As the advent of the Fourth Industrial Revolution and Information Age, companies are in the state of infinite competition due to the rapidly changing technological environment and fierce competition. In this situation companies are making efforts to gain the competitive advantage by introducing information systems. Supply Chain Management (SCM) is considered a method to gain a competitive edge in rapid change. In fact, companies that already have introduced the SCM system are achieving company renovation with positive effects such as increase of sales stock reduction on-time delivery cost reduction and improved efficiency. This study was started to investigate the resistance that occurs in introducing the SCM system for small and medium-sized manufacturing industries that have not yet introduced the SCM system despite the importance of the SCM system, and to check the effect on the intention of the introduction. As the result of this study, the first is that the company has the higher technological innovation, the more positive the effect on Relative advantage Compatibility Perceived risk, Complexity. Second, The compatibility of the SCM system was rejected in innovation resistance, but it is adopted with the highest impact in the introduction intention. In addition, the mediating effect of innovation resistance was also rejected, confirming that if the SCM system is compatible for the company, it doesn’t affect the resistance and is the biggest factor to consider in the introduction of the SCM system. Third, the perceived risk of the SCM system doesn’t directly affect the intention to introduce, but has an indirect effect when mediation innovation resistance.
Introduction
The study chooses smartphone applications which have update experience as the study case to analysis if it will cause customer attrition. Application updates aims to make up the bugs which may cause bad effects on using, while in fact, most changes will be resisted by customers. We adapt three elements to collect data about the attitude of customers toward applications update, the conclusion illustrates, customers will resist changes in some conditions and cause customers attrition. Therefore, application developers should focus on the personal emotional reaction and cognitive evolution as well as predict what may influence the customers normal use after the applications update to make correct update decisions. In order to define the relationship between variable and result., we take smartphone application which had experienced update as examples and choose fsQCA as the methodology to analysis.
Literature Review
Resistance to change is a psychological process, Brehm(1966)claims customers resist to change origins from their believe that they have rights to control free, when this rights be challenged, this resistance behavior will happen due to they want to protect their own rights. Some scholars distinguished the concept of resistance to change: when receptors in the low involvement or limited cognize, their resistance behaviors is likely to be considered as the passive resistance; otherwise, the behaviors would be recognized as active resistance (Nabih,1997). Bagozz and Lee(1999) think that functional barrier is an important factors which influence the degree of innovation receptance, when customers think products after update cannot meet their function needs will cause resistance to change. Resistance always occur passively, bemuse of the disturb of the former habits of using (Ram &Sheth 1989), and former studies also indicate that prejudice towards changes is one of significant factors. Because changes are uncertainty, Fiske and Taylor(1991)claims that uncertainty can make people hate changes and Whitson and Galinsky(2008)consider aversion will be the strong driver of resistance to change to reduce uncertainty and risk. In terms of a company, the cost of maintaining a old customer is much lower than these of develop a new user, Actually, customer attrition is response of entrepreneur revenue and the vital section in development of companies. The famous american honesty management scholar Frederic Reichheld’s research indicates that when the extension of the commercial relationship of entrepreneur and customers, companies can acquire fatter profit through the relationship.
Conclusions
This study chooses fsQCA as methodology to define the relationship between resistance to change and customer attrition instead of using structural equation modeling. Sometimes, even customers have right cognitive evolution towards changes, when they find their efficiency be influenced by it, they also resist to change; while adverse emotional reaction also has an adverse effect on customer retention though they build positive cognitive evolution about changes. there is a remain circumstance of lossing of customers that when customers hate changes and they find their efficiency be influenced by update, the honesty of this product will also decrease. This three condition all contribute to customers attrition which should be paid more attention by companies.
This paper reviewed the relationship among CEO’s entrepreneurship/risktaking, innovation resistance and innovation performance, and the mediating effect of innovation resistance between CEO’s entrepreneurship/ risktaking and innovation performance. Based on the responses from 219 companies, the results of multiple regression analysis appeared as follow; 1) CEO’s entrepreneurship and risktaking effect negatively on innovation resistance. 2) innovation resistance negatively on innovation performance(process innovation, organization innovation). 3) innovation resistance mediates partly between CEO’s entrepreneurship/ risktaking and innovation performance.
While technological development being rapid, competition among companies have been very intensive over the world. To hold their competitive power or make sustainable development, it is very imperative for them to attempt innovation. But almost of all innovations were followed by people's resistance to change, and many innovation appeared to be not successful. The objective of this paper is to review the topic of resistance to change in the related literature, and look at the relationship between innovation resistance and many variables like CEO's personality, employee's personality, organizational culture, and defensive behavior.