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Article
Publication date: 26 January 2021

Van Thac Dang, Ninh Nguyen and Jianming Wang

A review of 67 articles in the indoor environmental quality (IEQ) literature published from 2010 to 2020 reveals that none of prior studies have determined the IEQ of physical

2218

Abstract

Purpose

A review of 67 articles in the indoor environmental quality (IEQ) literature published from 2010 to 2020 reveals that none of prior studies have determined the IEQ of physical retailers and its impact on consumers. To fill such a gap, this study investigates the influence of physical retailers' IEQ on consumer purchase intention. The mediating roles of hedonic experience and perceived brand value (PBV) in this relationship are also determined. Furthermore, the moderating effect of perceived service quality (PSQ) on the link between physical retailers' IEQ and PBV is clarified in this study.

Design/methodology/approach

This study uses structural equation modeling (SEM) to analyze a sample data of 996 consumers in China.

Findings

Results show that physical retailers' IEQ has a positive impact on consumer purchase intention. Hedonic experience mediates the link between IEQ and purchase intention. PBV also mediates the relationship between IEQ and purchase intention and that between hedonic experience and purchase intention. In addition, PSQ moderates the relationship between IEQ and PBV.

Originality/value

To the best of the authors’ knowledge, this study is the first to determine the impact of IEQ on consumers in the physical retailer context. Specifically, this study enriches our knowledge about the relationship between physical retailers' IEQ and consumer purchase intention with the mediating and moderating mechanisms of hedonic experience, PBV and PSQ. The findings fill the research gaps in the IEQ literature that has ignored the impact of IEQ on consumers' perception and behavioral intention in the physical retailer context. Furthermore, this research provides evidence for retailer managers to understand and improve physical stores' IEQ.

Details

International Journal of Retail & Distribution Management, vol. 49 no. 6
Type: Research Article
ISSN: 0959-0552

Keywords

Article
Publication date: 4 July 2016

Rafay Ishfaq, C. Clifford Defee, Brian J Gibson and Uzma Raja

The purpose of this paper is to identify the realignment of the physical distribution process for store-based retailers in their efforts to integrate the online channel into their…

8884

Abstract

Purpose

The purpose of this paper is to identify the realignment of the physical distribution process for store-based retailers in their efforts to integrate the online channel into their business model. Multiple attributes of the physical distribution process are evaluated to identify associations with order fulfillment methods adopted by omni-channel retailers.

Design/methodology/approach

A multi-method approach is used which includes qualitative evaluation of 50 interviews of supply chain executives from large retailers. Additionally, secondary data about firm size, store and distribution networks, online sales, distribution configuration, and order delivery options are used. The findings of qualitative analysis are incorporated into a quantitative classification-tree analysis to identify associations among distribution attributes, order fulfillment methods and order delivery services.

Findings

Retailers are developing a consistent omni-channel physical distribution process in which stores undertake a bigger role in order fulfillment and delivery. Level of online sales, size of distribution network, number of sales associates at a store, and number of years engaged in the online channel are identified as having strong associations with the type of order fulfillment method used by omni-channel retailers. The study finds that retailers are focussed on integrating their store and DC inventories and have the benefit of scale with a large store network.

Practical implications

Retailers are reconfiguring their physical distribution processes in the complex omni-channel environment can use the findings of this study to evaluate their strategy and identify the level of realignment effort that is needed. A better understanding of the requirements of physical distribution in an omni-channel setting will guide retailers in developing requisite operational capabilities.

Originality/value

This paper provides a first in-depth look at order fulfillment choices in omni-channel retail and identifies efforts that are underway to realign key elements of the physical distribution process.

Details

International Journal of Physical Distribution & Logistics Management, vol. 46 no. 6/7
Type: Research Article
ISSN: 0960-0035

Keywords

Article
Publication date: 26 February 2021

Heng Xu, Xuliang Wu and Yatian Liu

This paper aims to theoretically investigate an online company’s optimal decision on its offline expansion strategy. In the past five years, many large online retailers and…

Abstract

Purpose

This paper aims to theoretically investigate an online company’s optimal decision on its offline expansion strategy. In the past five years, many large online retailers and internet-based companies such as Amazon, Google, Alibaba, Tencent and JD.com have expanded their offline market but it was observed that they adopted different expansion strategies. Specifically, some of them expand the offline market by acquiring offline retailers, while some do so by purchasing a portion of offline retailer’s stake. This difference leads to a quite different structure in post-expansion market, having an impact on profit, consumer surplus and social welfare. The goal of this paper is to model such expansion strategies in a general way and complete studies on profits and welfare.

Design/methodology/approach

By constructing a Salop model with two offline retailers and one online company, this paper analyzes the case where the online company can expand its offline market by either acquiring or jointing (e.g. stakeholding) with one offline retailer. The former strategy (named Strategy A) allows the online company to fully control and capture residual claims of the offline retailer. With the adoption of the latter strategy (named Strategy C), on the other hand, the online company can obtain a fixed proportion of its offline partner’s quasi rent. In the price competition, the online company chooses its optimal offline expansion strategy by predicting its profit in the post-expansion market.

Findings

This paper found that the equilibrium crucially depends on the synergy effect due to online–offline integration, and such synergy also influences both consumer and social welfare. This study shows the various conditions on the synergy that affect an online company moves toward offline markets. Accordingly, this finding can assist online companies with or without retailing business to choose an optimal strategy when expanding offline markets. Moreover, by doing some necessary welfare analysis, this study shows that the online company’s offline expansion is not always benefiting consumers nor be socially desirable, which may shed some lights on the possible competition policy in the case where online companies practice in offline expansion.

Originality/value

Different from conventional wisdom in online-offline integration, the theory indicates that the offline expectation of online company may not always benefit consumers nor be socially desirable. Moreover, the findings also shed some lights on the possible competition policy in the case where online companies practice in offline expansion.

Details

Kybernetes, vol. 51 no. 1
Type: Research Article
ISSN: 0368-492X

Keywords

Article
Publication date: 10 July 2020

Ching-Hsuan Yeh, Hsin-Hui Lin, Yu-Ling Gau and Yi-Shun Wang

To examine the effectiveness of a multichannel strategy, this study mainly investigates two issues: (1) whether customers' five value perceptions (i.e. product quality, service…

1764

Abstract

Purpose

To examine the effectiveness of a multichannel strategy, this study mainly investigates two issues: (1) whether customers' five value perceptions (i.e. product quality, service quality, innovation, price and store image) extend from e-stores to physical stores and (2) whether customers' five value perceptions derived from e-stores/physical stores facilitate purchase intention within and beyond the channel context.

Design/methodology/approach

This study develops a research model to elaborate on the relationships between the focal constructs and collects 177 useable responses via an online community and personal contacts survey. Partial least squares structural equation modeling (PLS-SEM) methods and mediation analyses are conducted to validate the proposed hypotheses.

Findings

The results show that the values perceived in e-stores/physical stores generally motivate online/offline purchase intention, respectively. Next, based on Tversky's belief/feature matching process, the five value perceptions correlate with their counterparts across online and offline channels. The results of the mediation analyses suggest that the advantages established in online channels may be contagious to offline channels at the belief level. Specifically, four of the five online value perceptions may have different effects on offline purchase intention: (1) product quality perceived in e-stores directly (negative) and indirectly (positive) results in offline purchase intention, demonstrating cannibalization effects and (2) service quality, innovation and store image perceived in e-stores indirectly and positively contribute to offline purchase intention, indicating synergetic effects.

Originality/value

The findings of this study provide several important theoretical and practical implications for multichannel and omnichannel retailing strategies.

Details

Journal of Enterprise Information Management, vol. 35 no. 6
Type: Research Article
ISSN: 1741-0398

Keywords

Article
Publication date: 16 March 2021

Sina Hardaker and Ling Zhang

The paper aims to investigate the new market entry strategy of the international grocery retailers Aldi Süd and Costco in China; analyzing if and how their prior-online market…

2431

Abstract

Purpose

The paper aims to investigate the new market entry strategy of the international grocery retailers Aldi Süd and Costco in China; analyzing if and how their prior-online market entry reflects a strategic response to organizational challenges in the Chinese market, which is a pioneer in the use of digital technologies and the provision of digital services.

Design/methodology/approach

The article identifies major challenges faced by international grocery retailers in China and discusses these with the help of the conceptual approach of embeddedness. The paper is based on expert interviews with senior executives of the two international retailers and other retail specialists and consultants.

Findings

The prior-online market entry by Aldi Süd and Costco represents a strategic response to organizational challenges that have to be faced in an increasingly challenging and highly digitalized Chinese market. Prior-online market entry allows the two retailers to experiment with the unique and heterogeneous Chinese market and build network and territorial embeddedness to facilitate the establishment of the physical store network. Both retailers utilize online stores to build relation and network with suppliers and customers and to understand Chinese consumer preferences. Yet, the localization strategy of Aldi Süd and Costco vary greatly.

Originality/value

Grocery retailers' prior-online expansion strategy has not yet been the focus of academic research. In regard to global grocery retailers, such as Aldi Süd and Costco, previous research argued that they were prepared to accept a lower expansion speed in order to expand at minimum risk and cost and mainly in countries which are regarded as having higher cultural proximity. The paper reveals the potential of the prior-online market entry strategy to change the internationalization behavior of grocery retailers. In addition, it contributes to the understanding of the evolution of market entry strategy into advanced digital economies in the coming new decade.

Details

International Journal of Retail & Distribution Management, vol. 49 no. 7
Type: Research Article
ISSN: 0959-0552

Keywords

Article
Publication date: 14 September 2012

Sameer Kumar, Jessica Eidem and Diana Noriega Perdomo

The motivation for this paper arises from the evolution of the e‐commerce which has provided new means for retailers to serve customers. Pure e‐tailers and clicks‐and‐mortars are…

7207

Abstract

Purpose

The motivation for this paper arises from the evolution of the e‐commerce which has provided new means for retailers to serve customers. Pure e‐tailers and clicks‐and‐mortars are two business models of this new paradigm. It aims to study the particularities of pure e‐tailer (Amazon.com) and clicks‐and‐mortars (Walmart) with special focus on their dot com supply chains.

Design/methodology/approach

Strengths, weaknesses, oppositions, threats (SWOT), the Five Forces Model and Financial Performance Metrics analyses were used to draw comparisons and contrasts between Walmart.com and Amazon.com supply chains.

Findings

The paper finds that both companies serve their customers effectively through their efficient supply chains; however, due to the infancy of e‐commerce, both business models still face important challenges.

Originality/value

Amazon.com and Walmart.com have different supply chain models, as well as, strengths and weaknesses. They both face the same opportunities and threats as the e‐commerce industry grows rapidly. Analysis shows how lessons from one business entity can be applied to the other in order to bring even more efficiencies to both e‐tailers’ and clicks and mortars’ supply chains.

Details

International Journal of Productivity and Performance Management, vol. 61 no. 7
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 26 June 2019

Emmelie Gustafsson, Patrik Jonsson and Jan Holmström

In retail, product fitting is a critical operational practice. For many products, the operational outcome of the retail supply chain is determined by the customer physically…

1708

Abstract

Purpose

In retail, product fitting is a critical operational practice. For many products, the operational outcome of the retail supply chain is determined by the customer physically fitting products. Digital product fitting is an emerging operational practice in retail that uses digital models of products and customers to match product supply to customer requirements. This paper aims to explore potential supply chain outcomes of digitalizing the operational practice of product fitting. The purpose is to explore and propose the potential of the practice to improve responsiveness to customer requirements and the utilization of existing variety in mass-produced products.

Design/methodology/approach

A maturity model of product fitting is developed to specify three levels of digitalization and potential outcomes for each level. Potential outcomes are developed based on empirical data from a case survey of three technology-developing companies, 13 retail cases and a review of academic literature.

Findings

With increasing maturity of digital product fitting, the practice can be used for more purposes. Besides matching product supply to customer demand, the practice can improve material flows, customer relationship management, assortment planning and product development. The practice of digital product fitting is most relevant for products where the final product configuration is difficult to make to order, product and customer attributes are easily measurable and tacit knowledge of customers and products can be formalized using digital modeling.

Research limitations/implications

Potential outcomes are conceptualized and proposed. Further research is needed to observe actual outcomes and understand the mechanisms for both proposed and surprising outcomes in specific contexts.

Practical implications

The maturity model helps companies assess how their operations can benefit from digital product fitting and the efforts required to achieve beneficial outcomes.

Originality/value

This paper is a first attempt to describe the potential outcomes of introducing digital product fitting in retail supply chains.

Details

Supply Chain Management: An International Journal, vol. 24 no. 5
Type: Research Article
ISSN: 1359-8546

Keywords

Article
Publication date: 11 July 2020

Van Thac Dang, Ninh Nguyen and Jianming Wang

Anchored on social trust theory, social identity theory and signalling theory, this study investigates the process of how consumers respond to online retailers' corporate social…

3308

Abstract

Purpose

Anchored on social trust theory, social identity theory and signalling theory, this study investigates the process of how consumers respond to online retailers' corporate social responsibility (CSR).

Design/methodology/approach

Following the hypo-deductive research design, a unique model was developed to link online retailers' CSR with consumer purchase intention through brand identification and word of mouth (WOM). This model was subsequently tested and validated by conducting an online survey to 239 customers of a major online retailer in China, that is, JD.com.

Findings

Analysis using structural equation modelling demonstrates that online retailers' CSR is positively associated with consumer purchase intention, and brand identification positively mediates such an association. In addition, WOM exhibits a mediating effect on the relationship between perceived online retailers' CSR and consumer purchase intention and between brand identification and consumer purchase intention.

Practical implications

Online retailers must endeavour to employ CSR as a strategy to enhance consumer purchase intention and behaviour. Moreover, they should develop communication programmes that highlight their engagement in CSR activities to improve their brand image and facilitate consumers' positive WOM.

Originality/value

To the best of the researchers' knowledge, this study is the first to examine the mediating roles of brand identification and WOM in the relationship between online retailers' CSR and customer purchase intention. Furthermore, this study extends current knowledge about online retailers' CSR and its potential impact in emerging economies by focussing on the context of China.

Details

International Journal of Retail & Distribution Management, vol. 48 no. 12
Type: Research Article
ISSN: 0959-0552

Keywords

Book part
Publication date: 26 November 2020

Beyza Gultekin and Sabri Erdem

This study explores the importance of application search engine (ASE) technology in the omni-channel strategy. For this purpose, this chapter firstly explains the concepts of the…

Abstract

This study explores the importance of application search engine (ASE) technology in the omni-channel strategy. For this purpose, this chapter firstly explains the concepts of the omni-channel and the search engines and the importance of them. Then, omni-channel in the framework of ASEs is discussed. Finally, recommendations for further researches are presented.

Details

Managing Customer Experiences in an Omnichannel World: Melody of Online and Offline Environments in the Customer Journey
Type: Book
ISBN: 978-1-80043-389-2

Keywords

Article
Publication date: 5 August 2020

Isabella Maggioni, Sean James Sands, Carla Renee Ferraro, Jason Ian Pallant, Jessica Leigh Pallant, Lois Shedd and Dewi Tojib

For consumers, cross-channel behaviour is increasingly prevalent. Such behaviour involves consumers actively engaging in (and deriving benefit) from one channel during a product…

1298

Abstract

Purpose

For consumers, cross-channel behaviour is increasingly prevalent. Such behaviour involves consumers actively engaging in (and deriving benefit) from one channel during a product search but switching to another channel when making a purchase. Drawing on multi-attribute utility theory, this study proposes a cross-channel behaviour typology consisting of three key aspects: channel choice behaviour, functional and economic outcomes and consumer-specific psychographic and demographic variables.

Design/methodology/approach

Segmentation analysis conducted via latent class analysis (LCA) was performed on a sample of 400 US consumers collected via an online survey.

Findings

Cross-channel behaviour is not always intentional. We identify a specific segment of consumers that most often engage in unplanned, rather than intentional, cross-channel switching. We find that of all shoppers that engage in cross-channel behaviour, a fifth (20%) are forced to switch channels at the point of purchase.

Practical implications

Cross-channel behaviour can be mitigated by retailers via a deep understanding of the driving factors of different configurations of showrooming and webrooming.

Originality/value

In contrast with existing conceptualisations, this study suggests that cross-channel behaviour often stems from consumers being “forced” by factors outside of their control, but within the retailers' control. This research presents a nuanced approach to decompose consumer cross-channel behaviour from the consumer perspective as planned, forced or opportunistic.

Details

International Journal of Retail & Distribution Management, vol. 48 no. 12
Type: Research Article
ISSN: 0959-0552

Keywords

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