Effect of Customer Relationship Management on Company Performance According to the Moderating Role of Innovation Capability: Evidence from Button Mushroom Production and Packaging Company
Journal Title: Journal of Agricultural Economics & Development - Year 2024, Vol 38, Issue 1
Abstract
IntroductionAgriculture, as one of the most important economic sectors in Iran, has many capabilities and capacities for creating many jobs with minimal investment (Sifelahi, 2021). One of the active fields in agriculture is growing edible mushrooms. Nowadays, edible mushrooms are very popular in most countries of the world as a food rich in minerals, vitamins and proteins, and its industrial production can be a source of employment and a good income (Mehboubi, 2015). Understanding customer behavior is a key requirement for the success of any company's marketing and development activities (Etale & Uranta, 2022). In recent years, with the increase in competition between companies active in the field of agriculture, innovation in effective communication with customers has become one of the requirements for the success of these companies. Therefore, the current research aims to study the effect of customer relationship management methods on the organization's performance with regard to the moderating role of innovation capability; which has been done by collecting empirical evidence from a company active in the field of agriculture, the white mushroom production and packaging company in Kashmer city. Materials and MethodsIn terms of the purpose, the current research is considered as applied research and in terms of methodology, it is considered as a survey research. In this research, a questionnaire was used as the main tool for data collection. This questionnaire contains 42 questions with a 5-point Likert scale. To measure the organization's performance, Mann et al. balanced scorecard questionnaire (Mann et al., 1999) including four dimensions of growth and learning, internal process, customer and financial was used. To measure customer relationship management methods, the standard customer relationship management questionnaire of Alem et al. (Alem et al., 2013) and Gabe (2005) including five dimensions was used. The modulating variable of innovation capability has also been measured using Etlai and Akif's organizational innovation questionnaire (Azizi, 2013). The convergent validity of the questionnaire was verified by using the extracted mean criterion, and its differential validity was verified by the Fornell and Locker methods, and Cronbach's alpha coefficient and composite reliability were also used to verify its reliability. The statistical population of this research included the employees of the button mushroom production company in Kashmir city. The questionnaire was distributed to all employees of the company by census method, and 53 usable questionnaires were collected. SPSS version 19 software was used for data analysis and structural equation modeling based on SmartPLS version 3 software was used for path analysis. Results and DiscussionIn order to determine the appropriate type of analysis, the normality of the research variables was examined using the Kolmogorov-Smirnov test, and based on the test results, the significance value was lower than the error level (0.05) in all cases. As a result, the data distribution is not normal. Therefore, structural equation modeling based on covariance (LIRREL software) cannot be used, therefore PLS structural equations are used for model testing. According to the results of this study, sharing information with customers has a significant positive effect on the performance of the organization with a coefficient of 0.318. Also, this relationship is positively adjusted by the innovation capability variable with a coefficient of 0.622. Based on the results of the research, involving the customer with a coefficient of 0.410 has a significant positive effect on the performance of the organization. The innovation capability variable also moderates this relationship with a coefficient of 0.538. Long-term partnership with customers also has a significant positive effect on the performance of the organization with a coefficient of 0.430. The innovation capability variable moderates this relationship with a coefficient of 0.426. Based on the findings of the research, problem solving jointly with customers has a significant positive effect on the performance of the organization. The coefficient of influence of this relationship is 0.685, which is greater than the coefficient of influence of other components of relationship management with customers and the organization's performance, which shows that it has the greatest impact on the organization's performance. The innovation capability variable moderates the relationship between joint problem solving and organizational performance with a coefficient of 0.541. Customer relationship management based on technology has a significant positive effect on the organization's performance with a coefficient of 0.577, and this relationship is positively and significantly moderated by the innovation capability variable. ConclusionDue to the fact that mushroom cultivation is quick-yielding and leads to high job creation, it has caused mushroom production to be attractive in most regions of Iran today. One of the main concerns of mushroom producers, due to the increase in competition in this field, is the issue of maintaining current customers and attracting new customers, and as a result, improving organizational performance. Therefore, it is suggested that companies increase the positive effect of information sharing on performance by developing and strengthening innovation capabilities. Planning and implementing strategies to train and encourage employees to innovate and create a culture of innovation in the organization can be effective measures. Also, creating an environment where employees can easily share information with each other and with customers can significantly improve the organization's performance. This includes improving information technology and communication within the organization with customers, encouraging cooperation and exchanging information between different units of the organization with the main customers. It is also suggested to use the ideas and suggestions of the customers by involving the customer in the process of production, distribution and development of the new product. When the customer is involved in the joint creation of value, during the interaction process, he will become part of the company, and due to these relationships and interactions, value beyond the consumption of goods and services will be created for the customer, and these customers will be more satisfied. With the increase in competition and customers' awareness of different products and brands in the market, attention to customer's wishes and needs is expanding day by day in organizations. For this reason, it is necessary for the opinions of customers to be effective in the development of the company's future products or services. Considering that for many companies, conducting market research is not very cost-effective and the cost of re-design and production is very high for the company, it is recommended to create two-way relationships between customers and manufacturers and use this relationship to solve problems and improve Take maximum advantage of organizational performance. You can also track the behavior and performance of your customers online and use the Internet technology to customize prices, communications, services and products and attract new customer.
Authors and Affiliations
SeyedHossein Hashemi Fard,Seyed Mojtaba Moussavi Neghabi,Maryam Oladi,
Keywords
Related Articles
- EP ID EP736714
- DOI https://doi.org/10.22067/jead.2024.86675.1253
- Views 51
- Downloads 0
The Effect of the Marketing Mix and Specialized Knowledge on the Export Performance of SMEs Exporting Dry Fruits
Export is a crucial driver of economic growth in various countries and significantly contributes to a country's entry into global markets and enhances economic success. In developing countries such as Iran, economic and...
Proposing the Structure of a Multi-Objective Mathematical Programming Model with Water-Food-Energy Nexus Approach for Crop Production
IntroductionWith the growing population of the world, water, food and energy supply will be one of the most important challenges ahead. Agriculture as the most important food producer is not only the consumer of water an...
Effects of the Increase in the Global Price of Agricultural Products on Iran's Economy Using the GTAP Model
IntroductionFood security is one of the most important issues in the world. The corona epidemic, Russia's attack on Ukraine, drought and many other factors have led to an increase in food prices. The sharp increase in gl...
Investment Needed in Agriculture to Achieve the Economic Growth Target in the Seventh Development Plan in Iran
IntroductionTheoretically in relation to economic growth and methods of calculating value added, the four factors of labor, capital, labor productivity, and capital productivity are considered, and the amount of value ad...
An Analytical Study of Urban Agriculture Projects: Prison-Farm Initiatives in Kermanshah
 Urban agriculture promotes sustainable development and fosters societal participation, including the rehabilitation of various groups, such as inmates. Therefore, this research aimed to analyze the effectiveness of pri...