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1 – 10 of over 34000Bin Liu, Jing Sun and Zongsheng Huang
We investigate the extended service strategy choices of competing manufacturers and examine their impact on the retail platform.
Abstract
Purpose
We investigate the extended service strategy choices of competing manufacturers and examine their impact on the retail platform.
Design/methodology/approach
We construct a supply chain model with a retail platform as the leader and manufacturers as the followers. Manufacturers face differential consumer preferences on the same agency retail platform, and they can sell a bundled extended service product and sell a separate product without any extended service.
Findings
The sale of extended warranty services on the retail platform leads to lower pricing of the manufacturers' products and changes in the product market structure in response to differences in consumer preferences. The retailing platform tends to provide an extended warranty conditionally. The sale of extended warranty services on a retail platform would be detrimental to the interests of the manufacturer who sells products with extended warranty services and in favor of the manufacturer who sells products without them.
Originality/value
The equilibrium results of the retail platform’s non-sales and sales of extended warranty services for the no-extended warranty product under the same commission rate and differential commission rate models are discussed, and the product structure of the market is investigated, respectively.
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William W. Keep and Peter J. Vander Nat
This paper aims to analyze the evolution of direct selling – a retail channel that successfully sold products ranging from cosmetics to radios to automobiles – to multilevel…
Abstract
Purpose
This paper aims to analyze the evolution of direct selling – a retail channel that successfully sold products ranging from cosmetics to radios to automobiles – to multilevel marketing (MLM), an industry now apparently heavily reliant on selling to itself. As the courts have found some MLM companies to be pyramid schemes, the analysis includes the overlap between the legal MLM model and an illegal pyramid scheme.
Design/methodology/approach
The development of direct selling in the USA was examined, followed by the factors contributing to the design and growth of the MLM model and its non-commission-based compensation structure. Then, the key legal decisions regarding illegal pyramid schemes operating under the guise of MLM, the relative stagnation of direct selling and the state of the MLM industry were examined.
Findings
As the MLM model operates on the dual premise of retailing through a network of distributors and recruiting new distributors to do the same, it was found that federal regulators and the courts consistently focus on the “retail question” – the existence and extent of sales to consumers external to the distributor network. The authors argue that without a significant external customer base, internal consumption by an ever-churning base of participants resembles neither employee purchases nor a buying club.
Social implications
As the MLM model facilitated the growth of pyramid scheme fraud, creating victims rather than customers, this research highlights successful efforts to regulate this type of consumer fraud.
Originality/value
Few papers have been written on MLM and pyramids schemes, and none thus far has taken an historical perspective.
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The study here examines how business actors adapt to changes in networks by analyzing their perceptions or their network pictures. The study is exploratory or iterative in the…
Abstract
The study here examines how business actors adapt to changes in networks by analyzing their perceptions or their network pictures. The study is exploratory or iterative in the sense that revisions occur to the research question, method, theory, and context as an integral part of the research process.
Changes within networks receive less research attention, although considerable research exists on explaining business network structures in different research traditions. This study analyzes changes in networks in terms of the industrial network approach. This approach sees networks as connected relationships between actors, where interdependent companies interact based on their sensemaking of their relevant network environment. The study develops a concept of network change as well as an operationalization for comparing perceptions of change, where the study introduces a template model of dottograms to systematically analyze differences in perceptions. The study then applies the model to analyze findings from a case study of Norwegian/Japanese seafood distribution, and the chapter provides a rich description of a complex system facing considerable pressure to change. In-depth personal interviews and cognitive mapping techniques are the main research tools applied, in addition to tracer studies and personal observation.
The dottogram method represents a valuable contribution to case study research as it enables systematic within-case and across-case analyses. A further theoretical contribution of the study is the suggestion that network change is about actors seeking to change their network position to gain access to resources. Thereby, the study also implies a close relationship between the concepts network position and the network change that has not been discussed within the network approach in great detail.
Another major contribution of the study is the analysis of the role that network pictures play in actors' efforts to change their network position. The study develops seven propositions in an attempt to describe the role of network pictures in network change. So far, the relevant literature discusses network pictures mainly as a theoretical concept. Finally, the chapter concludes with important implications for management practice.
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Lixi Zhou, Tijun Fan, Lihao Zhang and Luyu Chang
With the development of e-commerce and mobile payment, platform sales become unstoppable, and many manufacturers also encroach on online market by establishing direct selling…
Abstract
Purpose
With the development of e-commerce and mobile payment, platform sales become unstoppable, and many manufacturers also encroach on online market by establishing direct selling channels. Channel conflict intensifies in online market and quality differentiation and is widely used in business practice as an effective way to alleviate such a competition. The authors study a retail platform's sales strategy and interactions with an upstream manufacturer's encroachment strategy in this paper. Unlike most online marketplace and encroachment research, product quality selection is also engaged in the present research to capture the motivation above.
Design/methodology/approach
The authors analyze a game-theoretical model that the platform as the first/second mover participates in strategic decision-making, and then jointly decides the product quality level with manufacturer.
Findings
The authors find that encroachment always profits the manufacturer and almost hurts the platform. Interestingly, the first-mover advantage can help the platform guide the manufacturer encroachment and promote a “win–win” situation when product quality level is relatively slight or obvious. Nevertheless, the second-mover advantage can help the platform alleviate the profit loss caused by encroachment when product quality level is moderate. Furthermore, suffered from encroachment loss, the platform can make a credible threat by sales termination to restrain manufacturer encroachment.
Originality/value
This paper innovatively explores the strategic interaction between manufacturer encroachment and quality differentiation in a platform supply chain, and further analyzes the first-mover advantage in this interaction, which fills the gaps of previous platform research and has great significances to enterprise production and operational decision in business practice.
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Shoaib Shafique, Amer Rajput, Usman Javed and Hayam Alnakhli
In hypercompetitive markets, retail brands should fuel their sales employees’ to responsively serve customers. In connection, the study aims to unpack the direct and indirect, via…
Abstract
Purpose
In hypercompetitive markets, retail brands should fuel their sales employees’ to responsively serve customers. In connection, the study aims to unpack the direct and indirect, via psychological flourishing, the role of inclusive leadership in paving the path for retail salesperson adaptive selling behaviour. Additionally, the study also empirically investigates the moderating role of work centrality to offer critical insights for effective managerial interventions.
Design/methodology/approach
Drawing upon conservation of resource theory to test the nexuses of the model, time-lagged survey data were collected from 313 retail salespersons from the leading retail brands. Data were analyzed using the bootstrapping method.
Findings
Results revealed the direct positive association between inclusive leadership and adaptive selling behaviour and indirect association via psychological flourishing. Furthermore, the direct association between inclusive leadership and adaptive selling becomes more pronounced for employees high on work centrality.
Practical implications
Findings can help retail brands to enhance adaptive selling behaviour, which enables them to provide efficient solutions and gain sustainable competitive advantage.
Originality/value
The study offers several important contributions to the sales literature by establishing the direct and indirect link between inclusive leadership and adaptive selling via psychological flourishing. Moreover, the result of the interaction effect highlights the critical aspects of work centrality in the retail sales context.
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Joanna Trafialek, Michal Zwolinski and Wojciech Kolanowski
– The purpose of this paper is to assess hygiene practices during fish selling in retail stores.
Abstract
Purpose
The purpose of this paper is to assess hygiene practices during fish selling in retail stores.
Design/methodology/approach
The data were collected by observations during inspections carried out in 100 randomly selected food retail stores, both independent and chain, selling fresh fish, fish products and other seafood. Stores were located in and around the area of Warsaw, Poland. The inspection check list consisted of 43 questions based on rigorist requirements of Commission Regulation (EC) 852, 853 and Codex Alimentarius. The question form was divided into three hygiene sectors: hygiene conditions of seafood departments; hygiene of fish selling process; personal hygiene of employees. Inspections were unannounced, and were conducted by discreet visual observations of employees work routine and selling procedures.
Findings
The level of hygiene compliances with inspection criteria was unexpectedly low. The highest percentage of compliance appeared in the hygiene of fish selling processes (in 44 percent of the stores compliance with evaluated criteria was found), less one compliance levels appeared in personal hygiene (18 percent) and hygiene of seafood department’s hygiene conditions (23 percent). Neither the size of the store, nor its location and type (independent and local or global chain) affected the compliance rate.
Research limitations/implications
The main research limitation is that assessment was done only by observation method. This is one of audit/inspection methods according to ISO 19011/2011, guidelines for auditing management systems. However, this kind of inspection cannot assess microbiological cleanliness or other like ATP or symptoms of diseases expect of only visible signs. The used inspection check list needs more testing and more analyses should be done for its reliability and validity.
Practical implications
Adequate hygiene practices are critical in preventing cross-contamination. However, none of the inspected stores ensured full implementation of all hygiene requirements during the sale of fish. The results indicated that a greater effort should be made to increase hygiene level both in small and large size retail stores. The designed inspection questionnaire proved to be a successful format for detailed evaluation of hygiene practices during the sale of fish. However, more work and analyses should be done for its reliability and validity.
Social implications
The findings bring some information for the consumers that in many retail stores the hygiene level during the fish sales might be insufficient.
Originality/value
The paper presents additional and detailed data on hygiene practices during fish selling, which are rarely pointed out by other authors. The applied evaluation method showed a low level of compliance with the rigorous hygienic criteria, adopted in this study, that may raise some food safety concerns.
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Linda S. Pettijohn and Charles E. Pettijohn
The retail environment of the future is likely to be increasinglycompetitive. Department and specialty stores must provide services whichdistinguish them from the competition. One…
Abstract
The retail environment of the future is likely to be increasingly competitive. Department and specialty stores must provide services which distinguish them from the competition. One method that may be used in attaining a distinctive position entails the development of a well‐trained, skilled retail salesforce. Examines retail sales training from the perspectives of 202 retail salespeople employed by full‐service retailers. Provides insight into the amount of training which should be provided and the topics which should be included in sales training programs.
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Timothy J. Tardiff and Dennis L. Weisman
The competition and regulatory economics literature has developed indicators that detect whether a vertically integrated provider (VIP) is engaging in market exclusion in the form…
Abstract
The competition and regulatory economics literature has developed indicators that detect whether a vertically integrated provider (VIP) is engaging in market exclusion in the form of an anticompetitive price squeeze and non-price discrimination leading to sabotage of downstream competitors. Weisman integrates these indicators by developing a safe-harbor range within which a profit-maximizing VIP engages in neither form of market exclusion. Downstream retail competition that depends on the VIP’s inputs imposes upward pricing pressure on the downstream prices, with the amount of such pressure increasing as the downstream products become more homogeneous (closer substitutes). We analyze the implications of upward pricing pressure for antitrust evaluations of a duty to deal, regulatory policies mandating wholesale inputs for entrants, and vertical mergers. We find, for example, no basis to oppose a merger in which the VIP was previously required to supply inputs to rivals at unregulated prices.
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Cindy B. Rippé, Suri Weisfeld-Spolter, Yuliya Yurova, Dena Hale and Fiona Sussan
The purpose of this paper is to investigate the impact of adaptive selling (AS) when “click and brick” in control multichannel consumers (MCCs) encounter in-store salespeople.
Abstract
Purpose
The purpose of this paper is to investigate the impact of adaptive selling (AS) when “click and brick” in control multichannel consumers (MCCs) encounter in-store salespeople.
Design/methodology/approach
An online survey was administered to 387 college students from several southeastern colleges in the USA. The study consisted of a single manipulated factor (AS: high vs low) and a second measured factor (degree of MCC search: high vs low). Covariance-based structural equation modeling was selected and analysis was conducted using IBM SPSS AMOS 22.0.0.0.
Findings
The findings indicate that while perceptions of control in the retail store increase as customers engage in more multichannel search behavior, the path from perceived control (PC) to purchase intention (PI) is also positively affected by AS as multichannel search increases.
Practical implications
To increase in-store purchases by consumers using the physical location as an information channel, professional sales training, specifically AS skills, should be considered by retail managers for in-store sales personnel. Our findings suggest that salespeople can use AS skills to increase the likelihood of the MCCs’ in-store PI while not reducing their feelings of PC.
Originality/value
In a time where many marketers struggle with how to combine multichannel retailing efforts effectively, this research confirms that new channels create MCCs who desire control. AS shows promise as a technique for retailers to use when selling to a consumer who values control.
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In this chapter I describe and analyze the decisions and strategies made by marketplace vendors in Challapata, Oruro, Bolivia, by presenting four detailed case studies. I…
Abstract
In this chapter I describe and analyze the decisions and strategies made by marketplace vendors in Challapata, Oruro, Bolivia, by presenting four detailed case studies. I demonstrate that rather than trying to simply gain a profit in order to accumulate capital, a variety of goals and objectives underlie the way in which vendors operate their businesses. These numerous goals and objectives can be recognized when vendors’ businesses are comprehended as one aspect of household maintenance activities. I conclude that when viewed from this perspective, vendors’ decisions and strategies can be understood to be shaped by moral and social obligations as well as by the rationality of the market.