ABSTRACTIn this post dot-com era, much e-commerce activity now arises from established firms with traditional physical outlets. Despite the growth in such click and mortar approaches to e-commerce, little research has specifically addressed this common business model. This article focuses on the underlying dynamics of click and mortar e-commerce businesses using a framework that outlines the potential synergies arising from the integration of e-commerce with traditional channels. Research and theory from such areas as transaction cost economics, interorganizational systems, competitive strategy, and economic sociology are used to develop the click and mortar framework. It details the sources of synergy, the management interventions that can help firms avoid damaging channel conflicts, and the types of benefits yielded by integrated click and mortar approaches. The framework is applied to a specific click and mortar case, an electronics retailer, in order to demonstrate its explanatory value. The heuristic value is demonstrated by deriving several example propositions to guide future empirical work.