will likely feel like it could be used better elsewhere.

MOST SMALL BUSINESS MANAGEMENT TEAMS SEEM TO BELIEVE THEIR COMPANIES CAN BE MANAGED WITH INTUITION, AS THEY ALWAYS HAVE, RATHER THAN WITH HARD DATA. Businesses must also develop a curious mindset. Usually, initial analytics projects resemble research projects. Businesses must begin to collect and analyze the data in order to understand the customer, product and geographic profitability. After that, they can manage the company towards higher profitability and growth. This is where good questions become important. Questions like “Who are our most profitable customers? Why? Who are our best suppliers? Where is our invested capital producing the most profit?” will force the appropriate research, and the results will only be as good as the quality of the input data. Once a company understands where and how it’s making money, it can drive higher sales to those most desirable customers, products or geographies. This article was contributed by Greg Storm, School of Business entrepreneurship lecturer.

WHAT IS CBAR? Center for Business Analytics Research Created to help businesses find solutions to their problems through quantitative research, CBAR brings together members of the business community with faculty and students to promote research, outreach and education in business analytics. Using data, statistics, operations research/ management science and artificial intelligence, the center works to advance predictive models and data-driven management for decision-making. Collaborating with business leaders allows the center to use real-life situations to study business analytics across diverse areas, such as digital marketing and electronic commerce, prediction, customer behaviors and trends, decision making under uncertainty, managing demand and supply side uncertainties and revenue management. Some of the center’s projects have ranged from classifying tweets as likely to be retweeted to developing software for constructing and deploying expert systems for missile defense.

HOW CAN KU HELP ENTREPRENEURS? The KU School of Business has several ways to help businesses interested in implementing business analytics. The KU Center for Entrepreneurship is dedicated to developing future entrepreneurs and helping existing entrepreneurs. We have analytics experts, and through our Jayhawk Consulting program, we can deliver on-demand consulting as needed, where needed.

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TRYING TO SAVE MORE?

Consolidate your bank accounts, researcher says

We all know we should save some money for a rainy day. Of course, that’s easier said than done when you really, really want that new iPhone. But a University of Kansas researcher has a suggestion for people trying to spend less and save more: Consolidate your multiple bank accounts into one main account. According to new research by KU School of Business assistant professor Promothesh Chatterjee, individuals will save more and spend less when they have a single account compared with multiple accounts. Chatterjee’s findings run counter to the conventional wisdom that people should spread their earnings across different accounts to increase their savings. Moreover, his findings have implications for policymakers trying to encourage saving among large populations of people. “For years, the conventional wisdom has been that spreading your money across various accounts encourages you to save,” Chatterjee said. “Nowadays, the average American has multiple liquid accounts, typically a combination of checking and savings accounts. But our research finds this is the wrong strategy to encourage saving. We find that individuals are more likely to save if they have only one primary account, rather than many accounts.” Chatterjee’s research utilized four separate studies totaling 566 participants. All four studies presented participants the opportunity to earn money across tasks and spend it on different products. The four studies collectively indicated a higher rate of saving among individuals who maintain one account versus those who have multiple accounts. The results appeared in the May 2013 edition of the journal Organizational

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Behavior and Human Decision Processes. According to Chatterjee, his findings can be explained by two often-cited theories of behavior – motivated reasoning and fuzzy-trace theory. Motivated reasoning implies that individuals find spending more enjoyable than saving and are motivated to search for reasons to justify spending. In such situations, vagueness enables them to distort available information to follow desirable spending motives. And having multiple accounts provides that vagueness. “Basically, people look for an excuse to spend, and vague information facilitates this,” Chatterjee said. “And having multiple accounts provides just enough vagueness to do the trick.” In addition to the implications for individual savers, Chatterjee’s findings have notable implications for policymakers and organizations. For example, it is common practice in the banking industry to open multiple liquid accounts for new clients, again based on the conventional wisdom that having multiple accounts induces customers to save. Chatterjee’s findings would turn this common banking practice on its head. There are national, macro-level concerns here, too. The current national personal savings rate is estimated to be 5 percent,

a paltry amount that many observers say threatens the long-term financial security of many people. Moreover, Americans’ inability to save appears to be independent of income and education level in that high-income, college-educated U.S. households have just as much trouble saving money as lowincome households with no college degree. “Our inability to save is a national, nearuniversal issue,” Chatterjee said. “Given that context, this type of research is important to lots of people.” Of course, there are some individuals who are quite comfortable with their multiple accounts and would find it difficult or inconvenient to consolidate money into a single account. But even those individuals could benefit from Chatterjee’s findings. “If you’re really opposed to consolidating, you can at least try to reduce the vagueness of having money across multiple accounts by utilizing software and services that provide a consolidated view of all of your accounts in one place,” Chatterjee said. “This type of aggregate reporting could help reduce vagueness and enhance savings. But the take-home message remains: Consolidating multiple accounts into one account will help encourage you to save your hard-earned money.

PROMOTHESH CHATTERJEE Assistant Professor


SCHOOL WELCOMES NEW MARKETING SCHOLARS

ON TARGET Students find success in case competition

JESSICA LI Assistant Professor AHREUM MAENG Assistant Professor

JIN SEOK PYONE Assistant Professor

It didn’t take long for AHREUM MAENG, assistant professor in marketing, to make headlines with her research. A few months after accepting a position at KU, a consumer behavior study she co-authored made national headlines, including in Wall Street Journal’s MarketWatch. Her research is in the area of social cognition and social perception with specific emphasis on how emotion and motivation play a role in consumer behavior. She examines diverse interpersonal and inter-group interactions to answer questions about how consumer decisions are influenced by social emotions in these social contexts. Her work has been published in top marketing and psychology journals including Journal of Consumer Research, Journal of Marketing Research and Journal of Experimental Social Psychology and has been featured in a variety of media outlets including The Wall Street Journal and Science Daily. She has extensive work experience at the world’s top advertising agencies including TBWA, Dentsu and Young & Rubicam. She received her doctorate from the University of Wisconsin-Madison. JIN SEOK PYONE, assistant professor in marketing, joins KU from Cornell University’s Johnson Graduate School of Business, where she earned a doctorate in marketing and master’s in management. Pyone’s rich academic background includes a master’s in advertising from the University of Illinois at Urbana-Champaign. Her research broadly concerns how to improve consumer’s well-being over the long term by improving the quality of their choices and decisions. Her current research investigates the influence of positive affect and emotions on economic decision making. Outside of research, she worked as an Internet marketing planner in the banking industry for four years.

Teams from assistant professor Jessica Li’s integrated marketing communications class waited nervously for the Target representatives to tell them the results of the case competition. The case study, made possible by lecturer Joyce Claterbos, was titled, “The War for Guests.” Teams were tasked with developing a marketing strategy to help Target attract more customers. Li mentored two of the teams, whose presentations were also part of the final project for her class. Zach Watchous, a member of one of the teams Li mentored, explained one of their ideas, a groceriesto-go service. Using a smartphone, a customer would input a grocery list and the Target employees would have the items waiting curbside when the customer drove up. Jayant Narula said his group focused on three points. The first was a marketing campaign that focused on Target’s superior customer service. The second, a technological enhancement of sales strategies and devices, was meant to ensure everyone who walks in the store buys something. Marketing communication was the third point, and Narula said his team used the teachings from Li’s class more on this point than any other. “It’s one thing to present to your class,” said Narula. “It’s another thing to compete with others while Target employees, people who are actually in the industry, judge you.” Li believes these kinds of experiences are crucial to a good business education, underscoring the value of industry-rooted experiences in coursework.

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Dean Neeli Bendapudi and marketing senior Allison Rolig at the annual welcome back social on the lawn of Summerfield Hall.

Alumni, friends and students celebrate “Jayhawks Around the World” at KU Homecoming 2013.

QuikTrip CEO Chet Cadieux presents on his company’s values-based culture to a packed house of students, faculty and community members at the Lied Center.

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AY ear IN PICTURES


Student Allie Travis poses during a study abroad trip to India.

Students network with recruiters and employers at the 2013 Business Career Fair at the Kansas Union.

Kirk Hazenzahl, Kansas City-based co-founder and president of RareWire, a mobile app development software company, center, chats with KU marketing students.

Dean Neeli Bendapudi, Kansas Gov. Sam Brownback, KU Chancellor Bernadette Gray-Little, alumni and donors, ring the bell to celebrate the start of construction on a new School of Business building.

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FIRST MARKETING NIGHT IS

overwhelming success GUEST SPEAKER Peter Muther Kansas Athletics

The inaugural Marketing Night on Oct. 1, 2013 drew more than 200 students, faculty and staff members for an evening of guest speakers, academic enrichment and career exploration. The Marketing Club hosted the event, which included three guest speakers: Jim Brown, MBB; Peter Muther, Kansas Athletics; and Stefani Fuhrman; GroupM. Brown and Muther spoke about their branding campaigns for KU Athletics and the School of Business. Fuhrman, a recent KU marketing graduate, discussed what it’s like working for her marketing firm in New York City and answered students’ questions about the job search process. Recruitment representatives from several companies were also on hand to inform students of marketing-related internships and career opportunities.

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MAPPING THE WAY

New course bridges geography, marketing and supply chain

Spatial analysis, geocoding and thematic mapping. You wouldn’t guess by skimming Alan Halfen’s syllabus that his new elective in the School of Business is a marketing course.

tools, businesses are able to shed light on how customers make purchasing choices, which is a foundation of marketing.

MKTG 400: Marketing, Supply Chains and Geographic Information Systems aims to offer methods for gleaning consumer behavior insight through geographic tools.

Halfen hopes students will be able to understand how GIS can be used by businesses to solve complex problems, how to employ basic GIS programs and how to critically analyze case studies for their use — or lack — of spatial data and geographic information systems.

“Geography’s principal role in marketing is in understanding people and place,” said Halfen, who created the interdisciplinary class after earning his doctorate in geography from KU in 2012. “In the field of geography, places are social constructs defined by history, cultures and perceptions.” The senior-level course is a combination of the three fields, taught in a hybrid format. Students are immersed in the material in a mix of traditional lectures and interactive, lab-based activities, using geographic information systems, known as GIS, a set of computer tools and hardware used to analyze, manage and model data in a geographical way. He said geographers who study places do so by understanding the people who occupy them. “Marketing merges with geography at the crossroads of people and place,” he said. Using geographic

While GIS tools have been used in geography for decades, their application in business is now becoming more commonplace.

“MARKETING MERGES WITH GEOGRAPHY AT THE CROSSROADS OF PEOPLE AND PLACE.” With strong enrollment in its first semester, Halfen plans to offer the course every year in the spring semester. He is developing additional elective courses that focus on data analysis and visualization and looks to create a course on location-based marketing in the future. “As data becomes more and more available, it will be more important than ever for skilled workers to use technology to manage and understand data,” Halfen said.

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HOLD PLEASE Call center customer service trumps prejudice researchers say For many Americans, being directed to foreign call center employees for customer service evokes negative reactions and frustration. With many major U.S. companies relying on call centers to keep their customers happy, there’s a pressing need to understand how U.S. consumers react to accent-based biases. Recent research from Surendra Singh, director of marketing, entrepreneurship and business law, and fellow researchers addresses how accent biases work and what customer service businesses can do to address them. Ze Wang, assistant professor of marketing at University of Central Florida, earned her doctorate from the KU School of Business and co-authored the study, “You Lost Me at Hello: How and when accent-based biases are expressed and suppressed.” “There have been many publicized cases of companies, such as Apple, CapitalOne, Dell and Delta, that moved their call service centers overseas for compelling cost savings,” Wang said. “But they’ve all recently closed those call centers because of customer dissatisfaction.” The research, published in International Journal of Research in Marketing, produced some surprising evidence about Americans’ biases toward different accents and why they may express or suppress their prejudice, Wang added. Previous research has shown that having a foreign accent isn’t preferable, particularly when associated with disadvantaged or low-prestige minority groups. People with a nonstandard accent or dialect may be perceived as less competent, less intelligent, and less industrious. For example, Americans tend to have a positive bias to British accents and a negative bias to Indian accents.

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The researchers argue that customers frequently suppress accent biases toward call service employees because their prejudice is deemed inappropriate by American society. They showed that the most important aspect of an encounter with a foreign accent is whether the customer thinks the outcome is favorable or unfavorable. If a customer is satisfied, that positive experience counteracts their negative bias, so they will suppress any negative reaction. But if the outcome is not favorable, it confirms their negative bias. In that way, the customer feels he or she can justify and express the prejudice.

THE RESEARCHERS DISCOVERED THAT CUSTOMERS RATE EMPLOYEES WITH A NEGATIVE-BIAS ACCENT LOWER ONLY WHEN A SERVICE OUTCOME IS UNFAVORABLE FOR CUSTOMERS. ADDITIONALLY, POSITIVE-BIAS ACCENTS ONLY AFFECT CUSTOMER EVALUATIONS WHEN SERVICE OUTCOMES ARE FAVORABLE FOR CUSTOMERS.


The researchers discovered that customers rate employees with a negative-bias accent lower only when a service outcome is unfavorable for customers. Additionally, positive-bias accents only affect customer evaluations when service outcomes are favorable for customers. “We were simply amazed by the fact that consumers are not predominantly negative as previously thought,” Wang said. In addition, the research shows that customers who are informed of the frequency of a favorable versus unfavorable outcome are less likely to use accent stereotypes. For example, Wang said, if callers are first provided information about the average overdraft fee in the banking industry before they speak to a call center employee, they’re less likely to blame the employee based on stereotypical information. Researchers performed three experiments to test their theories using taped phone conversations and online survey and questionnaire results. Their first test asked participants to rate the rapport of the employee with the customer, while the second test focused on the customer’s perceived point of view. The third experiment examined both positive (British) and negative (Indian) accent biases and compared them with the standard American accent. It also explored whether informing customers about the frequency of a favorable outcome for this type of service call would cause them to be less likely to rely on accent stereotypes.

Implications for the customer service industry “The research implication is broader than call center employees,” Wang said. “Through immigration and greater diversity in our workforce, there are more foreign-accented people working in the service industry.” The researchers provided several suggestions for customer service centers and businesses. Services that are likely to result in a favorable outcome for customers are better assignments for employees with nonstandard accents than services that are likely to lead to unfavorable outcomes. Positive interactions such as activating new accounts or providing good news are better tasks for nonstandard-accented employees than relaying bad news or providing service where the probability of an unfavorable outcome is high. Second, call center service managers should work diligently to provide favorable results for customers whenever they can. Third, providing customers with transparent and accurate information reduces their use of prejudicial information in making service outcome attributions. Businesses should offer customers information about the frequency of a favorable versus unfavorable service outcome. The paper was co-authored with Aaron D. Arndt, Old Dominion University; Monica Biernat, University of Kansas; and Fan Liu, University of Central Florida.

‘ Entrepreneurship is A M I N D S E T ’

CHARLOTTE TRITCH Associate Director Innovation as a means to create social value, better known as social entrepreneurship, is a recurring concept in Charlotte Tritch’s classes. Her three courses — Corporate Entrepreneurship, Management for Small Businesses and Entrepreneurship in Practice — look at ways in which entrepreneurial ideas can benefit organizations of all sizes. As she points out, companies for-profit, not-for-profit, and everything in between, suffer from the same management issues. She defines entrepreneurship as a mindset, learning to recognize opportunities and act on them. Tritch says entrepreneurship is for everyone. “The idea of entrepreneurial thinking can be applicable to anybody in many situations; it does not have to be a Silicon Valley startup,” she said. “That is what makes it exciting for me and fun to be involved with.” The KU community is taking note of her work. In October, Tritch was recognized by KU’s Center for Civic and Social Responsibility for her involvement in experiential learning and community engagement. Many of her classes’ projects benefit the greater community, including this year’s client, Van Go Inc., an art-based social service agency in Lawrence. Tritch has organized Global Entrepreneurship Week for the last several years at KU. The goal of Global Entrepreneurship Week, now in its sixth year, is to inspire people around the world to innovate and to encourage the spread of an entrepreneurial mindset. Tritch said Global Entrepreneurship Week is a perfect platform to show students how entrepreneurial thinking can solve today’s social challenges. Nearly 75 percent of the countries in the world participate in the global movement.

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STUDY A B R O A D + Students research emerging markets, mix business and engineering Two KU professors sought to give their students a better understanding of opportunities and challenges in an emerging market. Rather than hunt for the right textbook or guest speaker, the professors created a new, hybrid study abroad experience in India for undergraduate students. The three-week trip, hosted over winter break, included 20 students, 10 from business and 10 from engineering, under the supervision of Kissan Joseph and Michael Detamore, professors of the business and engineering schools, respectively. The Asian School of Business, in Trivandrum, the capital of the Indian state of Kerala, served as KU’s local university partner. The group traveled to the cities of Kochi and Bangalore during their excursions, meeting Indian dignitaries and even earning a headline in The Times of India during their stay. Joseph said the trip provided many learning opportunities on Indian culture and markets. Students were exposed to several challenges that required the use of both engineering and business concepts. One such challenge is the design of water purification systems in an environment with low consumer compliance regarding filter expiry dates. The solution, Joseph said: Design a filter that shuts off on expiry.

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Students Adriana Rios, Brian Ivanuska, Laveshi Mirpuri, Joshua Maple, Carlie Copeland and Logan Coffman pose in Bangalore, India’s Silicon Valley.

Student Daniel Theisen warms up to the locals.


Students get an up-close view of product innovation at Google’s India headquarters.

KU engineers enjoying a tour of Google India.

I N N OVAT I O N AT G O O G L E I N D I A Students got an up-close view of product innovation when they visited Google’s India headquarters. Google was hampered in its ability to create local maps because of the lack of well-established data sources. In response, Google developed a scalable, crowdsourced map product with appropriate incentives and vetting process. This innovation has since been exported to Europe. EXAMPLE How to create a map given lack of established data sources THE PROBLEM When Google India wanted to develop Google Maps, data sources were either unavailable or unreliable. How can it create maps?

One student tries out make-up, Indian style.

Amy Laflin, Samantha Hamby and Carlie Copeland decked out in traditional Indian attire.

THE SOLUTION Design a platform that employs user input to create maps. Provide incentives to motivate contributions and engineer a scalable vetting process.

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Research IN THE HEADLINES

“By marketing to your emotional side, those are the things you will recall later when you’re in a bad mood.” Noelle Nelson speaks to Lawrence Journal-World on psychology of winter blues and retail therapy

“When it comes to product evaluation, beauty lies in the eyes of the cardholder.”

In a crowded store people usually tend to buy products that promote safety because “people in socially crowded settings activate an avoidance system, a figurative, if sometimes literal, flight response. Ahreum Maeng on crowds and consumer behavior to The Wall Street Journal’s MarketWatch

Promothesh Chatterjee to Topeka Capital-Journal on cash versus credit

“Shoppers using cash think more about the price, while credit card users tend to think more about benefits of whatever they are buying.” Promothesh Chatterjee in The Wichita Eagle

It’s not that people can’t do the math to add up the multiple accounts. “But somehow, when we are motivated to spend, we don’t want to do the accounting.” Promothesh Chatterjee to The New York Times

“The University of Kansas Red Tire program is one of the most interesting programs that I have seen to date in this area.” Entrepreneurship contributor to Forbes.com

Kansas University students in Kerala to learn about emerging economies Times of India headline on study abroad trip led by Kissan Joseph

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“Our findings indicate a store would benefit by selling and marketing products differently on a crowded Black Friday versus a Tuesday morning in August.” Ahreum Maeng on Black Friday to Topeka Capital-Journal


A MARKETER

ALUMNI

SPOT LIGHT

on the move

Lung Huang’s life in New York City is far removed from his upbringing in Goodland, Kansas.

current role as vice president of digital advertising at dunnhumby, a UK-based data analytics company.

He spent his undergraduate summers on both coasts, in a variety of internships, before graduating from KU in 1999 with a bachelor ’s degree in business administration. Huang headed east and didn’t look back.

Huang is responsible for dunnhumby’s partnership development and commercialization strategy in media, advertising, payments and analytics globally. He plays a critical role in the expansion of dunnhumby’s comprehensive, 360-degree view of the customer and the company’s ability to develop customer-driven solutions for clients.

He joined the schools’ marketing board of advisors in 2011 and has since given countless talks to students, always looking for opportunities to help fellow Jayhawks in marketing. Huang looks for ways to give fellow Jayhawks more chances to break into New York, a city with high barriers to entry, he said. “I have a soft spot for KU and what it did for me,” Huang said. “I was born and educated in Kansas. I enjoy giving back to KU in any way I can since it did shape my life, professionally and socially.” His career comprises more than 15 years in business development, partnership and sales experience in the media and advertising industries, all of which built to his

He joined the firm after 13 years at Arbitron Inc., an international media and marketing research firm, where he managed its advertising agency and broadcast clients, including the top 50 advertising agencies and clients such as Disney and ESPN, as well as financial institutions and political affiliates. “There isn’t a clear career path in marketing; it’s unlike any other business major,” Huang said. “It’s a broad industry, where you can spend time in sales, supply chain, loyalty programs. You have to be broad in your experience in order to help move a company forward.”

2013-14 MARKETING BOARD MEMBERS Randy Davis Chief Concept Officer FamilyLife Success

Lung Huang VP, Digital Advertising dunnhumby

Daniel Alcazar Managing Director SATMAP Inc.

Mark Killen Senior VP and CMO American Century Investments

Erich Joachimsthaler Founder and CEO Vivaldi Partners

Mark Piening CEO Circle Media

John Laws President Career Catalyst

Stefani Fuhrman Broadcast Account Coordinator GroupM

Melinda Turitz Dave Sutton VP, Sales Valu Merchandisers Company Dan Zigulich VP, Global Creative Marketing Payless ShoeSource Patrick Gahagan VP, Category Management Hallmark Cards

FOR QUESTIONS OR TO LEARN MORE, PLEASE CONTACT:

Brian Moore Development Director KU Endowment School of Business 785.832.7462 bmoore@kuendowment.org

KU MARKETING 21


AWARDS AND HONORS PROMOTHESH CHATTERJEE Research featured in top achievements and discoveries of 2013 at Inside KU KISSAN JOSEPH Selected as one of ten runners-up, Bubb Award, 2013 SANJAY MISHRA Beta Gamma Sigma International Honor Society CTE departmental honoree, Center for Teaching Excellence. (2013) Selected by Departments’ Graduate students to be honored at the Celebration of Teaching reception Outstanding Mentor Award, Association of Business Doctoral Students, School of Business, (2013)

PUBLICATIONS PROMOTHESH CHATTERJEE Chatterjee, Promothesh, Caglar Irmak and Randy Rose (2013), “The Endowment Effect as Self-Enhancement in Response to Threat,” Journal of Consumer Research (Vol. 40, Issue 3, 460-476). Choi, J., Li, Y. J., P. R., Chatterjee, P., & Singh, S. N. (in press). “The Odd-Ending Price Justification Effect: The Influence of Price-Endings on Hedonic and Utilitarian Consumption. Journal of the Academy of Marketing Science. Mishra, Himanshu, Arul Mishra, Jessica Rixom and Promothesh Chatterjee (2013), “Influence of Motivated Reasoning on Saving and Spending Decisions,” Organizational Behavior and Human Decision Processes (Vol. 121, Issue 1, 13-23). Chatterjee, Promothesh, Randy Rose and Jayati Sinha (2013), “Why Money Meanings Matter in Decisions to Donate Time and Money,” Marketing Letters (Volume 24, Issue 2, 109-118). KISSAN JOSEPH Ivanov, Vladimir, Kissan Joseph and Jide Wintoki (2013) “Disentangling the Market Value of Customer Satisfaction: Evidence from Market Reaction to the Unanticipated Component of ACSI Announcements,” International Journal of Research in Marketing, 30 (2), 168 - 178.

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Joseph, Kissan and Jide Wintoki (2013), “Advertising Investments, Information Asymmetry, and Insider Gains,” Journal of Empirical Finance, 22 (June) 1 – 15, Lead Article. Joseph, Kissan, Ramanathan Subramanium, and Vivek Patil (2013), “The Impact of Consumption Hassle on Pricing Schedules,” Managerial and Decision Economics, 34 (1) 1 – 14. Lead Article. JESSICA LI Li, Y. J., & Cohen, A. B. (2014). Religion, sexuality, and family. In V. Saroglou, Religion, Personality, and Social Behavior. Choi, J., Li, Y. J., P. R., Chatterjee, P., & Singh, S. N. (forthcoming). “The OddEnding Price Justification Effect: The Influence of Price-Endings on Hedonic and Utilitarian Consumption,” Journal of the Academy of Marketing Science. Lee, K., Choi, J., & Li, Y. J. (forthcoming). “Regulatory Focus as a Predictor of Attitudes Toward Partitioned and Combined Pricing,” Journal of Consumer Psychology. Johnson, K., Li, Y. J., Cohen, A. B., & Okun, M. (2013). “Friends in high places: The influence of authoritarian and benevolent God-concepts on social attitudes and behaviors,” Psychology of Religion and Spirituality, 5, 15-22. White, A., Li, Y. J., Griskevicius, V., Neuberg, S., & Kenrick, D. T. (2013). “Putting all your eggs in one basket: Life history strategies, bet-hedging, and diversification,” Psychological Science. AHREUM MAENG Maeng, Ahreum, Robin Tanner, and Dilip Soman (2013), “Conservative When Crowded: Social Crowding and Consumer Choices,” Journal of Marketing Research, Vol. 50, No. 6, December 2013: 739-752. Maeng, Ahreum and Robin Tanner (2013), “Construing in a Crowd: The Effects of Social Crowding on Mental Construal,” Journal of Experimental Social Psychology, 49, 1084-1088. SURENDRA SINGH Choi, J., Li, Y. J., P. R., Chatterjee, P., & Singh, S. N. (forthcoming). “The OddEnding Price Justification Effect: The

Influence of Price-Endings on Hedonic and Utilitarian Consumption,” Journal of the Academy of Marketing Science. Ze Wang, Aaron Arndt, Surendra N. Singh, and Monica Biernat (2013). “You Lost Me at Hello: How and When Accent-Based Biases are Expressed and Suppressed,” International Journal of Research in Marketing, 30(2), p.185-196.

CONFERENCES, RESEARCH PRESENTATIONS AND PUBLICATIONS IN PROCEEDINGS ANGELA MURRAY Morningstar, M. E., Trainor, A. A., & Murray, A. (2012, April). A secondary analysis of the NLTS2: Examining the relationships between expectations, opportunities, and postsecondary life engagement. Lecture presentation at the annual conference of the Council for Exceptional Children (CEC), Denver, CO. NOELLE NELSON Nelson, N., & Rahinel, R. (2014, March 6). Perceptual Balance in Brand Logos Affects Consumer Use and Valuation of Goods. Society for Consumer Psychology 2014, Miami, FL. Nelson, N., & Redden, J. (2014, March 6). What You Don’t Remember Can’t Bore You: Working Memory and Rate of Satiation. Society for Consumer Psychology 2014, Miami, FL. JIN SEOK PYONE Pyone, J. S., & Emich, K. (2013, January). Not Getting Stuck in the Past: The Role of Positive Affect and Redeemability of Prior Investment in Sunk Cost Bias. Poster presented at the annual meeting of the Society for Personality and Social Psychology (SPSP), New Orleans, LA.


MARKETING FACULTY COMMITTED TO SERVICE PROMOTHESH CHATTERJEE School of Business representative to University of Kansas Executive Council of Graduate Faculty, Spring 2012 (term to continue until 2015).

Reviewer, Ad Hoc, Journal of Experimental Psychology: General. (2011 – Present)

MARKETING FACULTY

Reviewer, Ad Hoc, Personality and Social Psychology Bulletin. (2011 – Present)

PROFESSORS

AHREUM MAENG Reviewer, Ad Hoc, Journal of Consumer Research (2013 - Present)

Member of Ph.D. committee, 2012-13.

SANJAY MISHRA P&T Chair 2012-13, member 2013

Managing Marketing behavioral lab since Spring 2011.

Marketing Colloquium, 2012-13

Member of Undergraduate task force for department of Marketing, 2012-13. Member of faculty recruiting committee, 2011, 2012. Member of Ph.D. task committee, 2012-13. Session Chair, Judgment and Decisionmaking Conference organized at University of Utah, January 2014 JOYCE CLATERBOS Faculty Advisor, KU Marketing Club Director: Winter Break Study Abroad; Marketing in Emerging Markets, Trivandrum, Kerala, India, Dec. 30, 2012Jan. 17, 2013. JESSICA LI Representative, Memorial Unions Board of Directors. (2013 - Present) School Service Representative, School of Business, Website Committee. (Spring 2013 - Present) Participated in overseeing the school website. Launched a new version of our website in Drupal. Department Service Member, Ph.D. Recruitment. (January 2013 - Present) Interviewed and helped select potential PhD students Professional Service Reviewer, Ad Hoc, Journal of Personality of Social Psychology. (2011 – Present) Reviewer, Ad Hoc, Journal of Consumer Psychology. (2011 – Present)

Neeli Bendapudi Surendra Singh Kissan Joseph

ASSOCIATE PROFESSORS Sanjay Mishra

ASSISTANT PROFESSORS

Member, Marketing Tracks committee, 2013

Promothesh Chatterjee Noelle Nelson Jessica Li Ahreum Maeng Jin Seok Pyone

Marketing Ph.D. admissions and review

LECTURERS

New faculty Mentor, 2013

Joyce Claterbos Rich Delaney Alan Halfen Priyam Rangan Doug Rossier Angela Murray Steve Malone Todd Pitman John Pepper Jay Dittmann

Calendar committee

PROFESSORS EMERITI

MEL Administrative Assistant search 2013 MBA Team RED team, 2012-13 Member GRF evaluation committee, 2013.

School of Journalism, Faculty Search committee 2012-13.

Parker Lessig Dennis Rosen

NOELLE NELSON University Service Ambassador, Center for Teaching Excellence. (Fall 2012 - Present) Department Service Coordinator, Marketing Speaker Series. (Fall 2013 - Present) Organizing speakers for the department speaker series Member, PhD Recruiting Committee. (Spring 2013 - Present) Evaluating PhD Students and choosing which to admit to the Marketing PhD program. JIN SEOK PYONE Professional Service Reviewer, Ad Hoc, Journal of Consumer Research. (2011 - Present) SURENDRA SINGH Journal of Advertising. Editorial Review Board Member. (2009 - Present)

KU MARKETING 23


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