IDEAS home Printed from https://ideas.repec.org/a/eee/joinma/v44y2018icp1-16.html
   My bibliography  Save this article

Determinants of Retailers' Cross-channel Integration: An Innovation Diffusion Perspective on Omni-channel Retailing

Author

Listed:
  • Cao, Lanlan
  • Li, Li

Abstract

The decision on whether and to what extent they should implement cross-channel integration is a crucial and complex task for multi-channel retailers. Although prior studies have sought to identify key determinants of this decision, most are descriptive or draw on divergent theoretical perspectives. The authors provide a cohesive theoretical model from the perspective of innovation diffusion, including not only technology-related but also organizational and environmental factors. The empirical findings based on the observations in the U.S. retail sector indicate that retailers’ information-technology capabilities and private-label provision drive their cross-channel integration. Moderate diversity facilitates cross-channel integration more than does high or low diversity. Firms’ financial resources seem to be less important or unimportant at a low level of industry concentration, but may influence retailers’ cross-channel integration at a high level of industry concentration.

Suggested Citation

  • Cao, Lanlan & Li, Li, 2018. "Determinants of Retailers' Cross-channel Integration: An Innovation Diffusion Perspective on Omni-channel Retailing," Journal of Interactive Marketing, Elsevier, vol. 44(C), pages 1-16.
  • Handle: RePEc:eee:joinma:v:44:y:2018:i:c:p:1-16
    DOI: 10.1016/j.intmar.2018.04.003
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1094996818300288
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.intmar.2018.04.003?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Lanlan Cao, 2014. "Business Model Transformation in Moving to a Cross-Channel Retail Strategy: A Case Study," Post-Print hal-01153301, HAL.
    2. Arthur Lewbel, 2012. "Using Heteroscedasticity to Identify and Estimate Mismeasured and Endogenous Regressor Models," Journal of Business & Economic Statistics, Taylor & Francis Journals, vol. 30(1), pages 67-80.
    3. Herhausen, Dennis & Binder, Jochen & Schoegel, Marcus & Herrmann, Andreas, 2015. "Integrating Bricks with Clicks: Retailer-Level and Channel-Level Outcomes of Online–Offline Channel Integration," Journal of Retailing, Elsevier, vol. 91(2), pages 309-325.
    4. Verhoef, Peter C. & Kannan, P.K. & Inman, J. Jeffrey, 2015. "From Multi-Channel Retailing to Omni-Channel Retailing," Journal of Retailing, Elsevier, vol. 91(2), pages 174-181.
    5. Timothy F. Bresnahan & Erik Brynjolfsson & Lorin M. Hitt, 2002. "Information Technology, Workplace Organization, and the Demand for Skilled Labor: Firm-Level Evidence," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 117(1), pages 339-376.
    6. David J. Teece, 2008. "Firm organization, industrial structure, and technological innovation," World Scientific Book Chapters, in: The Transfer And Licensing Of Know-How And Intellectual Property Understanding the Multinational Enterprise in the Modern World, chapter 11, pages 265-296, World Scientific Publishing Co. Pte. Ltd..
    7. Anonymous, 2014. "Introduction to the Issue," Journal of Wine Economics, Cambridge University Press, vol. 9(1), pages 1-2, May.
    8. Kenneth E. Knight, 1967. "A Descriptive Model of the Intra-Firm Innovation Process," The Journal of Business, University of Chicago Press, vol. 40, pages 478-478.
    9. Kenneth Arrow, 1962. "Economic Welfare and the Allocation of Resources for Invention," NBER Chapters, in: The Rate and Direction of Inventive Activity: Economic and Social Factors, pages 609-626, National Bureau of Economic Research, Inc.
    10. Erik Brynjolfsson & Yu (Jeffrey) Hu & Mohammad S. Rahman, 2009. "Battle of the Retail Channels: How Product Selection and Geography Drive Cross-Channel Competition," Management Science, INFORMS, vol. 55(11), pages 1755-1765, November.
    11. Dholakia, Utpal M. & Kahn, Barbara E. & Reeves, Randy & Rindfleisch, Aric & Stewart, David & Taylor, Earl, 2010. "Consumer Behavior in a Multichannel, Multimedia Retailing Environment," Journal of Interactive Marketing, Elsevier, vol. 24(2), pages 86-95.
    12. Lei Chi & T. Ravichandran & Goce Andrevski, 2010. "Information Technology, Network Structure, and Competitive Action," Information Systems Research, INFORMS, vol. 21(3), pages 543-570, September.
    13. Konuş, Umut & Neslin, Scott A. & Verhoef, Peter C., 2014. "The effect of search channel elimination on purchase incidence, order size and channel choice," International Journal of Research in Marketing, Elsevier, vol. 31(1), pages 49-64.
    14. Véronique Bouchard & Olivier Basso, 2011. "Exploring the links between entrepreneurial orientation and intrapreneurship in SMEs," Post-Print hal-02312700, HAL.
    15. Hicheon Kim & Heechun Kim & Peggy M. Lee, 2008. "Ownership Structure and the Relationship Between Financial Slack and R&D Investments: Evidence from Korean Firms," Organization Science, INFORMS, vol. 19(3), pages 404-418, June.
    16. Edwin Mansfield, 1986. "Patents and Innovation: An Empirical Study," Management Science, INFORMS, vol. 32(2), pages 173-181, February.
    17. Giotopoulos, Ioannis & Kontolaimou, Alexandra & Korra, Efthymia & Tsakanikas, Aggelos, 2017. "What drives ICT adoption by SMEs? Evidence from a large-scale survey in Greece," Journal of Business Research, Elsevier, vol. 81(C), pages 60-69.
    18. Narasimhan, Chakravarthi & Wilcox, Ronald T, 1998. "Private Labels and the Channel Relationship: A Cross-Category Analysis," The Journal of Business, University of Chicago Press, vol. 71(4), pages 573-600, October.
    19. Zhang, Jie & Farris, Paul W. & Irvin, John W. & Kushwaha, Tarun & Steenburgh, Thomas J. & Weitz, Barton A., 2010. "Crafting Integrated Multichannel Retailing Strategies," Journal of Interactive Marketing, Elsevier, vol. 24(2), pages 168-180.
    20. Anonymous, 2014. "Introduction to the Issue," Journal of Wine Economics, Cambridge University Press, vol. 9(2), pages 109-110, August.
    21. King, Ruth C. & Sen, Ravi & Xia, Mu, 2002. "Impact of Web-Based e-Commerce on Channel Strategy," Working Papers 02-0123, University of Illinois at Urbana-Champaign, College of Business.
    22. David J. Teece & Gary Pisano & Amy Shuen, 1997. "Dynamic capabilities and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 18(7), pages 509-533, August.
    23. Michael Reksulak & William F. Shughart & Robert D. Tollison, 2008. "Innovation and the opportunity cost of monopoly," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 29(8), pages 619-627.
    24. Berry, Leonard L. & Bolton, Ruth N. & Bridges, Cheryl H. & Meyer, Jeffrey & Parasuraman, A. & Seiders, Kathleen, 2010. "Opportunities for Innovation in the Delivery of Interactive Retail Services," Journal of Interactive Marketing, Elsevier, vol. 24(2), pages 155-167.
    25. van Baal, Sebastian, 2014. "Should retailers harmonize marketing variables across their distribution channels? An investigation of cross-channel effects in multi-channel retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 21(6), pages 1038-1046.
    26. Newey, Whitney & West, Kenneth, 2014. "A simple, positive semi-definite, heteroscedasticity and autocorrelation consistent covariance matrix," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 33(1), pages 125-132.
    27. Konuş, Umut & Verhoef, Peter C. & Neslin, Scott A., 2008. "Multichannel Shopper Segments and Their Covariates," Journal of Retailing, Elsevier, vol. 84(4), pages 398-413.
    28. Kevin Zhu & Kenneth L. Kraemer & Sean Xu, 2006. "The Process of Innovation Assimilation by Firms in Different Countries: A Technology Diffusion Perspective on E-Business," Management Science, INFORMS, vol. 52(10), pages 1557-1576, October.
    29. Birger Wernerfelt & Aneel Karnani, 1987. "Competitive strategy under uncertainty," Strategic Management Journal, Wiley Blackwell, vol. 8(2), pages 187-194, March.
    30. Cao, Lanlan & Li, Li, 2015. "The Impact of Cross-Channel Integration on Retailers’ Sales Growth," Journal of Retailing, Elsevier, vol. 91(2), pages 198-216.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Baojun Yang & Bo Yuan & Ning Yang & Yan Liu & Ruiqi Jia & Yongyan Wang & Ting Miao & Jianxu Liu & Songsak Sriboonchitta, 2022. "Effect of Relationship Quality in Collaboration and Innovation of Agricultural Service Supply Chain under Omni-Channel Model," Agriculture, MDPI, vol. 12(11), pages 1-14, November.
    2. Timoumi, Ahmed & Gangwar, Manish & Mantrala, Murali K., 2022. "Cross-channel effects of omnichannel retail marketing strategies: A review of extant data-driven research," Journal of Retailing, Elsevier, vol. 98(1), pages 133-151.
    3. Batsakis, Georgios & Theoharakis, Vasilis & Li, Chengguang & Konara, Palitha, 2023. "Internationalization and digitalization: Their differing role on grocer and non-grocer retailer performance," Journal of Retailing, Elsevier, vol. 99(3), pages 400-419.
    4. Intissar AYACHI & Rym ELAMRI TRABELSI, 2023. "Cross-Channel Integration and Consumer Loyalty: Mediating Effect of Consumer Empowerment and Satisfaction," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 7(12), pages 1330-1344, December.
    5. Paula Rodríguez–Torrico & Sonia San–Martín & Rebeca San José Cabezudo, 2020. "Consumer behavior using multiple channels: a review," DOCFRADIS Working Papers 2002, Catedra Fundación Ramón Areces de Distribución Comercial, revised Jul 2020.
    6. Sudarsan Jayasingh & T. Girija & Sivakumar Arunkumar, 2022. "Determinants of Omnichannel Shopping Intention for Sporting Goods," Sustainability, MDPI, vol. 14(21), pages 1-19, October.
    7. Cai, Ya-Jun & Lo, Chris K.Y., 2020. "Omni-channel management in the new retailing era: A systematic review and future research agenda," International Journal of Production Economics, Elsevier, vol. 229(C).
    8. Luis Ignacio Álvarez-González & María Jesús Barroso-Méndez & Clementina Galera-Casquet & Víctor Valero-Amaro, 2023. "The impact of technologies on society through NPO-social enterprise value co-creation," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-15, December.
    9. Limeng Chai & Yicheng Wang, 2022. "Exploring the Sustainable Usage Intention of BOPS: A Perspective of Channel Integration Quality," Sustainability, MDPI, vol. 14(21), pages 1-16, October.
    10. Hoskins, Jake D. & Carson, Stephen J., 2022. "Industry conditions, market share, and the firm’s ability to derive business-line profitability from diverse technological portfolios," Journal of Business Research, Elsevier, vol. 149(C), pages 178-192.
    11. Ruchi Mishra & Rajesh Kr Singh & Venkatesh Mani, 2023. "A hybrid multi criteria decision-making framework to facilitate omnichannel adoption in logistics: an empirical case study," Annals of Operations Research, Springer, vol. 326(2), pages 685-719, July.
    12. Xue, Jiaqi & Qian, Liping & Cai, Jingang & Jiang, Xiuling, 2024. "Seeking stability or change? Retailers’ organizational legitimacy, strategic orientation and cross-channel integration," Journal of Retailing and Consumer Services, Elsevier, vol. 80(C).
    13. Abadie, Amelie & Roux, Mélanie & Chowdhury, Soumyadeb & Dey, Prasanta, 2023. "Interlinking organisational resources, AI adoption and omnichannel integration quality in Ghana’s healthcare supply chain," Journal of Business Research, Elsevier, vol. 162(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Cao, Lanlan & Li, Li, 2015. "The Impact of Cross-Channel Integration on Retailers’ Sales Growth," Journal of Retailing, Elsevier, vol. 91(2), pages 198-216.
    2. von Briel, Frederik, 2018. "The future of omnichannel retail: A four-stage Delphi study," Technological Forecasting and Social Change, Elsevier, vol. 132(C), pages 217-229.
    3. Saghiri, Soroosh & Wilding, Richard & Mena, Carlos & Bourlakis, Michael, 2017. "Toward a three-dimensional framework for omni-channel," Journal of Business Research, Elsevier, vol. 77(C), pages 53-67.
    4. João M. Lopes & Ana Sousa & Eva Calçada & José Oliveira, 2022. "A citation and co-citation bibliometric analysis of omnichannel marketing research," Management Review Quarterly, Springer, vol. 72(4), pages 1017-1050, December.
    5. Neslin, Scott A., 2022. "The omnichannel continuum: Integrating online and offline channels along the customer journey," Journal of Retailing, Elsevier, vol. 98(1), pages 111-132.
    6. Cai, Ya-Jun & Lo, Chris K.Y., 2020. "Omni-channel management in the new retailing era: A systematic review and future research agenda," International Journal of Production Economics, Elsevier, vol. 229(C).
    7. Cheah, Jun-Hwa & Lim, Xin-Jean & Ting, Hiram & Liu, Yide & Quach, Sara, 2022. "Are privacy concerns still relevant? Revisiting consumer behaviour in omnichannel retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 65(C).
    8. Alice Mazzucchelli & Roberto Chierici & Francesca Ceruti & Laura Gavinelli, 2017. "Competing in an omnichannel environment. e-tailers strategies and challenges," ESPERIENZE D'IMPRESA, FrancoAngeli Editore, vol. 2017(1), pages 5-28.
    9. Mirzabeiki, Vahid & Saghiri, Soroosh Sam, 2020. "From ambition to action: How to achieve integration in omni-channel?," Journal of Business Research, Elsevier, vol. 110(C), pages 1-11.
    10. Hu, Tun-I & Tracogna, Andrea, 2020. "Multichannel customer journeys and their determinants: Evidence from motor insurance," Journal of Retailing and Consumer Services, Elsevier, vol. 54(C).
    11. Julián Chaparro-Peláez & Emiliano Acquila-Natale & Ángel Hernández-García & Santiago Iglesias-Pradas, 2020. "The Digital Transformation of the Retail Electricity Market in Spain," Energies, MDPI, vol. 13(8), pages 1-18, April.
    12. Paula Rodríguez–Torrico & Sonia San–Martín & Rebeca San José Cabezudo, 2020. "Consumer behavior using multiple channels: a review," DOCFRADIS Working Papers 2002, Catedra Fundación Ramón Areces de Distribución Comercial, revised Jul 2020.
    13. Tueanrat, Yanika & Papagiannidis, Savvas & Alamanos, Eleftherios, 2021. "A conceptual framework of the antecedents of customer journey satisfaction in omnichannel retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 61(C).
    14. Catherine Viot & Grégory Bressolles, 2021. "Les détaillants face au défi du commerce connecté : Une étude multisectorielle," Post-Print hal-03229956, HAL.
    15. Barwitz, Niklas & Maas, Peter, 2018. "Understanding the Omnichannel Customer Journey: Determinants of Interaction Choice," Journal of Interactive Marketing, Elsevier, vol. 43(C), pages 116-133.
    16. Sands, Sean & Ferraro, Carla & Campbell, Colin & Pallant, Jason, 2016. "Segmenting multichannel consumers across search, purchase and after-sales," Journal of Retailing and Consumer Services, Elsevier, vol. 33(C), pages 62-71.
    17. Tagashira, Takumi & Minami, Chieko, 2019. "The Effect of Cross-Channel Integration on Cost Efficiency," Journal of Interactive Marketing, Elsevier, vol. 47(C), pages 68-83.
    18. Vaishnav, Bharat & Ray, Sourav, 2023. "A thematic exploration of the evolution of research in multichannel marketing," Journal of Business Research, Elsevier, vol. 157(C).
    19. Irene Y. L. Chen & Yi-Shun Wang & Bo-Ruei Li, 2021. "Investigating the Relative Performance of Bricks-and-Mortar, Clicks-and-Mortar, and Pure-Click Firms in Taiwan," Sustainability, MDPI, vol. 13(6), pages 1-17, March.
    20. Huré, Elodie & Picot-Coupey, Karine & Ackermann, Claire-Lise, 2017. "Understanding omni-channel shopping value: A mixed-method study," Journal of Retailing and Consumer Services, Elsevier, vol. 39(C), pages 314-330.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:joinma:v:44:y:2018:i:c:p:1-16. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/journal-of-interactive-marketing/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.