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Current conceptualisations of strategic flexibility and its antecedents are theory‐driven, which has resulted in a lack of consensus. To summarise this domain the paper aims to develop and present an a priori conceptual model of the antecedents and outcomes of strategic flexibility. Discussion and insights into the conceptual model, and the relationships specified, are made through a novel qualitative empirical approach. The implications for further research and a framework for further theoretical development are presented.

An exploratory qualitative research design is used applying multiple data collection techniques in a branch network of a large regional retailer in the UK. The development of strategic options and the complex relationship to strategic flexibility is investigated.

The number and type of strategic options developed by managers impact on the degree of strategic flexibility and also on the ability of the firm to achieve competitive differentiation. Additionally, the type of strategic option implemented by managers is dependent on the competitive situation faced at a local level. Evidence of managers' limited perception of competition was identified based on their spatial embeddedness.

A single, in‐depth case study was used. The data gathered is rich and appropriate for the exploratory approach adopted here. However, generalisability of the findings is limited.

Strategic flexibility is rooted in the ability of front‐line mangers to develop and implement strategic options; this in turn facilitates competitive differentiation.

The research presented is unique in this domain on two accounts. First, theory is developed by presenting an a priori conceptual model, and testing through in‐depth qualitative data gathering. Second, insights into strategic flexibility are presented through an examination of managerial cognition, resources and strategic option generation using cognitive mapping and laddering technique.

The purpose of this paper is to explore how a retail distribution network can be rationalised from a spatial perspective to improve service responsiveness and delivery efficiency.

This paper applies spatial analytics to examine variability of demand, both spatially and from a service delivery perspective, for an auto-parts retail network. Spatial analytics are applied to map the location of stores and customers to represent demand and service delivery patterns and to delineate market areas.

Results show significant spatial clustering in customer demand; whilst the delivery of products to customers, in contrast, is spatially dispersed. There is a substantial gap between revenue generated and costs. Market area analysis shows significant overlap, whereby stores compete with each other for business. In total, 80 per cent of customers can be reached within a 15-minute-radius, whilst only 20 per cent lies outside the market areas. Segmentation analysis of customers, based on service delivery, also shows the prevalence of the Pareto principle or 80:20 rule whereby 80 per cent of the revenue is generated by 20 per cent of customers.

Spatially integrated strategies are suggested to improve the efficiency of the retail network. It is recommended that less accessible and unprofitable customers could be either charged extra delivery cost or outsourced without the risk of a substantial reduction in revenue or quality of service delivery.

Innovative application of spatial analytics is used to analyse and visualise unit-record sales data to generate practical solutions to improve retail network responsiveness and operational efficiency.

A significant portion of academic research on marketing strategy focuses on how national brands of repeat-purchase goods are managed or should be managed. Surprisingly little consideration is given in this tradition to the extended role of geography, i.e. distance and space. For instance, manufacturers of brands in non-durable product categories are well aware of the fact that their national brands perform very different across domestic U.S. markets. This holds even for product categories with limited product differentiation. In this chapter, we outline various processes through which the influence of geography on performance of national brands materializes. We discuss a number of alternative explanations for the emergence and sustenance of spatial concentration of market shares. Several of these explanations are modeled empirically using data from the United States packaged goods industry. This chapter closes with avenues for further academic research on spatial aspects of the growth of new products.

This paper aims to consider spatial effects in the analysis of the relationship of revenue and service quality. When firms’ customers are located in spatially dispersed areas, it can be difficult to manage service quality on a geographically small scale because the relative importance of service quality might vary spatially. Moreover, standard approaches discussed so far in the marketing science literature usually neglect spatial effects, such as spatial dependencies (e.g. spatial autocorrelation) and spatial drift (spatial non-stationarity).

The authors propose a comprehensive but intelligible approach based on spatial econometric methods that cover spatial dependencies and spatial drift simultaneously. In particular, they incorporate the spatial expansion method (spatial drift) into spatial econometric models (e.g. spatial lag model).

Using real company data on seasonal ticket revenue (dependent variable) and service quality (independent variables) of a regional public transport service provider, the authors find that the elasticity for the length of the public transport network is between 0.2 and 0.5, whereas the elasticity for the headway is between −0.2 and 0.6, for example. The authors control for several socio-economic, socio-demographic and land-use variables.

Based on the empirical findings, the authors show that addressing spatial effects of service data can improve management’s ability to implement programs aimed at enhancing seasonal ticket revenue. Therefore, they derive a spatial revenue response function that enables managers to identify small-scale areas that are most efficient in terms of increasing revenue by service improvement.

The paper addresses the need to account for spatial effects in revenue response functions of public transport companies.

The purpose of this study is to examine customer orientation and fashion merchandising competencies to learn which strategic option has a stronger relationship with retailer financial performance.

A cross‐sectional survey was used to collect self‐report data from a random sample of 275 small specialty retailers of women's clothing in Bangkok. Retailers offer similar merchandise assortments and customer services in dense, highly competitive, agglomerative environments. The survey form contained multi‐item scales measuring customer orientation, fashion merchandising competencies, and store financial performance. Bivariate correlations, multiple regression coefficients, and hierarchical linear model coefficients describe relationships of interest, controlling for retailer location.

Results show medium to large effect sizes for several fashion merchandising competencies but no substantive effects for the two customer orientation constructs. Effect sizes depend on whether financial performance is measured subjectively or as retailer return on investment or as probability of retailer survival.

Data are restricted in range and reported effect sizes are smaller than true effect sizes. Data also are influenced by common method variance, influencing reported effect sizes in an opposite direction. Effect sizes may or may not describe causal relationships because of the study's cross‐sectional design. Because of the study's setting in Bangkok, results must be extended to similar retail settings with caution. Results indicate that a clustered fashion retailer can improve financial performance by striving for a fashion leadership position, anticipating fashion trends, and offering merchandise assortments in terms of styles and usages. Results indicate that a clustered fashion retailer will have difficulty improving financial performance via customer service and CRM activities.

Few studies in fashion retailing address predictors of financial performance at the individual store level. The authors help fill this knowledge gap by examining relationships between customer service activities, CRM activities, and key merchandising competencies and retailer subjective financial performance, return on investment, and probability of survival. Retailers compete in a spatially confined area, facilitating comparison shopping and heightening rivalries between retailers.

The purpose of this paper is twofold. First to identify economic activities and broader spatial logistics functions that characterise an urban setting, and second to delineate significant spatial logistics employment clusters to represent the underlying regional geography of the logistics landscape.

Using the four-digit Australian and New Zealand Standard Industrial Classification, industries “explicitly” related to logistics were identified and aggregated with respect to employment. A principal component analysis was conducted to capture the functional interdependence of inter-related industries and measures of spatial autocorrelation were also applied to identify spatial logistics employment clusters.

The results show that the logistics sector accounts for 3.57 per cent of total employment and that road freight, postal services, and air and space transport are major employers of logistics managers. The research shows significant spatial clustering of logistics employment in the western and southern corridors of Melbourne, associated spatially with manufacturing, service industry and retail hubs in those areas.

This research offers empirically informed insights into the composition of spatial logistics employment clusters to regions that lack a means of production that would otherwise support the economy. Inability to measure the size of the logistics sector due to overlaps with other sectors such as manufacturing is a limitation of the data used.

The research offers policymakers and practitioners an empirically founded basis on which decisions about future infrastructure investment can be evaluated to support cluster development and achieve economies of agglomeration.

The key value of this research is the quantification of spatial logistics employment clusters using spatial autocorrelation measures to empirically identify and spatially contextualize logistics hubs.

The purpose of this paper is twofold: to investigate performance of both manufacturer-owned channel and traditional retail channel when the manufacturer encroaches upon the traditional channel in different forms (brick-and-mortar and online form) under different market structures (Stackelberg and Bertrand). To examine the effect of acceptance of the online channel and travel cost on profits of two channels.

The Hotelling model is employed to depict consumers ' channel choice behavior, where the consumer surplus captures travel cost, spatial distance and consumer heterogeneity in acceptance of the online channel. A game-theoretical framework is developed to determine the optimal encroachment form and market structure for both manufacturer-owned and traditional retail channels.

This paper finds that, in either form of encroachment, Stackelberg market structure always outperforms Bertrand market structure, and channel choice significantly relies on parameters, i.e. consumer acceptance of the online channel and travel cost. Moreover, a Pareto zone is proposed in which both channels consider the strategy that the manufacturer opens bricks-and-mortar channel under Stackelberg market structure as the optimal strategy.

The present work fills a theoretical and practical gap for a structured analysis of the channel performance when the manufacturer encroaches upon the incumbent retail channel in different forms and under different market structure.

Given the ways in which the research pressures on university staff are becoming seemingly ever greater, an issue of the European Journal of Marketing that is given over to a survey of the kinds of research initiatives which are currently being carried out is timely. The study which provides the basis for this was conducted between December 1994 and February 1995, with questionnaires being sent to staff in universities throughout Europe. At the time the final selection was made, a total of 150 responses had been received from 18 countries.

Suggests that the restructuring of the European‐owned consumer electronics industry, and the relocation of manufacturing plants within Europe, will inevitably affect the distribution of their products. Considers that the centralization of production capacity, and a move away from country‐by‐country operations, will require major adjustments to transport systems and that incomers may also need to establish new systems of delivery from their new manufacturing points. Examines the current logistics practices and future expectations of major consumer electronics manufacturers operating in Europe, in the context of intense competitive rivalry and changing market structures, using empirical data gathered from companies operating in France, the United Kingdom and West Germany. While there are national differences, the results indicate growing involvement of multiple retailers in the distribution of consumer electronic products, further contracting out of manufacturers′ logistical operations, and growing demands on all logistics systems as order lead‐times continue to shorten.