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The purpose of this paper is to investigate empirically the critical factors for the diffusion of web technologies in supply chain management (SCM) functions, based on the technology‐organizational‐environment model, and to identify the benefits resulting from diffusion.

Data were collected, via an internet survey, from 251 respondents, ranging from middle‐level to top‐level managers, from firms which currently utilize web technologies for their supply chain activities. Structural equation modelling was employed for five factors: relative advantage; competitive pressure; complexity; trialability; and top management support, which have been hypothesized to affect the diffusion of web technologies in SCM functions.

The results suggest that all the factors except trialability are significant predictors of web technologies' diffusion in supply chain functions. The results show also that by diffusing web technologies, organizations can enhance their supply chain activities.

The survey was conducted in a Malaysian context, using a limited set of variables, thus limiting the generalizability of the findings.

This study provides a greater understanding of managers' perception of web technology diffusion in their organizational SCM functions, and benefits realizing from diffusion of web technology, such as operational efficiency.

Those interested in adopting web technologies in their supply chain activities may find these results helpful in guiding their efforts.

The purpose of this paper is to examine the effect of explanation on customer satisfaction in the service failure stage. It seeks to better understand the dynamics of consumer repurchase intention through a mediating effect of customer satisfaction.

A structured questionnaire was e-mailed to collect the primary data. With three reminders, this study managed to obtain 322 responses from customers who complained about their internet service in Malaysia. Structural equation modelling techniques were applied to examine both direct and mediating effects between variables.

Results reveal that all four dimensions of explanation have significant partial mediating effect on repurchase intention through customer satisfaction. Results also disclose that there is no significant relationship between excuse and customer satisfaction in service failure. Among all dimensions, reference and apology have higher influence on repurchase intention through customer satisfaction.

The results are particularly valuable for managers, as it supports the role of using explanation as a practical tool for fostering positive and profitable outcomes like repeat customer purchases.

The findings of this study will help organisations rethink their explanation strategies with the eye to foster greater customer repurchase intention.

The results are particularly valuable for managers, as they support the role of using explanation as a practical tool for fostering positive and profitable outcomes like repeat customer purchases.