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1 – 10 of 31Brenda Sternquist, Carol A. Finnegan and Zhengyi Chen
China’s economy is transforming at a brisk pace. A partially dismantled command economy and introduction of competition have fueled consumer demand for a greater selection of…
Abstract
China’s economy is transforming at a brisk pace. A partially dismantled command economy and introduction of competition have fueled consumer demand for a greater selection of innovative new products in the retail market. The challenge for retail buyers is to adjust their procurement processes to respond to consumer needs in an efficient and effective manner. This study examines factors influencing buyer‐supplier relationships in a transition economy. We present a model to explain the factors driving retail buyer dependence on suppliers. We find that retailer evaluation of supplier credibility mediates the relationship between retailer perceptions of a supplier ability to add value to its business and the ability to achieve its desired goals. In part, this is due to the supplier’s market orientation. Interestingly, guanxi ties have no impact on the retailer perceptions of the supplier credibility, but have a positive affect on retailer dependence on its supplier partners.
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Chitra Srivastava Dabas, Brenda Sternquist and Humaira Mahi
This paper's aim is to identify structural and relational factors influencing the upstream channel management of organized retailers in India.
Abstract
Purpose
This paper's aim is to identify structural and relational factors influencing the upstream channel management of organized retailers in India.
Design/methodology/approach
In‐depth interviews were conducted with 15 organized retailers and two manufacturers in India. Data were analyzed using the thematic network analysis technique from qualitative research. The authors use the framework of institutional theory to guide the discussion.
Findings
The findings suggest that government regulations influence the supply chain structure in India. Relational bonds offset the uncertainty borne of weak institutions. Informational transparency and long‐term orientation foster trust between channel partners. This trust, in turn, leads to collaborative partnerships.
Research limitations/implications
The findings have implications for multinationals planning to enter the Indian retail industry. There is a need to understand complex regulatory and social institutions in India. The uniqueness of these institutions calls for adaptive strategies toward channel management.
Originality/value
The paper contributes to the literature on the supply chain structure in India. Despite growing interest in the Indian retailing industry, not many studies reflect on the specific B2B exchange structure in India. The paper fills this gap and also provides several marketing implications for multinational retailers planning to enter the Indian market.
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Jae‐Eun Chung, Brenda Sternquist and Zhengyi Chen
The purpose of this study is to compare two models, traditional‐ and performance‐based, of Japanese retailers' channel relationships. The traditional model proposes Japanese…
Abstract
Purpose
The purpose of this study is to compare two models, traditional‐ and performance‐based, of Japanese retailers' channel relationships. The traditional model proposes Japanese retailers' long‐term orientation with their supplier is an antecedent of Japanese retailers' trust and dependence on the supplier. The performance model, on the other hand, proposes significant influences of suppliers' role performance and dependence on channel relationships.
Design/methodology/approach
Data were collected from Japanese department store buyers and specialty store buyers. A total of 141 cases were analyzed using the EQS structural equation modeling software.
Findings
Results show that the traditional model had a higher explanatory power than the performance model, which indicates the strong influence of culture on Japanese channel relationships.
Research limitations/implications
Some measures have relatively poor psychometric properties. A further study should refine these measurements by exploring the meanings of these constructs from the cultural context.
Originality/value
This study provides insight into how cultural influences are embedded in distribution channel relationships.
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Retailers act as assemblers of merchandise, selecting goods from among a wide range of available products in order to enhance customer value and loyalty. The purpose of this paper…
Abstract
Purpose
Retailers act as assemblers of merchandise, selecting goods from among a wide range of available products in order to enhance customer value and loyalty. The purpose of this paper is to investigate the Chinese retail buying system, focusing on the buying committee, which is defined as a group of individuals from different positions that have the authority to make final judgments and decisions regarding such matters as adding or eliminating new products.
Design/methodology/approach
This study uses a survey administered to retail buyers.
Findings
Results of independent t‐tests support the hypothesis that the influence of guanxi will be greater in the retail firms without a buying committee. State‐owned enterprises are more likely to use a buying committee than non‐state‐owned enterprises.
Research limitations/implications
Although the sample represents buyers from many regions in China it is not a random sample; this limits the generalizing of results.
Practical implications
Suppliers wishing to sell to Chinese retailers need to know how selling to a retailer using a buying committee will affect their access to buyers.
Originality/value
This is the only paper describing research that focuses on the internal structure of a buying committee within a Chinese retail store. Data of this nature are extremely difficult to obtain.
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Sang‐Eun Byun and Brenda Sternquist
Buyers in China often communicate positive and negative purchasing experiences through word‐of‐mouth (WOM), which creates special problems and opportunities for marketers. Price…
Abstract
Purpose
Buyers in China often communicate positive and negative purchasing experiences through word‐of‐mouth (WOM), which creates special problems and opportunities for marketers. Price mavenism, which is associated with price‐information searching and price‐sharing behavior, is often considered a negative dimension of price. The purpose of this paper, however, is to propose price mavenism as an outcome variable arising from both positive perceptions of price (prestige sensitivity) and negative perceptions (price and value consciousness) and examine that the “know” (price mavenism) will positively impact the “glow” (shopping hedonism) among the Chinese.
Design/methodology/approach
Data were collected through a survey in Shanghai, China. The conceptual model was tested using structural equation modeling.
Findings
This study found that prestige sensitivity, price consciousness and value consciousness shaped price mavenism among the Chinese, supporting the idea that price mavenism arises from both positive and negative perceptions of price. In addition, for the Chinese, being a source of price information and sharing the knowledge with their social groups fulfill a hedonic motivation for shopping. While value consciousness was positively associated with shopping hedonism, price consciousness per se was not.
Research limitations/implications
This study challenges the idea that price mavenism is mainly explained by a negative perception of price.
Practical implications
By understanding the drivers of price mavenism and their impacts on shopping hedonism, international marketers can fine‐tune their marketing strategies to appeal more effectively to price mavens in China.
Originality/value
This study highlights the importance of cultural perspectives in understanding the structure of price mavenism and its theoretical and marketing foundations.
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Jae‐Eun Chung, Ying Huang, Byoungho Jin and Brenda Sternquist
This study seeks to examine the influence of market orientation on Chinese buyer‐supplier relations. A model is proposed depicting relationships among retailer market orientation…
Abstract
Purpose
This study seeks to examine the influence of market orientation on Chinese buyer‐supplier relations. A model is proposed depicting relationships among retailer market orientation, supplier market intelligence, supplier role performance, and retailer economic and social satisfaction.
Design/methodology/approach
Data were collected from 99 chain store buyers and managers from 25 cities in China. Structural equation modeling was used to analyze the data.
Findings
A retailer's market orientation is critical for its own economic and social satisfaction by increasing supplier market intelligence (MI) and supplier role performance.
Practical implications
Retailers' MO increased supplier MI and role performance. This study found that economic performance was more important in channel relationships than social relationships. Therefore, suppliers should focus on improving retailers' economic satisfaction through role performance and market intelligence rather than social satisfaction.
Originality/value
Previous MO literature has focused primarily on the firm's performance and ignored the interactive aspect of business performance among channel members. The current study fills this gap by demonstrating the significant influences of retailer MO on supplier MI and on supplier role performance, as well as on retailer satisfaction – both the economic and social components. To the authors' knowledge, the current study is the first to relate retailer MO, supplier MI, and supplier role performance to two types of retailer satisfaction – i.e. economic and social satisfaction.
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Sonia Manjeshwar, Brenda Sternquist and Linda K. Good
Buying decisions are often viewed as random and therefore not generalizable. Additionally, retail buying is typically conducted by individuals and is impacted by cultural…
Abstract
Purpose
Buying decisions are often viewed as random and therefore not generalizable. Additionally, retail buying is typically conducted by individuals and is impacted by cultural considerations. The aim of this paper is to identify critical incidents from China and India, and use theoretical concepts from buyer‐supplier literature to explain the outcome success or failure.
Design/methodology/approach
The paper uses the critical incident technique to capture retail buying decisions that resulted in either successful or unsuccessful outcomes. The authors analyze and match each critical incident with theoretical evidence to explain the result.
Findings
A total of ten critical incidents were described by ten senior retail‐buying executives in China and India. Critical incidents were classified under four retailing categories: assortment planning, product promotion, sourcing issues, and supply chain issues, and analyzed under four theoretical themes: opportunism, trust, long‐term orientation and power‐dependence.
Practical implications
Organized retailing is a new phenomenon in China and India. This study bears implications for the training of future retail buyers in both emerging economies, and emphasizes the integration of scientific, modern methods of decision‐making with the cultural values of the local country.
Originality/value
This study is unique because it relies on the voice of the retail buyer to explain real‐world decision making with theoretical evidence from buyer‐supplier literature. Methodologically, this paper is unique as it reports on the first study using critical incident interview techniques to study professional retail‐buying practices.
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Japanese department stores have gained significant market‐share in several Pacific Rim countries. In this paper, factors related to internationalization are discussed. Dunning's…
Abstract
Japanese department stores have gained significant market‐share in several Pacific Rim countries. In this paper, factors related to internationalization are discussed. Dunning's eclectic approach is considered as a framework for explaining internationalization. Profits, number of employees, and dollars spent for research and development are independent variables used to predict internationalization. Japanese department stores with international offices versus no international offices were correctly classified 83% of the time. Those retailers with international offices had greater profit, more employees, and more R&D funds than those without international offices. A two by two matrix focusing on growth and store format is presented to explain Japanese retailers' international expansion. Propositions for future research are presented.
Byoungho Jin and Brenda Sternquist
Consumers use a variety of information cues to select products; price, however, is the most important. It is possible that the market environment can influence how price is viewed…
Abstract
Consumers use a variety of information cues to select products; price, however, is the most important. It is possible that the market environment can influence how price is viewed by consumers. The purpose of this study is to: establish validity and reliability for multidimensional aspects of the price construct; to explore how US and Korean students are different or similar in their perception of price cues; and to use countries’ retail environments to explore the differences. Findings of this study show that US subjects have higher levels of prestige sensitivity, price mavenism and value consciousness, than did Korean students. However, Koreans exhibited higher levels of sale proneness and price consciousness. Theoretical and managerial implications were suggested based on these findings.
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Youngsun Park and Brenda Sternquist
The main aim of this paper is to provide research propositions that explain global retailers' international expansion. Global retailers are considered to be…
Abstract
Purpose
The main aim of this paper is to provide research propositions that explain global retailers' international expansion. Global retailers are considered to be concentralized‐standardized retail formats.
Design/methodology/approach
Research literature is used to develop the concepts related to predicting international expansion. Examples from retailers are used to set the stage for proposition development.
Findings
Seven propositions are provided for further examination. These propositions are related to unique retail concept, private brands, unique capability, internalization advantages, pioneering advantages, resource availability, governance resources, and growth experience.
Research limitations/implications
This is a conceptual paper leading to development of propositions for further testing. An empirical analysis is required to determine whether the theoretical connections can be proven.
Originality/value
The major value of the paper is the melding of theory and retail examples to explain the international expansion of a particular type of retailer. Global retailers are centralized and standardized, thereby providing an expansion opportunity in the area of franchising.
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