Background Music as a Marketing Tool in Finnish Department Stores

The main research problem of this study was to explain how and why background music is used in Finnish department stores and how it is related to their marketing. The problem was investigated through the opinions, attitudes, and conceptions of the managers of Anttila, Sokos and Stockmann department stores. The data of study (N = 31) constituted of a www-survey to which the managers were asked to answer. In the first chapter of the study s theoretical section, the relationship between background music and an enterprise was examined. It was found that background music can serve as an aid in seeking competitive advantage. In the second chapter, the service encounter s environment and atmosphere in relation to marketing was examined and it was found that they are a part of customer s product or service experience. In the third chapter, the interaction process between service encounter atmosphere and consumer behaviour was examined and the essential finding was that atmospheric stimuli affects an individual through emotional, cognitive, and physiological processes, in which individual s personal characteristics are also in a great role. In the fourth chapter, the significance of background music s musical features was examined but the research results were found so contradictory that only the complexity of the studied phenomenon became clear. Findings from the study s empirical section showed that all examined department stores play background music and the usage of music is chain-controlled. The respondents considered background music in department stores as a fundamental element and they understood its significance in enterprise s marketing. The respondents also believed that customers consider background music important and pleasant. Respondents views on background music s effects to purchasing behaviour divided opinions more, but the majority however believed that background music has effects to purchasing behaviour. The main conclusion of the study was that background music is an important marketing tool, at least in a department store type service encounter.Tutkimuksen pääkysymys oli, miten ja miksi suomalaisissa tavarataloissa käytetään taustamusiikkia ja kuinka se liittyy niiden markkinointiin. Ongelmaa tutkittiin Anttila-, Sokos- ja Stockmann-tavarataloketjujen tavaratalonjohtajien mielipiteiden, asenteiden ja käsitysten kautta. Tutkimuksen aineiston (N = 31) muodosti www-kyselylomake, johon tavaratalonjohtajia pyydettiin vastaamaan. Tutkimuksen teoreettisen osan ensimmäisessä luvussa tarkasteltiin taustamusiikin ja yrityksen markkinoinnin suhdetta ja havaittiin taustamusiikin voivan toimia kilpailuedun tavoittelun apuvälineenä. Toisessa luvussa tarkasteltiin asiakaspalvelutilan ympäristön ja ilmapiirin suhdetta markkinointiin ja havaittiin niiden olevan osa asiakkaalle tarjottavaa tuote- tai palvelukokemusta. Kolmannessa luvussa tarkasteltiin asiakaspalvelutilan ilmapiirin ja kuluttajan käyttäytymisen välistä vuorovaikutusprosessia ja keskeinen havainto oli, että ilmapiirin ärsykkeet vaikuttavat yksilöön välillisesti emotionaalisten, kognitiivisten ja fysiologisten prosessien kautta, joissa myös yksilön persoonallisuuden piirteet ovat merkittävässä asemassa. Neljännessä luvussa tarkasteltiin taustamusiikin musiikillisten ominaisuuksien merkitystä, mutta tutkimustulosten huomattiin olevan niin ristiriitaisia, että selväksi tuli ainoastaan tutkittavan ilmiön monimutkaisuus. Tutkimuksen empiirisen osan tuloksena havaittiin, että kaikissa tutkimuksen kohteena olleissa tavarataloissa soitetaan taustamusiikkia ja sen käytöstä päätetään ketjuohjatusti. Vastaajat suhtautuivat taustamusiikkiin lähes poikkeuksetta hyvin positiivisesti. Vastaajat pitivät taustamusiikkia tavaratalossa välttämättömänä elementtinä ja ymmärsivät sen merkityksen yrityksen markkinoinnissa. Vastaajat uskoivat myös asiakkaiden pitävän taustamusiikkia tärkeänä ja miellyttävänä. Vastaajien näkemykset taustamusiikin vaikutuksista asiakkaiden ostokäyttäytymiseen jakoivat mielipiteitä enemmän, mutta silti suurin uskoi taustamusiikilla olevan vaikutuksia ostokäyttäytymiseen. Tutkimuksen johtopäätökset olivat, että taustamusiikki on tärkeä markkinoinnin työkalu ainakin tavaratalotyyppisessä asiakaspalvelutilassa

Financial aspects of cloud computing business models

The purpose of the study was to explore financial aspects of cloud computing business models from information technology (IT) services provider’s perspective. The financial aspects were divided into revenue model and related pricing mechanisms and cost structure and related cost accounting mechanisms according to business model ontology. Cloud computing is a new computing paradigm and the latest megatrend in IT industry developed as a result of the convergence of numerous new and existing technologies. It is characterized by provision of rapidly scalable and measurable IT capabilities as a service on on-demand and self-service basis over the network from common resource pool. The study was carried out as a single case study in a global company offering IT services for large enterprises and public organizations and currently preparing to introduce its own cloud services. Ten semi-structured interviews were conducted with managers of the case company for exploring the financial aspects of cloud services. Qualitative data analysis was employed for processing and summarizing the findings. Findings of the study suggested that each cloud service should have a distinct business model. The business model is a mediating construct that translates the new technology to the service’s value proposition. The business model also defines appropriate pricing and cost accounting mechanism for a service. The business models are based on services provider’s position in cloud computing value chain. A cloud computing business logic framework was created to illustrate the interaction between the value chain, business models and its elements. The key cost types of services do not necessarily change much with cloud computing. Cloud computing has still potential to significantly reduce services provider’s costs through reengineering of production architecture. A cloud computing cost accounting model was created to illustrate how production costs should be aggregated and distributed. Pricing of services changes with cloud computing and pay per use and subscription-based pricing mechanisms are most typical for cloud services. The pricing should be based on customer’s perceived value instead of production costs of services. A generic cloud computing pricing mechanism that combines pay per use and subscription mechanisms was created to better balance risk sharing between services provider and customer. The main contributions of the study were the establishment of services provider focus in cloud computing literature and discussion of financial aspects of cloud computing