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Article
Publication date: 2 June 2020

Fu Jia, Dun Li, Guoquan Liu, Hui Sun and Jorge E. Hernandez

This study explores how sharing platforms achieve platform loyalty through various operation management strategies.

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Abstract

Purpose

This study explores how sharing platforms achieve platform loyalty through various operation management strategies.

Design/methodology/approach

A multiple case study method has been conducted in two Chinese sharing economy industries: ride- and bike-sharing. Data were collected through 30 semi-structured interviews with managers from four platform companies (DiDi, Uber China, ofo and Mobike). Individual case studies were developed from the triangulation of all existing data. Concurrent with the development of these individual case studies was a cross-case analysis. Emerging patterns have been identified and compared to previous findings in the literature to build upon and modify the existing knowledge base and to formulate a series of propositions.

Findings

Platform asset characteristics and mergers and acquisitions affect supply network readiness and operational capacity, respectively, and this effect would consequently contribute to achieving platform loyalty through user satisfaction. Moreover, externality, as a moderator, may influence the strength of the relationship between satisfaction and platform loyalty.

Practical implications

The proposed theoretical model provides an overarching framework for sharing platform companies to design and operate their businesses while carefully examining the situations, contexts and actions of users and other stakeholders and choosing an appropriate strategic mechanism to drive platform growth.

Originality/value

This study is one of the first to empirically explain how firms in a sharing economy sector could gain platform loyalty by adopting an expectation–confirmation theory perspective.

Details

International Journal of Operations & Production Management, vol. 40 no. 7/8
Type: Research Article
ISSN: 0144-3577

Keywords

Expert briefing
Publication date: 2 August 2022

This review was launched just over a year ago, after Didi's USD4.4bn listing on the New York Stock Exchange -- the largest IPO by a Chinese firm since Alibaba's in 2014 (USD25bn)…

Details

DOI: 10.1108/OXAN-DB271843

ISSN: 2633-304X

Keywords

Geographic
Topical
Case study
Publication date: 20 April 2020

Geeta Singh, Rishi Dwesar and Satish Kumar

The purpose of this paper is to explore all the strategies adopted by Uber China to gain more and more market shares of Chinese markets. It included localization of its core…

Abstract

Theoretical basis

The purpose of this paper is to explore all the strategies adopted by Uber China to gain more and more market shares of Chinese markets. It included localization of its core product, adaptation to Chinese demands and tying up with different Chinese companies.

Research methodology

The case study has been prepared after thoroughly studying Uber’s business in China. Secondary data is collected from credible sources such as the Uber website, newspapers, interviews and journal publications. This data helped in arriving at a basic understanding of the company, its objectives, strategies and the business model. The strategies formulated by Uber and the challenges it faced while operating in China are studied and explained based on this secondary data. Various published papers, reports released by reputed organizations and universities, interviews of managers and experts and research papers were also used to develop this case.

Case overview/synopsis

This case is developed considering the bent of today’s consumers toward sharing economy. The scope of businesses based on the concept of sharing economy is very wide and is increasing. China’s sharing economy sector was one of the fastest economies in the world. The case chronicles ride of Uber in China: from its entry in the country, strategies adopted, challenges faced and to the exit from China.

Complexity academic level

International business management at the undergraduate and postgraduate programs in management

Details

The CASE Journal, vol. 16 no. 2
Type: Case Study
ISSN:

Keywords

Article
Publication date: 4 December 2020

Minhua Wu and Stern Neill

In China, with the rapid dissemination of mobile communications technology along with congested traffic and increasingly expensive transportation costs, consumers are turning to…

Abstract

Purpose

In China, with the rapid dissemination of mobile communications technology along with congested traffic and increasingly expensive transportation costs, consumers are turning to smartphone-enabled, ride-sharing services. Sharing economy requires trust in strangers. Based on trust transfer theory and a dyadic conceptualization of trust from cognitive to affective, the purpose of this study is to examine trust building through the use of Didi, a third-party, ride-sharing platform that mediates exchanges among strangers.

Design/methodology/approach

Structural equation modeling (SEM) results based on 242 observations indicate that the platform functions as an important enabler of trust, which influences a consumer's behavioral intention.

Findings

Specifically, Didi's reputation and security assurance have a positive influence on passengers' cognitive trust in drivers. There is also evidence that the interaction as mediated by the app between passengers and drivers helps the formation of affective trust, while the results do not support a relationship between cognitive and affective trust.

Originality/value

The research findings address trust transference between participants in the sharing economy and its effects, which have significant theoretical and practical implications and offer opportunities for future research in other sectors of the sharing economy.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 33 no. 6
Type: Research Article
ISSN: 1355-5855

Keywords

Abstract

Details

Multinational Companies in China
Type: Book
ISBN: 978-1-78714-547-4

Article
Publication date: 15 August 2022

Xiaobi Zheng, Jiayue Qian and Danbo Chen

Many newly established Internet loss-making enterprises (NEILEs) are always willing to expand overseas within a very short time from their establishment. This phenomenon is…

Abstract

Purpose

Many newly established Internet loss-making enterprises (NEILEs) are always willing to expand overseas within a very short time from their establishment. This phenomenon is becoming a hot research area. This paper aims to explore why these enterprises are always willing to expand overseas rapidly even if they are facing severe and persistent losses, and to study the different rapid internationalization modes and the international market entry ways for NEILEs.

Design/methodology/approach

This paper constructs a theoretical framework with the dual situation of negative attainment discrepancy and advantageous slack resources to explain the rapid internationalization of NEILEs. Furthermore, cross-case comparative analysis method, based on interviews, questionnaires and secondary data collection, is adopted to reveal the rapid internationalization modes and the international market entry ways of such enterprises.

Findings

Whether blocking competitors or seeking opportunities or both, NEILEs' goal of rapid internationalization depends on the severity and persistence of negative attainment discrepancy. When the severity and persistence of negative attainment discrepancy are very significant, moderate and mild, NEILEs choose sniper-type, opportunity-type and dual-type internationalization target mode in turn; it is very important for NEILEs to match advantageous slack resources and international market entry ways to achieve specific internationalization goals.

Research limitations/implications

This paper enriches the understanding of NEILEs' transnational entrepreneurial behavior in the era of digital economy. The theoretical contribution of this paper is that the authors build a theoretical framework based on the logical starting point, the logical fulcrum and the logic ending point for understanding the rapid internationalization of NEILEs.

Practical implications

This study demonstrates that NEILEs can also expand into foreign markets according to their own characteristics. Undoubtedly, they need to choose appropriate internationalization target mode and international market entry way in line with the extent and duration of their losses, and their advantageous slack resources.

Originality/value

In this paper, the authors construct the rapid internationalization theory of NEILEs based on the dual situation of negative attainment discrepancy and advantageous slack resources in digital economy era. Moreover, the authors discover the behavioral characteristics and patterns of NEILEs' transnational entrepreneurship.

Details

International Journal of Entrepreneurial Behavior & Research, vol. 28 no. 8
Type: Research Article
ISSN: 1355-2554

Keywords

Article
Publication date: 4 April 2019

Zhen Shao and Hao Yin

Drawing upon institution-based trust theory, the purpose of this paper is twofold: firstly, to examine the joint influences of legally binding and market-driven institutional…

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Abstract

Purpose

Drawing upon institution-based trust theory, the purpose of this paper is twofold: firstly, to examine the joint influences of legally binding and market-driven institutional mechanisms in promoting customers’ trust and continuance intention in the ridesharing platform; and secondly, to examine if there exists a trust transfer mechanism between institution-based trust and interpersonal trust.

Design/methodology/approach

An online survey was conducted in China and data were collected from 307 customers in DiDi, which is one of the largest ridesharing platforms in China. Structural equation modeling statistical method was used to test the theoretical model and research hypotheses.

Findings

The empirical results suggest that market-driven institutional mechanisms, regarding feedback and surge pricing, have strong influences on customers’ trust in the ridesharing platform. In addition, legally binding institutional mechanisms, regarding payment security and driver certification, are also beneficial to promote customers’ trust. Furthermore, there is a trust transfer between customers’ trust in the platform and trust in the driver.

Practical implications

This study provides guidelines to the administrators of the ridesharing platform to establish effective institutional mechanisms. In particular, the platform can appropriately adopt and implement the legally binding mechanisms combined with market-driven mechanisms on the platform, in order to enhance customers’ trust and promote their subsequent transaction behaviors.

Originality/value

This study enriches and extends the extant literature of institution-based trust from e-commerce to the sharing economy by identifying four significant institutional mechanisms. Furthermore, this study presents a new perspective of customer trust (one-to-many) in the context of ridesharing and uncovers the transfer mechanism between institution-based trust and interpersonal trust.

Details

Internet Research, vol. 29 no. 5
Type: Research Article
ISSN: 1066-2243

Keywords

Expert briefing
Publication date: 2 August 2021

China’s ride-hailing major Didi was targeted by the Cyberspace Administration of China (CAC) ahead of its initial public offering (IPO) on June 30. It is complying with the…

Details

DOI: 10.1108/OXAN-DB263188

ISSN: 2633-304X

Keywords

Geographic
Topical
Case study
Publication date: 26 February 2024

Zhiyong Yao, Kun Lin and Yixuan Huang

The tech giants Alibaba and Tencent compete on many fronts. This case focuses on three areas where they have competed very hard: new retailing, mobile payment, and ride-hailing…

Abstract

The tech giants Alibaba and Tencent compete on many fronts. This case focuses on three areas where they have competed very hard: new retailing, mobile payment, and ride-hailing. At the beginning of 2018, Alibaba and Tencent were gathering retail investments in bids to battle each other for shoppers' digital wallets. Key to the battle is China's mobile payment market, worth more than 200 trillion RMB, where Alibaba and Tencent are going head to head. The giants are not only directly competing in the payment platform area but also extensively fighting in other areas, such as ride-hailing, where they invested in and supported Didi and Kuaidi, respectively. To enhance understanding, this case also briefly goes through the history of the two giants. The purposes, methods, and consequences of their platform competition deserve an in-depth discussion

Details

FUDAN, vol. no.
Type: Case Study
ISSN: 2632-7635

Article
Publication date: 2 February 2023

Jing Zhang, Linghua Zhang and Bei Ma

This study examines how customer loyalty among DiDi users in China is affected by two types of online social interaction (transactional and interpersonal) and how the online…

Abstract

Purpose

This study examines how customer loyalty among DiDi users in China is affected by two types of online social interaction (transactional and interpersonal) and how the online interaction–customer loyalty relationship is mediated by three kinds of perceived benefits (functional, social-hedonic and safety).

Design/methodology/approach

This study empirically examines research hypotheses based on a questionnaire survey of 428 DiDi consumers.

Findings

The results reveal that transactional interactions significantly enhance customer loyalty among DiDi users via the partial mediating effects of customers' perceived functional, social-hedonic and safety benefits. By contrast, interpersonal interactions do not directly influence customer loyalty, and only social-hedonic benefits fully mediate the positive influence of interpersonal interactions on loyalty.

Originality/value

This study contributes to the theoretical development of interactive marketing management by examining how two types of online social interactions contribute to customer loyalty on sharing economy platforms by influencing the perception of benefits. It also provides useful managerial insights to help ride-sharing platforms design online social interaction functions that improve customer perceptions and loyalty.

Details

Journal of Research in Interactive Marketing, vol. 17 no. 5
Type: Research Article
ISSN: 2040-7122

Keywords

1 – 10 of 328