Do market characteristics impact the relationship between retailer characteristics and online prices?

Venkatesan, R and Mehta, K and Bapna, R (2007) Do market characteristics impact the relationship between retailer characteristics and online prices? Journal of Retailing, 83 (3). pp. 309-324.

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Abstract

We propose that market characteristics interact with retailer characteristics to determine online prices. The retailer characteristics examined include-service quality of a retailer, channels of transaction provided by a retailer and the size of a retailer. The market characteristics capture the level and nature of competition, and the price level of a product. We utilize a Hierarchical Linear Model (HLM) framework for capturing and testing the proposed interactions. The better fit between the model and the online market structure is reflected by a twenty-five percent increase in explainable price dispersion over results from comparable studies. Our study demonstrates that while retailer characteristics do impact online prices, this influence is significantly enhanced or diminished by the accompanying market characteristics. © 2007 New York University.

ISB Creators:
ISB CreatorsORCiD
Bapna, RUNSPECIFIED
Item Type: Article
Uncontrolled Keywords: Competition; Internet markets; Retailer pricing strategy; Retailer service quality
Subjects: Business and Management
Depositing User: Ilammaran A
Date Deposited: 06 Nov 2014 15:55
Last Modified: 07 Nov 2014 05:21
URI: http://eprints.exchange.isb.edu/id/eprint/210
Publisher URL: http://dx.doi.org./10.1016/j.jretai.2006.04.002
Publisher OA policy: http://www.sherpa.ac.uk/romeo/issn/0022-4359/
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