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Go Back       IAR Journal of Business Management | IAR J Bus Mng, 2021; 2(1): | Volume:2 Issue:1 ( Jan. 5, 2021 ) : 12-20.
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DOI : 10.47310/iarjbm.2021.v02i01.002       Download PDF       HTML       XML

The Relevance of Organisational Capabilities for Nursing Mother’s Satisfaction



Article History

Received: 28.11.2020; Revision: 25. 12.2020; Accepted: 29. 12.2020; Published: 05. 01.2021

Author Details

Tijani, Omofolasaye. O1 Adenekan, Tolulope. E2 and Onamusi, Abiodun. B*2

Authors Affiliations

1Department of Business Administration & Marketing, Babcock University, Ilishan-Remo Ogun State, Nigeria

2Department of Management and Accounting, Lead City University, Ibadan, Oyo State, Nigeria


Abstract: On the strength of the RBV perspective, this study investigated the effect of organisational capability dimensions on nursing mother satisfaction of selected manufacturers of FMCGs in Lagos State, Nigeria. This study adopted a cross-sectional survey design and a sample of 447 employees of nine selected manufacturers of baby care product and 537 nursing mothers in Lagos State, Nigeria. A multiple regression analysis to test the first order condition of organisational capability dimension on nursing mother satisfaction was conducted. The results showed that organisational capability dimensions had a positive and significant effect on nursing mother satisfaction (Adj. R2 = 0.014 F(4,447)593.330, p=0.000). The explanatory ability of organisational capability dimensions on nursing mother satisfaction is weak even though positive and significant for the companies investigate hence, the firms should strengthen their commitment to the development of critical and dynamic organisational capability in customer engagement, new product development, marketing capability, and innovation capability. This is because these capabilities have been documented in extant literature to possess the potential for improving customer satisfaction.


Keywords:Organisational capability, Nursing mother satisfaction, Resource-Based View.


Introduction

The relevance of customer satisfaction to a firm’s profitable going-concern is critical and has been documented in extant literature (El-Adly, 2019; Kim, Kim, & Hwang, 2020). However, the manufacturers of baby-care products (except Milk formula category) in Nigeria have not paid keen attention to engaging the customers in co-creation activities apart from offering promotion packages and conducting baby pageant, which is an entirely different marketing activity (AC Nielsen report, 2018; Nairametrics, 2017). Failure to engage mothers in co-creation activities have partly resulted in low satisfaction and loyalty among nursing mothers. Baby-care products such as Pampers baby dry, Huggies baby essential (locally made), Nuric, and Enfamil have failed to generate the desired level of satisfaction from nursing mothers (Euromonitor International, 2018). The low customer satisfaction is partly responsible for the ease at which nursing mothers switch from local brands to imported brands and the subsequent decline in the market share of local brands. For example, the acceptance of relatively new imported brands such as Moflix, Frisogold, Nutribon, Nutriben, and Kendamill and the accrued market share thus further positioned the low satisfaction and loyalty amongst nursing mothers for local brands at the expense of foreign brand (Euromonitor International, 2018). This low satisfaction is perhaps worsened by a lack of commitment to address new mothers' complaints about product quality on social media forums dedicated to the discussion of baby-care products in Nigeria. 


Scholars have emphasised that possessing different capabilities is vital for the accomplishment of superior performance for organisations (Anning-Dorson, 2018; Johansson, Raddats, & Witell, 2019; Takata, 2018). Hence, literature has experienced studies in the area of organisational capabilities (customer engagement, new product development, marketing capability, and innovation capability), that dealt with issues such as, customer analysis, satisfaction and collaborative efforts to understand the customer and to obtain customer maximum lifetime value, in different economic settings and research contexts (Anning-Dorson, 2018; Beckers, Van Doorn, & Verhoef, 2017; Carbonell & Rodriguez-Escudero, 2014; Elbedweihy, Jayawardhena, Elsharnouby, & Elsharnauby, 2016; Fidel, Schlesinger, & Cervera, 2015; Foroudi, Jin, Gupta, Melewar, & Foroudi, 2016; Haislip & Richardson, 2017; Johansson et al., 2019; Roy, Balajib, Sourtare, Lassard, & Roy, 2018; Takata, 2018; Zhang, Liang, & Wang, 2016).


However, of these identified studies only few scholars emphasised how these organisational capabilities influenced customer satisfaction (Carbonell & Rodriguez-Escudero, 2014; Elbedweihy et al., 2016; Foroudi et al., 2016; Johansson et al., 2019; Mahr, Lievens, & Blazeuc, 2014; Roy et al., 2018; Takata, 2018). Similarly, this area of research has received reasonable attention from scholars in Nigeria (Adeleke & Aminu, 2012; Alawiye, Adewale, & Afolabi, 2014; Chovancová, Osakwe, & Ogbonna, 2015; Nwankwo & Ajemunigbohun, 2013; Ogbechi, Okafor, & Onifade, 2018), however, a lot of these empirical works have focused mainly on the service industry including: financial institutions; telecommunication; and insurance firms. Moreover, the few that investigated manufacturing firms, for example, Ateke and Iruka (2015) were centred on a mixture of small-sized manufacturing firms from different sectors in Rivers State, and this has the possibility of yielding inappropriate findings for one industry deliberation which is the focus of this present study. Consequent on this development that this study investigated the relative effect of organisational capability dimensions on customer satisfaction of selected manufacturers of baby care products in Nigeria.


Literature Review

Theoretical framework and hypothesis development

Existing capability studies, for example, Ateke and Iruka (2015), investigated whether a relationship existed between customer involvement management and performance of manufacturing companies in River State. The result confirmed the existence of an association between customer involvement management and customer satisfaction. Also, Foroudi et al., (2016) examined whether organisations' innovation capability can affect customer experience, collecting data from 606 customers of retail firms. The result revealed that all the dimensions of innovation competencies influenced customer loyalty suggesting a positive customer experience. Ogbechi et al., (2018) examined the factors that predict customer satisfaction and Loyalty, focusing on the insurance company in Nigeria. The result revealed that marketing variables positively affect customers' satisfaction and, subsequently, customer loyalty in the insurance sector in Lagos State. Similarly, Ngo & O'Cass (2012a) showed that marketing competencies affect innovation and customer-related outcomes to a large extent. This is an indication that the performance-effect of marketing capability for the firm is significant and cannot be understated. 


On the contrary, the study conducted by Anning-Dorson (2018), examined how customer involvement capability influences the performance of service firms in Ghana. The study differs as it showed that a firm's capability to engage its customers would mainly affect customer satisfaction when such a firm possesses innovation capabilities. Ngo and O'Cass (2013) found that innovation capability positively influences service quality when such an organisation possesses the capabilities to engage their customers. These results corroborated the submission that there is a link between the customer and the organisation, more so, customer engagement is a contingent variable that organisations can leverage on to boost the performance of its innovative competencies (Prahalad & Ramaswamy, 2004). By implication, these scholars posit that possessing the capabilities to innovation is appreciable; however, it is not enough pre-condition for having superior organisational performance and considering that the potential value of innovation capabilities is best accomplished through a firm's capacity to engage its customer effectively (Anning-Dorson, 2018). Hence, this study affirms that the capability to engage the customer has no direct effect on customer satisfaction. Therefore, given the preceding discussion, the study hypothesises that: there is no significant effect of Organisational capability dimensions on customer satisfaction of selected manufacturers of baby-care products in Lagos State, Nigeria.


RBV is an internal environment (inside-out) perspective aimed at explaining how firms can achieve and sustain a competitive advantage. Its emergence to limelight came after Barney's "Firm resources and sustained competitive advantage", Wernerfelt's "The resource-based view of the Firm", Prahalad and Hamel's "The core competence of the corporation" and Penrose's "The theory of firm the growth of firm" had published there works between 1980s and 1990s. The fundamentals of RBV, as put forward by its proponents is that a firm can better exploit its external environment and achieve decent returns simply by using its firm-specific resources and competence considered valuable, rare, and complex to replicate. By implication, for firms that are desirous of accomplishing superior performances (as against competitive parity), such firms must possess knowledge, skill, ability and tangible productive assets, the proficiency to deploy it and the ability to consistently improve these capabilities (even though they were initially considered to have VIRO features) to stay afloat. 


Despite criticisms from Priem and Butler (2001) who queried if the resource-based view a useful perspective for strategic management research, Kraaijenbrink, Spender, and Groen (2010), who argued that RBV is an insufficient theory of the firm given its static nature, and Makadok, (1999) who argued that superior performance is not guaranteed simply by possessing resources that have VIRO attributes, nevertheless RBV has remained a viable theory providing theoretical explanations and justification for many empirical studies (Binti-Taju & Bin Zainuddin, 2017; Fidel et al., 2015; Kim et al., 2016; Ngo et al., 2019; Shinkle and Mccann 2014; Zhang & Hartley, 2018). Hence providing relevance to the assumptions for which the theory is built. For instance, Shinkle and Mccann 2014 work titled "New product deployment: The Moderating Influence of economic-institutional context," posits that specific knowledge-based resources (Research & Development) are relevant for the deployment of new products notwithstanding the organisational settings. Fidel et al., (2015) used the RVB to provide a framework for the testing model hence, gaining an understanding of the effect of customer collaboration, innovation orientation, and customer knowledge management on marketing performance.


In the same vein, Zhang and Hartley (2018), accentuated the RBV literature by investigating two organisational resources (namely guanxi and IT systems), their relationships with innovation capability and new product performance of exporting SMEs in China. Overall, this present study is in support of the RBV because a firm's capacity to earn better performance is contingent on the resources it owns and the characteristics of these resources (which in this case as VIRO feature). Thus, RBV provided theoretical explanations for the functional association between the independent (organisational capability dimensions) and the dependent (customer satisfaction) variables as hypothesized in this study.


EMPIRICAL REVIEW

Organisational capability and Customer

Satisfaction 

Roya, Balajib, Soutarc, Lassard, and Roy (2018), investigated how customer engagement behaviour (CEB) influence customer outcomes of firms in Australia, China, India, and the USA, the study revealed that to develop motivated and satisfied customers, firms need to build trust, treat customers fairly and engage in value co-creation activities. This findings, upheld Mahr et al., (2014), and Blazevic, (2014) submission, that Co-creation activity positively influences organisational performance through providing the opportunity to understand the customer desires (Carbonell & Rodriguez-Escudero, 2014) and to meet them with the right market offering (Brady, Davies, & Gann, 2005). These chains of activities should make customers happy. 

 

Also, in an attempt to substantiate Mahr et al., (2014) submission on the relevance of customer relationship building, Elbedweihy et al., (2016) found that when customers acknowledged a brand, they tend to overlook adverse report concerning such product. This buttresses the point that firms who build a positive relationship with their customer enjoy more from the relationship. More so through relationship building, the firm shares knowledge which enables the customer to uncover firms' unique capabilities and present value co-creation prospects that drive customer satisfaction (Johansson et al., 2019; Kohtamäki & Partanen, 2016). Although Roya et al., (2018) and Elbedweihy et al., (2016) differ in terms of the unit of analysis, the procedures for data collection and analysis, however, highlighting their findings showcase the relevance of ensuring that customers are satisfied. Mainly because organisations have been set up to cater for various human needs and how well they meet these needs or exceeds them, is sacrosanct to the going-concern of this organisation.

 

Zhang et al., (2016) shared similarity with Elbedweihy et al., (2016) but different contexts. The author's focus was on China, and their finding suggested that advertisement strategy moderates the interaction between NPD and Customer lifetime value as a proxy to customer satisfaction. In addition, Ateke and Iruka (2015) assessed whether customer involvement relates to market performance of manufacturing firms in River State. The study was done in Nigeria which differ from Zhang et al., (2016) and Elbedweihy et al., (2016) done in North-East UK and China respectively, however, Ateke and Iruka (2015) result revealed the existence of a significant positive relationship between customer involvement management and customer satisfaction with regards to the manufacturing companies under study. The highpoint of these several studies is that they accentuated the significance of customer engagement capability to organisational performance.

 

Furthermore, Ogbechi et al., (2018) examined the factors responsible for customer satisfaction and loyalty, focusing on insurance companies in Nigeria. The result revealed that marketing variables positively influence customers' satisfaction and that the ripple effect of a satisfied customer leads to improved market performance. This finding is an offshoot of Takata's (2018) study, which posited that marketing capability has a significant influence on market performance. A similar study that focused on the GSM market, Adeleke and Aminu's (2012) result suggested that there exists a strong positive association between marketing effect such managing corporate image, customer satisfaction, and loyalty.


The submission in Adeleke and Aminu, (2012), Ogbechi et al., (2018), and Takata, (2016) are in alignment with the study conducted by O'Cass and Weerawardena (2010). The scholars corroborate existing literature to posit that marketing capabilities lead to higher brand performance. In line with this study and similar research interest, Ngo and O'Cass, (2012a) revealed that marketing capability significantly influences innovation and customer satisfaction, thereby indicating the significance of marketing capabilities for firm higher performance. Focusing on different firm-specific capabilities, Dirisu, Iyiola, and Ibidunni (2013) investigate the influence of NPD on firm performance, and the result suggested that NPD features such as uniqueness, and quality positively influence customer satisfaction. 

 

In contrast, when Beckers et al., (2017), assessed the implications of customer engagement initiative on customer behaviour, the result suggested a negative outcome. It showed that such an initiative decreased the market appeal because of the risk of the initiative backfiring on the organisation's brand equity. Although Anning-Dorson (2018) study did not support Beckers et al., (2017), neither did it align with earlier reviewed empirical findings. Anning-Dorson (2018) result showed that customer involvement capability is not a first-order capability that drives customer satisfaction, profit, and market share. Explicitly, the study posits that the customer involvement capability is a second-order competency whose performance effect was explained by a first-order proficiency such as innovation capability. 

 

In addition, in a study which seek to unravel the interactions amongst firm-specific dimensions (innovation capability, service quality and customer engagement) and performance measures (Sales, market share & profitability), Ngo and O'Cass (2012a) found that customer engagement plays a crucial role in ensuring that innovation activities achieved desired firm performance. This finding provided evidence for Beckers et al., (2017) submission, which averred that customer involvement is not a first-order capability. More so, it emphasised the relevance of allowing customer participation in product innovation activities; an act Bendapudi and Leone (2003) recommended. One lesson to be learned here is that despite having innovation capability, firms should not ignore their customers' contributions when deciding on what to produce or which services to render. Ngo and O'Cass's (2012a) study upheld the submission of earlier scholars such as Prahalad and Ramaswamy (2004), which pointed out that customer involvement act as a contingent factor which organisations can endorse to maximise the benefit of innovation capability. 


The benefits of innovation capability to organisation performance were revealed by Foroudi et al., (2016) after the scholars examined the effect innovation capability has on customer outcomes. The study revealed that the dimensions (technical and management) of innovation capability explained significant variation in customer loyalty and brand reputation. In other words, the finding suggests that firms which possess innovative competencies (radical) can quickly respond to erratic customer demands, thereby keeping customers happy and achieving improved organisational performance (Eggers, Kraus, & Covin, 2014). 


Methods

This study adopted a cross-sectional survey design which enhanced the collection of data at a point in time to substantiate the effect of an independent variable on a dependent variable at a point in time (Onamusi, 2020).


Research Context, Unit of Analysis, and Data collection

The population of this study comprised of 6364 employees working with nine manufacturers of baby care products and an infinite population for the nursing mothers. For the finite population, Krejcie and Morgan (1977) sample size determination offered 378 as an appropriate sample for that population figure. To accommodate instances of non-response, 40% of the initial sample (378 + 151) is added to produce a sample size of 529. The staffs examined in this study were from the three levels of management and with considerable experience with the operations of the selected manufacturing companies. For the nursing mothers, the study adopted Cochran (1963) formula for calculating the sample size for an infinite population hence 384 was achieved. Hence, the sample size for nursing mothers was 384. To enhance the response rate due to anticipated non-response, 40% of sample size amounting to 153 was added to the calculated sample. Scholars have employed this procedure (40%) to aid their response rate (Balarabe et al., 2017). Therefore, the accessible nursing mothers in Lagos State were purposively sampled. Hence, 537 copies of the questionnaire were administered to them accordingly.


A structured questionnaire was adopted to gather data concerning organisational capabilities and nursing mothers’ satisfaction. The questionnaire items were adapted from relevant literature given the issues under investigation but used in different context. The response options provided in this study’s questionnaire followed the 6-point Likert type scale which ranges from strongly agree (6) to strongly disagree (1). The administration, retrieval and sorting of the questionnaire took 12 weeks, after which the questionnaire that were not properly administered were dropped. In all, 447 (for the companies) and 452 (for the nursing mothers) copies of questionnaire were considered usable representing 89.3% and 83.2% response rates respectfully.


Variables and Measures

Drawing from this study’s research framework, the following dependent (Customer satisfaction) and independent (Customer engagement, New product development, Marketing capability, and Innovation capability) variables were discussed taking into consideration their measurement in prior studies.


Customer satisfaction incorporated measure on usage experience, value for money, happy baby, repurchase and ability to recommend products to others. These items were measured using Likert-type scale by scholars (Bendig et al., 2018; Kadic-Maglajlic et al., 2018) and this study equally follow this similar procedure.


Organisational capabilities reflect the extent to which organisation possess core and unique capabilities, and assets (tangible and intangible) which are developed over time, across functional areas whose efficient utilization enables a firm to achieve competitive advantage; more so, it continued improvement ensure the sustenance of the firm's competitive advantage. Hence, the organisational capabilities in this study are measured by customer engagement, new product development, marketing capability, and innovation capability. Customer engagement reflects the extent to which firms involve their customers in the co-creation of products. Its further measures how customer insights are gathered and how customers are motivated to participate in production activities.


NPD incorporating different dimensions such as new-product introduction, time to market of the new product, the development cycle of the new product, and market potential of new products in comparison to the major firm competitor. Marketing capability incorporated measures such as marketing communication (Advertising), market sensing, partner linking, pricing and selling, market planning, and marketing implementation. Innovation capability incorporated both technical and management innovation (Ngo & O’Cass, 2013). These constructs were measured using a Likert type scale by scholars such as Anning-Dorson et al., (2018), Foroudi et al., (2016) Mu et al., (2018), Mu et al., (2017), Ngo & O’Cass (2013), and Wei et al., (2014). Overall, this study follows similar procedures used by earlier scholars to measure all the variables identified in this study.


Data Analysis and Model Specification

The study employed a multiple regression analysis to establish the effect of organisational capabilities on nursing mothers’ satisfaction. The model specification for this relative effect analysis is stated below


= f(X)

Y = Dependent variable: Nursing Mother’s Satisfaction (NMS)

X = Independent variables: Organisational capabilities (OCS)

Y = βo + β1x1 + β2x2 + β3x3 + β4x4 + μi

NMS = βo + β1CEi + β2NPDi + β3MCi + β4ICi + μi -------- (iii)

For the purpose of this study, the above models were used.


Where:

βo = the intercept expected value of y when x is equal to zero.

β = the Coefficient of the independent variable (it is the rate of change in y with respect to x).

µ = the error term to accommodate the effect of other variables that can influence customer satisfaction, but which were not included in the model.


Analysis and Result

Validity and Reliability Test

The study via principal component analysis conducted factor analysis to ascertain the overall adequacy and validity of the instrument. A Kaiser-Meyer-Olkin (KMO) statistic greater than 0.72 confirmed the suitability of the items for factor analysis since (Hair, Black, Babin & Anderson, 2018; Onamusi, 2020). The factor loadings of these items were used to establish the Average Variance Extracted (AVE) and the composite reliability. The result showed that customer engagement (CA= 0.78, CR= 0.82, AVE= 0.55), innovation capability (CA= 0.83, CR= 0.87, AVE= 0.63), marketing capability (CA= 0.78, CR= 0.86, AVE= 0.61), new product development (CA= 0.83, CR= 0.85, AVE= 0.59), and customer satisfaction (CA= 0.92, CR= 0.94, AVE= 0.63) where above the acceptable threshold.


In addition, the HTMT criterion was used to assess the discriminant validity for all the reflective construct. According to Henseler, Ringle, and Sarstedt (2015), an acceptable approach to establish discriminant validity is through HTMT ceterion which measured the average correlations of the indicators across constructs. Henseler et al., (2015) posited that where the HTMT values for all the reflective construct is below 0.90, then discriminant validity has been established between the reflective constructs. Table 3.1 presented the HTMT criterion for this study.

Table 1: Discriminant Validity using Heterotrait-Monotrait Ratio (HTMT)


CE

IC

MC

NPD

CS

Customer Engagement






Innovation capability

0.875





Marketing capability

0.812

0.887




New product development

0.881

0.835

0.804



Customer Satisfaction

0.212

0.176

0.438

0.235


Source: Researcher’s Results (2020)

In concomitance with Henseler et al., (2015) threshold for establishing discriminant validy, all the construct in table 1 above had a HTMT values below 0.9 to suggest that discriminant validity has been established for all the reflective constructs in this study. Scholars have emphasised that both convergent validity (through AVE) and discriminant validity (through HTMT ceterion) are important measures of construct validity (Gaskin, Godfrey, & Vance, 2018; Henseler et al., 2015).

Table 2: Mean, Standard Deviation and Correlation for all Variables

Variable Name

Mean

SD

Customer Engagement

Innovation capability

Marketing capability

New product development

Customer Satisfaction

Customer Engagement

4.7274

.74658

1

.727**(0.000)

.596**(0.000)

.501**(0.000)

.113*(0.016)

Innovation capability

4.8085

.75741


1

.754**(0.000)

.695**(0.000)

.214**(0.000)

Marketing capability

4.6490

.77433



1

.748**(0.000)

.032**(0.048)

New product development

4.9164

.85550




1

.177**(0.000)

Customer Satisfaction

4.6518


.76133






1

Source: Author’s computation using SPSS V23 Correlation is significant at the 0.01 level (2-tailed).


Table 3: Summary of multiple regression analysis for the relative effect of organisational capability dimensions on customer satisfaction

Model

Beta

t

Sig.

R

R2

Adj. R2

F

Anova Sig:


(Constant)

5.376

28.849

0.000

0.152a

0.023

0.014


2.628 (4,447)



0.000

Customer Engagement

0.116


2.220


0.027







New Product Development

0.009


0.151


0.880







Marketing Capability

0.118


1.638


0.102







Innovation Capability

-0.079


-1.227


0.221







a. Predictors: (Constant), Organisational capability dimensions: Customer Engagement, New Product Development, Marketing Capability, and Innovation Capability

b. Dependent Variable: Customer satisfaction

Source: Researcher’s Results (2020)


In the Table 1 above, the relative effect of organisational capabilities on customer satisfaction was examined. Hence, the result of the multiple regression shows that organisational capability dimensions accounted for lowly 1.4% of the variance recorded in customer satisfaction (Adj. R2 = 0.014, F=2.628 (4,447), p= 0.000) leaving the remaining 98.6% to extraneous variables not considered in this study. Also, the unstandardized beta coefficients which revealed the relative effect of each of the dimensions of organisational capability on customer satisfaction showed that at 95% confidence level, Customer Engagement (β = 0.116, t=2.220, p= 0.00) was statistically significant. However, New Product Development (β = 0.009, p=0.880), marketing capability (β = 0.118, p=0.102) and Innovation Capability (β = -0.079, p=0.221), had statistically insignificant effect on customer satisfaction of selected manufacturers of baby-care products in Lagos State. In all, this result shows that organisational capability dimensions (customer engagement, new product development, marketing capability, and innovation capability) had very weak positive and significant effect on customer satisfaction of the selected manufacturers of baby-care products in Lagos State.

Discussion, Conclusion, and Recommendation

Conceptually, ownership and the deployment firm-level competences conceptualized as firm-specific capabilities are considered possible factors that enhance business performance (Roya et al., 2018; Basuil & Datta, 2019). This study’s finding found support in empirical studies. Roya et al., (2018), revealed that to develop motivated and satisfied customers, firms need to build trust, treat customers fairly and engage in value co-creation activities. This findings, upheld Mahr, Lievens, and Blazevic, (2014) submission, that Co-creation activity positively influences organisational performance through providing the opportunity to understand the customer desires (Carbonell & Rodriguez-Escudero, 2014) and to meet them with the right market offering (Brady, Davies, & Gann, 2005). These chains of activities should make customers happy and consequently satisfied. 

 

Elbedweihy et al., (2016) found that when customers acknowledged a brand, they tend to overlook adverse report concerning such product. This buttresses the point that firms who build a positive relationship with their customer enjoy more from the relationship. More so through relationship building, the organisation shares knowledge which enables the customer to uncover firms' unique capabilities and present value co-creation prospects that drive customer satisfaction (Johansson, Raddats, & Witell, 2019; Kohtamäki & Partanen, 2016). Although the research context in Roya et al., (2018) and Elbedweihy et al., (2016) differ in terms of the unit of analysis, the procedures for data collection and analysis, yet, the highlight of their findings showcase the relevance of ensuring that customers are satisfied. Mainly because organisations have been set up to cater for various human needs and how well they meet these needs or exceeds them, is sacrosanct to the going-concern of this organisation.


Although the research context in Ateke and Iruka (2015) differ from Elbedweihy et al., (2016), yet the scholars found the existence of a significant positive relationship between customer involvement management and customer satisfaction. The highpoint of these several studies is that they accentuated the significance of customer engagement capability to organisational performance. Contrary finding was suggested by Beckers et al., (2017). The scholar found that customer engagement initiative decreased the firm’s market appeal because of the risk of the initiative backfiring on the organisation's brand equity. Although Anning-Dorson (2018) study did not support Beckers et al., (2017), neither did it present support for the findings of this study. Anning-Dorson (2018) established that customer involvement capability is not a first-order capability that drives customer satisfaction, profit, and market share. Explicitly, the study posits that the customer involvement capability is a second-order competency whose performance effect was explained by first-order proficiency such as innovation capability. 


The study concludes that organisational capability dimensions had positive and weak effect on customer satisfaction. On the basis of these findings, this study recommended that firms should strengthen their commitment to the development of critical and dynamic organisational capability in customer engagement, new product development, marketing capability, and innovation capability. This is because these capabilities have been documented in extant literature to possess the potential for improving customer satisfaction.


Acknowledgements

We like to acknowledge the department of management and accounting Lead City University, Ibadan and the department of business administration and marketing Babcock University Ilishan-Remo for creating the platform for developing research capacity. We appreciate Prof. Asikhia, Olalekan and Prof. Binuyo, Kunle of the department of Business Administration and Marketing Babcock University for taking time to review this paper.

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