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1 – 7 of 7Shi-Woei Lin and Januardi Januardi
This study proposes and demonstrates a novel approach to analyzing customer channel preferences and willingness-to-pay (WTP) in the dual sales channel (DSC) system involving…
Abstract
Purpose
This study proposes and demonstrates a novel approach to analyzing customer channel preferences and willingness-to-pay (WTP) in the dual sales channel (DSC) system involving direct online channels and conventional offline retailers, and to how the pricing decisions are made under specific game competition.
Design/methodology/approach
Questionnaire survey based on central composite experiment design was utilized to obtain primary data. The model for customer channel preferences and WTP was then built by using multinomial logistic regression. The propensity of a customer to make purchases in either channel estimated by using the logit model was inserted in the bilevel programming model to formulate and solve for the Stackelberg competition where the conventional retailer acted as a leader.
Findings
The study found that channel prices have nonlinear impacts on WTP and channel preference. The empirical results complement the mathematical formulation well where high-order own-price and cross-price effects on channel selection are generally not analytical tractable. Under the Stackelberg competition, the traditional retailer (as the leader) still achieves higher profits than the online facility.
Practical implications
The proposed framework provides an empirical approach that can easily address the competition model in the sales channel when complicated own-price or cross-price effects are present.
Originality/value
The present work provides a novel approach to analyze customer preference and WTP of the DSC systems. This alternative method simplifies the procedure for investigating and estimating price sensitivity, especially when the online and offline prices affect customer WTP and channel preferences nonlinearly. This model is also utilized in the game competition to facilitate data-driven price decision making to better formulate and understand real-world DSC problems.
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Mehir Baidya and Bipasha Maity
In the past, there have been few studies that shed light on the process of how to maintain the right value proposition with retailers. This research aims to examine the factors…
Abstract
Purpose
In the past, there have been few studies that shed light on the process of how to maintain the right value proposition with retailers. This research aims to examine the factors that play a significant role in the process of keeping the right value proposition with retailers in the B2C sector through a firm-retailer dependency lens.
Design/methodology/approach
Longitudinal data was gathered from 700 retailers who deal with the products of two of India’s firms in the B2C sector. Three data sets were created, and an econometric model was fitted to each data set separately.
Findings
The findings revealed that the firm-centric and retailer-centric variables had positive impacts, whereas competitor-centric variables negatively impacted the value proposition. Furthermore, the intensity of the impact on the value proposition of all types of drivers varied from “quiet-quitting retailers” to “active retailers.”
Practical implications
This study’s findings should assist managers in framing a value-sharing strategy to maintain a “win-win” relationship with retailers.
Originality/value
Using real-world data and a panel regression model, this research extends the theory on the relationship between value proposition and its drivers in the B2C sector and, hence, enriches the literature on the interface between business process management, retailing, and marketing.
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Ayşe Tuğba Dosdoğru, Yeliz Buruk Sahin, Mustafa Göçken and Aslı Boru İpek
This study aims to optimize the levels of factors for a green supply chain (GSC) while concurrently gaining valuable insights into the dynamic interrelationships among several…
Abstract
Purpose
This study aims to optimize the levels of factors for a green supply chain (GSC) while concurrently gaining valuable insights into the dynamic interrelationships among several factors, leading to reductions in CO2 emissions and the maximization of the average service level, thereby enhancing overall supply chain performance.
Design/methodology/approach
Response surface methodology (RSM) is employed as a technique for multiple response optimization. This study uses a supply chain simulation model that includes decision variables related to the level of inventory control parameters and vehicle capacity. The desirability approach is adopted to achieve optimization objectives by focusing on minimizing CO2 emissions and maximizing service levels while simultaneously determining the optimum levels of considered decision variables.
Findings
The high R2 values of 97.38% for CO2 and 97.28% for service level, along with adjusted R2 values reasonably close to predicted values, affirm the models' capability to predict responses accurately. Key significant model terms for CO2 encompassed reorder point, order up to quantity, vehicle capacity, and their interaction effects, while service level is notably influenced by reorder point, order up to quantity, and their interaction effects. The study successfully achieved a high level of desirability value of %99.1 and the validated performance levels confirmed that the results fall within the prediction interval.
Originality/value
This study introduces a metamodel framework designed to optimize various design parameters for a GSC combining discrete event simulation (DES) and RSM in the form of a simulation optimization model. In contrast to the literature, the current study offers an exhaustive and in-depth analysis of the structural elements of the supply chain, particularly the inventory control parameters and vehicle capacity, which are crucial for comprehending its performance and environmental impact.
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Yanping Liu, Bo Yan and Xiaoxu Chen
This paper studies the optimal decision-making and coordination problem of a dual-channel fresh agricultural product (FAP) supply chain. The purpose is to analyze the impact of…
Abstract
Purpose
This paper studies the optimal decision-making and coordination problem of a dual-channel fresh agricultural product (FAP) supply chain. The purpose is to analyze the impact of information sharing on optimal decisions and propose a coordination mechanism to encourage supply chain members to share information.
Design/methodology/approach
The two-echelon dual-channel FAP supply chain includes a manufacturer and a retailer. By using the Stackelberg game theory and the backward induction method, the optimal decisions are obtained under information symmetry and asymmetry and the coordination contract is designed.
Findings
The results show that supply chain members should comprehensively evaluate the specific situation of product attributes, coefficient of freshness-keeping cost and network operating costs to make decisions. Asymmetric information can exacerbate the deviation of optimal decisions among supply chain members and information sharing is always beneficial to manufacturers but not to retailers. The improved revenue-sharing and cost-sharing contract is an effective coordination mechanism.
Practical implications
The conclusions can provide theoretical guidance for supply chain managers to deal with information asymmetry and improve the competitiveness of the supply chain.
Originality/value
This paper combines the three characteristics that are most closely related to the reality of supply chains, including horizontal and vertical competition of different channels, the perishable characteristics of FAPs and the uncertainty generated by asymmetric demand information.
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Distributed photovoltaic (DPV) projects generally have output risks, and the production effort of the supplier is often private information, so the buyer needs to design the…
Abstract
Purpose
Distributed photovoltaic (DPV) projects generally have output risks, and the production effort of the supplier is often private information, so the buyer needs to design the optimal procurement contract to maximise its procurement utility.
Design/methodology/approach
Based on the principal-agent theory, we design optimal procurement contracts for DPV projects with fixed payments and incentive factors under three situations, i.e. symmetry information, asymmetry information without monitoring and asymmetry information with monitoring. We obtain the optimal production effort and expected utility of the supplier, the expected output and expected utility of the buyer and analyse the value of the information and monitoring.
Findings
The results show that under asymmetric information without monitoring, risk-averse suppliers need to take some risk due to output risk, which reduces the optimal production effort of the supplier and the expected output and expected utility of the buyer. Therefore, when the monitoring cost is below a certain threshold value, the buyer can introduce a procurement contract with monitoring to address the asymmetry information. In addition, under asymmetric information without monitoring, the buyer should choose a supplier with a low-risk aversion.
Originality/value
Considering the output risk of DPV projects, we study the optimal procurement contract design for the buyer under asymmetric information. The results provide some theoretical basis and management insights for the buyer to design optimal procurement contracts in different situations.
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The purpose of this study is to provide an optimal joint strategy of multi-period pricing and sales effort for a retailer with a logit choice demand in an integrated channel.
Abstract
Purpose
The purpose of this study is to provide an optimal joint strategy of multi-period pricing and sales effort for a retailer with a logit choice demand in an integrated channel.
Design/methodology/approach
Customer demand is characterized by a logit choice model, it varies over time and is influenced by price and sales effort. The multi-period decision model for the retailer is constructed using a discrete-time dynamic programming method to determine the optimal price and sales effort in each period.
Findings
When the inventory level does not exceed a certain threshold, decreasing price and increasing sales effort over time or as inventory level increases are the optimal strategies. However, once the inventory level exceeds the threshold, the optimal strategy is to maintain both price and sales effort constant as the inventory level changes or to increase price and decrease sales effort over time. Additionally, the greater the influence of sales effort on demand or the higher the arrival rate of customers, the higher the optimal price and the greater the optimal sales effort level.
Originality/value
This study contributes to the existing research on dynamic pricing and sales effort in integrated channels by incorporating a logit choice model. Furthermore, it provides valuable management insights for retailers operating in an integrated channel to make pricing and sales effort decisions based on inventory level and time period.
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Rakesh Kumar, Tilottama Singh, Sachi Nandan Mohanty, Richa Goel, Deepak Gupta, Meshal Alharbi and Rupa Khanna
The main purpose of this paper is to explain the preferences of consumers for using online payment services. This paper applies a unified theory model named…
Abstract
Purpose
The main purpose of this paper is to explain the preferences of consumers for using online payment services. This paper applies a unified theory model named stimulus-organism-response (S-O-R) theory for exploration.
Design/methodology/approach
This is quantitative research based on the structural equation modelling method. The stimulus-organism-response (S-O-R) theory was applied, whereby the author conducted an online survey through a structured questionnaire with users of mobile payment services. These consumers are using online payments for online shopping purposes. The survey was conducted all over India. The sample size is 355.
Findings
The study found that utilitarian, hedonic value and salesperson behaviour impact consumers satisfaction and behaviour while using online payment services. The study found that there is a significant direct relationship between consumer satisfaction and consumer behaviour. This study examines how financial mobile services contribute to e-commerce implementation, especially in the context of India.
Practical implications
This study incorporates a variety of factors, including the behaviour of salespeople, which affect consumer happiness, satisfaction and behaviour intention. This study reveals a direct relationship between consumer satisfaction and behavioural intention. Accordingly, the use of mobile banking and digital financial services has a positive impact on customer satisfaction. This study suggested that awareness about e-commerce services and mobile financial services is an important aspect of consumers satisfaction. Effective e-commerce services and mobile financial services have a positive impact on consumer behaviour.
Originality/value
This is a comprehensive model used for online payment services and directly related to emerging economies like India. This study examines the consumer willingness of the digital market in relation to online payment services. This study contributes to the relevant literature by simultaneously examining the role of e-commerce platform characteristics and online consumer psychology in influencing behavioural intention. Numerous factors have been revealed by this investigation.
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