148
NONPROFIT RELATIONSHIP MARKETING: THE ROLE OF IDENTIFICATION by STEVEN D. GERMAN, B.S., B.S., M.B.A. A DISSERTATION IN BUSINESS ADMINISTRATION Submitted to the Graduate Faculty of Texas Tech University in Partial Fulfillment of the Requirements for the Degree of DOCTOR OF PHILOSOPHY Approved < / August, 1997

NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

  • Upload
    others

  • View
    1

  • Download
    0

Embed Size (px)

Citation preview

Page 1: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

NONPROFIT RELATIONSHIP MARKETING:

THE ROLE OF IDENTIFICATION

by

STEVEN D. GERMAN, B.S., B.S., M.B.A.

A DISSERTATION

IN

BUSINESS ADMINISTRATION

Submitted to the Graduate Faculty of Texas Tech University in

Partial Fulfillment of the Requirements for

the Degree of

DOCTOR OF PHILOSOPHY

Approved

<

/

August, 1997

Page 2: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Ill7

A C. —"

ACKNOWLEDGMENTS

^ f My thanks go to a group of professionals who, without hesitation, agreed

to serve on my dissertation committee. Dr. Debra Laverie and Dr. David Roach

gave me considerable insight into Identity Theory. With both kindness and

patience Professor Dale Duhan helped me move my dissertation from what was

originally a narrowly focused study of donating to a study with implications for

the whole of supportive behavior and also suggested statistical procedures that

solved data problems at key junctures in data analysis. Foremost, Professor

Shelby Hunt, as chairman of the committee, not only took time to help me

develop a piece of worthwhile research, but also made it a point to build me up

both professionally and personally.

Throughout my doctoral program I was fortunate to be associated with

fellow doctoral students, Steve Edison and Dennis Arnett, who never ceased in

providing me with their expertise, insight and encouragement.

Several others outside of the doctoral program were instrumental in this

achievement. Mary Davis taught me how to study and persevere when I

returned to college. John King, my boss and friend, encouraged me in my

graduate work even though it did not directly apply to my position at that time.

Dr. Steven Lemley, then the president of Lubbock Christian University where this

all began, inspired me to reach for a doctorate.

II

Page 3: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

My family deserves so much more than the gratitude I feel for them. I

want to thank my wife, Libby, daughters Gerianne and Gina, and my mother,

Anna Lou German. Libby made it a point to praise and encourage me through

the four years it took to complete the program and continues to spur me on to do

things I would not attempt on my own. Gerianne and Gina loved me despite my

apparent attachment to our computer. My mom convinced me that I could do

this even when I was not so sure.

Finally, I want to dedicate this dissertation to my father, Gary Dale

German, who passed from this life to be with God during the time I worked on

this dissertation. Dad always had faith in me, was proud of my

accomplishments, and took care of me. Dad did a multitude of things to help me

reach this point. Most importantly, however. Dad made sure I went to college

and graduated. Only things of a spiritual nature took precedence over education

with Dad. Dad, I miss you. However, your belief in me is a strength to me, your

life Is an Inspiration to me, and your love remains with me always. I cannot wait

to see you again to thank you in person.

Page 4: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

TABLE OF CONTENTS

ACKNOWLEDGEMENTS ii

LIST OF TABLES vi

LIST OF FIGURES vii

I. INTRODUCTION 1 II. A CONCEPTUAL FRAMEWORK OF RELATIONAL

EXCHANGE INVOLVING SUPPORTIVE BEHAVIORS 10

The Importance of Marketing to Nonprofit Organizations 10

Identification: Key Mediator of Relational Exchange 13

Relationship-Inducing Factors (Antecedents) 27

Nonrelationship-lnducing Factors

(Control Variables) 38

Outcomes of Identification 40

III. RESEARCH METHOD 44

General Sample Frame Characteristics 44

Specific Sample Frame Characteristics 47

Measures of Constructs 50

Method and Results of Data Collection 59

Respondent Characteristics 65

IV

Page 5: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

IV. DATA ANALYSIS

Measurement Model Development

Structural Model Analysis

Proposed Model - Rival Model Comparison

Proposed Model Revision

V. CONCLUSIONS AND DISCUSSION

A Key Mediator of Relational Exchange: Identification

Encouraging and Developing Identification

Encouraging and Developing Supportive Behaviors: Donating

Encouraging and Developing Supportive Behaviors: Function Attendance

Encouraging and Developing Supportive Behaviors: Promotion

Limitations and Future Research

REFERENCES

APPENDICES

A - QUESTIONNAIRE

B - FINAL MEASUREMENT ITEMS

68

69

80

85

91

99

100

101

107

109

110

113

116

126

132

C - INTEREST IN SPECIFIC PROGRAMS 138

Page 6: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

LIST OF TABLES

2.1 Individual, Institutional, and Situational Factors Influencing 14 Supportive Behaviors

3.1 Donation Categories by Sample and Respondents 60

3.2 T-tests of Means of Selected Variables 64

3.3 Chi-square Test For Differences Between Expected and Observed Frequencies 64

3.4 Respondent Characteristics: Gender, Income, Degree, Major, and Extracurricular Activities 66

4.1 Summary of the Measurement Model Respecification Process 70

4.2 Full Measurement Model ~ Indicator Loadings 76

4.3 Descriptive Information and Composite Reliability of the Reflective Measures 78

4.4 Estimated Correlations for Measurement Constructs 79

4.5 Proposed Structural Model Parameter Estimates 82

4.6 Model Comparisons 84

4.7 Rival Model Parameter Estimates 88

4.8 Revised Structural Model ~ Significant Paths 92

4.9 Total Effects (Revised Model) 96

C.I Interest In Specific Programs: Parameter Estimates 141

VI

Page 7: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

LIST OF FIGURES

1.1 A Model of the Mediating Influence of Identification on Supportive 5 Behaviors

2.1 Social Identity Theory 21

2.2 A Model of the Mediating Influence of Identification on Supportive 42 Behaviors (With Control Variables)

3.1 Continuum of Exchange Satisfaction 45

4.1 Modified Model of the Mediating Influence of Identification on 75 Supportive Behaviors (With Control Variables)

4.2 Modified Model of the Mediating Influence of Identification on Supportive Behaviors With Significant Parameter Estimates 83

4.3 Rival Model of Relational Exchange 87

4.4 Revised Model of the Mediating Influence of Identification on Supportive Behaviors With Significant Parameter Estimates 93

VII

Page 8: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

CHAPTER I

INTRODUCTION

Under the rubric of "relationship marketing" (Morgan and Hunt 1994), both

marketing practice and theory are increasingly focusing on the benefits of

relational, versus transactional, exchange. Scholars and practitioners are

studying selling alliances (Smith and Barclay 1997), interdependency (Lusch

and Brown 1996), collaborative communication (Mohr, Fisher, and Nevin 1996),

market orientation (Slater and Narver 1995), long-term manufacturer-supplier

relationships (Kalwani and Narayandas 1995), market-driven organizations (Day

1994), co-marketing alliances (Bucklin and Sengupta 1993), working

partnerships (Anderson and Narus 1990), strategic alliances (Day 1990),

relational marketing (Dwyer, Schurr, and Oh 1987), symbiotic marketing

(Varadarajan and Rajaratnam 1986), internal marketing (Arndt 1983; Berry and

Parasuraman 1991), and relational contracting (MacNeil 1980). The common

element in these diverse perspectives is that "all view relationship marketing as

implying that, increasingly, firms are competing through developing relatively

long-term relationships with such stakeholders as customers, suppliers,

employees, and competitors" (Hunt 1996, p.1). Suppliers are partners, the

buying process is a means of creating value, and the partnership is a tool for

increasing the firm's ability to compete - to obtain a sustainable competitive

advantage through the long-term nature of these partnerships. These dynamics

Page 9: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

underscore the "somewhat paradoxical nature of relationship marketing: To be

an effective competitor... requires one to be a trusted cooperator..." (Morgan

and Hunt 1994, p. 20).

Nonprofit organizations have marketplace problems that are similar to

those found in for-profit organizations. Indeed, nonprofits must compete ~ for

funds and other types of support. Therefore, nonprofits have adopted many

business management functions performed in for-profit organizations, such as

accounting, financial management, personnel administration, and formal

planning. However, as long as nonprofits operated in a "sellers' market" - as

colleges did throughout the 1960's and hospitals have until the last few years ~

marketing related activities were often ignored.

Presently, although nonprofit organizations' services are growing in

importance, it is becoming more difficult to elicit support from individuals

(Bendapudi, Singh, and Bendapudi 1996). Nonprofit organizations are no

longer in a "sellers' market." In addressing the growing difficulty faced by

nonprofit organizations to generate support, the marketing literature for the past

quarter-century has encouraged the adoption of marketing activities (e.g., Kotler

and Levy 1969; Kotler 1979; Smith and Beik 1982; Lovelock and Wineberg

1984; Harvey 1990; Kotler and Andreasen 1991; Kotler 1994; Keegan, Moriarity,

and Duncan 1995). For nonprofits, the marketing perspective is a new approach

for managing relationships with donors and other stakeholders. Marketing

strategies involving targeting and segmentation can aid the nonprofit in

Page 10: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

attracting support in an environment of increasing competition for private and

public resources. Key to these strategies is the identification of factors that

influence relational exchange between an individual and a nonprofit

organization.

In understanding supportive behavior in the nonprofit context, it is useful

to conceptualize the process of donating and other supportive behaviors as a

relational exchange, rather than a simple transaction. A transaction is typically

thought of as an exchange of money for a service or product. Kotler (1972)

broadened the concept of "transaction" by defining it as an exchange of values

between two parties. By stipulating "value" as the criterion for exchange, a

transaction may include other exchanges in addition to exchanges of money for

products and services. For example, buyers in for-profit firms are engaging in

relationship marketing by moving away from a "traditional approach of

adversarial relationships with a multitude of suppliers to one of forging

longer-term relationships with a few select suppliers" (Kalwani and Narayandas

1995). Here, a long-term relationship is the value, that, when exchanged, may

lead to higher quality, lower cost products from suppliers. In the nonprofit

context, value may include contributions of time, money, or possessions

exchanged for increased self esteem or a feeling of gratification. These

exchanges are often made possible because nonprofit organizations initiated,

developed, and nurtured relationships with others capable of supporting the

Page 11: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

organization. Relational exchanges such as these are fundamental to nonprofit

relationship marketing.

In for-profit exchange contexts, relational factors such as trust and

commitment are considered to be key factors in encouraging cooperative

behavior and long term relationships - relational exchange - among institutions

in channels of distribution (Gundlach, Achrol, and Mentzer 1995; Morgan and

Hunt 1994; Ganesan 1994; Heide 1994; Dwyer, Schurr, and Oh 1987). If

relational factors are influential in buyer-supplier relational exchange, relational

factors may be similarly influential in exchange relationships between individuals

and nonprofit organizations.

This dissertation investigates relationship marketing In a heretofore

unresearched context ~ nonprofit organizations. The thesis of this research is

that a key relational factor, "identification," drawn from social psychology and

organizational behavior, mediates relational exchange in the nonprofit context

(see Figure 1.1). Identification is defined as "the perception of belonging to a

group with the result that a person identifies with that group (i.e., I am a

member)" (Bhattacharya, Rao, and Glynn 1995, p. 47). Identification is related

to trust and commitment, which have been viewed as key factors In studies of

relationship marketing in the for-profit context (cf., Morgan and Hunt 1994).

Specifically, one can trust and be committed to a relationship with the

organization but not identify ~ feel a belongingness - with it. However, when

Page 12: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

C3>

"(6 c o Q

8 c (0

c (D

c o is c 3

n § O Q. -^ C W o

c o

Q. C o

£ CO c o) w 2 .g ? .g o S g E ^ o-2 o ^

X (0 z o

LU

O

< O LU

O

O <

g • >

CO sz 0

CQ 0) >

o Q. Q.

CO c o c g

O)

IDU

CIN

G

^ l-dlH

RE

LATI

ON

S!

• m

OR

S

FAC

T le

s:

1. In

divi

dual

Var

iab

It le

vel

1)

achi

evem

ei

orga

niza

tion

_C

edw

it

2)

tim

eaff

iliat

^^ CO

c

in o

rgan

izat

io

M H B

t le

ve

3)

invo

lvem

en

u

>

CO

ffili

atio

n w

ith

CO

bers

* 4)

fa

mily

mem

(-

orga

niza

tio

in

iriab

le

II.

Inst

itutio

nal V

a

stig

e

<D

nal p

r 1)

or

gani

zatio

e

natio

n's

lead

e

•^

orga

n 2)

re

spec

t fo

r

rgan

izat

ion

a

with

1 3)

sa

tisfa

ctio

n ' 3

4)

feltr

ecip

ro

8 C (D

0)

0

0 • D O

Page 13: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

one identifies with a nonprofit, the feeling of belongingness implies one trusts

the nonprofit and is committed to a relationship with it.

Additionally, trust in for-profit marketing relationships involves an element

of risk, the risk of negative outcomes, not typically present in nonprofit relational

exchange. In for-profit exchange, trust is exemplified by the "belief that another

company [trading partner] will perform actions that will result in positive

outcomes for the firm as well as not take unexpected actions [opportunism] that

will result in negative outcomes" (Anderson and Narus 1990, p. 45). There is

little, if any, risk of opportunism involved in the exchange between a nonprofit

organization and its supporters. In for-profit relationship marketing, trust

embodies the promise of positive, as well as the risk of negative, outcomes

made possible by the relationship. Identification focuses on the positive

outcomes for the nonprofit organization that are made possible through

relational exchange.

The concept of Identification originates in identity theory (cf., Ashforth and

Mael 1989; Serpe 1987; Callero 1985; Hoelter 1983; Stryker 1980; Mael and

Ashforth 1992), which posits that a person has many roles, or identities, that

comprise his or her "self." Depending on the situation (e.g., an individual being

solicited for a donation by his or her alma mater or church) the importance of an

"alumnus" identity or "church member" identity, and the role defined by that

identity, is influenced by various individual, institutional, and situational factors.

The identity, depending on its importance to the individual, influences behaviors

Page 14: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

supportive of the nonprofit organization. From the nonprofit perspective,

supportive behaviors are "behavior[s] that enhance the welfare of a needy other,

by providing aid or benefit, usually with little or no commensurate reward in

return" (Bendapudi, Singh, and Bendapudi 1996, p. 34). By recognizing

supportive behaviors toward nonprofit organizations as relational exchange,

knowledge of relationship marketing in the context of for-profit business may be

applied to nonprofit organizations.

Studies of supportive behaviors, such as donating, tend to focus on

characteristics of the individual and/or the individual's perceptions of the

nonprofit organization, while overlooking the relationship between the individual

and the nonprofit. Typically, most research regarding supportive behaviors in

the nonprofit context examines monetary donation as the supportive behavior of

interest. Several factors are posited to explain monetary supportive behavior,

including: (1) individual factors - descriptors of the individual being solicited for

the support (i.e., age, gender, income), (2) institutional factors - descriptors of

perceptions regarding the nonprofit organization seeking support (i.e., the

prestige associated with the organization, respect for the organization's leaders),

and (3) situational factors - descriptors capturing influences on supportive

behaviors that are unique to segments within the overall donor category (i.e., tax

incentives, the individual's religious background, a perception of the

organization being in financial need).

Page 15: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

This research focuses on the exchange between a nonprofit organization

and potential supporters of the organization, positing that some of the Individual,

institutional, and situational factors typically employed In explaining supportive

behaviors are factors that serve to induce a continuing relationship between the

individual and the nonprofit organization. Further, It is hypothesized that the

individual's level of identification with the nonprofit organization mediates the

path between relationship-inducing factors and supportive behaviors (see Figure

1.1). This research contends that identifying factors that induce and influence

the supporter-nonprofit organization relationship is an important marketing

problem to be studied and understood.

In summary, this dissertation explores relationship marketing In the

nonprofit context by (1) positing that identification mediates relational exchange

in the nonprofit context and (2) proposing several relationship-inducing factors

that serve to influence identification. In doing so, a foundation is first

constructed for this research by explaining how and why marketing applies to a

major challenge that most nonprofit organizations face ~ identifying people who

will support the organization with donations of time and money as well as by

promoting the organization to others.

Second, a conceptual framework of relational exchange in the nonprofit

context is presented, providing theoretical support for the model proposed in

Figure 1.1. This research posits that the Inclusion of a construct measuring the

8

Page 16: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

strength of the identity being evoked in the current situation provides a richer,

more complete understanding of the factors that influence supportive behaviors.

Third, the means by which the theory proposed by this dissertation - that

identification is a key mediating variable in relational exchange - is to be tested

are discussed, as well as issues of measures development, data collection, and

sampling. Fourth, using data obtained from alumni of a major university, the

explanatory power of the hypothesized model of relational exchange will be

compared with a rival model that positions identification as just one more

interesting outcome of relational exchange. Finally, results of the data analysis

are discussed, the limitations of the present research are examined, and future

directions for the expansion of knowledge concerning supportive behaviors in

the nonprofit context are presented.

Page 17: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

CHAPTER n

A CONCEPTUAL FRAMEWORK OF RELATIONAL EXCHANGE

INVOLVING SUPPORTIVE BEHAVIORS

The central hypothesis guiding this research is that identification

mediates the influence of relationship-inducing factors on supportive behaviors

(Figure 1.1). This section of model development (1) argues that marketing,

although clearly important to nonprofit as well as to for-profit organizations,

remains an underemphasized area of research, (2) builds the case for the

mediating influence of identification on relational exchange, (3) posits that there

are factors that serve to induce and influence identification, and (4) identifies

donating, function attendance, and promotion as important supportive (toward

nonprofit organizations) behaviors that are influenced by identification.

The Importance of Marketing to Nonprofit Organizations

Sadly, most administrators of nonprofit organizations and many academicians in other areas still do not perceive that many problems of nonprofit organizations are basically marketing in nature, and that there is an extant body of knowledge In marketing academla and a group of trained marketing practitioners that can help to resolve these problems. (Hunt 1976, p. 24)

[Mjany of those who could use marketing principles do not do so because they do not see the relevance of marketing to their tasks. But we would argue that, in nonprofit organizations, public relations specialists, fund-raisers, volunteer recruiters, and employee supervisors are all at one time or another marketers. And, as such, they can all benefit from understanding the philosophy and approach to marketing . . . (Kotler and Andreasen 1991, p. 38)

10

Page 18: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

These quotes, spanning fifteen years, suggest that the application of

marketing in the nonprofit organizational setting remains underemphasized.

For-profit organizations began giving attention to a broader concept of marketing

in the 1950's, marking a change in the business philosophy of that era. Until

then "marketing" was equated with "selling," and the key to profitability was

thought to be greater sales volume. Through a focus on selling, firms attempted

to "change consumers to fit what the organization had to offer" (Kotler and

Andreasen 1991, p. 42). This inward focus on the products produced by the firm

and the firm's ability to sell these products continued until the end of World War

During World War II manufacturers expanded and multiplied to supply the

war effort. After the war, these manufacturers quickly shifted resources into the

production of consumer goods, a shift which created many more manufacturers

and brands competing for the patronage of consumers than before the war. The

proliferation of goods and brands during the post-war era signaled the end of the

seller's market and the beginning of the adoption of the "marketing concept"

(Shapiro 1988). For-profit organizations adhering to the marketing concept

recognized that "consumers ultimately decide when transactions [are] to be

made - not the marketers Therefore, marketing planning . . . must start with

customer perceptions, needs, and wants" (Kotler and Andreasen 1991, pp.

42-43).

11

Page 19: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

If nonprofits consider "marketing," it is often with a pre-1950's sales-era

mentality. That is, the nonprofit typically concentrates its efforts on selling its

service(s) (e.g., emphasis on "fundraising") rather than on developing the

broader relationship and related customer-focused strategies. Adoption of the

marketing concept as a guiding philosophy can help bring nonprofit

organizations such as universities, churches, charities, and groups advocating

social causes out of the "sales era."

As a guiding philosophy within any organization, for-profit or nonprofit, the

marketing concept Is a culture that "can be Influenced, modified, formed, or

shaped" (Hunt and Morgan 1995, p. 11). Although culture, unlike strategies and

plans, is not a selection made by the organization, the organization that adopts a

marketing concept philosophy can influence the organization's culture via a

proactive strategy of market orientation development. It is during the process of

market orientation development that the nonprofit may progress from an

organizationally-focused, sales-era mode of thinking to a customer-focused

market orientation. Market-oriented nonprofit organizations proactlvely gather

information on both customers and competitors. Customers may be those who

use the nonprofit's services or those who support the nonprofit. Competitors are

organizations that vie for the same patrons or supporters. Once the information

is gathered, those managing the nonprofit analyze the information for the

purpose of developing market knowledge, and use the knowledge to guide their

strategies (Hunt and Morgan 1995).

12

Page 20: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

For the nonprofit, an example of the strategies employed to influence

supportive behaviors is to identify appropriate donor segments, develop and/or

match attributes of the nonprofit organization to the benefits desired by each

donor segment, and then develop a marketing program, with an appropriate

marketing mix, to reach each segment. Central to strategy development is an

understanding of supportive behaviors such as donating as being more than an

individual's action of giving something of value to a nonprofit organization.

Donating often involves a relationship, implying some sort of developed

understanding between two parties. The relationship between the individual and

the nonprofit organization may have developed quickly or may have been

nurtured over a period of many years. Supportive behaviors such as donating

involve relational exchange.

Identification: Key Mediator of Relational Exchange

Why do individuals support nonprofit organizations? Past research

hypothesizes various factors to be direct influences on supportive behaviors.

These explanatory variables typically fall into three categories (see Table 2.1).

The first entails characteristics of the individual. These characteristics include

demographic variables, such as the individual's age, gender, income, and family

size, as well as variables that measure the individual's history with the nonprofit

organization.

13

Page 21: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

g • >

CO

m > '•c o Q. Q. 3 (0 a» c "o c 0>

{2 o rs CO

u. To c g To

CO

C CO

"co c o

Tn

CO 3

• g • >

C

CM

.a CO

a>

c (0 •c (0

CO

c a> E _3

CQ

O)

o (0

CO 00

• a (0

• o T3 (0

X

0) 00 r>. JO O) o>

S $2 CO 3 ^

(£ X S

1 - CD

•^ Jo o a>

¥^ CO ?

•gj 3

C3>

(D CQ i5 ^ CQ

i n

c (0

-c (0

CO 09

c

0

o

(A

um«

CQ

o> s ^ ^

(I)

iracI

98

1). M

a

hl(

1

Q

^

986

>- T3 (0

• 0 X I

). H

a

y(1

99

1

gles

b

0

974)

^

C 3

Ost

I

(D

'«.' CO c (0

son

(19

hom

p

H

E

Blu

0 00 a> T -

^-'

Crit

z (1

987)

. 19

85)

ouse

X Q

Sod (A

0)

S (0 «J 2 Q. o C,co ^ i2 ^ S"

<A ~ (A

- C N

a> ^ ^ ^ k . —' 0)

Z^

CO

' - <A

> , ®

3 - 3

l o S2

nj CO

« ^ 00 .2

C3> O )

^ 2 CD CQ

( 0 • « -

(0

X

= E

OOQ

o

CQ

9 u

00

<0 ^-» •O CO "O 00 (0 <3>

00 "O Oi "O • ^ <0

<A . - < 3 C>4 O Oi X O)

31 "

> . J) JQ (A (A 0)

O CQ

04

<3>

J C

c (0

•5 (0

i n

O)

c _>.

(0 ._ - ^ Qi ®

^-. CN . T 3 CO 2 (0 5 OT a> >» c

• ^ f ^ o CO

c ^ 5 3 ^ (0 = fc- ~ . C (0 C3 O CQ X

a> _ ^ (A

o

<A

E (0

—I I

(A • >

(D Q

_o" O (A (0

u.

« . 0 c

(A

Li

in <3>

I m

CQ

(A c o

Xi

b CN

(A

O I

(A (A

3 CQ

a > C3>

• « - ' • * . »

3 3 Z Z u u

00 00

0)

c c u u

CM CM o) Oi cy 2 o> J5 (A (A c c o o

. 0 .Q <A

:9 :9 o O O X

10 09

c

(A

o 52 E § <» "o

o

• o

X c o (A ^

TJ O

k. O I

C o > \ <D <A JC

TO O

• o

X +

c o

'••-•

c (0 k .

o

9

c

CO 0)

(0 >

u

(0 c

c o

N C

(0 2> o> o o c

I li CO ^ t S 9) O n

i ^

O )

o

.2

e (0 2 .0 £

E c (0 4} .;:; o>

9

com

c

0) N (A

mlly

CD C o

*.» (D

. N C (Q O ) ^

O

O C

« E flj >

^ O

S 5. 0) (3) (0

>

(0

o c (A

0) «A Q .

_W a> Q. «:c

o E

- E O) t c

(A

"s^ 0)

TJ (0

(A

.2» * :

£ I Q . (0

— C3»

c o O I -

% -2 E ^ (0 ex P (A o £

«A

(0 N C (Q

o>

O 4>

" >

.!S <A • .» (D (A

U O

O

5

(A

E 2 o> o .

Q. U

o 0) Q . (A

(0 o c (0

(Q

(0

c (0 O )

(A

c

(A « _ ® O

: 5 - i ® IS ^ •'3 c .2 ® ® - o> o c 08 ® ®

10 « _

? I to f

(0 c o

(A c

(0 c o (0

CO

14

Page 22: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

The second category hypothesizes that individuals' perceptions of the

organization soliciting the support influence supportive behavior. Individuals

being asked for their time, money, and other types of support are thought to be

influenced by perceptions of prestige of the organization, respect for the

organization's leaders, satisfaction with the organization's services, and felt

reciprocity.

The third category of factors involves variables that are specific to the

particular organization. These factors include individuals' interest in specific

programs offered by the organization, the desire for a tax break, and motivation

stemming from religious beliefs. Additionally, some individuals respond to

organizations that are in need - these people usually give when asked.

On the practitioner side, many of the available "how to" books on the

subject of donating stress the importance of the relationship between the one

being solicited for the support and the organization soliciting the support (cf.,

Panas 1984; Broce 1991). The implication of these books Is that donating is a

type of relational exchange. A better understanding is required concerning why

people do or do not support organizations of which they may consider

themselves members (implying a relationship between the person and the

organization).

This research proposes that understanding the role of "self in the context

of supportive behaviors toward nonprofit organizations will facilitate a more

complete understanding of the exchange relationship between nonprofit

15

Page 23: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

organizations and their "members." Theory and empirica^ work concerning one's

"identities" offer a stronger position for explaining supportive behaviors than past

research employing only individual, situational, and institutional types of

variables. Identities are defined as "internalized sets of role expectations, with

the person having as many identities as she or he plays roles in distinct sets of

social relationships" (Stryker 1980, p. 46). Understanding the individual's "self

and the identities comprising the "self is key to understanding the individual's

decision process regarding supporting a particular nonprofit organization.

Identity Theory

Identity theory posits that the "self is composed of related "multiple

selves" or "identities," each being a reflection of a social role that the person

engages in from time to time (Stryker 1968, 1980; Callero 1985; Greenwood

1994). The individual develops, over time, internal definitions of each role he or

she plays with the person's definition of a role being influenced by those who

also play the role (I.e., those who share an identity and thus are within the same

social network as the individual). The process of internally defining a particular

identity and the role corresponding to the identity tends to personalize the

identity ~ creating an ownership of the identity. Burke (1950, p. 21) emphasizes

the Importance of shared identities by terming the sharing of an identity with

another "consubstantiality," meaning that an individual, in sharing an identity

16

Page 24: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

with another, is substantially one with a person other than him or herself while,

at the same time, remaining unique. Burke (1950) further states that,

[a] doctrine of consubstantiality, either explicit or implicit, may be necessary to any way of life. For substance, in the old philosophies, was an act, and a way of life is an acting-together, and in acting together, men have common sensations, concepts, images, ideas, attitudes that make them consubstantial. (p. 21)

Here, Burke's consubstantiality ~ shared identity ~ implies that one's identity,

especially a strong identity, has a profound influence on those with whom the

identity is shared.

A person's expectations concerning each role and, through expectations,

the influence of social networks, weight each identity according to the probability

of the role being played in a given situation. Identities, such as "father,"

"mother," "employee," "student," "church member," "university alumnus," etc.,

are organized hierarchically by an individual depending on the weight given to

the identity, reflecting the relative importance or salience of each identity to the

individual (Callero 1985).

Identity salience has been defined as "the relative importance or centrality

of a given identity (and thus role) for defining oneself (Hoelter 1983, p. 141).

For this research, the terms "salience" and "importance" both refer to the

centrality or strength of an identity as defined by Hoelter above. For example,

when people go to work they may assume an identity of "employee." Some may

view the employee Identity as a very important part of who they are and their

behavior at work likely reflects the salient employee identity. Other individuals

17

Page 25: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

whose "employee" Identity is not salient may think of employment as a means by

which money is obtained, enabling them to engage in other activities (e.g.,

attending college, which implies that the person's "student" identity may be

stronger, even in an employment situation). Here, the "employee" identity is not

salient, which is likely evidenced by low commitment to the job or perhaps poor

work output. In both cases, the hierarchy of salience or importance of the

person's identities has a direct impact on the individual's behavior In the work

situation. In other research, a salient identity has been found to influence other

types of behavior such as church attendance and athletic participation (Santee

and Jackson 1979), amount of time spent in a religious role (Stryker and Serpe

1982), and blood donation (Callero 1985).

Identity theory is based on the assumption that identities, though they

evolve, are relatively stable over time. If one's identities were transient,

predicting behavior based on a particularly identity would be problematic.

However, identities are believed to be influenced by beliefs, principles, and

commitments held by the individual, which are psychological aspects of

individuals that remain relatively constant throughout their lives (cf., Serpe 1987;

Kihistrom and Cantor 1984; Rosenberg 1979). These beliefs, principles, and

commitments govern individuals' lives and

play a central role in the psychological explanation of the intentional behavior of persons . . . they determine what we care about in our everyday lives . . . [and] determine the types of action that we are proud of, offended at, ashamed of, that we hope to achieve, seek revenge for, try to compensate for, and so forth . . . (Greenwood 1994, p. 106)

18

Page 26: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

For example, the commitment one may feel to the pursuit of higher education, or

his or her belief in God, tends to remain the same qualitatively as well as

quantitatively over a period of many years or even a lifetime (Greenwood 1994).

Other examples of stable identities would be university alumni and people

who were Boy or Girl Scouts. The feelings people carry with them about their

university and/or scouting experiences tend to reflect what their feelings were

when they left the university, in the case of alumni, or ceased being active

members of Boy or Girl Scouts (although some continue into, and through, their

adult years). Alumni may remember feelings of being "grown up" because they

are away from home, friendships formed that are still a part of their lives, and

instructors with whom they spent many hours. Scouts may hold feelings of

accomplishment regarding their progress through the levels of scouting as well

as appreciation for the values that scouting fosters. These experiences, though

in the past, continue to be important to the person, thus contributing to the

stability of the person's "alumnus" or "Scout" identity.

Identity theory attempts to differentiate between one's commitment to an

identity and the salience of that identity in relation to the person's other identities

by contending that the more committed to a role-Identity, the more salient that

identity (Burke and Reitzes 1991; Serpe 1987; Callero 1985; Hoelter 1983;

Stryker and Serpe 1982). Commitment to one's identity is defined as the degree

to which "one's relationships to specific others depend on one's being a

particular kind of person . . . In this sense commitment is measured by the 'costs'

19

Page 27: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

of giving up meaningful relationships . .." (Stryker 1968, p. 560). Defining

commitment in this manner accounts for the Individual's relationship with

identity-related social networks.

For example, "church member," "Boy/Girl Scout," and "university

alumnus" may be identities to which an individual is committed. If, for some

reason, an individual is unable to sustain a relationship with those possessing

these identities, he or she would experience a sense of loss. Commitment to the

identity is measured by the magnitude of the loss.

Conceptually, commitment to an identity may be separate from the

importance of the identity to the person. However, differentiating empirically

between the two concepts is difficult (Laverie 1995) and would add little

substance to this current study. This current research is interested in the

importance of the identity to the individual, with commitment of the person to the

identity being an implied state.

Social Identitv Theorv

Identity theory is based on the proposition that the individual is comprised

of multiple selves or identities. Social identity theory extends traditional Identity

theory by classifying the individual's identities into two groups (see Figure 2.1).

One group is comprised of personal identities derived from the individual's

abilities and interests (e.g., "I am a concert pianist," or "I am a teacher," or "I

enjoy being a researcher"). The second group is comprised of social identities,

20

Page 28: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

" Self"

Personal Identity - abilities

- interests

> Social Identity: - religious affiliation - organizational

membership

Figure 2.1 Social Identity Theory

21

Page 29: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

which encompass salient group classifications (e.g., organizational membership,

religious affiliation, gender, and age cohort).

Individuals classify their social identities according to prototypical

characteristics ascribed to the class by its members (Turner 1985; Ashforth and

Mael 1989; Mael and Ashforth 1992). Classifying themselves in this manner

enables people to "order their social environment and locate themselves and

others within it" (Mael and Ashforth 1992, p. 104).

Social identity theory, then, would say that the various identities that

comprise an individual's "self strongly influence whether or not an individual

enters into a relationship with a particular organization comprised of members

sharing a common identity. Identities associated with a profession, religion, or

organization would define the parameters by which the individual would choose

to be "identified" with a social network - a particular group of people comprising

the profession, religion, or organization (Stryker and Serpe 1982, 1983; Serpe

1987).

Organizational Identification

Greenwood (1994) terms social networks "social collectives" and

differentiates them from aggregate groups of people In that "genuine social

collectives [networks] have some sort of 'internal structure' in the sense that they

are composed of Individuals who are parties to sets of arrangements,

conventions, and agreements" (p. 80). In other words, social networks (often

22

Page 30: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

involving group membership) contribute to the individual's definition and

expectations of the role played by each identity.

Identity theory does not view the roles played by individuals as being

based on group membership per se. However, social identity theory recognizes

the importance of group membership. This research focuses on one class of

social identity - organizational identification - because of the potential for this

variable to contribute to the explanation of supportive behaviors. Organizational

identification is defined as "the perception of belonging to a group with the result

that a person identifies with that group (i.e., I am a member)" (Bhattacharya,

Rao, and Glynn 1995, p. 47). Because of inconsistent definitions of

organizational identification, scholars have often confused organizational

Identification with related constructs such as (1) organizational commitment (cf.,

Mowday, Steers, and Porter 1979; Allen and Meyer 1990), (2) loyalty, and (3)

satisfaction. Identification differs from these constructs in that it is:

a perceptual/cognitive construct that is not necessarily associated with any specific behaviors or affective states.... To identify, the individual need only see him or herself as psychologically intertwined in the fate of the group; behavior and affect are viewed only as potential antecedents and consequences. (Mael and Ashforth 1992, p. 104, emphasis added)

In other words, an Individual need not expend effort toward an organization in

order to identify with the organization, although these individuals may tend to

behave positively toward the organization.

In distinguishing identification from organizational commitment, it is useful

to refer to the difference between the way in which Mowday, Steers, and Porter

23

Page 31: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

(1979) define organizational commitment and the way in which they

operationalize organizational commitment. Mowday et al. (1979, p. 226) define

organizational commitment as "the relative strength of an individual's

identification with and involvement in a particular organization." However, these

authors' operationalization of commitment is stated in terms of an individual's:

(1) strong belief in and acceptance of the organization's goals and values; (2)

willingness to exert considerable effort on behalf of the organization; and (3)

desire to maintain membership in the organization. The Mowday et al. (1979)

operationalization of organizational commitment as individuals' internalizations

of goals and values, behavioral intentions, and affect does not include

identification as viewed In social identity theory (Mael and Ashforth 1989, 1992).

Identification with an organization does not involve a behavioral component and

"while identification is organization-specific, commitment and internalization may

not be" (Mael and Ashforth 1992, p. 105).

Identification also differs from loyalty in that while loyal donors often

donate because they have had good experiences with a church, charity, or

university in the past and feel obligated to see the organization through its

difficult times, these loyal donors may not identify with the organization. They

may even be disappointed or discouraged by the present state of affairs at the

organization. For example, consider the recent problems the United Way

experienced as a result of a past president who mishandled donated funds

(Glaser 1994; Lucas 1995). Even though few individuals would identify with the

24

Page 32: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

United Way during this difficult time, there still remain many individuals who,

perhaps out of loyalty, support this organization. Ceteris paribus, people who

identify with an organization are likely to be loyal, but not all loyal individuals

may identify with an organization (Bhattacharya, Rao, and Glynn 1995).

Finally, identification differs from satisfaction. Satisfaction with a nonprofit

organization may depend on one's perception of the nonprofit "contributing

suitably to the attainment of one's personal objectives" (Bullock 1952, p. 7). For

example, alumni of a university may be "satisfied" with the education they

received because the education enabled them to enter into desired professions

such as accounting or medicine. However, these individuals may not perceive a

"oneness with or belongingness to" the university and so do not identity with the

university.

Two types of membership may foster identification with a nonprofit

organization. Some organizations employ direct membership strategies to

encourage identification with the organization. For example, museums "seek to

build identification by drawing consumers' inside by making them members"

(Bhattacharya et al. 1995, p. 46). Museums and other similar nonprofits often

offer membership for a fee or a certain level of donation. Similarly, religious

organizations offer membership to individuals who perform specific rituals.

Organizations such as Boy/Girl Scouts have long-standing prerequisites to

membership in the organization and detailed rules governing advancement to

higher levels of membership.

25

Page 33: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

On the other hand, other nonprofits' memberships are implied. For

example, university graduates are typically automatically inducted into (become

members of) their university's alumni association. As depicted in Figure 1.1,

when people view themselves as members of an organization, the organization

should see increased positive behaviors from the members. If an individual's

identity positively influences behaviors as theory and empirical work indicate,

then a strong "church member," "Boy/Girl Scout," or "university alumnus" identity

should positively Influence the person to be an active supporter of the

corresponding nonprofit organization. Not only does the individual identify him

or her self as a university alumnus ("I graduated from a university"), or as a

church member ("I am a part of the Baptist church"), he or she also extends that

identification to the organization (e.g., "I am a Texas Tech University alumnus"

or "I am a Southern Baptist from the Indiana Avenue Baptist Church").

An indication of an individual's identification with an organization is the

tendency to experience personally the successes and failures of the

organization (Foote 1951). For example, some Texas Tech University and

Texas A&M University alumni possess salient alumnus identities; they are highly

committed ~ "die-hard" - Red Raiders or Aggies. These individuals identify Wsih

their alma maters and would be distressed and/or personally affronted

concerning a negative article in the local newspaper about their university. On

the other hand, there are individuals whose level of commitment to the "alumnus

identity" is low. There are likely many graduates of Texas Tech University or

26

Page 34: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Texas A&M University who would not consider themselves "die-hard" alumni.

Negative articles about their respective universities in the newspaper would be

of little concern for them.

In summary, referring to the model of relational exchange involving

supportive behaviors hypothesized in this study (Figure 1.1), theory and

empirical evidence discussed thus far leads to the hypothesis that the more

salient, or important, one's identification with a particular nonprofit organization,

the stronger the influence of that identity on behaviors supportive of the

organization. Greenwood (1994) emphasizes the importance of the concept of

identity in explaining individuals' behaviors when he states that "it would be hard

to imagine a person in any form of social life . . . whose actions could be wholly

explained without any reference to an identity project [i.e., developing an

identity]: for this would be to Imagine a person devoid of characteristic human

emotions and motives" (p 115).

Relationship-Inducing Factors (Antecedents^

If identification is a key variable mediating relational exchange as

suggested by Figure 1.1, then there must be factors present that account for the

strength of, or conversely, the lack of, an individual's identification with the

nonprofit organization, given the person's involvement, or history, with the

organization. It Is probable that some of the factors that are typically cited as

explaining supportive behaviors in prior academic research and the practitioner

27

Page 35: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

literature (refer to Table 2.1) may actually be the forces that influence an

individual's identification with the organization. This research draws on the

individual, institutional, and situational variables typically cited in donating

research and hypothesizes that some, but not all, of these variables are factors

that serve to induce and influence relational exchange between individuals and

nonprofit organizations (see Figure 1.1).

The variables that influence identification are termed "relationship-

inducing factors" because they play a role in generating and influencing the

individual's relationship with the nonprofit. In general, the more involved an

individual is with an organization and the more he or she perceives the nonprofit

in a positive manner, the more the individual will identify with the organization.

Two of the categories ~ individual and organizational - are hypothesized to

contain variables that serve to induce and influence relationships between

individuals and nonprofit organizations.

Individual Variables

The first category of relationship-inducing factors entails individual

variables from Table 2.1 that describe the person's history with the nonprofit

organization. The first of these characteristics is the person's level of

achievement within the organization. Nonprofit organizations involving

membership often recognize members' achievements by awarding rank or

status. For example, Boy and Girl Scouts award their members with badges and

28

Page 36: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

coH'esponding rank. Universities award students with degrees. Keller (1982)

and Morris (1970), among others, have found that donors are more often

graduates of the university rather than individuals who attended for a time but

did not graduate. Churches often confer rank to their members whether it be

officially within the hierarchy of church leadership or within committees and other

groups formed for special projects.

A second individual characteristic represents the length of time the

person was, or is, affiliated with the organization. The longer a person was, or is,

a member of Boy or Girl Scouts the more likely that person is to have a strong,

salient. Boy or Girl Scout identity. Nonprofit organizations such as Scouting

involve substantial donations of time among other things. Most people who do

not develop a strong Boy or Girl Scout identity do not tend to remain with the

organization for a long period of time. Research has found that the longer a

student attends his or her university, the more likely it is that person will donate

to the university (Morris 1970; Koole 1981).

The third individual characteristic involves the person's level of

involvement in organizational activities. Nonprofit organizations such as

churches offer many activities such as teaching classes, holding office, and

influencing others to become members of the church. The more deeply involved

the person is in various areas of the church, the stronger his or her support of

the church. Boy and Girl Scouts are well known for the activities in which their

members participate - ranging from projects leading to merit badges to

29

Page 37: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

fundraising for the organization. Involvement in these activities serves to

strengthen the participant's Boy or Girl Scout identity. A positive relationship

between university students and later financial contributions tends to develop

when the student is involved in extra-curricular activities sponsored by the

university (e.g., intramurals, sororities and fraternities, student government, and

departmental organizations) (Nelson 1984; Gardner 1975; Blakely 1974;

McNulty 1977).

The fourth individual characteristic, family members' affiliation with the

organization, is important because many people are strongly influenced by

fathers, mothers, siblings, and other family members (Thompson 1994;

SInatra-Ostlund 1984). Very often family serves as an important referent that

influences what a person chooses to wear, what a person chooses to become, or

even where a person chooses to spend their time. When an individual has

several family members who have been involved with the same nonprofit

organization (e.g., have attended the same university or are members of the

same church) a stronger likelihood should exist of that Individual supporting the

nonprofit. The supportive tendency stems not only from the person's

experiences while a member, but also from the family members' experiences as

they are related to that person. Universities such as Texas A&M, Harvard, and

Notre Dame have generations of families that have attended their respective

institutions. A son may be more heavily influenced to attend Texas A&M

because his father was an "Aggie" and a member of the "Corps" than because

30

Page 38: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Texas A&M would provide him with a desired area of study. Churches rely

heavily on family participation. Parents teach their children by their active

membership that membership in a particular church group is good. Universities,

churches, and other nonprofit organizations adept at fostering a family

membership should see the "attendance of family members" variable strongly

influence the person's support of the organization.

Even though the preceding individual characteristics are often cited in

explaining variance in supportive behaviors, a stronger relationship may be

found between these variables and the manner in which each variable

influences the individual's identification with the nonprofit organization. One's

level of achievement, length of time affiliated with the organization, and activities

while affiliated are all variables formed while the individual was involved with the

nonprofit and represent personal history with the nonprofit. These variables may

be thought of as measuring the extent to which a person has given him or herself

to the organization while a member and indicate the extent to which the

individual feels a sense of membership with, or belongingness to, the

organization. The fourth variable, family members' affiliation, also represents

personal history, although this history is accumulated by the individual through

family members' experiences.

Identity theory leads to the hypothesis that identification is fostered in

students who attend their universities for a longer length of time and especially

in those who stay long enough to finish their degrees. The more time students

31

Page 39: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

spend at a university the stronger their feeling of being where they belong or

doing something useful or consequential with their time. Once they leave the

university they may find they have "grown to love" (identify with) their university.

Further, identity theory gives reason to conclude that those with stronger

identification with the university should be more likely to support the university

with resource donations and other forms of supportive behaviors.

Identity theory also leads to the hypothesis that identification may be

fostered through a person's participation in organizational activities while a

member of the organization. Returning to the example of a university setting

where students are involved in the larger scope of the university (e.g., student

government, intramural sports, fraternities and sororities), these students may

view their Involvement as an investment of themselves in the university through

these activities. The greater the investment, the stronger should be the

students' identification with the university, which then should positively influence

their supportive behaviors toward the university.

Regarding family members' experiences with the nonprofit, identity theory

Indicates that "belongingness" will be enhanced due to the influence of family

members on an individual's learning (experience) curve in becoming familiar and

comfortable with the nonprofit. The more the person hears about the nonprofit

through family, the more easily and quickly his or her identification with the

organization develops. Stronger identification as a result of the influence of

family will then lead to stronger supportive behaviors toward the organization.

32

Page 40: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

institutional Variables

The second category of antecedent ~ relationship-Inducing - factors is

comprised of perceptions of the nonprofit organization (refer again to Figure

1.1). Prior research has found that people tend to donate resources to

organizations that are perceived to be prestigious (Grunig 1993;. Universities

such as Harvard, Yale, or Purdue, are able to raise large sums of money from

alumni and other individuals because the status of these schools among

institutions of higher education influences people to perceive them favorably.

Cameron and Ulrich (1986) found that financial support for organizations has

been increased or renewed due to efforts directed toward the transformation of

an image from mediocrity to one of excellence or prestige. Mael and Ashforth

(1992) found organizational prestige to be significantly correlated with several

variables denoting positive outcomes to a nonprofit institution, one of which was

contributing. Large, well-known churches are able to rally volunteers and raise

large amounts of donations of money and possessions because of their prestige

in the local community and/or in their circle of affiliated churches.

A second organizational factor shown by past research to influence a

person to donate resources to a nonprofit organization is a feeling of respect for

the institution's leaders (Gibbons 1992;. The influence of this factor may be

stronger when the perception Is negative than when it is positive. When the

leader of the United Way was recently found to have misused funds, there was a

very quick and negative reaction from the press and from donors (Glaser 1994,

33

Page 41: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Lucas 1995). When Jim Bakker, lead spokesperson for PTL (Praise the Lord)

ministries, was found to have misused funds, many of the projects supported by

PTL such as Heritage USA (a Christian theme park) lost funding due to negative

reactions on the part of donors (Reid 1989; TIdwell 1994). However, the positive

influence of a respected leader can be seen in the recent naming of John

Montford as chancellor of Texas Tech University. Prior to Montford's nomination

an ambitious athletic arena building project had been proposed and advertised,

but subsequently failed to materialize. After Montford was named chancellor,

support quickly coalesced for the project, providing sufficient monetary

contributions to fund the arena.

A third organizational factor that could strongly influence one's

identification with the organization is a general satisfaction with the

organization's services. People tend to donate resources to organizations they

perceive to have served them well (Hall and Schneider 1972; Bhattacharya et al.

1995; Mael and Ashforth 1992). Oliver and Swann (1989, p. 21) observed that

"satisfaction in exchange Is necessary If ongoing relationships are to be

maintained and future relationships are to be facilitated" and indicate that

satisfaction is a function of the extent to which a person's expectations of an

organization are not met or exceeded. It is likely that university alumni carry

meaningful memories of (dis)satisfaction with the quality of department or

college from which they received their degree, or the manner In which they were

treated as students, or with the university's facilities. Churches across the

34

Page 42: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

United States that are growing in membership are reported to be doing so

because they are fulfilling their constituency's needs such as personal

counseling, special forms of corporate worship, and a place to use specific

talents such as singing and teaching (Spiegler 1996).

Although past research links perceived prestige and respect as well as

satisfaction directly to supportive behaviors, identity theory leads to the

hypothesis that identification with the organization mediates these linkages. In

general, people want to be associated with other people and organizations that

are considered to be prestigious, whose leaders are respected, and that satisfy

their needs and wants. These three factors should positively influence the

person's Identification with the organization by influencing their desire to belong

to the organization. Once a person belongs to, is a member of, an organization

he or thinks highly of ~ due to perceived prestige, respect, or satisfaction, or a

combination of the three ~ and through membership identifies with the

organization, that person should exhibit behaviors supportive of the

organization.

The final organizational factor that may induce an individual's supportive

behaviors toward the nonprofit organization is a feeling of reciprocity - the sense

that the organization not only takes donations of time, money, or possessions,

but also gives something in return such as gratitude or outward recognition for

donations (Eisenberger, Fasolo, and Davis-Lamastro 1990). Conceptual and

empirical work In the marketing and management literatures support reciprocity's

35

Page 43: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

significant influence on exchange relationships. Bagozzi (1995) discusses

reciprocity in countering a claim by Sheth and Parvatiyar (1995) that consumers

enter into a marketing relationship with a goal of choice reduction. In addressing

Sheth and Parvatiyar's claim, Bagozzi (1995, p. 273) says,

I suspect that people enter relationships for a variety of reasons, and this results in reduced choices, but the reduction in choices may never have been the motive, per se.. . . [W]hy then do people enter into marketing relationships? I believe that the most common and determinative motive for entering a marketing relationship is that consumers see the relationship as a means for fulfillment of a goal. . . and a relationship then becomes instrumental in goal achievement.

What might be a goal that an individual would wish to fulfill by entering Into a

relationship with a nonprofit organization? Bagozzi (1995, p. 275) focuses on

the goal of reciprocity as being "at the core of marketing relationships" and

regards reciprocity as "much more than tit for tat, and . . . more than a norm . . .

is not only a virtue but. . . is a fundamental virtue." It seems that Bagozzi is

saying that the virtue found in reciprocity is that it is a type of equity. In the

nonprofit setting, equity, or reciprocity may be seen in alumni who donate to their

university because of their perception that the university supports them.

A second, and related, perspective of reciprocity is found in social

exchange theory, which proposes that individuals "form a general perception

concerning the extent to which the organization values their contributions and

cares about their well-being" (Eisenberger, Fasolo, and Davis-LaMastro, 1990).

The social exchange view posits that employees' commitment to an organization

reflects their perceptions about the nature of the relationship which exists

36

Page 44: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

between themselves and their employers. Reciprocity on the part of the

organization may take the form of rewards, both material (e.g., pay) and

symbolic (e.g., formal and informal praise, rank, job enrichment), given to the

employee as a result of his or her efforts. The stronger the employee's

perception of support from the organization the stronger will be the employee's

ties to the organization. In an employee-organization relationship, perceived

reciprocity was found to directly and negatively impact the employee's inclination

to leave the organization (Eisenberger et al. 1990).

In a supporter-nonprofit organization relationship, perceived reciprocity

may have a similar influence in that individuals may respond more positively to

appeals for support the more they perceive that the organization supports them.

Reciprocity may be seen in the naming of buildings to honor a donor and in the

way in which donors are thanked for their time or money with letters and

memorabilia related to the particular project for which the support was garnered.

Similar to the individual variables, the institutional variables also have a

common characteristic in addition to the individual they characterize. All

represent the individual's expectations of the nonprofit organization, with

expectations being on a continuum from the member being "let down" by the

nonprofit to the person viewing his or her expectations of the organization to be

exceeded. One's expectations are based on a perception of what "should be."

As consumers of typical products such as food, health care items, and so forth,

we often expect these products to perform in a certain manner. As consumers of

37

Page 45: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

a nonprofit organization's products, such as the activities sponsored by

Scouting, universities, and churches, we expect certain levels of prestige,

leadership, service, and reciprocal action on the part of these organizations.

Even though these variables may explain variance in behaviors supportive of the

nonprofit (e.g., donating), they should be more strongly correlated with one's

identification with the organization and empirical work supports this relationship.

Mael and Ashforth (1992) found that organizational identification is significantly

correlated with the prestige of the organization, satisfaction with the

organization's services, and the respondents' priority assigned to contributing to

the nonprofit organization.

Nonrelationship-lnducing Factors (Control Vanables^

There are other factors typically cited in studies of supportive behaviors to

explain variance in supportive behaviors. These factors include demographic

variables such as the individual's age, gender, income, and family size (cf.,

Burgess-Getts 1992; Oglesby 1991; House 1987; Haddad 1986). Typically, as

people grow older, move children out of the house and into their own homes,

and develop relatively larger incomes, they also more actively support the

organizations with which they identify. Churches, schools, and other

"membership-Involved" groups receive much of their resources from these

individuals. However, as hypothesized in this research, age, family members

moving out of the house, and other similar factors are not viewed to be factors

38

Page 46: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

that influence one's identification with nonprofit organizations. These are simply

situational factors that directly Influence the likelihood, as well as the magnitude,

of the support.

A second source of variables that directly influence supportive behaviors

are those that are specific to the particular organization. The first situational

variable takes into account that a person's reason for supporting an organization

may be due to his or her interest in specific programs offered by the nonprofit

such as a university's athletic or fine arts program or a senior citizens' program

offered at the individual's church. Tax incentives are often cited by fundraisers

as an Important reason people donate their resources . The issue of tax

incentives on supportive behaviors is somewhat controversial. For example,

Gibbons (1992), in an empirical study, found tax incentives to be a significant

predictor of monetary contributions. However, professional fundraisers claim

that tax incentives are little, or no, incentive at all (Broce 1991). Panas (1984)

found In a study of individuals who had given large amounts that tax

considerations ranked 19th of 22 reasons for giving. Tax incentive, however, is

intuitively plausible as an explanatory variable because of the pervasive impact

of taxes on all individuals.

A third situational variable is the individual's involvement in a religious

organization. Lawson (1991, p. 12) observes that "[a] religious or spiritual

connection is clearly the driving force behind much of America's benevolence."

Hodgkinson (1988) reports that one of the most important factors influencing

39

Page 47: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

charitable giving is attendance at religious services. Those who regularly attend

services account for approximately 70 percent of all giving (2.4 percent of their

income) and those who do not attend services give approximately 0.8 percent of

their income.

The final situational variable to be employed by this research is the

individual's perception of the organization being in financial need (House 1987).

As is often the case, churches, universities, and other nonprofits require outside

funds for building expansion or program creation. Many of these organizations

are relatively young, or if not young, some of the programs within the

organization are new. A common appeal in these situations is that this new

building or program is needed to enable the organization to progress or reach

some stated goal. There are people who enjoy contributing to "needy" causes.

Outcomes of Identification

In the for-profit business context, the paradox of relationship marketing is

that effective cooperation within a network promotes effective competition among

networks (Morgan and Hunt 1994; Hunt 1996). Cooperation promotes

relationship marketing success. In the nonprofit context, what would be

indicators of relationship marketing success? Three types of supportive

behaviors are posited to be positive outcomes of successful nonprofit

relationship marketing: donating, function attendance, and promotion. Donating

Is the more easily viewed type of relational exchange because It entails time,

40

Page 48: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

money or possessions given directly to the nonprofit organization. Function

attendance is often a silent, but visible, measure of support shown by people

toward the nonprofit - similar to a situation where a person might vouch for a

friend by standing with him or her before others. Promotion is the verbal,

proactive form of support ~ that word-of-mouth advertising that businesses,

for-profit as well as nonprofit, covet because of its perceived superiority in terms

of cost versus benefits over other forms of promotion. Although there may be

other supportive behaviors that identification will predict, these are cited by

practitioner literature to be the behaviors that are influential in the success of the

nonprofit organization.

The theory proposed in this dissertation is that the strength, or salience,

of a person's identification with a nonprofit organization mediates the potential

exchange relationship between the person and the organization. Further, there

are specific antecedents that serve to induce and influence the relationship.

These antecedents, or relationship-inducing factors, stem from the individual as

well as from the individual's perceptions of the organization. The stronger the

influence of these antecedents on one's identification with the organization, the

more likely the individual will respond positively to the organization in terms of

supportive behaviors.

The inclusion of the relational factor, identification, as a key mediating

variable pertaining to one's "self in a model of relational exchange suggests the

following model (Figure 2.2) and summary of hypotheses:

41

Page 49: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

SU

PP

OR

T B

EH

AV

IO

Q.

NSH

I lA

TIN

G R

ELA

TIO

FAC

TOR

:

a UJ

onat

ing

a

danc

e un

ctio

n a

tten

u.

<D ±i

ers

to b

no

npro

f ec

rulti

ng o

th

a pa

rt of

the

Q:

i <

Z O

ICA

TI

EN

TIF

C 3

' 4 - '

> -

nonp

ro

rom

otin

g th

e

Q.

to fr

iend

s an

d ac

quai

ntan

ces

o z

ND

UC

lO

NS

HIP

-l

CT

OR

S:

lON

RE

LA

T

FA

^

3 ram

s

tiona

l

peci

fic p

ro<

e 3f o

rgan

iza

need

inte

rest

in s

ta

x in

cent

iv

relig

iosi

ty

perc

eptio

n (

finan

cial

ge

nder

fn

zatio

nj

a of

org

ani

ent

inco

me

fam

ily s

ize

prim

ary

are

invo

lvem

c o c g

s (0

eg CO

>

z o i 8

I

CO o § CO

UJ

Si c:

•c «

CO ^ CO 0)

5 i e 7a > ^

.> CO ^ •a ^

S ^ ft

8 S,

2 CO CO c o

i2 (U

"O CO

M 'c , 0 '••3 CO N

'E CO

s> o

CO N

'E CO O)

O -S £ •"« CO c o

CO

CO N

'E CO

o

2 p

(/) 2

CM

O CO

« ^ -(0

CO

CO

o 2 o. o

.<1>

c (D 2 O

I—

o c O O

CM C ^

.0)0.2 u. c .0

•5 >

"Si <D S *- ti: O Q.

0 §-

42

Page 50: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Hypothesis 1

The individual's identification with the nonprofit organization is positively influenced by

(a) achievement level in the organization, time affiliated with the organization, involvement level in the organization, family members' affiliation with the organization, and

(b) perception of organizational prestige, respect for the organization's leaders, satisfaction with the organization, and felt reciprocity.

HypQthesI? 2

An individual's identification with the nonprofit organization positively influences his or her

(a) donating resources to the nonprofit organization, (b) attendance at functions sponsored by the nonprofit, (c) recruitment of others to be a part of the nonprofit, and (d) promotion of the nonprofit to friends and acquaintances.

Hypothesis 3

Variance in supportive behaviors of the individual toward the nonprofit organization (donating, function attendance, recruiting of other to be a part of the nonprofit, promoting the nonprofit to friends and acquaintances) is accounted for by the individual's

(a) interest In specific programs, (b) interest In reducing taxes, (c) religiosity, (d) perception of organizational financial need, (e) gender, (f) income, (g) family size, and (h) primary area of organizational involvement.

43

Page 51: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

CHAPTER III

RESEARCH METHOD

This section (1) defines general and specific sample frame characteristics

and offers a rival model for comparison to the hypothesized model of relational

exchange, (2) Identifies measures of constructs, (3) discusses the method of

data collection, and (4) delineates respondent characteristics.

General Sample Frame Characteristics

When exploring relational exchange, it becomes evident that there are

many types of nonprofit organizations vying for support. A study by the

Independent Sector (Hodgkinson and Weitzman 1989) found 1,368,000 private

nonprofit organizations and government entities in the United States. Although

varied in mission, most nonprofit organizations share a common need ~ partial,

and sometimes total, support from individuals and other entities such as

corporations and foundations.

One means of distinguishing among the variety of nonprofit organizations

is to consider the "satisfaction," both economic and altruistic, that the customer

might derive from the exchange with the nonprofit (see Figure 3.1). Some

organizations, although structured as nonprofit, exchange with their customers

economic satisfaction in much the same manner as for-profit organizations

exchange economic satisfaction with their customers. For example, credit

44

Page 52: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

o

ist

3 Lav

;±i

c / o / T5 / ~ 5 / (/) /

CO / < CO /

.2

c CO

(O o

§ 1

.0)

>

o E o c o o UJ

c o "S j5 0) • ^^M

CO CO

J2 CO

"5. (/) (A o c .c o

o {XL Q .

Z o

CO

c g

CO CO Q) O

c © ? bo

" ^

E

C o o

i2 §12 H

3 <U O ^

45

Page 53: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

unions are nonprofit organizations that perform many of the same functions

found In for-profit banks such as Nationsbank or Nonvest Bank. The primary

difference between Non/vest Bank and the Federal Credit Union is how "profits"

are distributed. However, both organizations are very similar in that they provide

their customers with economic satisfaction in the form of credit, savings

instruments, and other banking services.

Other organizations structured as nonprofit exchange with their customers

altruistic satisfaction for donations. If altruism is defined as an act performed by

an individual with the intent of helping others (see Batson (1991) for his defense

of this definition), then supporters of nonprofit organizations such as Boy/Girl

Scouts and churches must primarily receive altruistic satisfaction. Seldom, If

ever, do those who support these institutions receive something material In

nature (with the exception of Girl Scout cookies). Nonprofit organizations such

as universities may offer both types of satisfaction. A university's students most

likely view what they receive in the exchange as something economic (e.g., job

training). However, after these individuals leave the university and become

alumni, their relationship may change in that they transact with the university via

donating as well as other supportive behavior and receive from the transaction

(exchange) altruistic satisfaction.

A second distinction to be recognized among nonprofit organizations is

that they differ in terms of who supports the organization. Some nonprofits such

as the United Way and the Public Broadcasting System (PBS) receive

46

Page 54: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

substantial monetary donations from people who are not closely affiliated with

the organization. Donors to these organizations tend to have no strong personal

feeling or attachment for the organization; donating is a way to serve the needs

of society without personal involvement. On the other hand, nonprofits such as

universities, churches, and Boy/Girl Scouts entail personal involvement, that is,

membership (past and/or present) in the organization. These are the people

who identify with the organization to the extent that they may publicly claim

membership (e.g., "I am a Girl Scout," or "I am a Baptist," or "I am an Aggie").

Because of the element of personal involvement, these people tend to exhibit a

wider range of supportive behavior toward a nonprofit organization with which

they identify including support in the form of resource donations.

This research is interested in an exchange between individuals and

nonprofit organizations having two characteristics: (1) the satisfaction received

from the exchange is primarily altruistic, and (2) the individuals solicited for

various types of support potentially see themselves as members of the

organization or, in terms of social identity theory, they have the potential to

identify w\ih the organization.

Specific Sample Frame Characteristics

Some nonprofit organizations are progressing from an arm's length,

transactional view of exchange to the adoption of a relational view, similar to the

trend in long-term business-to-business relationships. For example, colleges

47

Page 55: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

and universities that have been funded on an annual basis primarily by tax

dollars are presently seeing that source (tax dollars) diminish (Blumenstyk and

Cage 1991). In response to reduced funding from state governments, many

colleges and universities are developing fundraising strategies to provide

needed short-term and long-term funding (Hall 1996). If these institutions are to

raise funds to maintain present facilities and services, as well as to expand to

meet challenges presented by new technologies, new views of business

operations, and other areas of change, then colleges and universities must rely

increasingly on relational exchange (e.g., donations) to augment moneys from

state governments.

To develop relationships between their organizations and potential

donors, fundraisers develop and implement strategies that include determining

what type and size of donations are needed (segmenting), the identification of

potential donors in each segment (targeting), the development of a strategy

through which these donors may be pursued (strategic planning), the actual

contact with those who were identified as potential donors (the sale) and, finally,

maintaining the relationship with the donor (service after the sale). These

fundraising strategies are centered around the donor. Dependence on donors

underscores the need for a better understanding of personal donating behavior

(Smith 1980; Hodgkinson 1985; Harvey 1990).

The exchange between a university and one group of stakeholders, its

alumni, serves as the frame of reference for investigating factors that influence

48

Page 56: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

the exchange relationship. Many alumni support their university by volunteering

to help with alumni-centered events, by recruiting students, and by giving

money. Such alumni are often cited as being the financial backbone of

educational institutions (Bakal 1979). However, alumni participation In support

of a university is not universal. The estimated percentage of alumni who provide

financial support ranges from 14 to 25 percent (Bakal 1979; Reichley 1977).

University alumni provide an effective means by which supportive behavior may

be studied in part because their "alumnus identity" ranges from being a vital,

important part of who they are, to being a source of negative feelings and

embarrassment. The continuum of identity importance, or salience, provides a

rich source of variance to be explained.

Another reason for the employment of university alumni In this study of

supportive behavior is that even though the importance of alumni is

acknowledged, Frey (1981, p. 46) observes that "universities probably know little

about their alumni. They presume opinions, beliefs, and preferences, yet they

almost never conduct scientific research into the matter." If university

fundraisers are to use marketing techniques such as targeting and segmentation

in marketing the university to stakeholders such as alumni, they must

understand the alumni in terms of the factors that influence them to exhibit

supportive behavior.

Although this study utilizes university alumni as the sample frame, the

model in Figures 1.1 and 2.2 is generalizable to other nonprofit settings as long

49

Page 57: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

as the nonprofit has stakeholders (similar to the alumni in this study) who view

themselves as members of the organization and thus, potentially, can identify

with the organization.

Measures of Constructs

A questionnaire was developed using items that were adapted from

existing scales and donating-related research. The questionnaire was

accompanied by a cover letter from this researcher and the dissertation chair.

The cover letter assured the confidentiality of the information given by the

respondent and emphasized the significance of the study's contribution to the

university's continuing efforts to improve the quality of education along with

similar efforts to improve relationships with the university's various constituents

(see Appendix A).

Constructs employed in this research, with the exception of level of

donation, were measured using self-report measures of the respondents'

perceptions (Walker, Churchill, and Ford 1977).' Identification, recruiting others,

promoting the nonprofit, organizational prestige, respect for the organization's

leaders, and reciprocity are theoretically unobserved constructs. Questionnaire

items for this study were chosen, or designed, to be "reflections" of the

unobservable constructs. Satisfaction was measured by Items that could be

construed as "formative", meaning that "more" of each satisfaction item would be

defined as higher respondent indications on a 1 to 7 scale. However, factor

50

Page 58: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

analysis of the satisfaction items reveals one factor with item loadings ranging

from .77 to .91 and high reliability as evidenced by a Cronbach's alpha of .92.

The individuals who responded to these items seem to be indicating a general

satisfaction with their university experience rather than satisfaction with specific

areas of the university. Based on this analysis, satisfaction will also be viewed

in this research as a reflective measure. Donating, level of achievement, length

of time, extra-curricular activities, and family members' affiliation are cx)nstructs

measured by single items.

Each construct and corresponding measures are discussed and the

coding designation (e.g., "ID1") for each item is listed to simplify the process of

identifying items in question later In this research.

Identification was measured using Items adapted from a scale developed

and tested by Callero (1985). The items used in the Callero (1985) study

had a Cronbach's alpha of .81 and predicted respondents' likelihood of

donating blood. Laverie, Kleine, and Kleine (1996), using the Callero

(1985) scale (Cronbach's alpha of .88), found that the self is "an

important driver of consumption behavior related to activities" (p 23).

51

Page 59: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Consider your status as a Texas Tech University alumnus.

[1 = Strongly disagree; 7 = Strongly agree]

Being a Texas Tech University graduate...

ID1 . . . is an important part of who I am. ID2 . . . is something about which I have no clear feelings. (R)

^103 . . . means more to me than just having a degree. ID4 . . . is something I rarely think about. (R)

• Donating was measured with the levels of donating assigned to each

member of the sample prior to mailing the questionnaires. To preserve

the respondents' anonymity, each person in the sample received a

questionnaire that was coded with one of five colors and one of four

heading variations, allowing identification of 20 levels of donating.

• Function Attendance was measured with two questions concerning the

number of planned visits the respondent has made to the campus since

graduation and the number of off-campus alumni activities the

respondent has attended since graduation:

Since graduation, how many times have you . . .

PGI1 . . been bact to the Texas Tech campus for a visit such as homecoming, a class reunion, sporting event, etc.? (please circle the number of times)

0 1 2 3 4 5 6 7 8 9 10 More than 10 times

as a etc.? (circle

PGI2 . . .participated in an off-campus alumni actiyitv such as an alumni meeting phonathon recruiting event, volunteer work, e the number of times)

0 1 2 3 4 5 6 7 8 9 10 More than 10 times

52

Page 60: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

student Recruiting was measured by items assessing the

respondent's willingness to recruit others:

[1 = Strongly disagree; 7 = Strongly agree]

SR1 When I have the opportunity, I advise potential students that they should attend Texas Tech University.

SR2 I encourage those who are considering attending college to go to Texas Tech.

SR3 When I meet high school students, and the topic arises, I usually advise them to attend Texas Tech University.

Promoting Texas Tech to friends and acquaintances was measured by

three items that assess the respondent's desire to "talk up" Texas Tech

to others:

[1 = strongly disagree; 7 = strongly agree]

PR01 I "talk-up" Texas Tech University to people I know. PR02 I bring up Texas Tech in a positive way in conversations I

have with friends and acquaintances. PROS In social situations, I often speak favorably about Texas

Tech.

Organizational Prestige was measured with five Items adapted from the

scale for this construct used by Mael and Ashforth (1992). This scale

has demonstrated good psychometric properties in previous studies. In

the Mael (1988) study the Cronbach's alpha for the perceived

organizational prestige construct was .88, in the Ashforth (1990) study

the Cronbach alpha was .83, and in the Bhattacharya, et al. (1995) study

the Cronbach alpha was .87.

53

Page 61: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

[1 = strongly disagree; 7 = Strongly agree]

P0P1 People I know think highly of Texas Tech University. POP2 It is prestigious to be an alumnus of Texas Tech

University. POPS People seeking to advance their careers should downplay

their association with Texas Tech University. (R) P0P4 Most people are proud when their children attend Texas Tech. POPS People I know look down at Texas Tech University. (R)

Respect ^or the institution's leaders was measured with the following four

items:

[1 = Strongly disagree; 7 - Strongly agree]

RES1 I have positive feelings about Texas Tech's administration. RES2 The administration of Texas Tech, on the whole, is good. RESS Those leading Texas Tech are not doing a good job. (R) RES4 I think the people leading Texas Tech are fulfilling their

responsibilities well.

Satisfaction with the organization was measured with an adaptation of a

six item bipolar adjective scale tested by Westbrook and Oliver (1981),

who reported reliability estimates ranging from .91 to .95 over two

samples:

[1 = strongly disagree; 7 = strongly agree]

54

Page 62: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

/ am satisfied with...

SAT1 . . . the education I received while a student at Texas Tech. ^ SAT2 . . . the facilities at Texas Tech when I was a student. ^ SATS . . . with the manner in which I was treated as a student at

Texas Tech. ^SAT4 . . . how Texas Tech prepare me for my career.

SATS . . . with my choice to attend Texas Tech. SAT6 . . . with Texas Tech in general.

• The extent to which Felt Reciprocity exists between a person and the

nonprofit organization was measured with six items adapted from the

Survey of Perceived Organizational Support (SPOS) (Eisenberger, et al.,

1986).

[1 = Strongly disagree; 7 = Strongly agree]

Texas Tech University...

P0S1 . . . values my contribution to its well-being. P0S2 . . . appreciates any extra effort from me. POSS . . . listens to any complaints I might have concerning

the university. POS4 . . . would notice if I did something that benefited the

university. POSS . . . shows concern for me. POS6 . . . takes pride in my accomplishments.

• Involvement Level in organizational activities (TECA and EGA) while in

college was measured by the number of activities in which the

respondent participated while a student:

Please list the different extra-curricular activities or organizations that you participated in while a student at Texas Tech. (List those you actively participated in, such as student government, fraternities/sororities, music, drama, service organizations, athletics/intramurals, etc.):

55

Page 63: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Interest in Specific Programs was measured by:

[1 = not deserving at all; 7 = very deserving]

/ thinl( the foilowing areas deserve financial support by Texas Tech alumni:

ISP1 Student scholarships ISP2 Library ISPS University athletics (football, basketball, tennis, etc.) ISP4 The unrestricted fund (money that can be use in any area

of the university) ISPS Research ISP6 Endowed faculty chairs or professorships ISP7 Instructional equipment

• Tax Incentives (IFDD) was measured by:

[1 = not Important; 7 = very important]

How important is (or would be) the tax deductibility of the gift in your decision to donate to Texas Tech?

Religiosity was measured using Wilkes, Burnett and Howell's (1986) 4-item

scale. The scale approximates an individual's perceived religious

commitment using a 7-point Likert scale with higher scores Indicating

higher perceived religious commitment:

[1 = Strongly disagree; 7 = Strongly agree]

RELG1 I go to church regulariy RELG2 Spiritual values are more important than material things RELGS If people were more religious, this would be a better

country RELG4 I am a religious person

56

Page 64: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Family Members'Affiliation (AFM) was measured by:

Did any family members listed below attend Texas Tech? (circle the numbers that apply and indicate how many of each attended Texas Tech):

1. 2. S. 4. S. 6. 7. 8.

Grandparent(s) Parent(s) Brother(s) and Sister(s) Aunt(s) and Uncle(s) Spouse Child (children) Grandchild (grandchildren) Other

Perception of the Institution Being in Financial Need was measured by:

[1 = strongly disagree; 7 = strongly agree]

PFN1 Texas Tech's need for financial support from its alumni will be even greater in the future.

PFN2 State universities need the financial support of their alumni just as much as private universities.

PFNS Texas Tech University presently needs strong financial from its alumni.

Family Size (NFM) was measured by:

How many people are in your household? (count yourself, spouse, children, and other dependents):

1 2 3 4 S 6 7 MORE THAN 7

57

Page 65: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Primary Area of Involvement While in the Organization (MAJ) and

Level of Achievement (DEG) were measured by:

Your degrees? (check all that apply and please specify your major)

Major Bachelor's -Master's Doctorate Other (specify below)

Length of Time Affiliated With the Organization was measured by:

How many of each of the following types of semesters did you attend Texas Tech?

(SEM) Regular semesters (fall/spring)

(SUM) Summer terms (count each session as "one")

Other individual and situational variables were measured by single items:

household income (INC), and gencfer (GEN).

58

Page 66: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Method and Results of Data Collection

The meditating role of identification in a model of supportive behavior was

assessed using a self-administered questionnaire comprised of the items

described above. The questionnaire was mailed to 2,542 Texas Tech University

alumni from the 1974 graduating class. A draft of the questionnaire was

pretested using a convenience sample of university alumni. Taking into account

the feedback from the convenience sample, the questionnaire was revised and

sent to the sample.

Responses were returned to the researcher in preaddressed,

postage-paid envelopes provided with the questionnaire. Combinations of five

colors and four variations of the questionnaire title were used to enable

identification of twenty levels of donations (the anonymity of the respondents

necessitated this procedure). Of the 2,542 questionnaires mailed, eleven were

returned as nondeliverable, resulting in 2,531 delivered questionnaires. Of the

2,531 delivered questionnaires, 457 were returned ~ an 18% response rate.

Four of the returned questionnaires were unusable due to an excessive number

of unanswered items. Table 3.1 delineates by donation levels the delivered

sample of 2,531 and the 453 usable responses.

Of the 453 responses, 201 were nondonors, a response rate of 12.6%.

Two hundred fifty-two of the responses were from donors, a response rate of

27%. The higher rate of donor response may be Interpreted as a positive

59

Page 67: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Table 3.1 Donation Categories by Sample and Respondents

Donor Level

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

totals

% of tot.

Donation Categories

$0

1-49

50-99

100-149

150-199

200-299

300-399

400-499

500-599

600-799

800-999

1000-1249

1250-1749

1750-2499

2500-3999

4000-9999

10,000-19,999

20,000-44,999

45,000-149,999

Class of 1974 Sample Rec'd

1.597

262

152

129

53

85

53

29

28

37

14

21

20

15

16

12

4

3

1

2.531

56.7

201

42

38

31

16

27

21

8

2

17

8

7

10

6

9

5

2

3

0

453

17.9

%of sample

12.6

16.0

25.0

24.0

30.2

31.8

39.6

27.6

7.1

45.9

57.1

33.3

50.0

40.0

56.2

41.7

50.0

100.0

0.0

%of total

44.4

9.3

8.4

6.8

3.5

6.0

4.6

1.8

0.4

3.8

1.8

1.5

2.2

1.3

2.0

1.1

0.4

0.7

0.0

100.0

60

Page 68: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

indication that donating and identification are related. Additionally, as the donor

levels increase, the likelihood of the alumnus returning the questionnaire

increases. The lower donation levels (1-5) are characterized by response rates

of 16% to 30% as compared to the 33% to 100% response rates of the alumni

who have donated larger amounts (levels 10-18). Even though there are smaller

numbers of donors of large amounts in relation to donors of smaller amounts, it

is expected that this type of response pattern would hold even if there were large

numbers of donors of large amounts.

At the time this questionnaire was mailed to members of the class of

1974, questionnaires were also sent to two other classes ~ 1954 and 1994 ~ for

a separate study - making 4,481 questionnaires in the same mailing (fourteen

were returned as undeliverable). This is mentioned because of the 959

responses from members of all three classes (a 21.5% response rate), 170 of

the respondents understood the question, "What years did you attend Texas

Tech?" to ask how many years they attended Texas Tech. This resulted in 362

respondents that could be Identified as 1974 graduates, 89 as 1954 graduates,

320 as 1994 graduates, and 170 respondents for which a graduation year could

not initially be assigned.

In arriving at reliable parameter estimates using structural equation

modeling (LISREL 8 as the software program), approximately twenty

respondents are recommended for each construct In the model being tested.

Twenty-one constructs in the Figure 2.2 model equates to a sample size of

61

Page 69: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

approximately 420 needed for there to be a reasonable basis for reliance on

parameter estimates resulting from the data analysis.

Based on the above criterion, the number of identified respondents from

the class of 1974 (362) is insufficient for data analysis using LISREL. Three

means by which response size could be increased were considered. One way to

increase response size would be to supplement the class of 1974 responses

with the responses from the classes of 1954 and 1994. However, this action

defeats the purpose of surveying alumni from one class year - that Is, to hold

constant the effects of age and time elapsed since active membership. These

constructs have been shown to be strong predictors of supportive behavior (see

Table 2.1). Holding age and elapsed time constant by using a sample taken

from one class year allows the inclusion of other influencing factors that have

basis in the literature but do not have strong empirical support. A second way to

increase response size would be to send a reminder to those who did not

respond. The questionnaire was designed to be anonymous, requiring the

reminder be sent to every person Included in the original mailing. However,

ignoring the issue of additional cost, if alumni chose not to respond to the first

mailing, the likelihood of them responding to a reminder is low. A few would

respond but most likely not enough to reach the desired number of responses.

A third method of increasing sample size was chosen. Assuming that the

170 unidentified respondents' class years are in the same proportion as the 789

respondents' class years (class of 1954 ~ 11%, class of 1974 - 47%, class of

62

Page 70: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

1994 - 42%) it would be reasonable to assume that approximately 80 (47% of

170) of the 170 unidentified respondents are from the class of 1974. In order to

identify which of the 170 unidentified respondents are from the class of 1974, a

discriminant function using a measure of generalized squared distance was

derived employing ninety-one variables from the 789 responses. The derived

discriminant function correctly identified 85.3% of the sample of 789 and

correctly identified 87.24% of the respondents from the class of 1974.

Application of this function to the 170 unidentified respondents and the use of

priors in the same proportion as the sample resulted in 91 of the unidentified

respondents being classified as 1974 graduates.

Two tests were conducted to provide support for identifying this group of

91 respondents as 1974 university alumni. Table 3.2 contains mean responses

to nine questionnaire items from the 91 respondents now classified as 1974

graduates compared with mean responses from the 362 respondents who

identified themselves as 1974 graduates to see if there were any significant

differences. There were no significant differences, supporting the classification

of these 91 respondents as 1974 graduates.

Additionally, a chl-square test was conducted to test the hypothesis

implied by the discriminant analysis classification - that is, that the frequencies

of expected classifications (assumes that the 170 unidentified respondents' class

years are in the same proportion as the 789 respondents' class years) do not

deviate significantly from frequencies of observed classifications determined by

63

Page 71: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Table 3.2 T-tests of Means of Selected Variables

Variable Means

N = 91 N = 362 Standard Deviations

N = 91 N = 362 p-value

ID1 SAT1 SR1 PR01 DL (logged) TECA GEN NFM INC

4.697 5.835 5.088 5.212 3.703 1.274 1.432 3.677

103050.55

4.849 5.853 5.294 5.280 4.188 1.528 1.426 3.498

99884.23

1.709 1.138 1.575 1.156 4.151 1.359 0.490 1.111

89545.43

1.603 1.190 1.363 1.427 4.254 1.430 0.493 1.386

85215.89

0.4269 0.8965 0.2121 0.6737 0.3295 0.1285 0.9245 0.2529 0.7540

the discriminant function. Referring to Table 3.3, the chi-square test statistic

was 3.367, which is less than 5.99, the expected chl-square for 2 degrees of

freedom. The conclusion is, based on the evidence and at the .05 level of

significance, there is not enough evidence to reject the null hypothesis ~ that is,

expected and observed frequencies do not deviate significantly from each other.

Table 3.3 Chl-square Test For Differences Between Expected and Observed Frequencies

Class of...

1954

1974

1994 totals

Observed Freqs.

(classified by

discrim. function)

18

91

fil 170

Expected Freqs.

(proportional to

identified respondents) Chi-Square Statistic

19.28

79.24

71.48 170

0.085

1.745

1.537 3.367

64

Page 72: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Respondent Characteristics

Table 3.4 summarizes four demographic characteristics of the

respondents: gender, degree received, college from which the respondent

graduated, and income. The 453 responses consists of a slightly higher

proportion of men (56.5%) to women (42.2%). The respondent household

income is noteworthy because of the high levels of Income reported. One

hundred and nineteen 1974 university alumni (26.2%) claim an average

household income of $62,500 and one hundred and four (23%) state a yearly

income of approximately $87,500. One hundred and twenty-two of the 1974

alumni (26.9%) report annual household incomes in excess of $100,000 and the

average class of 1974 household income is $100,520.

As expected, most of the degrees awarded are Bachelor's degrees

(79.7%). Approximately 53% of the respondents graduated from two colleges

within the university - Arts & Sciences (30.0%) and Business Administration

(22.7%), with the remainder graduating from six other areas.

65

Page 73: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Table 3.4 Respondent Characteristics: Gender, Income, Degree, Major, and Extracurricular Activities

Demographic Variable Number Percentage

Gender (N=447) Male 256 56.5 Female 191 42.2

Income - midpoints (N=4S1)

$ 12,500 17 3.8 $ 37,500 69 15.2 $ 62,500 119 26.2 $ 87,500 104 23.0 $112,500 47 10.4 $137,500 17 3.7 $162,500 15 3.3 $187,500 7 1.5 $225,000 13 2.9 $375,000 15 3.3

> $500,000 8 ^-^

Mean = $100,S20

Degree Received (N=449)

Bachelor's Master's Doctorate other

361 79.7 51 11.3 35 7.7 2 0.4

66

Page 74: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Table 3.4 Continued

Demographic Variable Number Percentage

College From Which Degree Received (N=426)

Agriculture Science 34 7.5

Architecture 11 2.4

Arts & Sciences 136 30.0

Business Administration 103 22.7

Education 58 12.8

Engineering 28 6.2

Home Economics 44 9.7

Law 12 2.6

Number of Extracurricular Activities (N=4SS)

0 155 34.2

1 95 21.0

2 89 19.6

3 75 16.6

4 29 6.4

5 6 1.3

6 3 0.7

7 1 0.2 Means i.s

67

Page 75: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

CHAPTER IV

DATA ANALYSIS

Testing the model hypothesized in this study requires a method that

simultaneously evaluates (1) the measures of constructs comprising the model

and (2) the ability of the structure designated by the hypotheses to capture

causal relations between constructs. An appropriate tool for such an analysis is

structural equations modeling because it allows for more complete modeling of

hypothesized relations than traditional analyses, which are limited to

associations among measures (Bagozzi and Yi 1989). In other words, structural

equations modeling makes possible a test of the whole model rather than testing

segments, or stages, of a model. In the case of this research, traditional

analyses such as regression require that the proposed model (Figure 2.2) be

divided into two stages. Employing traditional tests to explore relationships

between antecedent variables of the first stage and dependent variables of the

second stage would be problematic.

The hypothesized model was analyzed via structural equations modeling,

employing the LISREL 8 software package (Joreskog and Sorbom 1993).

Following Anderson and Gerbing (1988), a two-step approach was employed in

analyzing the model hypothesized In this research. The first step requires a type

of confirmatory factor analysis that allows simultaneous analysis of the construct

measures with all paths among the constructs free to vary. Anderson and

68

Page 76: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Gerbing (1988, p. 187) emphasize that "only confirmatory factor analysis of a

multiple-indicator measurement model directly tests unidimensionality," and

unldimensionality is a "most critical and basic assumption of measurement

theory" (Hattie 1985, p. 49). Measurement model development using the

Anderson and Gerbing (1988) approach is confirmatory factor analysis in that

relationships between all indicants are tested before estimating the structural

paths denoting hypothesized relationships between constructs. The

measurement model aids in arriving at a group of indicators for each latent

construct that has variance largely composed of the common variance between

the items of the intended construct.

Measurement Model Development

The process of developing the measurement model required deletion of

several items from the model constructs comprised of multiple indicants.

Construct items in this research were candidates for deletion from the

measurement model if they (1) displayed poor or insignificant loadings on the

expected construct, (2) shared large, unexplained error variance with other

indicants of the same construct, or (3) shared common variance with multiple

indicators of some other construct(s). Items were deleted in a stepwise fashion

(see Table 4.1). It is important to note that at each step, in addition to statistical

indicators, both content and underlying theory of the model were employed in

the decision whether to retain or delete an item. In all cases items that might be

69

Page 77: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Table 4.1 Summary of the Measurement Model Repecification Process

Items Deleted RMSEA RMR GFI CFI NFI x • •

none 0.071 0.044 0.81 0.88 0.84 2467.79 760

SR2 0.067 0.042 0.82 0.85 0.89 2188.41 718

SRI 0.065 0.041 0.84 0.85 0.90 1971.37 677

P0S2 0.060 0.040 0.85 0.87 0.91 1688.72 637

SAT4 0.058 0.040 0.87 0.88 0.92 1507.08 598

RESS 0.054 0.038 0.88 0.89 0.93 1307.32 560

SAT2 0.055 0.038 0.88 0.89 0.93 1236.84 523

SAT5 0.054 0.037 0.89 0.89 0.94 1131.08 487

replace SAT 3 with SAT 6 0.054 0.037 0.89 0.90 0.94 1122.25 487

frtd(4,1)andtd(4.2) 0.052 0.037 0.89 0.90 0.94 1072.52 485

frtd(9.8)andtd(17.16) 0.050 0.036 0.90 0.90 0.95 1022.08 483

RELG1 0.049 0.035 0.90 0.91 0.95 931.32 448

70

Page 78: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

considered "core" indicators of the construct (i.e., identification indicated by

"Being a Texas Tech graduate is an important part of who I am") were not

considered for deletion. A listing of retained items is provided in Appendix B.

Early stage analysis of the constructs measured with reflective items

revealed that four constructs in the hypothesized model (Figure 2.2) ~

Identification, Organizational Prestige, Recruiting Others, and Promoting the

Nonprofit ~ were highly correlated (correlations ranged from .75 to .88). Two

explanations that would account for the high correlations are the constructs (1)

do not possess discriminant validity or (2) each measure a different

phenomenon but they act In accordance with theory; the constructs are different,

but closely associated, phenomena.

Close reading of the questionnaire items measuring Recruiting Others

and Promoting the Nonprofit indicates that the respondents may have interpreted

these items to be asking the degree to which they would promote ("talk-up") the

university to various groups such as students and friends. In other words, high

correlation indicates that the items did not discriminate between the two

hypothesized constructs. Therefore, Recruiting Others and Promoting the

Nonprofit were combined into one construct and termed "Promotion."

Organizational Prestige was also highly correlated with Recruiting Others

and Promoting the Nonprofit as well as with the new "Promotion" construct. The

Prestige construct was hypothesized to be antecedent to Identification and

Promotion was posited to be an outcome. However, structural model analysis

71

Page 79: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

indicated that Prestige, being highly correlated with Promotion, was actually an

outcome of Identification rather than an antecedent. The focus of this research

is on supportive behaviors such as donating, attending nonprofit functions, and

promoting the nonprofit. Prestige is a person's perception regarding the

nonprofit ~ not a behavior. To keep the focus of this research on supportive

behavior the Prestige construct was dropped from the analysis.

Two other hypothesized constructs required modification In developing

the measurement model. The first. Interest in Specific Programs, Is a control

factor formed from seven items that asked respondents to indicate the degree to

which they felt a particular area of the university, e.g., athletics, the library, or

student scholarships, was deserving of financial support by Texas Tech alumni.

Proper analysis of these seven items would require that each item be a separate

construct within the proposed model of supportive behavior. The addition of

seven more constructs increases the number of constructs in the proposed

model to twenty-five. In the interest of parsimony and because the Specific

Program items were included only as control items and are not a focus of this

study. It was determined that the influence of these variables on supportive

behavior be explored In a separate analysis reported in Appendix C.

The second construct. Donating, is one of three dependent variables In

the proposed model. This construct was measured using the median of the

donation category to which the respondent was assigned (explanation of how

respondents were assigned to donated amount categories was reported in

72

Page 80: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Chapter III). Referring to Table 3.1, the range within the donation categories

was made wider as donated amounts became larger, thereby eliminating empty

categories. Of the 453 respondents, there were eight who had donated $10,000

or more since graduation. These respondents, though few in number, exert

disproportionate influence on regression or structural equations employing

Donating as a dependent variable. One method of minimizing the influence of

these "outliers" is to drop them from the sample. However, dropping

respondents who have given large sums of money is counterproductive in that

important information concerning attitudes and feelings of people who have

invested heavily in the university is lost. Some results, such as the amount of

the variance In the dependent variable that is explained, are strengthened as a

result of this method. However, the trade-off is weaker results regarding the

diversity of responses to the remaining questionnaire items.

A second method of minimizing outlier influence was employed in lieu of

dropping the eight respondents. Log transformation of a dependent variable has

the effect of lessening the impact of outlier responses on regression and

structural equations. Taking the log of the Donated Amount variable reduced

the increasingly wider range of each successive donation category, thereby

minimizing the influence of a few donors of large amounts while preserving their

responses to the other questionnaire items.

The proposed model reflecting the aforementioned modifications (see

Figure 4.1) is comprised of seven reflectively measured constructs -

73

Page 81: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Identification, Promotion, Respect, Satisfaction, Reciprocity, Religiosity, and

Perception of Financial Need, as well as eleven, single-indicant constructs ~

Donating, Function Attendance, Achievement Level, Time Affiliated With the

Organization, Involvement Level, Family Members' Affiliation, Tax Incentive,

Gender, Income, Family Size, and Primary Area of Involvement. Table 4.1

summarizes the purification process that began with 44 indicants and ended with

the retention of 36 items.

The purified measurement model constructs were evaluated according to

unidimensionality, reliability, and convergent and discriminant validity. Of the

thirty-six retained indicants, twenty-five related to the seven reflective constructs.

All reflective measures exhibited loadings exceeding .70 and t-values that

exceeded 14.50, demonstrating convergent validity (see Table 4.2). Each of the

reflective measures exhibited good reliability evidenced by Cronbach's Alphas

ranging from .76 to .91 (see Table 4.3). Six of the seven alphas exceeded .85.

Also, each of the reflective measures' items contributed significantly to their

measures as demonstrated by large average amounts of variance extracted per

item ranging from 68 to 84 percent. One indication of the lack of discriminant

validity between two reflective constructs is a confidence interval (+ two standard

errors) for the estimated construct correlation that includes 1.0 (Anderson and

Gerbing 1988). Referring to Table 4.4, although seven of the 21 correlations

between reflective constructs are greater than .50, and ten are greater than .40

(all for good theoretical reasons), none fail this test.

74

Page 82: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

^ in

SU

PP

i B

EHA

CL

CA

ELA

TIO

N

TOR

:

o 2 z

ED

IATI

Don

atin

g

8 c CQ T3

atte

Fu

nctio

n i k

z

CA

TIO

TI

FI

z UJ c 3

C

Pro

mo

tio

o z o 3 Q

ON

SH

IP-IN

C

TO

RS

: E

LA

TI

FA

ON

R

z

CO

CO o

orga

niza

tioi

eed

of o

rgan

izat

nt

cent

lve

sity

pt

ion

of

mci

al n

ir e si

ze

ry a

rea

olve

me

C . 2 < D S . S E ^ W > X .S> 2 «i ? 8 1 E .£

c o c g

II 2 CO

•5> 8

o

UC

IN

o z

HIP

CO

ELA

TIO

ct

(0

O 1-O < u.

S

risti

acte

ha

r di

vidu

al C

1.

In

(U

[lev

( ac

hiev

emen

t

• ^

aniz

ati

S> o

ated

wit

time

affil

i

^

i

"o c c CI

c Cl

c c c

a

c (1

E a

C

P

i

i

9 4

i

> »

i Vi ? 0 )

activ

it

r

tion

w

.2

CO

12

E

fam

ily m

<

^

c o

zati

or

gani

cs:

sti

teri

ar

ac

o

stitu

tiona

l II.

In

{2 •a

n's

lea

g CO

rgar

o k.

o

resp

ect f

^

niz

atio

n

CO O) O

with

io

n sa

tisfa

ct

CM

rod

fe

lt re

cip

CO

§ g -LL ^ .2

o >

11 •o ^

O

75

Page 83: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

o d II

CM CO

CO Oi

CO

a:

o o o o o o o o o o o o o o o o o S S S

o o o o o o o o o o o o o o S S S o d d

o o o o o o o o o o o o o q o o o

o o o

o o o

o o o

(A O) C

T3 CO O

—J L_

o 8 T3 _C

1 1

"O) • D O

2 ^ _ j

c o E 0) 1 . .

(0 CO (D

S

lO Oi

d II

E O

^ a> d II

iZ z

o C7> d II

-^ u. O

- *

.03

o II

a:

o o o o o o o o o o o o O o o o o o o

o o o o o o o o o o o q o o o o o o o o

O O O O O O O O O O O o o o o o o o o o

.^ a:

<7>

CNJ °

0 111

(0 2 I - Q:

g

^ _ CO CO T- N ,

o o o o o o 2 ^ « » ® o o o o o o o o o o o o o o

o o o o o q o o o o o o o o o o o o o o

o o o o p o o o o o o o o o o o o o o o

2 8 c

00 Tf O CO

g ^ a g o o o o o o o o o o o o o o o o

^ c ^ c o ^ < i « o o o e ) g g 5 S S 5 S f : ? g Q Q S S C ) - i Q r a : Q : : Q i u j L U L i j L L U J u j u j < < t y y S 9 _ i < w Q . Q . Q . Q l j h : < Q r a : t K g g §

76

Page 84: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

^

CO U-

o o o o o o o o o o o o o o o o

o o o o o o o o o o o o o o o

o o o o o o o o o o o o o p o o

o o o o o o o o o o o o o p o o o

o o o o o o o o o i ^ 5 o > o o o o o d d

^ ^ ^ CM IO 0>

o o o o o o ^ : ^ : o q o o o o o o o o o o

o o o o o p o o o o o o o o o o

00 h» r- CM O

5 5 5 2 2 ° ° ° ° ° ° ° ° ° ° °

•o (D D C

^ ^ C o o

CM ^r (D

^ CO

o

ica

Ind

^ CO CM CO - ^ 0 CD O ' I - CM CO

O p p O O P u J U J U J i f z z z u. U-Q. Q.

LD o 5 ^ (!) ? Z O

"O 0 0) c CO 0 c CO

fin

osity

iv

ed

er

elig

i er

ce

end

a o . C9 II II II

S z z cc Q. 0

0

E 8

_c II

Z

. ^ c E a> > 0 > c

*^ 0 CO

ea Qi

ry a

r

. "= CO

h E CO 'C LL QL

II II

(0 < U. Q.

{2

> j j

c 0)

c 0

liati

£ CO

12 S E 0

E E

ivol

v k_

II

- J

milj

CO

• 0

lea

in

P 0

a>

5 13 8. Vi a>

P 0 «

« r f

^ c

:tio

5 CO

•3

p

cip

It re

m

0) >

^ i ^

8 X m

u. or CO U. h-II II II II

2 cou. Q: LL Q:: CO iL

II

P

E 8 P CO a> C CO 0) > P

.2 " -c i> o 0 c C o g £ 1 ^ c § E £

1 §» i S € E 2 _| U. Q. < I-II II II II II II

s S i f l ^

77

Page 85: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

(O (D k_ 13 CO CO <D

CD >

XS

<D

O > % -

!5 CO

a:

'55 O Q. E o O • D C CO

c g "co E

(D >

(O 0

Q

CO

CO

I -

•o

c •<3 ^* o oc

gina

l •c

^ 0>

E 3 Z

mbe

r 3

O z

a> o c

nai

(0 >

(A E

^ 4 • ^ B

•»-o

tern

s ^ o

n TJ a> • *

o 2 4 i «

X

«*5 CO m CO

CO

(0

p <

1 ^

d (X)

s CJ)

d

O

>

O •a C O

(0

T- in

o o 1 ^ CO

in in

o B C o o

c o

c o

(X>

o C3)

1 ^ O

CO

(0 i _ <D

• D CO 0

(0 "c g CO N

"c CO O)

c 0

•o

o E o

^ CL

o 0 a CO 0

CD

CO

d

C3> 00

C3> CD

in

c o

8 5 ts 1 (0

CO

CO C O

CD CO

CN CO CO 1 ^ CD 1 ^ CD CD d

o C3>

CJ) C N

eg CJ) CO

c g CO N

'c CO

t: >> O

o Q. O 0 a:

CD 1 ^

CD CO

CD CM

CJ)

CD in

CM

in

(0

o

• D 0 0

TJ 0 >

"* — - ^ •— CO 0 0 0 0

or 0 Q.

E

CX

2

8 c CO •c CO >

c 3 O

E CO Q) Oi 2 o > CO

78

Page 86: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

2 CO u.

CM

o

I

00

CO CO d I

oo CO cvi I

o Oi

00 CO d I

CO CO d

O Tl- T-"* CO h-d T- ,-:

CO 0> OJ

35 o CO oi I

O

a:

r" CM T-'- S 5 T 9 T

o I

CM 04 CO

00

CM

d

r^ h-

at

CO

CM

CO

o

Oi 00

CO CO

O T-I I

CM

Oi CM

d I

a> in

CO CO

o CM CO

9 T -

lO -r-O OO

•O T- T-'

CM

C3>

00 o Ui o d T-'

CO

o CM ^

CM •«-

lO T-a> CO

CO CO

CO Oi

CO I

CM

o d I

a> o CO t-U) CO

oo 00 CM I

o CD

ir>

o I

CM 1^

u) (o

ts E to c o

o c o E £ 3 (/) CO o

c ,2

_co

o

o •o CO

E Vi UJ

a:

CO

CO

oo CO

IO

CM

IO IO 1^

00

o CM I

IO o d

CM CO CO

Oi 00

CJi

o

IO

o IO

o IO

CO CO CM I

d I

CM CO

8 d I

IO It

d I

CM I

00

o

IO IO

•«- O t-I I o ^

00

CM I

C O •«-

•«- o

d d

CM

<» IO oo •»-IO CO CM ^ CM T-* d

8 CO o> T- O

CM h- CM CO T- V-

co oo

o I

CO

CO

o CD CO

o oo CO

CO 1^ CO

CM •r CM

CO CD

CO CO

t- CM T-

o oo

oo CO

Oi CO

CO o> CO

CM CO

IO

oo

CM IO

CO CM

o Oi CO

CM ^ ^

CO O IO

CM q o CO v^ d

y- r- O y- y- y-

co o r^ CM •^ O •^ y-

co V d d O CO C» T-q T- T- o

-r^ d d ci

o IO

CM

oo CO 00

CO

o CO

C7> Oi T- CO

CO IO CM

d

lO CM

-* "*

o

o oo ai

CM CO

Oi o d I

CJi

d CO

CM CO

d CM T-' o

•»- C O

oo oo C3> CO

O -t- T-

o cxI

CO 00 oci

00 o -* o CO T-"

O IO m

T- O

CO o

00

o

CO

o CO CM o

d

CM CO CO CM T- •«-

CD d d

o •

oo o

IO o d I

oo o d CO o d I

o I

o

I

IO

o d Oi CM

d IO o d

oo o d I

o o

CM

d

o d

o d I

o d I

CM

h- CO O •-

O T-

lO

T- CM d

O CM q lo T d

o Oi T-

co oo CD O

• ^ " V ^ ^ ' ^ C O ' . - . r - T -

CM O o

d I

CO lO

lO

o

O CM

d d

s ? o I

Oi CO

o d

o o

d

d

CM t- ,-

o

I

Oi o d

o d

o d

£

g

oo

CO

IO CM CM

Oi

Oi oo

CO iO

"^

CM CO

d

o C3> IO

CM T -

00 CO

T—

oo d

CO

o CM

d

IO T-O T-

^ o

^ S ZZ 9* ^ CO q q o o r T d d d

CO CM

00

CM

CM I

CM O O O CO ^

I** r-CO T-

d d 0> O lO '^ o> CM q 1- q 1-1** T d d d o

I

a> o o o oo •«-

C O •«-o> CM

d d

CO o

S o

O "* O CM ^ o

«0 CM CO T- •^

CO c3 S o CM d d d d d o CO

d d

C» T- 1^ O t- T-

CO

o I

Q ^ .< 5 -J — Q LL Q. <

CO

d I

1^ o

CM

o d I

CO

o

LL

1^ O d

I

Oi

CO

d CO CO

<» CO O T-

o o

T- O

o o

8 d o

o CO

d •«- O ^ -r-

0> IO o •«-d d vo O d I

IO CM d I

o CO

to

d d

CM oo r- CM

d d

CM

o d

o d I

oo CO

o I

o o

CM

o I

o I

CM

d

o d I

CO o d

8 d

"* CM O T-

lO

o IO t-O CO ? 8

d o I

: 8 CO o 1-T- O T-

d d d I

CM h* -* CO T- ^

d

C3>

d IO

'(T 1- T- ^ •^ -t-; CM CO

d d d d

o I

o o

IO

d

CO

o I

CM

d

CO

o CM

o d I

CO o I

<J> T -

o o o I

o I

o d

Oi o d

CO

o

00

o d I

00

o d I

CM O

CM O

d I

CO o d I

8 d

CO u. a: — c3 z Q: CO LL I- Q: Q. o ^

CO < U. CL

C

o (0 T3 <D

JZ

> O .Q (0

<1> •o

(0 •o c (0 •^ (/) 75 c o O)

S 0)

xz

.a k_ (D 0) Q.

a. (0

j5

k.

o

o

79

Page 87: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

The final measurement model fit was acceptable as evidenced by a

goodness-of- fit index (GFI) of .90, CFI = .95, RMSEA of 0.049 and RMR of

0.034. The x (448) was 931.32 (p = 0.000). Overall, the conceptualization of the

constructs was supported empirically.

Structural Model Analysis

Development of the measurement model in accordance with Anderson

and Gerbing (1988) recommendations obviated respecification of the

measurement model during structural model analysis. The proposed structural

model was modified to reflect the combination of the Recruiting and Promotion

constructs as well as the exclusion of Prestige, and Interest in Specific Programs

(see Figure 4.1). Analysis of the structural model began by employing the

construct correlations (an 18 x 18 matrix) obtained from the measurement model.

The theory underlying the use of only the construct correlations (in this research

there are 18 constructs) rather than the correlation matrix of indicants (36

indicants in this study) is that the measurement model represents the best fit

possible given the hypothesized constructs due to the item purification process.

Therefore, the constructs may be viewed as "perfectly" measured, allowing a test

of only the hypothesized paths and correlations among the constructs. The

indicant paths to the constructs are not a part of the model, reducing the number

of degrees of freedom, making clearer the hypothesized structure of the model

as well as the modifications to the structure suggested by the LISREL program.

80

Page 88: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

For the structural model analysis, only the hypothesized paths between

constructs were freed and all of the exogenous constructs (control factors and

relationship inducing factors) were allowed to correlate.

The proposed structural model analysis yielded a goodness-of-fit Index

(GFI) of .92. CFI = .85, RMSEA = .088, RMR = .047, and x' (ss) was 379.87 (p =

.001). Assessing the success of model conceptualization in terms of paths, nine

of the proposed ten paths (90%) from relationship-inducing factors to

Identification and from Identification to supportive behaviors have significant

t-values, eight are in the hypothesized direction (see Table 4.5 and Figure 4.2).

The only path that was not supported was from Family Members' Affiliation to

Identific^ation.

There are nine significant paths from the control (nonrelatlonship-

inducing) factors to supportive behaviors. Two of the nonrelationship-lnducing

factors. Income and Family Size, each had one significant path to Donating. The

paths from Religiosity to Donating and to Promotion are significant and the paths

from Perception of Financial Need to all three supportive behaviors were

significant.

A significant amount of variance in the dependent constructs is explained

by the corresponding structural equations implied by the Figure 4.1 model (see

Table 4.6). Forty-one percent of the variance in one's identification with the

nonprofit, 21 % of donating, 20% of function attendance, and 55% of promotion is

81

Page 89: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Table 4.5 Proposed Structural Model Parameter Estimates

GFI = 0.92 RMSEA = 0.088 PNFI = 0.46 2 (85) CFI = 0.85 RMR =0.047 X as = 379.87

Path Estimate t-value

Identification to Supportive Behaviors:

Identification-> Donating 0.18" 4.58

Identification - > Function attendance 0.34" 7.99

Identification ~> Promotion 0.68" 21.13

Relationsliip-lnducing Factors to Identification:

Achievement level ~> Identification

Time with organization ~> Identification

Involvement level - > Identification

Family members' affiliation - > Identification

Respect for org's leaders - > Identification

Satisfaction with organization ~> Identification

Felt reciprocity - > Identification

Nonrelationship-lnducing Factors to Supportive Behaviors:

Religiosity - > Donating

Religiosity - > Promotion

Perceived need ~> Donating

Perceived need - > Function attendance

Perceived need ~> Promotion

Gender ~> Donating

Gender - > Function attendance

Income - > Donating

Family Size - > Donating

»significant at the .05 level "significant at the .01 level

82

-0.10"

0.12"

0.08*

0.06

0.19"

0.41"

0.12"

-0.13"

0.12"

0.29"

0.21"

0.15"

-0.16"

-0.15"

0.12"

-0.13"

-2.42

2.94

2.29

1.59

4.19

9.25

2.54

-2.96

3.66

6.75

4.95

4.74

-3.72

-3.54

2.86

-2.98

Page 90: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

> a

Q.

(O UJ

m

c o O

8 c CO

" D c 0

"cS c o t3

c o o E o

(O

UJ

o

< Q UJ

O I -

u.

z o

— (0

UJ

en

* -1' ,

^ 0)

T3 C o Oi

CM ' - » . ,

0)

F o

inc

.«o

-vi

a> N (/) >%

fam

il

CM "^

Figu

re

£ (O O 0 ^ «» .2 E 8" iH UJ .*-• i _

C 0 2 | •5 2 8<2! C — <1> £ «i S

diat

ing

In

ith S

igni

f

| 5 </)

0 k x: .g *- >

^ I TJ CD O 0 2 > •n "t 0 9 -^ 9-•2§-

CO

83

Page 91: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

ons

ris

CO Q. E o O

" 0

2

S0^

CO

2 1

• *

?°-c 1< 0

8^ c < CO Q

CO >

««r O Q

^ -

1 ^ ^

u. z Q.

LE 0

LE 0

(t

SEA

S tL

O" tfl

• M B

J2 0

M^

• 0

"S T3 0 E

«n CJ) d

O)

d

.90

0

.034

0

.049

0

CO • r -

co CJ)

00

?

c 0 E p (0 (0 0 E

m d

0 CM

d

CM d

T ~

' ^

d

CD ' ^

d

i n 00

d CM CJ)

d

.047

0

.088

0

O) CJ) h*. CO

i n 00

"O 0 (0 0 a 2 a

0 CO

d

N-

0.2

CO CM d

^ ' ^

d

CJ) CO

d

00 CO

d

CO CJ)

d

042

0

980

0

m CO 0 CO

0 1 ^

•(5 ^ ^ 1 > "C 1

00 CO d

^

0.2

CM d

^_ "^

d

O) "^ d

s d

$

d

036

d

055

0

CJ) CM CJ)

CM 00

tf)

1 (0

p • 5 1 S. CO

s c CO c

c 0

•.S CO c

S Q u. 0.

II II II II

84

Page 92: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

accounted for by the relationships between these constructs and the

hypothesized relationship-inducing factors and nonrelationship-lnducing factors.

Not only does the measurement model show that the conceptualization of

the constructs Is supported empirically, structural model analysis supports all but

one of the hypothesized relationship pertaining to this dissertation's theory -

that Identification Is a key mediator of relational exchange.

Proposed Model - Rival Model Comparison

As has been demonstrated, the proposed model (Figure 4.1)

approximates the measurement model that, because all paths between

constructs are free, is theoretically as good as the model could possibly be given

the hypothesized constructs. However, this research seeks further support of

the hypothesis that one's identification with a nonprofit organization mediates the

potential exchange relationship between a person and a nonprofit organization.

Consensus is emerging in structural equations modeling that, in addition to

testing a hypothesized model, the model should be compared with a rival (Bollen

and Long 1992; Morgan and Hunt 1994). What would be a rival to the model

proposed by this dissertation? The model depicted in Figure 4.1 Is

parsimonious in that seven individual and institutional variables - relationship-

Inducing factors - are hypothesized to influence behavior only through the

mediating factor of Identification. Because no paths are permitted from the

85

Page 93: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

relationship-inducing factors to supportive behaviors, identification is implied to

be key In mediating the relationships.

A riva* model would be one that posits direct paths from the

relationship-inducing factors to supportive behaviors as well as from the

nonrelationship-lnducing factors to supportive behaviors - one in which there is

no mediating relational variable. In this model. Identification would be just one

more interesting dependent variable. The rival model (see Figure 4.3),

therefore, allows no indirect effects and is a fair representation of the research

involving supportive behavior to date. As indicated by the fit Indices listed in

Tables 4.5 and 4.6, the proposed model supports the theory of relational

exchange proposed by this dissertation. For the rival model to "win out" over the

proposed model, it must be shown that the rival model better explains relational

exchange between people and nonprofit organizations than does the proposed

model.

Results of the test of the proposed model were discussed in the previous

section. Analysis of the rival model (Figure 4.3) was also conducted using the

LISREL 8 software package. The results of this test (Tables 4.6 and 4.7) were

that the rival moder, with a x (TO) of 303.47 (p = 0.000), exhibits slightly better fit

indices than the proposed model: GFI = .93 versus .92, CFI = .88 versus .85 ,

RMSEA = .086 versus .088, and RMR = .042 versus .047. Also, the rival model

explains slightly more variance in the supportive behaviors than does the

86

Page 94: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

RELATIONSHIP-INDUCING

FACTORS: I. Individual Characteristics:

achievement level

time affiliated with organization

involvement level In organizational activities

family memt)ers' affiliation with organization

II. Institutional Characteristics:

respect for organization's leaders

satisfaction with organization

felt reciprocity

NONRELATIONSHIP-INDUCING

FACTORS:

tax incentive

religiosity

perception of organizational financial need

gender

income

family size

primary area of organizational invokemeni

IDENTIFICATION

SUPPORTIVE BEHAVIORS:

Donating

Function attendance

Promotion

Figure 4.3 Rival Model of Relational Exchange

87

Page 95: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Table 4.7 Rival Model Parameter Estimates

GFI = 0.93 RMSEA ».088 PNFI = 0.39 CFI s 0.8a RMR =.042 x'(7o> = 303.47

Path Estimate t-value

0.12"

0.08'

0.06

0.19** 0.41"

0.12"

-0.10* -0.09*

2.94 2.29

1.59

419 9.25 2.54

-2.12 -2.98

Relationship-Inducing Factors:

Achievement level -> Identification

Time with organization -> Identification

Involvement level ~> Identification

Family members' affiliation ~> Identification Respect for org's leaders ~> Identification Satisfaction with organization -> Identification Felt reciprocity ~> Identification

Achievement level ~> Function Attendance

Achievement level -> Promotion

Time with organization ~> Function Attendance 0.07" 1.65

Involvement Level ~> Donating

Involvement Level -> Function Attendance

Involvement Level -> Promotion

Family members' affiliation -> Function Attendance

Family members' affiliation -> Promotion

Respect for org's leaders -> Function Attendance

Respect for org.'s leaders -> Promotion

Satisfaction with organization ~> Function Attendance

Satisfaction with organization ~> Promotion

Felt Reciprocity - > Function Attendance

88

0.22" 0.24"

0.07"

0.10"

0.07«

0.32" 0.42"

-o.ir 0.36"

-0.10"

5.07 5.86

2.38

2.37

2.19

5.95

11.30

-2.25

9.92

-1.87

Page 96: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Table 4.7 Continued

Path Estimate t-value

Nonrelationship-lnducing Factors:

Religiosity - > Donating amount -0.10* -2.13 Religiosity-> Promotion 0.08" 2.43

Perceived need-> Donating amount 0.31" 7.38

Perceived need -> Involvement with the organization 0.20" 4.51

Perceived need ~> Promotion 0.13" 4.09

Gender ~> Donating amount -0.17" -3.94

Gender ~> Involvement with the organization -0.20* -4.46

Gender - > Promotion -0.10** -3.11

Income-> Donating amount 0.08" 1.97

Family Size-> Donating -0.17 -3.75

Family Size - > Involvement with the organization -0.11" -2.54

Primary area of involvement -> Involvement with the org. 0.08* 1.89

•significant at the .05 level ' significant at the .01 level

89

Page 97: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

proposed model: 23% versus 21 % of donating, 27% versus 20% of function

attendance, and 60% versus 55% of promotion.

The proposed model has ten hypothesized paths to explain the role of

Identification in relational exchange. Seven of the paths are from the

relationship-inducing factors to Identification and three paths are from

Identification to supportive behaviors. Nine of the ten paths (90%) were

significant; the path from Family Members' Affiliation to Identification the only

path not supported.

The rival model of relational exchange has twenty-eight hypothesized

paths from the relationship-inducing factors to supportive behaviors (no indirect

effects) as well as seven more paths from the relationship-inducing factors to

Identification for a total of thirty-five paths. Only nineteen of the thirty-five paths

(54%) were supported (see Table 4.7). One would expect that, given the same

constructs, the GFI, CFI, and other fit indices would be much higher in a model

that has thirty-five paths compared with one that has ten (disregarding the

equally considered control factors). However, as related above, no fit index

improves by more than .03 (CFI from .85 to .88 - a 3.5% increase) even though

the number of paths Increased from ten to thirty-five (a 250% increase).

Moreover, little additional explanatory power is gained from the rival mcxiel's

additional twenty-five paths. In explaining 41% of the variance in Identification,

23% In Donating. 27% in Function Attendance, and 60% In Promotion (Table

90

Page 98: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

4.6) the largest contribution by the rival model to explained variance is .07 (for

Function Attendance) and the mean increment is only .035.

Proposed Model Revision

The proposed model falls short in explaining as much total variance in

supportive behaviors as does the revised model, albeit the differences are small.

However, one more alternative model should be considered. It is reasonable to

assume that, although the proposed model fits well with the measurement

model, the difference between the two indicated by the slightly better

measurement model fit Indices suggests that the proposed model may be

misspecified or incomplete. Joreskog and Sorbom (1990) support

respecification of a hypothesized model when the data indicate the need for

such modification but only when those respecifications of the structural model

are supported by theory.

Modification indices provided by the LISREL 8 program suggest three

paths not in the proposed model that were consistent with underlying theory

(Table 4.8 and Figure 4.4). The first and second paths added to the proposed

model go directly from Involvement Level to Donated Amount and Function

Attendance. The original hypothesis was that as the number of additional

activities the person was involved in when active with the nonprofit organization

Increases, his or her identification with the nonprofit becomes stronger. Stronger

identification leads to larger donations, more frequent attendance at functions

91

Page 99: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Table 4.8 Revised Structural Model - Significant Paths GFI = 0.9a RMSEA = 0.055 PNFI = 0.49 CFI = 0.94 RMR =0.036 x'(82) = 192.94

Path Estimate t-value

Identification to Supportive Behaviors:

Identification -> Donating 0.15" 3.60 Identification -> Function attendance 0.31" 7.43 Identification -> Promotion 0.51" 16.71

Relationship Inducing Factors to Identication: (italicized lat)els denote additional paths)

Achievement level ~> Identification

Time with the organization ~> Identification

Involvement Level -> Identification

Involvement Level -> Donating

Involvement Level -> Function

Respect for org's leaders ~> Identification

Respect for org. 's leaders ~> Promotion

Satisfaction with organization -> Identification

Felt reciprocity -> Identification

Nonrelationship-lnducing Factors to Supportive Behaviors:

Religiosity -> Donating

Religiosity -> Promotion

Perceived need -> Donating

Perc:eived need ~> Function attendance

Gender -> Donating

Gender-> Function attendance

Income -> Donating

Family size -> Donating

0.10"

0.12"

0.08'

0.19"

0.21"

0.19"

0 4 1 "

0.41"

0.12'

-2.42

2.94

2.29

4.49

495

4.19

12.71

9.25

2.54

-0.13"

0.09"

0.29"

0.21"

-0.18"

-0.15"

-2.55

2.46

6.31

459

-4.03

-3.53

0.10" 2.40

-0.16" -3.62

* significant at the .05 level "significant at the .01 level

92

Page 100: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

8 C (0

• a

c 0)

natt

o • MSB ts c 3 u.

c o

mot

o Q.

c o c o ^^

fica

'.^ c

Ide

•fe o 8 c 0

4.4

Infiu

Ui 0 ^^ 0 E

Est

k .

0

met

(0 SI: 0 CL • ^

c s 0 O CJ) D .C .S^ro

0

2 0 ^ r f

O

del

o 2 TJ 0

>

C/)

sW

it

o > 0

0 CQ 0 >

port

Q. D

CO

93

Page 101: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

sponsored by the nonprofit, and a stronger tendency to promote the organization

to others. In surrr. Involvement Level indirectly influences supportive behaviors.

The data suggests that being involved In additional activities also directly

influences supportive behaviors, particularly Donated Amount and Function

Attendance. In retrospect, it is probable that for this sample of respondents,

being involved in student government, intramurals, and other university

sponsored organizations may have been enjoyable or satisfying to the point that

their supportive behavior is not exclusively dependent on the sense of belonging

that identification denotes. These respondents may have enjoyed the S(}cial

interac:tion made possible by these activities and their supportive behavior is

driven by the desire to make possible the same opportunities for others.

The third additional path called for by LISREL modification Indices goes

from Respect for the organization's leaders directly to Promotion. Again, it is

understandable that people who have been a part of a nonprofit organization

and respect the organization's leaders would not necessarily have to identify

with (feel a sense of belonging to) the organization in order to promote the

organization to others. In the case of the alumni sampled in this research, many

of these people seem to recommend the university to others because of feelings

of respect, but may not really feel that being a Texas Tech alumnus is a part of

who they are.

The addition of three paths In the revised model. Involvement Level - >

Donating, Involvement Level - > Function Attendance and Respect for the

94

Page 102: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

organization's leaders - > Promotion, increases the goodness-of-fit index (GFI)

to .96, CFI to .94, decreases RMSEA to .055, RMR to .036 and the x (82)'«

192.94 (a significant decrease in chl-square). Compared with the proposed

model, the revised model is a closer approximation of the measurement model

(GFI of .90, CFI = .95, RMSEA of 0.049 and RMR of 0.034 a x%44«) of 931.32, p

= 0.000). The revised model explains more variance in supportive behaviors

than does the proposed model ~ 24% versus 21% of donated amount, 24%

versus 20% of function attendance, and 68% versus 55% of promotion (Table

4.6). Also, the revised model explains greater variance than the rival model In

Donating (1% more) and in Promotion (8% more). Only in explaining 3% more

variance in Function Attendance does the rival model slightly outperform the

revised model. The six exogenous factors directly affec:t Identification and

indirectly influence supportive behaviors. Table 4.9 lists the total effects of

antecedent constructs on dependent factors for the revised model.

The rival model explains variance in one supportive behavior - Function

Attendance - slightly better than does the revised model. However, the trade-off

is a loss of explanatory power regarding other relationships posited by the

proposed/revised model. Refemng to Table 4.7, in the rival model only one of

the three paths from Time With the Organization to supportive behaviors and

from Reciprocity to supportive behaviors Is significant and the parameter

estimates for these paths are small (.07 and -.10, respectively). In the revised

95

Page 103: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Table 4.9 Total Effects (Revised Model)

Affected Construct Identiflcation

Identiflcation

Relationship-inducing factors: Achievement level Time with the org. Involvement level Family members' aff. Respect Satisfaction Felt reciprocity

Nonrelationship-lnducing factors:

-O.W

0.12" 0.08-0.06 0.19" 0.41" 0.12"

(paths that are sig. at <.01 level)

Tax incentive

Religiosity Perc:eived financial need

Gender

Income

Family size

Primary area of involvement

Donating

0.15"

-0.01* 0.02* 0.20" 0.01 0.03" 0.06" 0.02-

-0.13

0.27 -0.16 0.10

-0.16

Function Attendance

0.31"

-0.03" 0.04" 0.23" 0.02 0.06" 0.13" 0.04"

0.19 -0.15

Promotion

0.51"

-0.05" 0.06" 0.04" 0.03 0.51" 0.21" 0.06"

0.08

• significant at the .05 leve* "significant at the .Ot leve*

96

Page 104: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

model,, these factors with the four other relationship inducing factors -

Achievement Level, Involvement Level, Respect for Leaders, and Satisfaction

with Services - combine to explain 41 % of the variance in one's identification

with the organization. The addition of the three paths in the revised model

retains the explanatory power of the proposed model regarding relationship

inducing factors. The three additional paths also significantly increase the

amount of explained variance in supportive behaviors, surpassing the amounts

of variance explained by the rival model in two of the three supportive behaviors.

The revised model makes a stronger case for a mediating role for the

Identification construct by exhibiting better goodness-of-fit and, in general,

explaining more variance than does the rival model.

There Is clearly a difference in parsimony between the rival model (35

hypothesized paths excluding control factors) and the proposed and revised

models (10 and 13 paths, respectively, excluding control factors). Given the

same number of constructs In the two models (rival and proposed/revised), one

would expect that the model with the larger number of paths would significantly

outperform the other model in terms of both goodness-of-fit and variance

explained in the dependent variables. However, this is clearly not the case. As

shown earlier, the goodness-of-fit and variance-explained statistics for the rival

model are not significantly better than the proposed model's statistics. When the

proposed model is slightly revised with the addition of three paths, the

proposed/revised model significantly outperforms the rival model.

97

Page 105: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Because CFI and GFI do not account for parsimony differences, PNFI is

employed in this analysis to compare the models in terms of parsimony. PNFI is

informed by both the goodness-of-fit of the model and the model's parsimony.

Thus, goodness-of-fit indices typically translate to parsimony fit indices of less

than .60 (Mulaik et al. 1989). The proposed model's PNFI of .46 and the revised

model's PNFI of .49 significantly exceed the rival's .39. On the bases of

goodness-of-fit, variance in dependent variables explained, and parsimony, the

model proposed by this dissertation, revised slightly, best represents relational

exchange in the nonprofit context.

98

Page 106: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

CHAPTER V

CONCLUSIONS AND DISCUSSION

Relational factors such as tmst and commitment are considered to be key

mediating factors in for-profit exchange contexts (Gundlach, Achrol, and Mentzer

1995; Morgan and Hunt 1994; Ganesan 1994; Heide 1994; Dwyer, Schurr, and

Oh 1987). Traditional research in the nonprofit context, particulariy in the area

of donating, focuses primarily on demographic variables as precursors to

donating. However, extant research regarding supportive behavior suggests

that there is a much richer explanation regarding the nonprofit-supporter

exchange relationship. "Identification," found in social psychology and

organizational behavior literature, is proposed by this study to be key in

mediating the supporter-nonprofit organization relationship.

This study developed a model of relational exchange with identification as

the key mediator between relationship inducing factors and supportive behavior.

Relationship inducing factors tested were the individual's: (1) Achievement

Level while a member of the organization, (2) Time Affiliated with the

organization, (3) Involvement Level as a result of affiliation with the organization,

(4) Family Members' Affiliation with the organization, (5) Respect for the

organization's leaders, (6) Satisfaction with the organization in general, and (7)

Felt Reciprocity. In developing the model of relational exchange, this study

addressed questions such as: If a person strongly identifies with a nonprofit

99

Page 107: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

organization of which he or she is a member, does identification lead to

supportive behaviors such as donating, attending the nonprofit organization's

functions, or promoting the nonprofit to others? Is a person's identification with

the nonprofit organization induced and influenced by factors typically

hypothesized to be antecedents of supportive behavior such as donating?

Regarding these questions, the following highlights key findings of this research

and compares the proposed, rival, and revised models.

A Kev Mediator of Relational Exchange-Identification

Prior studies have used correlation and regression analyses in exploring

the role of identification In a process of relational exchange. This research

provides a stronger test of the mediating role of identification than has been

previously conducted (cf. Mael and Ashforth 1992) by using structural equations

modeling software (LISREL 8) to test the antecedents, mediator, and outcomes

simultaneously, thereby building suppport for the role of identification as

mediator. The key finding in this research is that while the revised model

suggests that identification does not completely mediate the prcx:ess of relational

exchange, identification does play a significant role mediating the

relationship-indudng factors-to-supportive behavior process; idenfitication is

more than just another interesting dependent variable. The findings of this

research suggest that nonprofit organizations should develop and encourage

100

Page 108: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

programs through which identification may be strengthened, thereby increasing

the likelihood of greater support.

Encouraging and Developing Identification

Length of Timft

The data support the hypothesis that long-term membership builds

identification. People tend to desire to be a part of organizations in which others

spend significant amounts of time. For example, prestigious golf clubs are well

known for their low turn-over in membership. Long-term membership denotes

exclusivity, even though other factors (e.g., limited facilities) may be the real

reason for limited membership. Limited membership and low turn-over make it

difficult for others to join, thereby creating demand for memberships, which, in

turn, translates into membership being a valued commodity.

it is often not feasible or even possible to limit membership in an

organization. For example, membership in an alumni association is perceived to

be far less exclusive than membership in a golf club because everyone who

graduates from a university is considered to be an alumnus. This type of

membership may not have as much power to create and strengthen identification

as might a limited membership situation unless levels of achievement are

recognized within the general membership. Some universities have "clubs" in

which membership denotes specific levels of funds given since graduation or

101

Page 109: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

certain amountaof time volunteered to various projects. Membership in these

clubs can be limited due to the funds or volunteer time required for recognition.

Involvement Level

Other types of involvement in the organization while being a member may

positively influence identification. The data support the position that the more

university students are involved in extra-curricular activities such as intramural

sports and fratemities/sororities the greater their identification with the university

as alumni. More involvement in activities entails more direc:t contact with the

nonprofit organization. The implication is that the length of time the person

spends with the organization while a member and the amount of time spent in

organization sponsored activities combine to strengthen identification with the

organization.

Though not a direct finding, this researcti implies that there may be a

feedback loop in the relational exchange model from function attendance back to

identification. Involving members in tangible activities such as being members

of advisory boards, putting on fund-raising dinners, recruiting others to become

members may also play a significant role in building identification with the

organization as well as in encouraging their inclination to exhibit tangible

support.

102

Page 110: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Family Members' Affiliatinn

The path from Family Members' Affiliation to Identification was not

signficant in the proposed and revised models. Family Members' Affiliation was

measured by asking the respondent to indicate the number of each type of family

member that attended the university. The lack of influence this variable had on

Identification in the data analysis indicates that the respondents' identification

was not significantly influenced by the nt/mtoer of family members that attended

the university. Measuring this constnjct in terms of the number of family

members may be just the first step. Once it is known that a person's family

member was affiliated with the nonprofit organization, further questioning

concerning the strength of this person's influence on the respondent may

uncover a relationship between Family Members' Affiliation and Identification.

Respect for Leaders

Data analysis strongly indicates the importance of organizational

leadership. The model of relational exchange proposed by this research is

consistent with the literature concerning symbolic management and

transformatlonaileadership (e.g., Bass 1985; Griffin, Skivington & Moorhead

1987), Respected leaders are able to "make the individual's membership salient

and provide compelling images of what the . . . organization represents"

(Ashforth & Mael 1989, p. 28). In other words, leaders that are respected create

an atmosphere - culture - that enables the organization's constituency to feel

103

Page 111: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

important thereby increasing their identification. The data indicate that the

organization should see increased supportive behavior (through increased

identification) that is influenced by respected leadership.

Satisfaction

A strong influence on the individual's identification was found to be his or

her satisfaction with the organization. Satisfaction with a job, a much

researched area in the management and organizational behavior literature, is

generally believed to influence employee behavior. However, there is

disagreement regarding whether the relationship between job satisfaction and

behavior is direct or is mediated by the person's commitment to the organization.

This study also reports mixed findings. The paths from satisfaction with the

nonprofit organization to identification with the organization, and from

identification to supportive behavior, are supported by the data. However, as

reflected in the revised model, the data suggest an additional path from

satisfaction directly to one of the supportive behaviors - promotion. Thus, the

findings in this study, that both a direct as well as an indirect path exists from

Satisfaction to supportive behavior, parallel the management and organizational

behavior literature findings.

104

Page 112: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Reciprocity

The data support the hypothesis that once membership is achieved,

reciprocal actions by the organization toward a member increases the person's

identification with the organization. The organization should have a system

whereby the members' supportive behavior is reciprocated with public

recognition, thank-you letters, plaques, and other tangible forms of recognition.

Some organizations even give active members a voice in various levels of

decision-making through advisory boards, committees, and other, small groups

within the larger group organizations.

Reciprocity, Respect for leaders, and Satisfaction with the organization

are all highly correlated (r > .50). This suggests that Instead of each of these

three constructs independently representing means of building identification with

the organization, each of the three influences the other two. Although

correlation does not imply causation, and no direction of influence was

hypothesized in this research, it Is possible that Satisfaction influenc es Respect

and both are influenced by the perception of reciprocity on the part of the

organization - a topic for later research.

Achievement Levei

Establishing programs whereby people can become members of a

subgroup within the nonprofit organization is important in encouraging and

nurturing a person's sense of belonging to the organization (Ashforth and Mael

105

Page 113: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

1989, Mael and Ashforth 1992, Bhattacharya et. al. 1995). Contrary to the

hypothesis that the relationship between Achievement Level and Identification is

positive, the data analysis revealed that Achievement Level negatively

influences Identification. Alumni with bachelor's degrees were more likely to

regard their alumnus identity as more important to them than did those with

advanced degrees. This may be due to the tendency of those who are seeking

advanc^ed degrees to not be involved in areas of the university where

undergraduates spend much of their time such as intramural sports or

fraternities/sororities. The correlation between level of achievement and

additional activities (-.17, p > .01) supports this explanation.

In other nonprofit contexts the relationship between Achievement Level

and Identification should prove to be positive. For example, members of

Boy/GIri Scouts should exhibit a significant and positive relationship between

advancement in rank within the Scouting organizafion and their identification as

Scouts because advancement in rank typically denotes that the member's

involvement with scouting has grown. In the case of university alumni, the

higher degrees imply that the person's involvement with the university in general

has diminished.

In summary, this research suggests that there are factors that induce and

influence identification with the nonprofit. Building membership by employing

the power of identification can be effective in garnering support for the

organization.

106

Page 114: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

EnCQuraoinn and Developing Supportive Behaviors: Donating

Initiating programs to influence people to become members of a nonprofit

organization, as well as developing programs to increase the likelihood that they

identify with the organization, become more important to the organization if the

effort leads to increased supportive behavior. The results of this research

strongly suggest that the effort would be worthwhile. Seven factors with direct

paths to donating explain 25% of the variance In the amounts donated by the

respondents to their university: Identification, Involvement Level, Religiosity,

Perception of the Organization Being in Financial Need. Gender. Income, and

Family Size (Tables 4.5 and 4.9).

Some of the factors that explain supportive behavior are within the control

of the nonprofit and some are more difficult, if not impossible, to control.

Knowledge on the part of the nonprofit that religiosity, gender, income, and

family size explain a significant amount of variance in donating behavior is

useful for developing strategies to target groups of people who are most likely to

support the organization. Acx:ording to this research, an important segment to

target for donations appears to be males with higher incomes, smaller families,

and who do not perceive themselves to be particulariy religious.

The respondents' interest in specific programs, it could be argued, might

be influenced by the nonprofit. Attempts could be made to interest a university

alumnus in supporting the music department even though most of his or her time

as a student was spent in the psychology area. Similarly, one could encourage

107

Page 115: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

a church member interested In foreign mission wori< to volunteer for a committee

to wori< with the church's youth group. However, attempting to change what a

person perceives to be important is difficult and often counterproductive. In

attempting to change the person's perception, he or she may become offended

because they have been, in essence, told that they do not know what is really

important. For this reason, it Is more useful to view a person's interest in

specific programs in much the same manner as demographic variables.

Constituents' interest in specific programs within the nonprofit organization may

be used as an additional means of segmenting the martlet of potential

supporters of the nonprofit.

The data analysis supports three factors that are potentially controllable

by the organization: identification, involvement level, and perception of the

organization being in financial need. Identification was discussed eariier in

terms of the relationship-inducing factors that serve to directly increase

identification and, through identification, increase donating. Of the relationship-

inducing factors that are potentially manageable by the nonprofit. Involvement

Level exerts dire<:t as well as indirect influence on donating.

The remaining variable with the potential to be influenced by the nonprofit

organization to increase supportive behavior is Perception of the Institution

Being in Financial Need. The significance of this variable in explaining donating

does not mean that the institution should communicate serious financial

problems in the hope that alumni respond with donations. This construct was

108

Page 116: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

measured by asking respondents to indicate their level of agreement with three

items that generally stated that Texas Tech needed, and would need in the

future, strong financial support from its alumni. This construct indicates that a

perception by alumni of a need on the part of the university for their help

positively influences donated amounts. The needs might include funds for

student scholarships, construction, instructional equipment, academic research,

athletic equipment and scholarships, and extra-curricular programs. Nonprofits

should communicate needs in a positive manner while striving to stay away from

communicating a perception of desperation.

Encouraging and Developing Supportive Behaviors: Function Attendance

Referring again to Tables 4.5 and 4.9, 26% of the variance in function

attendance is explained by four factors: Identification, Involvement Level,

Perception of the Organization Being in Financial Need and Gender. Knowing

that a perception of financial need significantly influences people to attend

nonproflt organization-sponsored functions underscores the importance of

effective communication with the target audience regarding the needs of the

organization. Nonprofits such as universities and churches should sponsor

events that will bring to the target audience's attention specific areas of the

organization that require their help. Instead of sponsoring an event to raise

money for the university or church in general, this research suggests that the

university or church should focus the purpose of the event on something

109

Page 117: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

specifia For example, the church could sponsor an event to raise money to buy

equipment for the children's classrooms In the church building. The university

might initiate an event to solicit funds for research addressing a specific scxietal

problem.

The data indicate that men are more likely to attend nonprofit organization

sponsored functions than are women. Refenring to Table 3.4, a larger

percentage of the respondents were men (56.5% vs. 42.2%). Function

Attendance is measured by a single indicant that is the sum of two Items: (1) the

number of time the alumnus had been back to campus for homecoming, sporting

events, etc., and (2) the number of times the alumnus has participated in an

off-campus activity such as an alumni meeting, recruiting event, etc. Responses

to these two items reveals that men have returned to campus on average 6.4

times since graduation and women 5.6 times. Also, men have participated in

off-c:ampus activities on average 2.0 times since graduation and women 1.4

times. The male respondents have returned to campus more often than have

women and have participated in more off-campus alumni activities. Knowing

that males tend to attend nonprofit organization sponsored functions more often

than women may aid the organization in targeting invitees to the functions.

Encouraging and Developing Supportive Behaviors: Promotion

Seventy percent of the variance in a person's tendency to promote the

organization to others is explained by five factors: Identification, Respect for

110

Page 118: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

leaders; Satisfaction with the organization, Religiosity, and a Perception of

Financial-Need Promotion of the organization is not often considered in studies

of donating and other supportive behavior. Nonprofits tend to think of funds

donations as being more important in strengthening the position of the nonprofit

organization in relation to competitors and stakeholders than other supportive

behavior.

However, many nonprofit organizations are not as dependent on donated

funds as they are dependent on membership. For example, Boy/GIri Scouts is

primarily comprised of volunteers who work to serve young people who are

members of the organization. For the Scouting organization to grow, both

members and volunteers must recruit other members and volunteers; Scouts

must be willing to "talk up" the organization to others. Universities depend on

their students to promote the university to their friends and family. Churches rely

on their members to bring others to the church, thereby increasing membership.

A membership that is willing to promote the organization to others can make the

difference between a thriving nonprofit organization and one that struggles to

exist.

In this research the proposed model posits that the stronger the person's

identification with the organization the more he or she "talks up" the organization

to others. The revised model suggests that two of the relationship inducing

factors that indirectly infiuence promotion through identification also exert a

direct influence on promotion. Respect for leaders and Satisfaction with the

111

Page 119: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

organization's services are both significant influences on the person's actions

regarding promoting the nonprofit.

The significance of these two variables parallels the marketing literature

regarding the importance of brand image to a company as well as the

satisfaction consumers may feel concerning the products or services associated

with the brand. Dacin and Smith (1994) argue that one of the fimi's more

valuable resources is the reputation of its brands; so valuable that firnis often

attempt to leverage this asset by extending their brands into multiple product

categories. The success of this strategy depends on the strength of consumers'

positive feelings (e.g., satisfaction) toward the brand.

Similarly, an organization's president who has a well-known, positive

reputation can extend that positive feeling. As a result of this extension,

members, employees, or other constituencies should feel a closer identification

with the organization, and those influenced by the extension of reputation will

becxDme more inclined to promote the organization to those around them. Much

as a consumer would tell others about a product or service that they have yet to

adopt, but are inclined to promote on the basis of the brand's reputation, so may

respect for an organization's leaders and satisfaction with an organization's

services influence a person to promote the organization to others.

Satisfaction with an organization and Respect for the organization's

leaders are positively correlated (r = 0.52). The close relationship between

these two fac:tors underscores the difficulty members might experience in

112

Page 120: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

promoting an organization that has a respected leader but is perceived to be

poor in delivering services or to promote an organization with great service but a

leader or leaders that gamer little respect. It seems that an organization wishing

to influence members to support the organization by promoting it to others

should insist on a leadership with known, positive reputation and delivering

service that satisfies its constituency.

The alumni responding to this researcti who are inclined to promote their

university are Interested in both athletics and instmctlonal equipment. This

makes sense in that fans of various university athletic teams often discxiss the

teams' latest contests with those around them, and in their discussions make

other comments regarding the university as seen through the athletic

department. Also, the data revealed that the stronger the alumnus' opinion that

the area of instructional equipment is deserving of support the more he or she

promotes the university. Perhaps this is due to a growing realization that

businesses and nonprofit organizations require new technology to keep pace

with competition and part of their willingness to promote the university stems

from their desire to influence others to support the university through gifts toward

newer technology.

Limitations and Future Research

Three limitations of this research are noteworthy. The first, a limitation of

most research that has the objective of developing and testing new theories, is

113

Page 121: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

the lack of generalizability of the findings. In testing a theory one can claim

further support for the theory with each successive test of the theory on different

populations. A direction for future research regarding the model of relational

exchange developed and tested in this study is to obtain samples from the

membership of other nonprofit organizations such as Boy/GIri Scouts, churches,

and other educational Institutions. As long as the "testing" purpose of this

research is kept in mind, the generalizability of the findings of this data analysis

Is not a significant limitation but is, rather, one step in a series of steps toward a

model of relational exchange that is generalizeable to many areas relating to

nonprofit organizations.

The second limitation of this research is that It is a cross-sec tional study.

It is possible that the nonprofit's constituencies perceptions regarding the

organization may change due to changes in the organization over time. Quality

of the services provided by the organization may be perceived to have

decreased or Increased. Changing leadership within the organization is very

likely to influence perceptions of the organization. A second direction for future

research would be to study several nonprofit organizations over a period of time.

A longitudinal study would enable the researcher to see if members' attitudes

and feelings change with the passage of time and well as with changes in the

nonprofit organizations.

A third limitation of this study is that the list of relationship-inducing

factors and control variables was limited to those examined in prior research. As

114

Page 122: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

evidenced by the percentage of variance explained in identiflcation and

supportive behavior, these antecedents do not exhaust the domain of plausible

causes of these dependent variables. Future studies could expand the list of

possible ante<:edents to befter model relational exchange In a nonprofit setting.

115

Page 123: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

REFERENCES

Allen, N. and J. Meyer (1990), "The Measurement and Antecedents of Affective, Continuance, and Normative Commitment," Journal of Occupational Psychology, 63, 1-18.

Anderson, James C. and David W. Gerbing (1988), "Structural Modeling in Practice: A REview and Recommeded Two-Step Approach," Psychological Bulletin, 103(3), 411-23.

Anderson, James C. and James A. Narus (1990), "A Model of Distributor Firm and Manufacturer Firm Working Partnerships," Journal of Marketing, 54 (January), 42-58.

Arndt, Johan (1983), "The Political Economy Paradigm: Foundation for Theory Building in Marketing," Journal of Marketing, 47 (Fall), 44-54.

Ashforth, Blake E. (1990), "Petty Tyranny in Organizations: A Preliminary Examination of Antecedents and Consequences," Unpublished manuscript, Concordia University, Montreal, Canada.

Ashforth, Blake E. and Fred Mael (1989), "Social Identity Theory and the Organization," Academy of A//a/7agen7e/?fRev/ew, 14 (1), 20-39.

Bagozzi, Richard P. (1995), "Reflections on Relationship Marketing In Consumer Markets," Journal of the Academy of Marketing Science, 23 (4), 272-7.

Bagozzi, Richard P. and Y. Yi (1989), "On the Use of Structural Equation Models in Experimental Designs," Journal of Marketing Research, 26, 271-84.

Bakal, C. (1979), Charity USA: An Investigation into the Hidden Woridofthe Multi-Billion Dollar Industry, New York: Times Books.

Bass, B. M. (1985). Leadership and Performance Beyond Expectations, New York: Free Press.

Batson, C. Daniel (1991). The Altruism Question: Toward a Social-Psychological Answer, Hillsdale, NJ: Lawrence Eribaum Associates.

Beeler, Kari J. (1982), "A Study of Predictors of Alumni Philanthropy in Private Universities," Unpublished Dissertation, University of Connecticut, Storrs.

116

Page 124: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Bendapudi, Neeli, Surendra N. Singh, and Venkat Bendapudi (1996), "Enhancing Helping Behavior: An Integrative Framework for Promotion Planning," Journal of Marketing, 60 (July), 33-49.

Berry, Leonard L. and A. Parasuraman (1991), Marketing Services. New Yori<: The Free Press.

Bhattacharya, C. B., Rao Hayagreeva Rao, and Mary Ann Glynn (1995), "Understanding the Bond of Identification: An Investigation of its Correlates Among Art Museum Members," Journal of Marketing, 46 (Oct.), 46-57.

Blakely, Bernard E. (1974), "Historical and Contemporaneous Predictors of Alumni Involvement," Unpublished Dissertation, Purdue University, Hammond.

Blumenfeld, W. S. and P. L. Sartain (1974), "Predicting Alumni Financial Donation," Journal of Applied Psychology, 59 (4), 522-23.

Blumenstyk, Goldie and Mary C. Cage (1991), "Dire State Economies Force Tough Choices on Many Universities," The Chronicle of Higher Education, 37(39), pp. 1.16.

Bollen, Kenneth and J. Scott Long (1992), "Tests for Structural Equation Models: Introduction," Sociologicial Methods and Research, 21 (Nov.), 123-31.

Bragg, Charies M. (1971), "A study of the Relationships of Selected Variables and the Financial Support Provided to a University by the Graduates," Unpublished Dissertation, Ball State University, Muncie, IN.

Broce, Thomas E. (1991), Fundraising: The Guide to Raising Money From Private Sources. Norman, OK: University of Oklahoma Press.

Bucklin, Louis P. and Sanjit Sengupta (1993), "Organizing Successful Co-Marketing Alliances," Journal of Marketing, 57 (April), 32-46.

Bullock, R. P. (1952), Social Factors Related to Job Satisfaction: A Technique for the Measurement of Job Satisfaction, Columbus, OH: Ohio State University Press.

Burgess-Getts, Linda F. (1992), "Alumni as Givers: An Analysis of Donor-Nondonor Behavior at a Comprehensive I Institution," Unpublished Dissertation, College of William and Mary, Williamsburg, VA.

117

Page 125: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Burke, Kenneth (1950), A Rhetoric of Motives. New York: Prentice Hall.

Burke, Peter J. and Donald C. Reitzes (1991), "An Identity Theory Approach to Commitment," Social Psychology Quarterly, 54 (3), 239-51.

Callero, Peter L. (1985), "Role-Identity Salience," Social Psychology Quarteriy, 48(3), 203-15.

Cameron, K. S. and D. 0. Ulrich (1986), "Transformational Leadership in Colleges and Universities," In Smart, J. C. (ed.). Higher Education: Handbook of Theory and Research, Vol. 2, New York: Agathon Press.

Caruthers, Flora A. (1973), "A Study of Certain Characteristics of Alumni Who Provide No Financial Support For Their Alma Mater," Unpublished Dissertation, Oklahoma State University, Stillwater.

Critz, D. (1980), "Women as Givers and Getters," CASE Currents, 6 (7), 16-19.

Dacin, Peter A. and Daniel C. Smith, Daniel C. (1994, "The Effect of Brand Portfolio Characteristics on Consumer Evaluations of Brand Extensions," Journal of Marketing Research, 31 (2), 229-42.

Day, George S. (1990), Market Driven Strategy. New York: The Free Press.

Day, George S. (1994), "The Capabilities of Market-Driven Organizations," Journal of Marketing, 58(4), pp. 37-52.

Deel, William S. (1971), "Characteristics of University Graduates Who Are Members or Non-members of an Alumni Association," Unpublished Dissertation, Indiana University, South Bend.

Dwyer, F. Robert, Paul H. Schurr, and Sejo Oh (1987), "Developing Buyer-Seller Relationships," Journal of Marketing, 51,11-27.

Eisenberger, R., Fasolo, P. and V. Davis-LaMastro (1990), "Perceived Organizational Support and Employee Diligence, Commitment, and Innovaiion," Journal of Applied Psychology, 75, 51-59.

Eisenberger, R., R. Huntington, S. Hutchison, and D. Sowa (1986), "Perceived Organizational Support,''Journal of Applied Psychology, 71, 500-507.

Foote, Nelson N. (1951), "Identification as a Basis for a Theory of Motivation," American Sociological Review, 16,14-21.

118

Page 126: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Frey, J. H. (1981), "Alumni Love Athletics: Myth or Reality," CASE Currents, 7(11). 46.

Ganesan, Shankar (1994), "Determinants of Long-Term Orientation in Buyer-Seller Relationships," Journal of Marketing, 58 (April), 1-19.

Gardner, P. M. (1975), "A Study of the Attitudes of Harding College Alumni With An Emphasis on Donor and Non-Donor Characteristics," Unpublished Dissertation, Ohio University, Athens.

Glaser, John S. (1994), The United Way Scandal: An Insider's Account of What Went Wrong. New York: John Wiley and Sons, Inc.

Gibbons, Leroy (1992), "Philanthropy in Higher Education: Motivations of Major Donors to Two Utah Universities," Unpublished Dissertation, Brigham Young University, Provo.

Greenwood, John D. (1994), Realism, Identity, and Emotion. London: Sage Publications.

Griffin, R. W., K. D. Skivington, and G. Moorhead (1987), "Symbolic and International [sic] Perspectives on Leadership: An Integrative Framework," Human Relations, (40), 199-218.

Grill, A. J. (1988), "An Analysis of the Relationship of Selected Variables to Financial Support Provided by Alumni of a Public University," Unpublished Dissertation, The Pennsylvania State University, Middletown.

Grunig, Stephen D. (1993), "A Model of Donor Behavior for Law School Alumni," Unpublished Dissertation, The University of Arizona, Tucson.

Gundlach, Gregory T., Ravi S. Achrol, and John T. Mentzer (1995), "The Structure of Commitment in Exchange," Journal of Marketing, 59 (Jan.), pp. 78-92.

Haddad, Freddie D. (1986), "An Analysis of the Characteristics of Alumni Donors and Non-Donors at Butler University," Unpublished Dissertation, West Virginia University, Morgantown.

Hall, Douglas T. and Benjamin Schneider (1972), "Correlates of Organizational Identification as a Function of Career Pattern and Organizational Type," Administrative Science Quarteriy, 17 (34), 340-50.

119

Page 127: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Hall, Holly (1996), "Planning Ahead For Survival," The Chronicle of Philanthropy, 8(6), 22-24.

Harvey, James W. (1990), "Benefit Segmentation for Fund Raisers," Journal of the Academy of Marketing Science, 18 (1), pp. 77-86.

Hattie, J. (1985), "Methodology Review: Assessing Unidimensionality of Tests and Wems,'' Applied Psychological Measurement, (9), 139-64.

Heide, Jan (1994), "Interorganizational Governance in Marketing Channels," Journal of Marketing, 58 (Jan.), pp. 71-85.

Hodgkinson, Virginia (1985), "Positioning Ourselves as a Sector: Research and Public Policy," Journal of Voluntary Action Research, 14 (Apr-Sept), 17-24.

Hodgkinson, Virginia (1988), Dimensions of the Independent Sector: A Statistical Profile. Washington, D.C.: Independent Sector, 1984, 1986.

Hodgkinson, Virginia and Murray S. Weitzmen (1989), Dimensions of the Independent Sector: A Statistical Profile, 3r6 Edition. Washington, D.C.: The Independent Sector.

Hoelter, Jon W. (1983), "The Effects of Role Evaluation and Commitment on Identity Salience," Social Psychology Quarteriy, 46 (2), 140-147.

House, Michael L. (1987), "Annual Fund Raising in Public Higher Education: The Development and Validation of a Prediction Equation," Unpublished Dissertation, University of Florida, Gainesville.

Hunt, Shelby D. (1976), "The Nature and Scope of Marketing," Journal of Marketing, 40 (July), pp. 17-28.

Hunt, Shelby D. (1996), "Competing Through Relationships: Grounding Relationship Marketing in Resource-Advantage Theory," paper presented at The Fourth International Colloquium on Relationship Marketing, Helsinki, Finland, Sept.

Hunt. Shelby D., and Robert M. Morgan (1995), "The Comparative Advantage Theory of Competition," Journal of Marketing, 59,1 -15.

Joreskog, Karl G. and Dag Sorbom (1990), "Model Search with TETRAD II and LISREL," Sociological Methods and Research, 19 (Aug.), 93-106.

120

Page 128: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Joreskog. K. G. and Sorbom, D. (1993), LISREL 8: A Guide To The Program And Applications, Chicago: SPSS.

Kalwani, Manohar U. and Narakesari Narayandas (1995), "Long-Term Manufacturer-Supplier Relationships: Do They Pay Off for Supplier Firms?" Journal of Marketing, 59 (1), 1-16.

Keegan, Warren J., Sandra E. Moriarty, and Thomas Duncan (1995), Marketing, 2nd Ed. Englewood Cliffs, NJ: Prentice HaN.

Keller, J. C. (1982), "An Analysis of Alumni Donor and Nondonor Characteristics at the University of Montevallo," Unpublished Dissertation, University of Alabama, Tuscaloosa.

Kihistrom, J. F. and N. Cantor (1984), "Mental Representations of the Self," pp. 1-47 in L. Berkowitz (ed.). Advances in Experimental Social Psychology, Vol. 17. New York: Academic Press.

Koole, R. S. (1981), "A Study of Financially Supportive and Financially Non-supportive Alumni of Los Angeles Baptist College," Unpublished Dissertation, Western Michigan University, Kalamazoo.

Kotler, Philip (1972), "A Generic Concept of Marketing," Journal of Marketing, 36 (April), 49-56.

Kotler, Philip (1979), "Strategies for Introducing Marketing into Nonprofit Organizations," Journal of Marketing, 43 (Jan.), pp. 37-44.

Kotler, Philip (1994), Marketing Management, 8th Ed. Englewood Cliffs, NJ: Prentice-Hall.

Kotler, Philip and Alan Andreasen (1991), Strategic Marketing for Nonprofit Organizations, Englewood Cliffs, NJ: Prentice-Hall.

Kotler, Philip and Sidney J. Levy (1969), "Broadening the Concept of Marketing," Journal of Marketing, 33 (Jan.), pp. 10-15.

Laverie, Debra A. (1995), "The Influences of Identity Related Consumption, Appraisals, and Emotions on Identity Salience: A Multi-Method Approach," Unpublished Dissertation, Arizona State University, Tempe.

Laverie, Debra A., Robert E. Kleine III, and Susan Kleine (1996), "Social Evolution of Identity-Related Products and Performance," Unpublished Working Paper

121

Page 129: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Lawson, Douglas M. (1991), Give to Live: How Giving Can Change Your Life, La Jolla, CA: ALTI Publishing.

Lovelock, Christopher H. and Charies B. Wineberg (1984), Marketing for Public and Nonprofit Managers, New York: John Wiley.

Lucas, Allison (1995), "A United Way to Overcome a Bad Image," Sales and Marketing Management,'' (September), p. 15.

Lusch, Robert F. and James R. Brown (1996), "Interdependency, Contracting, and Relational Behavior in Marketing Channels," Journal of Marketing, 60 (4), pp. 19-38.

MacNeil, Ian R. (1980), The New Social Contract, An Inquiry Into Modern Contractual Relations. New Haven, CT: Yale University Press.

Mael, Fred (1986), "Latitude for Lieutenancy: The Exchange Component of the Vertical Dyad Linkage Model of Leadership," Unpublished master's thesis, Wayne State University, Detroit.

Mael, Fred (1988), "Organizational Identification: Construct Redefinition and a Field Application With Organizational Alumni," Unpublished Dissertation, Wayne State University, Detroit.

Mael, Fred and Blake E. Ashforth (1992), "Alumni and Their Alma Mater: A Partial Test of the Reformulated Model of Organizational Identification," Journal of Organizational Behavior, 13, 103-23.

McKee, D. F. (1975), "An Analysis of Factors Which Affect Alumni Participation and Support," Unpublished Dissertation, Indiana University, South Bend.

McNulty, J. W. (1977), "Alumni and Giving: A Study of Student Personnel Servic:es and Alumni Philanthropy," Unpublished Dissertation, Loyola University of Chicago.

Miracle, W. D. (1977). "Differences Between Givers and Non-givers to the University of Georgia Annual Fund," Unpublished Dissertation, University of Georgia, Athens.

Mohr, Jakki J., Robert J. Fisher, and John R. Nevin (1996), "Collaborative Communication in Interfirm Relationships: Moderating Effects of Integration and Control," Journal of Marketing, 60 (3), pp. 103-15.

122

Page 130: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Morgan, Robert M. and Shelby D. Hunt (1994), 'The Commitment-Trust Theory of Relationship Marketing," Journal of Marketing, 58 (July), 20-38.

Morris, D. A. (1970), "An Analysis of Donors of $10,000 or more to the $55 Million Program at the University of Michigan," Unpublished Dissertation, The University of Michigan, Ann Arbor.

Mowday, R. T., R. M. Steers,, and L. W. Porter (1979), 'The Measurement of Organizational Commitment," Journal of Vocational Behavior, 14, 224-247.

Mulaik, Stanley A., Larry R. James, Judith Avan Asltine, Nathan Bennett, Sherri Lind, and C. Dean Stillwell (1989), "Evaluation of Goodness of Fit Indices for Structural Equations Models," Psychological Bulletin, 105, 430-45.

Nelson, W. T. (1984), "A Comparison of Selected Undergraduate Experiences of Alumni Who Financially Support Their Alma Mater," Unpublished Dissertation, Indiana University, South Bend.

Oglesby, Rodney A. (1991), "Age, Student Involvement, and Other Characteristics of Alumni Donors and Alumni Non-Donors of Southwest Baptist University," Unpublished Dissertation, University of Missouri, Columbia.

Oliver, Richard L. and John E. Swan, "Consumer Perceptions of Interpersonal Equity and Satisfaction in Transactions: A Field Survey Approach," Journal of Marketing, 53 (April), 21-35.

Panas, Jerold (1984), Megagifts: Who Gives Them, Who Gets Them. Chicago, IL: Pluribus Press.

Reichley, R. A. (1977), 'Volunteers: Who Are They?" In Rowland, A. W. (Ed.) Handbook of Institutional Advancement, Isted., San Francisco: Jossey-Bass.

Reid. Russ (1989), "Jim Bakker and PTL: What Can it Teach Us?" Fund Raising Managment, 20(9), 43-47.

Rosenberg, Morris (1979), CoA7ce/v//7gf/)eSe/f. New York: Basic Books.

Santee, Richard and Susan Jackson, "Commitment to Self-Identification: A Sociopsychological Approach to Personality," Human Relations, 32, 141-58.

123

Page 131: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Serpe, Richard T. (1987), "Stability and Change in Self: A Structural Symbolic Interactionist Explanation," Social Psychology Quarteriy, 50, 44-55.

Shapiro, Benson P. (1988), "What the Hell is 'Market Oriented?" Harvard Business Review, (Nov.-Dec), pp. 119-125.

Sheth, Jagdish N. and AtuI Parvatiyar (1995), "Relationship Marketing in Consumer Markets: Antecedents and Consequences," Journal of the Academy of Marketing Science, 23 (4), 255-71.

SInatra-Ostlund, C. J. (1984), "A Study of Predictors of Alumni Donors and Non-donors to Intercollegieate Athletics at the University of Missouri," Unpublished Dissertation, University of Missouri, Columbia.

Slater, Stanley F. and John C. Narver (1995), "Market Orientation and the Learning Organization," Journal of Marketing, 59 (3), pp. 63-74.

Smith, J. Brock and Donald W. Barclay (1997), "The Effects of Organzational Differenc^es and Trust on the Effectiveness of Selling Partner Relationships," Journal of Marketing, 61 (1), p. 3-21.

Smith, Scott M. (1980), "Giving to Charitable Organizations: A Behavioral Review and Framework for Increasing Commitment." Found in (Jerry C. Olson, ed.) Advances in Consumer Research 7. Ann Arbor, Ml: The Association for Consumer Research. 753-56.

Smith, Scott M. and Leiand L. Beik (1982), "Market Segmentation for Fund Raisers," Journal of the Academy of Marketing Science, 10 (3), 208-16.

Spaeth, J. L. and A. M. Greely (1970), Recent Alumni and Higher Education: A Survey of College Graduates. New York: McGraw-Hill.

Spiegler, Marc (1996), "Scouting for Souls," American Demographics, March, 42-49.

Stryker, Sheldon (1968), Identity Salience ad Role Perfomiance: The Relevance of Symbolic Interaction Theory for Family Research," Journal of Marriage and Family, 558-64.

Stryker, Sheldon (1980), Symbolic Interactionism: A Social Structural Version. Palo Alto: Benjamin/Cummings.

124

Page 132: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

stryker, Sheldon and Richard Serpe (1982), "Commitment, Identity Salience, and Role Behavior: Theory and Research Example," pp. 199-216 in William Ickes and Eric S. Knowles (eds.). Personality, Roles, and Social Behavior New York: Springer-Verlag.

Stryker, Sheldon and Richard Serpe (1983), 'Toward the Theory of Family Influence in the Socialization of Children," pp. 47-74 in A. Kerchoff (ed.). Research in the Sociology of Education and Socialization, Vol. 4. Greenwich, CT: JAI Press.

Thompson, Tomas M. (1994), "Who Gives? A Study of Variables at Graduation and Their Predictive Value for Alumni Fund Raisers," Unpublished Dissertation, University of Missouri, Kansas City.

TIdwell, Gary L. (1994), 'The Anatomy of a Fraud," Fund Raising Management, 24(3), 58-62.

Turner, J. C. (1985), "Social Categorization and the Self-concept," In Lawler, E. J. (ed.) Advances in Group Processes, Vol. 2, Greenwich, CT: JAI Press.

Varadarajan, P. and Daniel Rajaratnam (1986), "Symbiotic Marketing Revisited," Journal of Marketing, 50 (January), 7-17.

Walker, Jr., Orville C, Gilbert A. Churchill, Jr., and Neil M. Ford (1977), "Motivation and Performance in Industrial Selling: Present Knowledge and Needed Research," Journal of Marketing Research, 14, 156-68.

Westbrook, Robert A. and Richard L. Oliver (1981), "Developing Better Measures of Consumer Satisfaction: Some Preliminary Results," in Advances in Consumer Research, Vol. 8, Kent B. Monroe, ed. Ann Arbor, Ml: Association for Consumer Research, 94-1.

Wilkes, Robert E., John J. Burnett and Roy D. Howell (1986), "On the Meaning and Measurement of Religiosity in Consumer Research," Journal of the Academy of Marketing Science, 14(1) 47-56.

125

Page 133: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

APPENDIX A

QUESTIONNAIRE

126

Page 134: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Dear :

Enclosed is a questionnaire that explores the relationship between Texas Tech University and Texas Tech alumni. Although university alumni are often asked to provide information about themselves to their universities, surprisingly little is known about which specific university experiences and other factors influence the closeness of the relationship between alumni and their university. Our research investigates these issues. A summary of the results of this research (but no individual responses) will be made available to Texas Tech University officials for planning purposes.

Would you please assist us by completing this questionnaire and returning it in the postage-paid return envelope? It should take no more than 20 minutes to complete. Some of the questions may seem repetitive, and others even a little strange, but they all have a purpose. For the questionnaire results to be meaningful, it is of great importance that each alumnus surveyed participate.

All answers are anonymous and strictly confidential. You will not be solicited by us or anyone else as a result of participating in this research. If you have any questions or comments, please call us at (806) 742-3162 and ask for Steve German. Thank you very much!

Steven D. German Shelby D. Hunt, Ph.D. Project Director J. B. Hoskins and P. W. Horn Texas Tech University Professor of Marketing

Texas Tech University

127

Page 135: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Texas Tech University Alumni Survey

I. Please express your degree of agreement or disagreement with each of the following t>y circling the appropriate number

A. B9ing a Texas Tec/i Unlvrstty gnduatn... 1. . . . is an important part of who I am 2. . . . is something about which I have no dear feelings,

means more to me than just having a degree. . . . . is something I rarely think about

strongly

Disagra*

2 2 2 2

strongly

B. 1. 2; 3.

5. 6.

C. 1. 2. 3.

4. 5. 6.

Texas Tec/i Unh/wslty... . . . values my contribution to its well-being . . . appreciates any extra effort from me . . . listens to any complaints I might have conceming

the university . . . would notice if I did something that benefited the

unh ersity . . . shows concern for me . . . takes pride in my accomplishments

/ am satisHwi with... . . . the education I received while a student at Texas Tech. . . . the facilities at Texas Tech when I was a student . . . the manner in which I was treated as a student at

Texas Tech . . . how Texas Tech prepared me for a career. . . . my choice to attend Texas Tech . . . Texas Tech in general

2 2

2 2 2

2 2

2 2 2 2

3 3 3 3

3 3

3 3 3

3 3

3 3 3 3

5 5 5 5

5 5

5 5 5

5 5

5 5 5 5

6 6 6 6

6 6

6

6 6 6

6 6

6 6 6 6

7 7 7 7

7 7

7 7 7

7 7

7 7 7 7

H. Please express how you feel regarding each of the following statements;

When others become aware that I am Texas Tech Unlvwsity graduate^ I feel.

1. 2. 3. 4. 5.

6. 7. 8. 9.

proud embarrassed confident... good humiliated . .

disgusted.. inadequate happy.. . . ashamed..

Notatal 2 2 2 2 2

2 2 2 2

3 3 3 3 3

3 3 3 3

Vvymuchto 5 6 5 6 5 6 5 6 5 6

5 5 5 5

6 6 6 6

III. 1. Since graduation, how many times have y o u . . .

(a) .

(b)

hften hack to the Texas TerJi camous for a visit, such as a homecoming, a class reunion, a sporting event, etc.? (please circle the number of times)

0 1 2 3 4 5 6 7 8 9 10 More than 10 times

participated in an nff-raimpus alumni activitY such as an alumni meeting, phonathon, recruiting event, volunteer work, etc.?

0 1 2 3 4 5 6 7 8 9 10 More than 10 times

2. Approximately how far from Lubbock do you live? miles.

(If you live In Lubbock, check here )

128

Page 136: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

JY. PIMM exPfggg vpur degree of agreement or diMffm^rn^nt wtti , ^1 ftf the foiiowino;

strongly DisagrM

1. Texas Tech's need for financial support from Its alumni will be even greater In the future ^

2. I am interested in what others think about TTU 1 3. TTU's successes are my successes 1

5. 6.

When I have the opportunity. I advise potential students that they should attend Texas Tech University People I know think highly of Texas Tech University. I have positive feelings about Texas Tech's chief administrators

7. 8.

9.

Most people are proud when their chlWren attend Texas Tech . 1 In conversations I have with friends and acquaintances, I bring up Texas Tech In a positive way ' i When someone criticizes TTU, It feels like a personiai irvsuit... 1

10. The administration of Texas Tech, on the whole. Is good 1 11. It is prestigious to be an alumnus of Texas Tech Unh/ersity... 1 12. I go to church regulariy 1

13. I encourage those who are consklering attending college to go to Texas Tech 1

14. People I know look down on Texas Tech University l 15. In social situations, I often speak favorably about Texas Tech. 1

16. People seeking to advance their careers shoukJ downplay their association with Texas Tech University i

17. Spiritual values are more important than material things 1 18. I lalk-up" Texas Tech to people I know 1

19. When I meet high school students and the topic arises, I usually advise them to attend Texas Tech University 1

20. When I talk about TTU, I usually say \te' rather than "Ihey"... 1 21. If people were more religious, this woukl be a better

country 1

22. state universities need the financial support of their alumni just as much as private universities 1

23. Those leading Texas Tech are not doing a good job 1 24. i am a religious person 1

25. I think the people leading Texas Tech are fulfilling their responsibilities well

26. Texas Tech University presently needs strong financial support from Its alumni

27. For me, if someone praises TTU, it is the same as a personal compliment 1

2 2 2

2 2

2 2

2 2 2

2 2 2

2 2 2

2 2

2 2 2

3 3 3

3 3

3

3

3 3

3 3 3

3 3 3

3 3 3

3 3

3 3 3

2 3

2 3

2 3

v. Did any of your family members attend Texas Tech? (circle the ones that appi how many of each attended Texas Tech):

5 5 5

5 5

5

5

5 5

5 5 5

5 5 5

5 5 5

5 5

strongly AgrM

6 6 6

6 6

6

6

6 6

6 6 6

6 .6 6

6 6 6

6 6

6

5 5 5

5

5

5

6 6 6

6

6

6

and indicate

1. Grandparent(s) 2. Parent(s) 3. Brother(s) and Sister(s) 4. Aunt(s) and Uncle(s)

5. Spouse 6. Chikl (ChlMren) 7. GrandchlM (GrandchikJren) 8. Other

129

Page 137: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

VI. P I — f expf f your degree of agreement or disagreement with the following:

How deserving of financial support by Texas Tech alumni is each of the following: Notdaaarving ataN

1. Student scholarships 1 2 3 4 2. Library " l 2 3 4 3. University athletics (football, basketball, tennis, etc.) 1 2 3 4 4. The unrestricted fund (money that can be used in

any area of the university) 1 2 3 4 5. Research 1 2 3 4 8. Endowed faculty chairs or professorships 1 2 3 4 7. Instructional equipment 1 2 3 4

8. A specific academic area or department. Please list: 1 2 3 4 1 2 3 4 1 2 3 4

9. Other specific areas you feel deserving of support not listed above:

1 2 3 4 1 2 3 4 1 2 3 4

5 5 5

5 5 5 5

5 5 5

5 5 5

Vary Daaarvlng 6 6 6

6 6 6 6

6 6 6

6 6 6

7 7 7

7 7 7 7

7 7 7

7 7 7

Vil. In answering the following please remember that your answers are anonymous.

1. Please circle the item that best describes the importance you give to donating to Texas Tech:

Contributing to TTU is not important at all

1 2 3

Contributing to TTU is very important

6 7

2. I plan to donate to Texas Tech University...

Never Seldom 0 1 2 3

Often 6

VIII. How important are (or would be) the following factors in your decision to donate to Texas Tech?

1. The tax deductibility of the gift 2. Being loyal to Texas Tech 3. Feeling good about helping Texas Tech 4. The ability to restrict (direct) my gift to a particular area

5 Improving the quality of Texas Tech 6. A matching gift from my employer 7. My belief in the need to support public higher education 8. To "repay" financial assistance received as a student (meaning

grants and scholarships - not student loans)

9. Texas Tech was good to me. now I'll be good to Texas Tech . 10. The present excellence of Texas Tech 11. Other . •

Not hnportant ataN 1 2 3 i 1 2 3 i 1 2 3 i 1 2 3 i

CM

CM

CM

1 2

CM

CM

C

M

3 i 3 * 3 i

3 i

3 ' 3 * 3 *

\ 5 1 5 1 5 ( 5

I 5 1 5 1 5

1 5

1 5 1 5 1 5

Vary Important 6 7 6 7 6 7 6 7

6 7 6 7 6 7

6 7

6 7 8 7 6 7

130

Page 138: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

IX. Please list the dittmemm extra-cunicular activities or organizations that you participated in while at Texas Tech (for example, student government, fratemities/sororities, music, drama, service organizations, athletics, intramurals) and how actively you participated:

1. 2. 3. 4. 5. 8. 7. 8.

' waa not acrtiv* very at all "ctlve

2 3 4 5 6 2 3 4 5 6 2 3 4 5 6 2 3 4 5 6 2 3 4 5 6 2 3 4 5 6 2 3 4 5 6 2 3 4 5 6

X. Please tell us a little about yourself. Once again, your answers are anonymous and confidential.

A. Gender (please circle): Male Female

B. How many people are In your househoM? (count yourself, spouse, chiklren, and other dependents):

1 2 3 4 5 6 7 MORE THAN 7

C. Which degree(s) dkl you receive from Texas Tech?

Mqjor Bachelor's Master's Doctorate Other (specify bek>w)

D. What years dW you attend Texas Tech? How many of each of the following types of semesters dW you attend Texas Tech? Regular semesters (fall/spring) Summer tenns (count each session as "one-O

F For categorization purposes only, wouW you please check the box that contains the approximate amount you donate annually to Texas Tech (even if you have donated only during the past few years).

iO $100 to $149 $300 to $399 $600 to $799 $1250 to $2499

^$1to$49 $150 to $199 $400 to $499 $800 to $999 $2500 to $9,999

$50 to $99 $200 to $299 $500 to $599 $1000 to $1249 $10,000 or more

or It may be easier for you to approximate the total amount you have donated to Texas Tech since you were a student. If so. approximately what is the lolal amount you have donated to TTU? $

E. Again for categorization purposes only. wouW you please check the box that contains your approximate annual househoM income?

less than $25,000 $75,000 to $99,999 $150,000 to $174,999 $250,000 to $499,999

$25,000 to $49.999 $100,000 to $124,999 $175,000 to $199,999 $500,000 or more

^$50,000 to $74.999 $125,000 to $149,999 $200,000 to $249,999

F. Any comments?

fhanif you for completing this survey! Please mail it in tne enclosed postage-paid envelope.

131

Page 139: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

APPENDIX B

FINAL MEASUREMENT ITEMS

132

Page 140: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

FINAL MEASUREMENT ITEMS

Identification

Consider your status as a Texas Tech University alumnus.

[1 = Strongly disagree; 7 = Strongly agree]

Being a Texas Tech University graduate...

ID1 . . . is an important part of who I am. ID2 . . . is something about which I have no clear feelings. (R) ID3 . . . means more to me than just having a degree. ID4 . . . is something I rarely think about. (R)

Donating - measured with the levels of donating assigned to each member of the sample prior to mailing the questionnaires. To preserve the respondents' anonymity, each person in the sample received a questionnaire that was coded with one of five colors and one of four heading variations, allowing identification of 20 levels of donating.

Function Attendance

Since graduation, how many times have you . . .

PGM . . been back to the Texas Tech campus for a visit such as homecoming, a class reunion, sporting event, etc.? (please circle the number of times)

0 1 2 3 4 5 6 7 8 9 10 More than 10 times

PGI2 . . .participated in an off-campus alumni activity such as an alumni meeting, phonathon, recruiting event, volunteer work, etc.? (circle the number of times)

0 1 2 3 4 5 6 7 8 9 10 More than 10 times

133

Page 141: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Promotion

[1 = Strongly disagree; 7 = Strongly agree]

SR3 When I meet high school students, and the topic arises, I usually advise them to attend Texas Tech University.

PR01 I "talk-up" Texas Tech University to people I know. PR02 I bring up Texas Tech in a positive way in conversations I

have with friends and acquaintances. PR03 In social situations, I often speak favorably about Texas Tech.

Respect for the institution's leaders

[1 = Strongly disagree; 7 - Strongly agree]

RES1 I have positive feelings about Texas Tech's administration. RES2 The administration of Texas Tech, on the whole, is good. RES4 I think the people leading Texas Tech are fulfilling their

responsibilities well.

Satisfaction with the organization

[1 = strongly disagree; 7 = strongly agree]

/ am satisfied with... SAT1 . . . the education I received while a student at Texas Tech. SAT3 . . . with the manner in which I was treated as a student at

Texas Tech. SAT6 . . . with Texas Tech in general.

Felt Reciprocitv

[1 = Strongly disagree; 7 = Strongly agree]

Texas Tech University... P0S1 . . . values my contribution to its well-being. P0S3 . . . listens to any complaints I might have concerning the

university. P0S4 would notice if I did something that benefited the university. P0S5 . . . shows concern for me. P0S6 . . . takes pride in my accomplishments.

134

Page 142: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Involvement I fivel in organizational activities

Please list the different extra-curricular activities or organizations that you participated in while a student at Texas Tech. (List those you actively participated in, such as student government, fratemities/sororities, music, drama, service organizations, athletics/intramurals, etc.):

Tax incentives

[1 = not important; 7 = very important]

How important is (or would be) the tax deductibility of the gift in your decision to donate to Texas Tech?

Religiositv

[1 = Strongly disagree; 7 = Strongly agree]

RELG2 Spiritual values are more important than material things RELG3 If people were more religious, this would be a better country RELG4 I am a religious person

Family Members' Affiliation

Did any family members listed below attend Texas Tech? (circle the numbers that apply and indicate how many of each attended Texas Tech):

1. 2. 3. 4. 5. 6. 7. 8.

Grandparent(s) Parent(s) Brother(s) and Sister(s) Aunt(s) and Uncle(s) Spouse Child (children) Grandchild (grandchildren) Other

135

Page 143: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Perception of the institution being ig fjnanrial pftft

[1 = Strongly disagree; 7 = strongly agree]

PFN1 Texas Tech's need for financial support from its alumni will be even greater in the future.

PFN2 State universities need the financial support of their alumni just as much as private universities.

PFN3 Texas Tech University presently needs strong financial from its alumni.

Familv < i7P

How many people are in your household? (count yourself, spouse, children, and other dependents):

^ 2 3 4 5 6 7 MORE THAN 7

• Primary Area of Involvement While in the Oraani atinn anH Level of Achievftmftnt

Your degrees? (check all that apply and please specify your major)

Major Bachelor's Master's Doctorate Other (specify below)

Length of Time Affiliated With the Organization

How many of each of the following types of semesters did you attend Texas Tech?

(SEM) Regular semesters (fall/spring) (SUM) Summer terms (count each session as "one")

136

Page 144: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Interest in specific programs

[1 = not deserving at all; 7 = very deserving]

/ think the following areas deserve financial support by Texas Tech alumni:

ISP1 Student scholarships ISP2 Library ISP3 University athletics (football, basketball, tennis, etc.) ISP4 The unrestricted fund (money that can be use in any area

of the university) ISP5 Research ISP6 Endowed faculty chairs or professorships ISP7 Instructional equipment

Other individual and situational variables were measured by single items: household income (INC), and gender (GEN).

137

Page 145: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

APPENDIX C

INTEREST IN SPECIFIC PROGRAMS

138

Page 146: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

An Additional Analysis - Interest in Specific Prngram.g

Interest in Specific Programs was hypothesized in the proposed model of

relational exchange to be a variable that is not mediated by identification, but

directly influences supportive behavior. To measure Interest in Specific

Programs, the sample of alumni were asked to rate the degree to which they felt

each of seven program areas of the university ~ scholarships, library, collegiate

athletics, unrestricted fund, research, endowed chairs, instructional equipment ~

deserved financial support by alumni. Three options regarding the method of

investigating this variable were considered.

The first option was to regard the specific program areas as a reflectively

measured construct and to purify the measure of items not reflective of an

overall feeling on the part of respondents that they support the university

through some specific program area. The second option considered was to treat

all seven items as a formative scale, meaning that the more the respondents felt

that these areas deserved alumni support, the higher the score they would

assign to the areas - those respondents ascribing higher scores would be

indicating that they were more supportive of the university, but again, only

through some specific program instead of the university as a whole.

The preceding options were discarded because they both assume one

overall construct that measures a person's interest in specific university

programs rather than an interest in the university entity. Viewing respondents'

interest in specific areas of the nonprofit as one construct is problematic

139

Page 147: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

primarily because several respondents might have the same, overall interest

score but be interested in different areas. In other words, one score masks the

variation in respondents' choices regarding specific interests.

The third option, and the one employed in this research, was to consider

each item to be a single indicant of seven different constructs. The seven

constructs were then regarded as antecedents to the three supportive behaviors

in a multiple regression model.

Data analysis indicates that one's interest in a specific area of the

nonprofit organization, in this case a university, influences behavior supportive

of the organization. Referring to Table C.I, respondents' interest in collegiate

athletics, the unrestricted fund, and endowed chairs accounted for 16% of the

variance In donations. The respondent's interest In collegiate athletics and

research accounted for 25% of their attendance at university sponsored

functions. Also, 29% of the variance in respondents' promotion of the university

was explained by their interest in collegiate athletics, and instructional

equipment Interest in collegiate athletics was the dominant variable in all cases

with the exception of respondents' interest in endowed chairs wielding a

significantly larger weight in explaining variance in donations.

140

Page 148: NONPROFIT RELATIONSHIP MARKETING: A DISSERTATION IN

Table C.1 - Interest in Specific Programs: Parameter Estimates

Path

scholarships - > donating

scholarships - > function attendance

scholarships ~> promotion

library ~> donating

library - > function attendance

library ~> promotion

collegiate athletics - > donating

collegiate athletics ~> function attendance

collegiate athletics - > promotion

unrestricted fund ~> donating unrestricted fund ~> function attendance

unrestricted fund ~> promotion

research ~> donating

research - > function attendance

research - > promotion

endowed chairs ~> donating

endowed chairs ~> function attendance

endowed chairs ~> promotion

instructional equipment - > donating

instructional equipment - > function attendance

instructional equipment ~> promotion

Variance explained in : donating function attendance

promotion

Estimate

-0.04

0.14

0.14

-0.09

-0.11

-0.15

0.20"

0.43"

0.46"

0.17' 0.06

-0.02

-0.16

-0.22

0.07

0.31"

0.13

-0.11

-0.04

0.04

0.23"

= 16%

= 25%

= 29%

t-value

-0.34

1.37

1.52 -0.56

-0.72

-1.03

2.75

5.98

6.87

1.67 0.62

-0.25

-1.26

-1.79

0.59

2.99

1.30

-1.24

-0.42

0.42

2.47

•significant at the .05 level "significant at the .01 level

141