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Essays on the impact of the Internet on distribution channel management

Posted on:2005-11-22Degree:Ph.DType:Thesis
University:The University of British Columbia (Canada)Candidate:Yoo, Weon-SangFull Text:PDF
GTID:2459390011950146Subject:Business Administration
Abstract/Summary:
Internet commerce has grown at a torrid pace over the last decade. The explosive growth in Internet usage has changed the way companies do business. The purpose of this thesis is to investigate the impact of the Internet on distribution channels.; This thesis consists of three essays. The first essay (chapter 2) examines the impact of the introduction of an Internet channel by exploring the following research questions: (1) What are the similarities and differences between adding a new physical store and adding an Internet channel to a conventional distribution channel? (2) What are the strategic underlying effects that shape the overall impact of the Internet channel introduction on the market? (3) Under what conditions is the introduction of an Internet channel beneficial or harmful to each channel member? (4) Does a manufacturer always prefer disintermediation? The closed-form equilibrium solutions of the model reveal five key underlying effects that shape the overall impact of the introduction of an Internet channel. The results also indicate that coordinating a mixed channel is a different managerial problem from coordinating between two physical stores.; The second essay (chapter 3) extends the model used in essay 1 (chapter 2), developing a general model to examine the impact of a newly introduced Internet channel in various multi-product, multi-outlet market conditions. A set of assumptions made in the first essay is relaxed to allow the exploration of the impact of various market environments on a firm's optimal channel strategy in related to Internet channel introduction. The results indicate that the strategic underlying effects identified in essay 1 (chapter 2) shape the overall impact of the introduction of an Internet outlet under various market conditions. However, the relative impact size of each underlying strategic effect varies depending on market conditions and channel structure. This essay reveals that the distribution of consumer heterogeneity, the channel structure, the locations of physical stores, and the product positioning in a market are important factors influencing the specific impact of the introduction of an Internet channel on each individual channel member.; The third essay (chapter 4) explores the adoption and the impact of Internet channels in the trucking industry. Two of the main elements considered are electronic transportation exchanges and company Websites. (Abstract shortened by UMI.)...
Keywords/Search Tags:Internet, Channel, Impact, Essay, Distribution
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