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Article
Publication date: 15 February 2023

Eleftherios Aggelopoulos and Ioannis Lampropoulos

This paper aims to investigate the impact of acquisition and organic growth on the operating efficiency and total factor productivity change of retailing networks.

Abstract

Purpose

This paper aims to investigate the impact of acquisition and organic growth on the operating efficiency and total factor productivity change of retailing networks.

Design/methodology/approach

The assessment uses low-frequency data of newly opened stores and acquired stores of a large supermarket (S/M) network in Athens, for a period (financial year 2014) where the network began to refocus on its organic growth after a two-year period of deep recession (financial years 2012–2013). To evaluate the performance effects of both strategies, the authors employ the innovative benchmarking tool of bootstrap data envelopment analysis (DEA) for measuring operational efficiency and the Malmquist productivity index DEA approach for measuring productivity change over time.

Findings

The short-run evidence indicates that compared to organic growth, acquisitions lead to lower operating efficiency. However, this difference gradually converges over time as acquired stores show a higher rate of productivity compared to newly opened stores. The authors interpret this as a result of the smooth integration of the acquired chain store into the organizational structure of the existing store network given their significant similarities in terms of products and customers.

Practical implications

The authors inform managers of store chains that during the process of organic growth, a general improvement in efficiency takes place while in the case of acquisitions, the required post-acquisition streamlining actions cause a short delay on the realization of efficiency gains. Therefore, managers should not take it for granted that acquisitions cause a long-term decrease in efficiency.

Originality/value

The study contributes to the literature on growth strategies and retailing performance in general, by offering new evidence regarding the comparative effect of the horizontal growth modes on the efficiency of store chains.

Details

Benchmarking: An International Journal, vol. 31 no. 1
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 24 August 2023

Banumathy Sundararaman and Neelakandan Ramalingam

This study was carried out to analyze the importance of consumer preference data in forecasting demand in apparel retailing.

Abstract

Purpose

This study was carried out to analyze the importance of consumer preference data in forecasting demand in apparel retailing.

Methodology

To collect preference data, 729 hypothetical stock keeping units (SKU) were derived using a full factorial design, from a combination of six attributes and three levels each. From the hypothetical SKU's, 63 practical SKU's were selected for further analysis. Two hundred two responses were collected from a store intercept survey. Respondents' utility scores for all 63 SKUs were calculated using conjoint analysis. In estimating aggregate demand, to allow for consumer substitution and to make the SKU available when a consumer wishes to buy more than one item in the same SKU, top three highly preferred SKU's utility scores of each individual were selected and classified using a decision tree and was aggregated. A choice rule was modeled to include substitution; by applying this choice rule, aggregate demand was estimated.

Findings

The respondents' utility scores were calculated. The value of Kendall's tau is 0.88, the value of Pearson's R is 0.98 and internal predictive validity using Kendall's tau is 1.00, and this shows the high quality of data obtained. The proposed model was used to estimate the demand for 63 SKUs. The demand was estimated at 6.04 per cent for the SKU cotton, regular style, half sleeve, medium priced, private label. The proposed model for estimating demand using consumer preference data gave better estimates close to actual sales than expert opinion data. The Spearman's rank correlation between actual sales and consumer preference data is 0.338 and is significant at 5 per cent level. The Spearman's rank correlation between actual sales and expert opinion is −0.059, and there is no significant relation between expert opinion data and actual sales. Thus, consumer preference model proves to be better in estimating demand than expert opinion data.

Research implications

There has been a considerable amount of work done in choice-based models. There is a lot of scope in working in deterministic models.

Practical implication

The proposed consumer preference-based demand estimation model can be beneficial to the apparel retailers in increasing their profit by reducing stock-out and overstocking situations. Though conjoint analysis is used in demand estimation in other industries, it is not used in apparel for demand estimations and can be greater use in its simplest form.

Originality/value

This research is the first one to model consumer preferences-based data to estimate demand in apparel. This research was practically tested in an apparel retail store. It is original.

Details

Journal of Fashion Marketing and Management: An International Journal, vol. 28 no. 2
Type: Research Article
ISSN: 1361-2026

Keywords

Article
Publication date: 11 May 2023

Thamaraiselvan Natarajan and Deepak Ramanan Veera Raghavan

The post-purchase behavioral responses of omnichannel shoppers, who mainly rely on physical stores (acknowledged as a crucial channel in providing a seamless shopping experience…

Abstract

Purpose

The post-purchase behavioral responses of omnichannel shoppers, who mainly rely on physical stores (acknowledged as a crucial channel in providing a seamless shopping experience and fulfilling the dynamic needs of the shoppers), are still understudied. The purpose of this paper is to examine how integrated store service quality (ISSQ) can contribute to a more optimal shopping experience (cognitive, affective and relational) and have a subsequent impact on shoppers’ psychological ownership toward the store, resulting in the generation of (face-to-face, online and social media) word of mouth (WOM).

Design/methodology/approach

The research is descriptive, quantitative and cross-sectional investigation. A purposive sampling technique was used for selecting the study respondents. The data were collected from 786 Indian omnichannel shoppers using a validated self-administered questionnaire. The proposed conceptual model was tested using partial least squares structural equation modeling.

Findings

The results indicate that all three dimensions of omnichannel customer experience (cognitive, affective and relational) positively mediate the relationship between ISSQ and psychological ownership, subsequently impacting all three WOM behaviors of omnichannel shoppers (face-to-face, online store and social media). The customer’s perceived value with the store and their perceived retailer relationship investment significantly moderated the relationship between ISSQ and different WOM behaviors (face-to-face, online store and social media). This research also demonstrated the direct impact of ISSQ on WOM and the indirect impact through different customer experience dimensions and psychological ownership.

Research limitations/implications

The sample used in the study was not probabilistic and, therefore, presents limitations for the possibility of generalizing the results. The study was performed in a cross-sectional methodology in the Indian context; there is a need for longitudinal investigation.

Originality/value

This study addresses the need to investigate different dimensions of omnichannel customer experience that might influence various post-purchase behavioral responses. This study is the first to show that ISSQ might affect omnichannel shoppers' online, offline and social media word-of-mouth behaviors through different customer experience dimensions and the customer’s sense of belongingness to the store. The moderating effect of customer perceived value with the retailer and their perception of retailers’ investment in a relationship on proposed hypotheses was also tested to give managerial recommendations.

Article
Publication date: 18 December 2023

Tamal Samanta and Rajesh K. Aithal

The purpose of this study is to consolidate the existing literature on small retail and develop a conceptual framework using thematic analysis.

Abstract

Purpose

The purpose of this study is to consolidate the existing literature on small retail and develop a conceptual framework using thematic analysis.

Design/methodology/approach

The relevant set of 224 articles has been obtained from the Scopus database by applying the PRISMA framework. Bibliometric analysis has been performed using Biblioshiny in Bibliometrix and VOSviewer.

Findings

Four major themes have been identified within the conceptual structure of the small retail domain, and a conceptual framework has been developed using the interlinkages within the themes. The intellectual structure of the domain has been explored using citation analysis, co-citation analysis and bibliographic coupling. Future research directions are also identified and documented based on the thematic analysis and overall consolidation of the literature.

Originality/value

This is perhaps one of the first attempts to consolidate the published literature on small retail using bibliometric analysis.

Details

International Journal of Retail & Distribution Management, vol. 52 no. 2
Type: Research Article
ISSN: 0959-0552

Keywords

Open Access
Article
Publication date: 22 September 2021

Charlotta Kronblad and Johanna Envall Pregmark

The effects of the spread of COVID-19 across the world are devastating, both from a health and an economic perspective. However, we also see encouraging examples of collaborative…

5707

Abstract

Purpose

The effects of the spread of COVID-19 across the world are devastating, both from a health and an economic perspective. However, we also see encouraging examples of collaborative and innovative initiatives, in society and in organizations. The purpose of this paper is to focus on initiatives related to digital business model innovation. The authors explore how organizational characteristics provide a variety of opportunities for digital responses to the COVID-19 pandemic and discuss the potential consequences for the speed of digital transformation in organizations and society.

Design/methodology/approach

In this paper, the authors analyze how organizations attempt to mitigate the negative effects of fighting COVID-19 using digital business model responses. The authors draw on a qualitative study where they have collected data from the retail and service industries. They have analyzed the data in relation to theory to better understand this ongoing phenomenon.

Findings

The authors have identified four categories of organizations (crisispreneurs, accelerators, endurers and thrivers). Each category faces different challenges and shows a different intensity in their digital transformation. The authors propose that the rapid turn toward digital business models will have enduring effects, as organizations have gained transformational capabilities that will remain, and that the digital trajectory has, as a result, changed forever.

Originality/value

The findings in this paper point toward new challenges for leaders and policymakers in terms of how to support initiatives and meet the needs of different categories of organizations while simultaneously being conscious of the potential societal effects of this rapid digital shift. The authors hope that this paper can be of value for managing this shock and learning how to adapt for the future taking certain aspects of current business models as the departure point.

Details

Journal of Science and Technology Policy Management, vol. 15 no. 3
Type: Research Article
ISSN: 2053-4620

Keywords

Article
Publication date: 9 January 2024

Ziyue Yu, Shuai Yang, Yahui Liu and Yujia Xie

This study examines the effects of scent arousal on consumers' time perception in retail service environments and further explores how the effect is moderated by…

Abstract

Purpose

This study examines the effects of scent arousal on consumers' time perception in retail service environments and further explores how the effect is moderated by consumer-perceived stress.

Design/methodology/approach

A laboratory experiment (Study 1) and a field experiment (Study 2) were conducted to examine the relationship between scent arousal and time perception and the mediating effect between scent arousal and consumers' store evaluations. Another laboratory experiment (Study 3) was conducted to explore how consumers' stress modifies the scent arousal effect.

Findings

Consumers in a low-arousal scent condition perceived a shorter duration of time than those in a high-arousal scent condition. This finding was verified in a field experiment, whereas scent arousal affects consumers' store evaluations through the mediating effects of time perception. However, the impact of scent arousal on time perception was attenuated in high-stress conditions.

Originality/value

Time duration perception is an important indicator in the retail service marketing process. Evidence shows that underestimating time duration in the shopping process represents positive responses. This study extends prior research by examining how scent arousal influences time perception and how consumers' stress moderates scent arousal’s effect.

Details

International Journal of Retail & Distribution Management, vol. 52 no. 3
Type: Research Article
ISSN: 0959-0552

Keywords

Article
Publication date: 28 March 2023

Peng Ma and Yujia Lu

Under the carbon tax policy, the authors examine the operational decisions of the low-carbon supply chain with the triple bottom line.

Abstract

Purpose

Under the carbon tax policy, the authors examine the operational decisions of the low-carbon supply chain with the triple bottom line.

Design/methodology/approach

This paper uses the Stackelberg game theory to obtain the optimal wholesale prices, retail prices, sales quantities and carbon emissions in different cases, and investigates the effect of the carbon tax policy.

Findings

This study’s main results are as follows: (1) the optimal retail price of the centralized supply chain is the lowest, while that of the decentralized supply chain where the manufacturer undertakes the carbon emission reduction (CER) responsibility and the corporate social responsibility (CSR) is the highest under certain conditions. (2) The sales quantity when the retailer undertakes the CER responsibility and the CSR is the largest. (3) The supply chain obtains the highest profits when the retailer undertakes the CER responsibility and the CSR. (4) The environmental performance impact decreases with the carbon tax.

Practical implications

The results of this study can provide decision-making suggestions for low-carbon supply chains. Besides, this paper provides implications for the government to promote the low-carbon market.

Originality/value

Most of the existing studies only consider economic responsibility and social responsibility or only consider economic responsibility and environmental responsibility. This paper is the first study that examines the operational decisions of low-carbon supply chains with the triple bottom line under the carbon tax policy.

Details

Kybernetes, vol. 53 no. 5
Type: Research Article
ISSN: 0368-492X

Keywords

Article
Publication date: 24 October 2023

Adah-Kole Emmanuel Onjewu, Richard B. Nyuur, Salima Paul and Yong Wang

Although recent literature has examined diverse measures adopted by SMEs to navigate the COVID-19 turbulence, there is a shortage of evidence on how crisis-time strategy creation…

Abstract

Purpose

Although recent literature has examined diverse measures adopted by SMEs to navigate the COVID-19 turbulence, there is a shortage of evidence on how crisis-time strategy creation behaviour and digitalization activities increase (1) sales and (2) cash flow. Thus, predicated on a novel strategy creation perspective, this inquiry aims to investigate the crisis behaviour, sales and cash flow performance of 528 SMEs in Morocco.

Design/methodology/approach

Novel links between (1) aggregate wage cuts, (2) variable operating hours, (3) deferred payment to suppliers, (4) deferred payment to tax authorities and (5) sales performance are developed and tested. A further link between sales performance and cash flow is also examined and the analysis is conducted using a non-linear structural equation modelling technique.

Findings

While there is a significant association between strategy creation behaviours and sales performance, only variable operating hours have a positive effect. Also, sales performance increases cash flow and this relationship is substantially strengthened by e-commerce digitalization and innovation.

Originality/value

Theoretically, to the best of the authors’ knowledge, this is one of the first inquiries to espouse the strategy creation view to explain SMEs' crisis-time behaviour and digitalization. For practical purposes, to supplement Moroccan SMEs' propensity to seek tax deferrals, it is argued that debt and equity support measures are also needed to boost sales performance and cash flow.

Details

International Journal of Entrepreneurial Behavior & Research, vol. 30 no. 2/3
Type: Research Article
ISSN: 1355-2554

Keywords

Article
Publication date: 5 June 2023

Anuj Kumar, Nimit Gupta and Gautam Bapat

This paper aims to explore ChatGPT’s (generative pre-trained transformers) potential as a tool for retailers to improve customer experience and boost sales. While it provides…

1184

Abstract

Purpose

This paper aims to explore ChatGPT’s (generative pre-trained transformers) potential as a tool for retailers to improve customer experience and boost sales. While it provides benefits like personalized recommendations and 24/7 assistance, there are limitations, like difficulty in understanding unconventional language. The paper stresses careful integration to overcome these limitations and create a better customer experience. Additionally, it discusses the potential for further development and integration of ChatGPT in retail, such as generating product descriptions and virtual try-on experiences. Finally, the paper encourages retailers to embrace ChatGPT to meet their customer needs.

Design/methodology/approach

Case-based methodology involves using specific cases or examples to explore a broader issue or phenomenon. Researchers have analysed real-world cases to identify patterns, themes and insights that can be applied to other contexts or situations. This was useful for understanding complex and multifaceted issues as it allowed us to delve deeper into specific examples and explore the nuances of the situation.

Findings

While ChatGPT is a powerful tool for retailers, limitations such as difficulty in understanding non-standard accents and unconventional language can arise, causing customer frustration. Retail managers must integrate ChatGPT in a way that enhances customer experience. In the future, ChatGPT has the potential to generate product descriptions, provide virtual try-on experiences and integrate with augmented or virtual reality technology to offer more immersive experiences. Careful consideration and integration can help retailers overcome these limitations and offer personalized recommendations, round-the-clock assistance and an engaging customer experience that improves sales.

Originality/value

The case topic is very much in a novel stage of research and writing.

Details

Journal of Business Strategy, vol. 45 no. 3
Type: Research Article
ISSN: 0275-6668

Keywords

Article
Publication date: 26 January 2024

Julie Steen, Brian N. Rutherford, Barry J. Babin and Joseph F. Hair, Jr.

Design is an important construct in the retail environment literature. Yet, the measures used for design have not followed appropriate scale development procedures. The purpose of…

Abstract

Purpose

Design is an important construct in the retail environment literature. Yet, the measures used for design have not followed appropriate scale development procedures. The purpose of this study is to provide a conceptual definition and then develop a scale for retail environment design (RED).

Design/methodology/approach

Interviews with both consumers and marketing researchers are used to generate a potential list of items. Using four different studies, these items are refined, and the RED scale is offered.

Findings

This study develops and validates the four-dimensional RED scale to measure the design of retail environments. The dimensions are functional, aesthetic, lighting and signage.

Research limitations/implications

The newly developed RED scale will allow retailing researchers to measure lighting and signage qualities as part of retail design, measure design of retail environments more accurately and allow different studies to be compared.

Practical implications

The newly developed RED scale will allow retailers to better understand customers’ perceptions of the four dimensions of design. Retailers spend significant time and money designing and redesigning retail environments. The RED scale will enable managers to ensure these significant investments create competitive advantages and an appropriate return on investment.

Originality/value

A scale to measure retail environment design is developed. The scale includes two dimensions (lighting and signage) that are not typically investigated.

Details

European Journal of Marketing, vol. 58 no. 4
Type: Research Article
ISSN: 0309-0566

Keywords

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