Many manufacturers implement a dual channel strategy, which can be defined as the simultaneous use of integrated and independent channels of distribution for the same product line. This study employs the resource-based theory and examines how manufacturers' and distributors' capabilities affect manufacturers' choices of dual channel strategy. The study also examines how fit between organisational capability and channel structure affects channel system performance.
Empirical testing was conducted using survey data collected from 262 Japanese business-to-business manufacturers. This study performed a multinomial logistic regression analysis to examine the antecedents of dual channel strategy and a t-test to examine its performance implications.
The results show that manufacturers' information capabilities and the availability of distributors' selling capabilities affect whether manufacturers choose a dual channel strategy, and that market turbulence moderates the effects of these two capability factors. The results also indicate that manufacturers can improve their channel system performance by choosing channel strategies that fit organisational capabilities.
Most previous studies employ transaction cost theory to identify the factors driving the choice of dual channel strategy. However, these studies neglect the heterogeneity of resources/capabilities. Little is known about whether capability factors affect the dual channel strategy, and how this choice can be linked to channel system performance. By addressing this knowledge gap, this study contributes to enhance our understanding of dual channels.
The author would like to gratefully thank Prof. Akinori Ono (Keio University) and Prof. John W. Cadogan (Loughborough University and Keio University) for their helpful assistance and valuable comments. The author also thanks Dr. Sho Yuki (Kobe University) and the two anonymous reviewers for providing valuable insights and constructive comments. The author appreciates financial support provided by JSPS KAKENHI Grant Numbers JP17J03156 and JP20K13619. All remaining errors are the sole responsibility of the author.
Ishii, R. (2020), "Manufacturers' and distributors' capabilities influencing dual channel choice", Marketing Intelligence & Planning, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/MIP-06-2019-0336Download as .RIS
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