Company Performance in the Market Scale (Retail)

What it measures

Seven-item store manager-rated measure of non-financial market performance relative to competitors over the past three business years. Covers customer satisfaction, customer benefit, market share, growth, customer retention, new customer attraction, and store image. Adapted from Menon et al. (1996) and Morgan and Piercy (1996) for the retail store level. Used as a mediator between service-oriented business strategy and profitability.

Response format

5-point scale (1 = much worse, 5 = much better; relative to competitors over the last three business years)

Scale items

• Relative to your competitors, how has your store performed over the last three business years with respect to achieving customer satisfaction?
• Relative to your competitors, how has your store performed over the last three business years with respect to providing customer benefit?
• Relative to your competitors, how has your store performed over the last three business years with respect to attaining desired market share?
• Relative to your competitors, how has your store performed over the last three business years with respect to attaining desired growth?
• Relative to your competitors, how has your store performed over the last three business years with respect to keeping existing customers?
• Relative to your competitors, how has your store performed over the last three business years with respect to attracting new customers?
• Relative to your competitors, how has your store performed over the last three business years with respect to building a positive store image?

Full scale items shown. Always cite the original source when using this scale in research.

Usage notes & scoring

Composite reliability = .90. Service-oriented business strategy explained 57% of variance in this scale. Strong positive link to company profitability (β = .23, p ≤ .01). Validated across U.S. and German clothing and furniture retailers (n = 411). Adapted from Menon, Bharadwaj, and Howell (1996) and Morgan and Piercy (1996).

Recommended companion scales

Citation

Homburg, C., Hoyer, W. D., & Fassnacht, M. (2002). Service orientation of a retailer’s business strategy: Dimensions, antecedents, and performance outcomes. Journal of Marketing, 66(4), 86–101.

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