THE SOCIAL CONSTRUCTION OF NEW MARKETING
PARADIGMS:
THE INFLUENCE OF PERSONAL PERSPECTIVE
Adrian Palmer
Gloucestershire Business School
Sharon Ponsonby,
University of
Ulster, Magee College,
ABSTRACT
Marketing is no stranger to "big new ideas" which purport to be new paradigms for the study of the discipline. Relationship marketing, one-to-one marketing and postmodern marketing typify recent ideas which have gained much support. However, it widely recognised that, compared to the natural sciences, the marketing discipline has created relatively little knowledge which can be described as genuinely new. In the absence of any objective reality, marketing knowledge reflects the interpretation of reality by individuals. Surprisingly, relatively little analysis has been undertaken into the source of new marketing ideas and the influence of social construction on these ideas. This paper presents a review of contemporary "new marketing" paradigms and uses a framework of time, place and role to explain the derivation of these ideas. It is concluded that proclomations of new marketing may say more about the proclaimer than the subject being proclaimed.
INTRODUCTION
In recent years, marketing has matured as a
discipline. One sign of this maturity is an increasing willingness of marketing
academics and practitioners to look inwardly and become more self-critical of
their discipline. An abundance of scholarly research and practitioner
proclamations have suggested that marketing is undergoing a fundamental, epoch
breaking change (Brady and Davis, 1993; Gronroos, 1997). Talk about new
paradigms has been interspersed with gloomy predictions about the future of the
marketing department and the triumph of chaos where previously there was order
(Gummesson, 1997; Murray and O'Driscoll, 1997). "One-to-one
marketing", "Postmodern Marketing" and "New Marketing Manifestos"
typify recent debate (Pepper and Rodgers, 1995; Brown, 1995; Grant, 1999).
Wilson and Gilligan (1997, p. 25) declared that “There has been an increasing
recognition over the past few years that marketing is, or may be facing what is
loosely referred to as a mid life crisis…due to the widespread concern that
something is amiss”. In addition, Brown (1995, p. 42) proclaimed that the
“Marketing concept is deeply, perhaps irredeemably flawed, that its seemingly
solid theoretical foundations are by no means secure and that the specialism is
teetering on the brink of serious intellectual crisis”. The Relationship
Marketing paradigm has been hailed as a long awaited solution to the
limitations of existing marketing theory and practice, despite there being no
universally accepted definition for this phenomenon (Kandampully and Duddy,
1999).
Despite the volume of literature predicting the
terminal decline of marketing, evidence of its plight and the benefits of new
paradigms is mixed. Consider the following evidence from the UK grocery retail
sector: Traditional methods of mass marketing have been proclaimed by many as
being outdated in an age when information technology allows individual
targetting and dialogue with customers. Yet research has shown that the most
profitable retailers are not those with a personalised loyalty programme, but
ones which offer standardised, low prices for all (Knox, 1998; Murphy, 1998).
It is reported that the market share of Asda has increased since it abolished
its trial customer loyalty programme (Curtis, 1999). Similarly, in the airline
sector, adopters of new marketing paradigms might have expected operators who
finely tailor their operations to the needs of multiple small segments to win
out over airlines which offer one standard of service to all. During one week
in 1999, British Airways (which has made great efforts at customisation of its
services) reported a loss while the low fares, no frills, minimal segmentation
airline Ryanair reported sharply increased sales and profits (Times, 1999a). Reports
of innovatory one-to-one dialogue between fmcg companies and their end-user
consumers run ahead of the reality, as witnessed by the Heinz company's
climbdown from its dialogue with consumers in favour of a more traditional mass
communication appeal (Tylee, 1998). Even talk of the fragmentation of brands to
meet niche segments may not be reflected in reality, as evidenced by Unilever's
decision to cut the number of brands it offers to a few mainstream brands
(Times, 1999b).
While the management of change is a fundamental task
of a marketing manager (Salaman, 1996; Beer and Eisenstat, 1996; Waterman,
1988), is discussion of new marketing paradigms a useful contribution to
knowledge? Alphonse Karr, the French writer and editor of Figaro (1893) stated
in his satirical review, Les Guepes, (1849), “Plus ca change, plus c’est la
meme chose” - “The more things change the more they stay the same”. Are
suggested changes to marketing transitory and lacking any deep-seated shift in
foundations, or do they really represent a paradigm shift? Alternatively, could
discussion of new marketing paradigms say more about the social construction of
the individuals making the proclamations, than the subject being discussed?
Observation of reality cannot be separated from the observer's perception of
that reality (Bauman, 1998). Much human communication is not accepted
literally, but decoded in the context of the position that a communicator and
recipient are coming from, and this is particularly important with marketing which
essentially deals with social constructs rather than absoloute truths.
Discussion of changing marketing phenomena is subject to individual
interpretation and it is therefore important to understand the position that a
proclaimer of a new marketing paradigm is coming from. Hermeneutics presents a
view of human understanding and interpretation. Unwritten social and cultural
meaning systems define social reality and behaviour and educators are
frequently held responsible for developing social constructs (DiMaggio, 1988;
Scott, 1987; Handelman and Arnold, 1999).
The central proposition of this paper is that claims
of new marketing paradigms should be deconstructed in the context of three
phenomena: time, place and role.
The time
dimension refers to the observation that many apparently "new"
marketing practices have strong antecedents which proponents do not fully
recognise or acknowledge. This paper explores the breadth of contemporary new
marketing ideas which are firmly rooted in very long-standing practices. The place dimension refers to the fact that
much of what is claimed to be new, is extant in distant cultures, and newness
represents a novelty from the perspective of the proclaimer, rather than a new
insight into human behaviour. The third dimension of role recognises that proclamations of new marketing ideas may reflect a relatively narrow perspective
of individuals making the claim, for whom new marketing ideas reflect a
personal role shift as much as the development of new knowledge. It can be
likened to the stonemason lifting his gaze from individual bricks and gaining a
holistic vision of the cathedral he is building.
The aim of this paper is to provide a critical counter
balance to proclamations of "big new ideas" in marketing. While recognising the clarity of exposition
of many of their proclaimers and the contribution that has been made to
increasing levels of marketing knowledge and awareness, the paper explores
whether "new" marketing paradigms are a discovery by some sectors of
the marketing community of phenomena which have been long established
elsewhere. The scenario may emerge of an academic view of marketing that
regards new frameworks such as relationship marketing as an ideal paradigm,
while practitioners are compromised by the realities of operationalising the
concepts. Reactions of practitioners to Relationship Marketing approaches, for
example, have varied from a familiarity
with the basic principles that they encapsulate, to incredulity at how the
basic propositions could be operationalised.
This paper initially offers an overview of the
contemporary debate about "new marketing". It then proceeds to
explore the following propositions:
i. contemporary
"new" marketing paradigms are
based on principles that are fundamentally unchanged over centuries of market
mediated trading
ii. the principles of new marketing ideas have
contemporary and recent
antecedents
in other trading systems
iii. attitudes
towards new marketing paradigms are influenced by the role of those making claims of paradigm shifts.
A further aim of this paper is to address the issue of
whether claims of new marketing paradigms widen or help to bridge the apparent
gap between marketing academics and practitioners.
What Is The
"New Marketing"?
Current literature has bestowed a plethora of
"new marketing" theories. Much of the recent debate has been
associated with the need for marketing to escape from the apparent straitjacket
imposed by the scientific framework of marketing mix approaches to marketing
management. Gronroos (1997) stated that ‘the major problem with the marketing
mix and its 4P’s has been their position as the major, and in many situations
as the only acceptable marketing paradigm’. He asked why the marketing mix
management paradigm and the 4Ps model have become such a straitjacket for
marketers and noted that the ‘main reason is for pedagogical virtues’. The
marketing mix is atheoretical and has formed the basis for the overwhelming
majority of texts on marketing. Its defendants point to two principal reasons
for its continuing domination of the literature: the pedagogic benefits of
using a highly structured approach around which discrete lessons and class
discussion can be focused and the apparent lack of suitable alternatives.
The theoretical limitations of marketing mix
approaches have been widely noted. Van Waterschoot and Van den Bulte (1992)
pointed out that the properties that are the basis for classification have not
been identified, and the categories are not mutually exclusive. Bennett (1997)
stated that an emphasis on the 4P’s model (McCarthy, 1964) might lead to too
narrow a focus on internal variables and does not include some of the process
variables which also form part of the marketing planning system. The reduction
in the marketing mix to four elements might have improved the elegance and
simplicity of the framework, but lost its substance and validity (Gummesson,
1994). In response, there have been numerous attempts to expand the basic mix
framework, most popularly the 7 Ps framework developed by Booms and Bitner to
incorporate decisions which are of relevance to services marketing. Further
refinements have been proposed by Collier (1991), Nickels and Jolson (1976),
Reneghan (1981) and Christopher, Payne and Ballantyne (1991). It has been
pointed out by Gummesson (1999), who himself has proposed a "32 Rs"
list of relationships, that many of these reformulations are contrived and
designed to fit around beginning with the same letter of the alphabet.
Talk about a "new marketing" has attracted
considerable interest. In his "new marketing manifesto", Grant (1999)
defined new marketing in terms of being: driven by insight, not analysis;
favouring constant change over conservatism; being humanistic rather than
scientific; and being essentially creative. The literature has been rich in
colourful description, with analogies drawn with a car journey (O’Malley and
Patterson, 1998), eschatological biblical behaviour (Brown, 1997;
O'Shaughnessy, 1997) and medicine (Baker, 1991). Alternative paradigms have been presented based on a holistic
overview of marketing in which strength derives from a diversity of approaches
and breaking of rules (Brown, 1995; Gronroos, 1997; Murray and O’ Driscoll,
1997). The term Postmodern marketing has frequently been applied to this
approach and extensive use made of analogies with postmodernism in other
discipline areas, such as architecture (Jencks, 1987), art (Burgin, 1986),
anthropology (Nencel and Pels, 1991), civil engineering (Platten, 1986), economics
(McCloskey, 1985), geography (Soja, 1989), to name but a few, has witnessed,
according to Brown (1995), the pervasiveness of postmodernism. Postmodernism is
essentially a reaction to the presumed certainty of scientific or objective
efforts to explain reality. New marketing ideas emanate from the opinion that ‘reality’ is not
plainly reflected in human understanding of scientific efforts to explain it.
Postmodernists ‘Do not agree with hermeneutics, if in its search for
explanation, it assumes that one interpretation is better than others, if its
goal is to recover a singular meaning for any political or social act’
(Rosneau, 1992, p. 14). "Rules" of market segmentation give way to a
realisation that each consumer-producer transaction is unique and one-to-one
relationships supersede segmentation approaches based on logical empiricism.
Chaos marketing theory, defined as a “Conceptual
framework to describe how the world around us should react to change whether
the systems are stable, unpredictable within boundaries or controllable”
(Nilson, 1995, p. 7), has been presented as a new framework to reflect the
reality of marketing in a turbulent environment.
Despite the emergence of a plethora of "new"
marketing ideas which stress the need to break rules and provide a holistic
approach to individual buyer-seller relationships, a scientific approach to
problem analysis remains a vital and growing part of a marketing manager's
task. Wilson and Gilligan (1997, p.10) state that scientific theories in marketing
enable us to “Explain and understand the behaviour of marketing variables and
their interrelationships, predict the future behaviour patterns of marketing
variables and their interrelationships, produce prescriptions and achieve
control over the outcomes of interactions of marketing variables”. Some indication of the drive for the
scientific approach to measurement is indicated by the growth of the market
research industry, with more than £300m worth of quantitative studies and £150m
of continuous tracking studies and omnibus surveys conducted annually in the UK
(Gofton, 1999). Wierenga and Van Bruggen (1997, p. 21) wrote that “There is an
increasing need for tools that assist marketing decision makers in carrying out
their tasks. Because of the proliferation of products and brands, ever larger
numbers of market segments, fierceness of competition, and overall acceleration
of change, marketing decision situations have become complex, and decisions
must be made under increasing time pressure".
Recent developments in direct marketing are based on a
scientific method of enquiry which is essentially rules-based. New methods of
profiling customer databases have used expert systems to provide insights into
customer potential, share of wallet, attrition, cross selling and the lifetime
value of a customer. The analysis of large volumes of data offers the
capability of giving results which are statistically significant
representations of the populations from which they are drawn (e.g. Koslowsky,
1999; Pearce, 1997). O’Malley, Patterson and Evans (1997), for example, in
their survey of UK retailers found an overwhelming use of databases
particularly in the areas of site assessment and trade area analysis. Most of
the respondents used a combination of marketing and customer databases to
support their decision-making activities.
Further evidence of a
greater scientific approach is provided by the Marketing Metrics research
project, sponsored among other organisations by the Chartered Institute of
Marketing. It set out in 1997 to look at real-world marketing performance
assessment and has sought to develop a culture in which marketing effectiveness
is measured as objectively as possible. Placing a value on brand equity as an
outcome is one such approach (Ambler, 1998). The desire for accountability in
the private and public sectors has fuelled a desire for objective standards of
measurement. It has been pointed out, for example, by Beenstock (1998) that the
desire to develop objective methods of brand valuations in companies' balance
sheets will become much greater in the UK with the enforcement of Financial
Reporting Standards 10 and 11.
In his introduction to the Oxford volume Theories of
Explanation, Joseph Pitt (1988, p.6) claims that "What is crucial is the insight
that the kind of knowledge science produces...it permits the development of
explanations, and it is those explanations that are the real payoff."
Innovation and creativity are required to keep up with the fast pace of
business today. It is through the reconciliation of both scientific and
artistic approaches, that true creativity is gained (Campbell, 1975).
Has the cycle of marketing evolution embarked on a
backward journey to its origins? Current scepticism about scientific, rules
based approaches to marketing is frequently informed by reference to simpler
historical systems of exchange. Indeed, the origins of many "new"
ideas have frequently been acknowledged by their proponents. It is, for
example, clearly stated by Peppers and Rodgers (1995) that their vision of a
one-to-one future is based on the pattern of exchanges commonly found among
small traders in previous decades.
The
Perspective of Time: Historical antecedents of new marketing
Marketing as a recognised discipline of study is relatively
new, having emerged during the 1960’s. The reasons for its emergence are clear
enough to see - increasingly competitive markets called for sellers to put more
effort into the process of selling relative to the effort that buyers were
required to expend in the process of buying. From its inception, the discipline
of marketing has been dominated by a set of values that are American in origin
(Dholakia et al, 1980), but have
since permeated western economies.
Despite its new found status from the 1960’s, the
philosophies of marketing have a long heritage and numerous scholars have
described activities in ancient history which have resemblance to modern
theories of marketing (e.g. Orlin, 1970; Larsen, 1976; Aubet, 1987). The very
long history of marketing is acknowledged in most introductory marketing texts.
Moore and Lewis (1998), for example, described the Assyrian international trade
organisation of the second millennium B.C.
Early rulers, such as Ilu-shuma and his son Erishum I (c.1939-1900
B.C.), did much to exploit the commercial potential offered by the geographic
location of Ashur and its supply of tin. It has been noted that the Old
Assyrian commercial expansion of this age had many characteristics of what we
would today describe as marketing, including market segmentation, targeting,
distribution and communication (Larsen,
1976, p. 86).
Many apparently "new" phenomena in marketing
have quite clear historical antecedents. What is today called relationship
marketing has been noted as the customary practice of small traders in
pre-modern marketing times (Peppers and Rodgers, 1995). Clegg (1956) noted the
complex networks of commercial relationships that existed between traders in
Victorian England, bearing many resemblences to strategic alliances. There is a
fundamental familiarity between some of the business practices of ancient
civilisations and those practised today. The Ancient Sumerian society's values
mirror topical marketing themes pertinent to the formation of relationships;
the elements of trust, loyalty and reciprocity were evident in their
co-operation with neighbours and strangers in the trading of goods, despite
fact that they could not immediately appreciate the benefits of their actions.
The ancient Egyptians imported timber for boat
building from Syria and Lebanon, copper from Cyprus, tin from Asia and/or
Europe, raw materials such as plants from Africa and the Far East for the
production of medicine while they exported yarn, fine linen cloth, glass
bottles, vases, embroidered work and paper to Europe (Trigger et al, 1983). These civilisations were
constantly developing, innovating and flourishing and the “learning
organisation” epitomises this culture contemporarily. Today, organisational
culture and learning have become one of the most active research areas in the
marketing discipline (Slater and Narver, 1995).
Marketing practices may change, but the philosophy is
more enduring. In the evolution of modern-day marketing thought, it may seem
that ideas have a habit of going round in circles. One of the earliest
advocates of marketing, Drucker, noted in 1954 that ‘Marketing was not really a
separate management function, but rather a whole business as seen from the
customer’s point of view’ (Drucker, 1954). Fifty years later, new marketing
paradigms essentially appear to be rediscovering this fact.
The
Perspective Of Place: International Comparisons
What is often described as "new" marketing
in western countries represents firmly established practice in many cultures. A
marketing philosophy has been associated with eastern cultures, most especially
with Japanese marketing practices, where it has been observed that the
marketing mix approach never took hold to the extent that it has in the west
(Genestre, Herbig and Shao, 1995; Kotler and Fahey, 1982; Doyle Wong and
Saunders, 1992). Genestre, Herbig and Shao (1995) wrote that “Japanese marketing management has been
described as the classic textbook case of applying the marketing philosophy -
carefully studying customer wants and needs in international markets,
developing products incorporating desired features and putting effective
marketing programmes in place to support them”.
The concept of relationship marketing is presented as
new in western countries, but has substantial precedent in China in the form of
guanxi. Relationship marketing in ancient China depicted interpersonal
relationships which over time have become more focused on the organisational
level in the form of guanxi, meaning “relationship" (Tsang, 1998). Campbell
wrote that “the belief that mind and matter were separate and had nothing to do
with each other, may have been a factor in the coming to birth of the principle
of objectivity which was considered to be Western in character, whilst the
Easterners considered both mind and body to be one and the same" (Campbell
, 1975, p. 12). SME’s have possessed
relationships similar to that of
guanxi, which is usually considered at the individual level although it
exists at the organisational level (Tsang, 1998) and ganqing which is a measure
of the emotional commitment of the parties involved. Trust, face or public image and credibility according to Tsang
(1998) are also important “ingredients” of guanxi, mirroring the constructs
discussed in contemporary debate about relationship marketing.
The Chinese are said to be naturally good at business.
A related explanation is that Chinese have learnt to live frugally, to plough
profits back into their businesses, to plan more for the long-term, and to
sacrifice profit today for market share in the future. With economic prosperity
in many Asian countries, there is a tendency to reinterpret their cultures as
being somehow development promoting and pro-entrepreneurial (Billig, 1994). The
traditional formula for success among the overseas Chinese has emphasised the
entrepreneurial spirit, family businesses with autocratic and paternalistic
leadership and guanxi (personal relationships). Decision making processes and a
lack of bureaucratic regulation give a competitive advantage when quick
responses or deal-making skills are critical. In modern western language, this
would be interpreted as the discovery of flatter organisational structures,
empowerment and efficient consumer response (Drucker, 1988; Kanter, 1989;
Randolph, 1995; Kurt Salmon Associates, 1993).
It has been noted that much of the recent obsession
with developing shared values among an organisation's employees has clear
antecedents in large Japanese organisations (Wagner and Hollenbeck, 1995).
Their cultural emphasis on loyalty is prevalent in work environments in the
form if the “nenko” system and loyalty and respect for others in the form
of “oyabun-kobun” which reflects the family relationship.
Wagner and Hollenbeck (1995) also note that new managers in Japan attend
entering classes in order to acquire a generalist's view of the history and
culture of the organisation being joined. When this process has been completed,
they have learned the importance of followership or tsukiai (Atsumi, 1979).
By looking east, marketers may find practices that
look remarkably like big new ideas currently being hailed in the west. By
analogy, a New Yorker arriving in remote Africa where a new branch of McDonalds
has just opened might wonder what all the local excitement is about.
The
Perspective Of Place: Evidence Of New Marketing In Small And Medium Size
Enterprises
The originality of new marketing paradigms may be
questioned by many owners of small and medium sized enterprises, who have shown
less inclination to use the scientific approaches of their counterparts in
larger organisations. Brian Aldiss, the
British science-fiction writer once said, “Science fiction is no more written
for scientists than ghost stories are written for ghosts”. There is an apparent opinion that
historically, marketing theories have not been embraced by marketing
practitioners, most especially within SMEs, yet small businesses survive and
grow and compete in the marketplace.
Managers of SMEs have been criticised in the past for
their lack of commitment to strategic planning and their resistance to
prescribed marketing tools and techniques (McDonald, 1992; Brooksbank, 1991;
Lancaster and Waddelow, 1998; Leppard,
1987; Wilson and Gilligan, 1997). Leppard's study into why there was a
widespread resistance to strategic marketing planning showed that “acceptance
of marketing planning is largely conditioned by the stage of development of the
organisation and the behaviour of the culture carriers” (Leppard, 1987).
There is other evidence that small businesses are very
aware of the need for marketing, even if they do not always undertake it (Beam
and Carey, 1989). In many instances small business owners perceive marketing as
being purely "selling, advertising or promotion" (Patten, 1989).
Stanworth and Gray (1991) pointed out that in small businesses one person is
directly involved in every decision - from everyday issues such as customer
enquiries, financial control and production matters, to less recurrent problems
such as employee recruitment and rent reviews. Their research emphasised that
small business owner-managers are "generalists" and it would be
totally wrong to suggest that they should become "marketing
specialists". This means that complex theories or sophisticated formal
processes are inappropriate for small businesses - they would not achieve any
greater understanding of the markets in which small businesses operate. This
observation seems quite consistent with new marketing ideas that all
individuals within an organisation should be boundary-spanners and perform the
role of "part-time marketers"
(Gummesson, 1999).
Mitchell (1998) stated that for SMEs, working with a
small number of customers, operating locally or with few distribution outlets -
marketing's essential task of winning and keeping customers necessarily takes a
very different form and may not even be seen as marketing at all. For example, in his study of 'hidden
champions' - smaller firms which quietly excel - Simon noted that most don't
have marketing departments or staff with
'marketing' job titles. Yet, he notes, proportionately more employees in
these firms regularly spend more time with their customers than their larger
rivals. While the hidden champions are not marketing professionals, 'they are
closeness-to-customer professionals' (Simon, 1996). Cavanagh and Clifford
(1986) on smaller companies stated that they had a ‘sheer dedication to serving
customers better than anyone else’. Goodwin stated that consumers today are
being “bombarded by confusion marketing” and that “whereas we have all become
accustomed to the sharpest, fastest-moving marketing ideas coming from small,
entrepreneurial companies, it is clear that the giants of UK industry have
caught up and are rivalling their smaller companies” (Goodwin 1998, p.
15). The entrepeneurship of the small
business is being rediscovered in large corporations. Vandermerwe and Birley
(1997), spoke of the Corporate Entrepreneur, stating that the typical
“bureaucratic” executive can be expected to behave enptrepreneurially and
corporations are transforming “so as to own customers” and to attack “problems
creatively” and that entrepreneurs can today be expected to be able to manage
the large corporation too.
SMEs have been noted for traditionally undertaking
processes which are today considered novel by their larger competitors. For
example a small greengrocer is likely to have had direct contact with
customers; personally knowing them; had a mental profile of each customer; and
knew the market’s needs and satisfied them on time and to customers'
specification. Out of this, mutually beneficial relationships developed
(Peppers and Rodgers, 1995; Kahil and Harcar, 1995). Larger firms have tried
hard to create similar conditions for themselves, and when they have been achieved
may think incorrectly that they have discovered a "new" way of doing
business.
Ernest Hemingway once said “If one can distinguish
between good advice and bad advice, one does not need advice.” Is it any wonder then, that the small and
medium enterprise has relinquished academic jargon when flexibility, market
knowledge,
close customer relationships and common sense has
prepared it for alternative business approaches? Would many of the ideas of new
marketing paradigms be little more than well established practice for them?
The
Perspective Of Role: The Influence Of Personal Perspective
Another line of enquiry to explain proclamations of "new marketing" may be to examine the role of individuals who make such proclamations. Ylva Eggehorn once said “Our position determines what we see”. There are many historic cases of individuals who have escaped from their mundane lives to see the "promised land". The Bhuddist temple of Borobudur provides a useful analogy. A series of friezes on the lower levels of the temple depict labourers working hard in fields with their minds focused clearly on the technical task in hand. Ascent of the temple is likened to the process of growing up and sees the focus of the friezes changing, until at the top of the temple the wise old man sits with a view over everything around him.
This contrast between the narrowly focused
practitioner and the visionary leader has been referred to in many marketing
related analogies. It has for example been noted in the context of developing
staff motivation within the people-intensive services sector that the situation
is analogous to a stonemason and a cathedral - the leader has the vision of the
cathedral while the stonemason sees only individual bricks. Smith and
Saint-Onge (1996) refer to Henry Adams who said of the stone mason: “He does
not say “I’m carving a stone” but rather “I’m building a cathedral”. Similarly,
The Buddha (Siddhartha Gotama) once said, “Drillers shape holes, bow makers,
arrows, carpenters shape wood and the wise shapes himself”.
It has been noted that an important characteristic of
a chief executive is to have a "helicopter view" (Starkey, 1998;
Dobbins and Pettmann, 1997; Chan, 1997) allowing him or her to see the
connections within a complex environment which may be absent from individuals
who have a specified role within a management hierarchy. Creativity and vision
have been seen as important characteristics of business leaders (Hamlin, Reidy
and Stewart, 1997; Kaye and Dyason, 1999) with many pointing to such
inspirational leaders as Richard Branson, Benjamin Rosen (Compaq), the late
Ferdinand Peich (Volkswagen, Porsche AG and Porsche Holding), Philippe
Foreil-Destezet (Adecco S.A.), Kjeld Kirk Kristiansen (Lego), Alan Wertheimer
(Chanel), and Akia Morita (Sony). Of course, whether visionary leaders are able
to translate their vision into a commercial success will be partly conditioned
by the extent to which they area able to take their organisation with them.
The “Visionary Leadership Model” (McDonald, 1992)
pertains that it is not necessary for ideas to be created by the leader, but
their “Commitment to it, his personal credibility and how he articulates it to
others can provide the necessary momentum”. This leads to the next point about
the relationship between visionary thinking and accountability. Proclaiming an
idea without having the responsibility for implementing it involves relatively
little risk. Academics and writers who talk about new marketing paradigms may
have the independence to think the unthinkable and this independence has
resulted in much high quality "blue sky" research which may find no
immediate use within commercial organisations. However, academics are not held
to account if their ideas do not work, unlike managers of businesses who are
accountable to boards of directors and shareholders for results (Davis and Moe,
1997; Burns, 1989).
Is Marketing
Academia Leading Or Following Current Development?
Are academics using their opportunities for free and
creative thinking to develop useful knowledge and frameworks? Are they simply
following reality or overlooking the long traditions on which new marketing is
based? Henry Ford once said “Do not search for the faults, search for the
cure”; - are marketers good at providing an analysis of historical weakness,
but short on providing solutions which can be operationalised?
The need to understand the interface between academia
and practitioners has been highlighted by the American Marketing Association
which noted the importance of educators in developing new thinking (American
Marketing Association, 1988). It noted that academics bear a heavy
responsibility for defining and shaping what is known about marketing. The
contribution of academics to marketing thought has been acknowledged in a
number of fields, for example the conceptualisation and measurement of service
quality (Parasuraman, Zeithaml and Berry, 1988). In other areas it has been
noted that academics have lagged significantly behind practitioners, especially
in some applied subject areas such as direct marketing (Nadherny, 1998).
There is also the question of whether academics'
personal backgrounds influence the way they see marketing. In many cases, a
lack of recent experience with business may imply that some academics learn
from academic articles without the benefit of historical personal experience of
implementing marketing activities. Previous research has indicated the diverse
background of marketing academics. McDonagh highlighted the fact that since
“most powerful marketing academics are predominantly logical empiricists....
the debate will just continue to fester and marketing will remain a one sided
discipline which is continually criticised not only by those in other academic
disciplines but also by marketing practitioners themselves” (McDonagh, 1995,
pp. 676). It was noted above that academics are typically not accountable for
their actions, which allows an independence of thought, but may also cause a
disengagement from the reality of implementation.
If small businesses have in fact been practising many
aspects of "new" marketing, but not in the way presented by
traditional marketing academics, where does this leave the role of business
schools? One view is that business schools should operate more theoretically than
at practitioner level, in order to find new solutions to problems (Wills,
1976). On the other hand, it has been noted by Leppard and Mc Donald (1991)
that the abstractions of academia have created an unbridgeable gap for
practitioners in industry. These barriers can take the form of perceptual,
cultural, intellectual, expressive, emotional and environmental barriers
(Boydell, 1977).
Maharishi Mahesh Yogi once said “teaching which
confuses the way of the recluse with the way of the person who is active in the
world, has caused the backward condition of modern India”. This may parallel
the SME owner manager’s (the person who is active in the world), confusion with
the way in which the recluse (Academic) teaches and prescribes. Academics who
resent the non-acceptance of marketing by practitioners may be creating
backwardness in their own discipline.
CONCLUSIONS
Very little in marketing theory can be considered to
be completely new. Unlike researchers in the natural sciences, who are
continually isolating previously unrecognised genes or extending our
understanding of living organisms, marketers have made relatively few genuinely
new discoveries. Genetic engineering, the development of digital television and
pentium processors cannot be compared to the "discovery" of a
"new" relationship marketing paradigm, whose antecedents can be quite
clearly traced.
Could there be a case that in the absence of genuinely
new opportunities for discovery, marketers resort - wittingly or unwittingly -
to recirculating old ideas as though they were new? The management of change is
a vital management function and marketing academics have contributed towards an
understanding of factors underlying change in the business environment and
responses to that change. Academics' freedom from day to day financial
accountability has given an impartiality and credibility which may be missing
from practising managers who have an explicit or hidden agenda for change.
"No change" limits the potential for academics to contribute towards
academic debate, and as with popular journalism, "no change" may not
be considered newsworthy. By implication, the evolution of new ideas is
essential for academics to achieve a position as promulgators of useful
information. Marketing academics and practitioners have written of many
"big new ideas" which have created considerable interest but
eventually faded into oblivion when it was realised that the idea was basically
an old idea which had been dressed up in new language and still subject to the
weaknesses which had caused failure in the past. Total Quality Management and
Management by Objectives typify this life cycle of ideas.
This paper began with three propositions stating that
the validity of new marketing ideas can be assessed in terms of three
phenomena: time, place and role. From the review of literature reported here,
it does indeed appear that statements about paradigm shifts must be considered
in the context of the perspective of the person making such claims. Educators
and practitioners express their differing philosophies due to their discordant
backgrounds and cultures which shape their opinions and personalities. Talk of paradigm shifts are pertinent to the
individual, their social conditions and their motivations. This paper has
suggested that believers will be those who can associate their time, place and
role with the statements being made about the current state of the marketing
discipline through socialisation. One cannot understand the goals of people
without understanding their social relations just as one cannot understand
cultural institutions, practices and values divorced from individual motivation
(Westen, 1985). It is implicit in new marketing ideas that there is no such
thing as objective truth, but all observations of reality are subject to the
observer's interpretation of that reality (Bauman, 1998).
The debate about whether marketing is going through a
paradigm shift will probably be as inconclusive as such perennial debates as
those between the power of nature versus nurture or between science and
religion. In both these cases, argument is frequently used to support an
established political position (for example with regard to issues of racial
equality or education policy) and the position of a proponent is likely to be
recognised in evaluating their argument. It would seem remarkable that debate
about marketing paradigm shifts has taken place with relatively little
attention given to the positions of those advancing a proposition. This paper
has suggested that a good basis for evaluating claims of new marketing
paradigms is to ask about the role and position that the claimant is coming
from.
Finally, this paper has emphasised the social
construction of marketing paradigms and the difficulty of separating objective
reality from personal interpretation. This paper cannot claim to be free of
bias which is inhrent in such interpretation of reality and is just as likely
to reflect the background of the authors as claims of new marketing paradigms
reflect their respective authors' backgrounds.
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