Retail Structure Research Articles

Behavioural differences and purchasing experiences through online commerce or offline within mall-based retail structures

Behavioural differences and purchasing experiences through online commerce or offline within mall-based retail structures

National retailing after the Second World War: structural changes, differences and the impact of the socialist model on the Czech and Slovak Republics (1953–1989)

ABSTRACT Changes in retail structures, processes, and culture in post-war Europe were strongly affected by the post-war economic boom, the origin of a mass consumer society, and the adaptation of innovations from the United States. Retail structures and the culture of consumption remained different in the Czech and Slovak parts of the former Czechoslovakia after the Second World War, which influenced the development of retail trade in both countries. After the rise to power of the communists, retail was nationalised, leading to centralising trends in the Czech Republic and decentralisation trends in Slovakia. As a result, the retail structure differed in the two countries. While the Czech Republic showed a preference for larger stores, Slovakia focused more on smaller stores, particularly in rural areas. Although the post-war period brought positive changes, such as the growth of retail trade and the restoration of the population’s purchasing power, the socialist economic model, which was controlled by state-owned enterprises, led to insufficient development and investment in retail and a lack of innovation and efficiency. The post-war period represented a key era for the transformation of European retail; the development trends in post-socialist countries, however, differed from other, capitalist countries.

An Investigation into the Influence of E-commerce Platforms on Local Retailers: A Case Study of Kollam District

The impact of the Internet and e-commerce on traditional retailing has been a topic of extensive debate, with divergent views ranging from apocalyptic predictions of the demise of physical retail to assertions of minimal impact on traditional retailing. Despite the exaggerated hype, occasional high-profile failures, and the multitude of conflicting perspectives, e-commerce processes offer the potential for a profound reevaluation of retail operations and retailer behavior. Indeed, the advent of e-commerce necessitates a reassessment of existing retail practices and cost structures in response to the influx of new technologies and evolving retail structures. While the e-commerce market continues to expand rapidly, it is important to note that this growth does not necessarily translate to a significant decline in the traditional retail market. Shopping malls are not shuttering at an alarming rate, nor are the retail outlets of beloved brands disappearing due to online competition. However, there is undeniably a paradigm shift underway, with consumers increasingly turning to online platforms for their shopping needs. This shift presents a unique challenge for private sector employers in the retail industry, who must navigate the changing landscape and adapt their strategies to remain competitive. While online shopping offers unparalleled convenience and accessibility, traditional retailers must leverage their strengths in areas such as personalized customer service, immersive shopping experiences, and community engagement to differentiate themselves in an increasingly crowded marketplace. As e-commerce continues to reshape the retail landscape, it is imperative for retailers to embrace innovation, invest in digital capabilities, and explore new business models to thrive in this evolving environment. By understanding and harnessing the potential of e-commerce technologies, retailers can not only survive but also thrive in the dynamic and interconnected world of modern retailing.

The transformation of the commercial activities in West African metropolises: the case of Dakar (Senegal)

The evolution of retail unquestionably justifies the growing interest shown by research in this essential function of the economic system of metropolises, particularly in West Africa. In Dakar, the reshaping of the commercial space has attracted the interest of the government, researchers and economic players, especially in recent years, following the arrival of French food retailers, Auchan in particular. This situation has begun to reshape the structure of retailing, sparking fear among local small-scale retailers, who are adopting adaptive strategies. After all, commerce is both an economic and a social foundation for thousands of manages, including women. While markets, local stores and street stalls continue to be the preferred places for the majority of Dakar residents to do their shopping, the breakthrough of Auchan supermarkets is real for consumers, who are regaining freedom of choice in their purchasing actions.

Retail metamorphosis – how retailing reconfigures itself for the future

ABSTRACT This editorial outlines the content of the special issue from the Nordic Retail and Wholesale Conference 2022.The editorial discusses retail metamorphosis through changes in form, structure, substance and purpose of retailing. Furthermore, the editorial introduces the articles published in the special issue.

Food retailing in developing economies: Review of empirical insights and new directions

AbstractFood retailing in developing economies has undergone significant transformations over the past three decades. Progressing in three waves across regions like Latin America, Asia, Africa, and beyond, food retailers have transitioned from traditional open markets to modern supermarkets akin to those in more developed economies. In this article, we provide an overview of the structure of food retailing in developing economies and examine the empirical literature that delves into the reasons behind the evolution of retailers in developing countries worldwide, as well as their impact on suppliers and consumers. We propose avenues for future research, building upon an empirical framework that recognizes the consumer‐driven nature of retail evolution and how the structure of retailing develops as an equilibrium outcome within a dynamic, imperfectly competitive environment. In conclusion, we identify significant gaps in the existing empirical literature and shed light on emerging questions that are likely to gain importance in the future. [EconLit Citations: D43, L13, M31].

Exploring digital transformation and technological innovation in emerging markets

PurposeThis research aims to fill the research gaps regarding customer preferences for digitalisation to create value for retailers and customers, as well as focus on retail change and shopping behaviour in grocery retail stores in the emerging market.Design/methodology/approachThis paper contributes to the research in this area by evaluating customers' and retailers' attitudes towards digital transformation in retailing through interviews. Methodologically, 200 questionnaires were gathered, and data were analysed with the partial least squared structural equation modelling method.FindingsThe findings of this study reveal that the effect of digital transformation in the retail industry will be more apparent in an emerging market.Originality/valueThe paper's originality consists in understanding the future retail structure in an emerging market. Notably, focussing on business-to-consumer businesses appears helpful in distinguishing between behavioural (buying) intention and online buying behaviour (actual usage) in an emerging market.

Discovering fashion industry trends in the online news by applying text mining and time series regression analysis

The growth of digital media usage has accelerated the development of big data technology. According to the agenda-setting theory, news media inform the public regarding major agendas and business cycles. This study investigated 168,786 news documents from 2016 to 2020 related the South Korea fashion business using Python. A total of 19 topics were extracted through latent Dirichlet allocation and then transformed into structured data using a time series approach to analyze significant changes in trends. The results indicate that major fashion industry topics include business management strategies to increase sales, diversification of the retail structure, influence of CEOs, and merchandise marketing activities. Thereafter, statistically significant hot and cold topics were derived to identify the shifts in topic themes. This study expands the fashion business contexts with agenda-setting theory through big data time series analyses and can be referenced for the government agencies to support fashion industry policies.

Retail Derivatives and Sentiment: A Sentiment Measure Constructed from Issuances of Retail Structured Equity Products

ABSTRACTWe use retail structured equity product (SEP) issuances to construct a new sentiment measure for large capitalization stocks. The SEP sentiment measure predicts negative abnormal returns on the SEP reference stocks based on a variety of factor models, and also predicts returns in Fama‐MacBeth regressions that include a wide range of covariates. Consistent with our interpretation that SEP issuances reflect investor sentiment, aggregate SEP issuances are highly correlated with the Baker‐Wurgler sentiment index. Tobit regressions reveal that proxies for attention and sentiment predict SEP issuance volumes, providing additional evidence consistent with the hypothesis that SEP issuances reflect sentiment.

An Assessment of the Supreme Court's Ruling in South Dakota V. Wayfair: A Macromarketing Case Study

Years ago Shelby Hunt noted that cromarketing focuses on marketing systems, the impact of marketing systems on society, and the impact and consequences of society on marketing systems. The ruling by the United States Supreme Court enabling states to require remote sellers to collect and remit sales taxes on in-state purchases exemplifies the latter. Imposing a new tax burden on previously untaxed remote sellers has the power to alter the structure of retailing and impact consumer welfare. Responding to “new economic realities,” the Court reversed long-standing precedent requiring that sellers must have a physical presence in the state to be subject to taxation. Proponents viewed this as a major step in restoring lost tax revenues to the states. Critics point to the inconsistency of the Court's ruling with stare decisis, the regressive nature of sales taxes, and recent public policy mandates stemming from the Covid pandemic. Although the Wayfair ruling is now the law and many of the concerns voiced prior to the Court's action seem to have been unfounded, the macromarketing implications remain. The potential impact of public policy on retailing cannot be ignored nor should the regressive nature of an increase in sales taxes on income inequality be overlooked. Additionally, there remain questions of fairness and administration with the ruling. Students of macromarketing should not ignore these issues. The responsibility to examine the impact of society—and the Court—on marketing systems was reinforced years ago by Bartels and Jenkins: “…the goal of marketing is the achievement of entrepreneurial goals in a manner consistent with the best overall interests of society… Macro models represent value judgments made by society for society; by governments in the form of laws, administrative orders, and judicial decisions…and by others who assume the role of advocating what is best for the general welfare.”

Managers’ Attitudes on Sustainable Development Concept Application in Trading Companies

Trading companies face various challenges brought by the modern environment. For this reason, the trading company managers try to adapt their business to various requirements of the environment. This is supported by the fact that recently there has been a global change in the structure of retail, with evidence in the following examples: new sales formats have appeared, there are new categories of retail companies, sales facilities are modernized, soft information is emphasized, flexibility and innovation in business are encouraged, the role of interest groups is valued, unpredictability is accepted as the norm of functioning, the offer of trade mark products is expanded, etc. However, as economic, environmental and social problems gain more and more importance, another very important topic that captures the attention of business managers is sustainable development concept application. Doing business in accordance with the rules of sustainable development implies that trading companies base their work on ecological and moral principles of sustainable social communities. In accordance with the importance that sustainable development concept has today, the aim of the paper is based on the analysis of attitudes of employees in management positions in trading companies in the Republic of Serbia regarding the application of economic, ecological and social dimensions of sustainable development. The research results showed that the application of certain elements of sustainable development basic dimensions in their trading companies has been evaluated by the managers as good.

Coping strategies and intended change of shopping habits after the Corona pandemic – Insights from two countries in Western and Eastern Europe

The Corona pandemic forced customers to develop strategies to cope with the situation and switch to alternative channels during lockdowns. This raises the question if such behavioral changes are only short-term or if consumers’ shopping habits change in the long run and thus cause or accelerate structural change in retailing. We analyze such immediate reactions and intended changes in habits using qualitative interviews conducted in Germany and Poland. Results show that German respondents had stronger intentions to support physical stores after the pandemic, while Polish respondents had stronger intentions to continue increased online shopping. Different retail structures explain these findings.

From Supermarkets to Online Shops: How did the Modern Food Retail Geography Change in Istanbul?

Since the 1980s, Turkey has undergone a process of internationalized capital, foreign capital entering the Turkish market and consumption becoming a lifestyle, under the impact of neoliberal policies. This process had a great effect on the retail sector, which has a dynamic structure. In order to survive in the climate of tough competition they found themselves in, retailers became organized, which included entry to new markets, growth through mergers and acquisitions and the formation of new channels. In this article, this process of change is explained using the conceptual framework of the “New” Retail Geography, which sees the relationship between space and retail as bilateral and mutually determinant. This article intends to answer the question, ‘How has the spatial structure of modern food retail[1] changed in Istanbul since the 1980s?’ and it focuses on the metropolis of Istanbul which accounts for a large proportion of total retail sales and where the greatest change is observed. In this context, a spatial diffusion process of change from supermarkets to large scale food retailers, to discount stores and finally to e-commerce, which has become more important with the effect of Covid-19.
 
 [1] Modern food retail or organized food retail can be used.

Integrated Framework to Assess the Extent of the Pandemic Impact on the Size and Structure of the E-Commerce Retail Sales Sector and Forecast Retail Trade E-Commerce

With customers’ increasing reliance on e-commerce and multimedia content after the outbreak of COVID-19, it has become crucial for companies to digitize their business methods and models. Consequently, COVID-19 has highlighted the prominence of e-commerce and new business models while disrupting conventional business activities. Hence, assessing and forecasting e-commerce growth is currently paramount for e-market planners, market players, and policymakers alike. This study sources data for the global e-commerce market leader, the US, and proposes an integrated framework that encompasses automated algorithms able to estimate six statistical and machine-learning univariate methods in order to accomplish two main tasks: (i) to produce accurate forecasts for e-commerce retail sales (e-sale) and the share of e-commerce in total retail sales (e-share); and (ii) to assess in quantitative terms the pandemic impact on the size and structure of the e-commerce retail sales sector. The results confirm that COVID-19 has significantly impacted the trend and structure of the US retail sales sector, producing cumulative excess (or abnormal) retail e-sales of $227.820 billion and a cumulative additional e-share of 10.61 percent. Additionally, estimations indicate a continuation of the increasing trend, with point estimates of $378.691 billion for US e-commerce retail sales that are projected to account for 16.72 percent of total US retail sales by the end of 2025. Nonetheless, the current findings also document that the growth of e-commerce is not a consequence of the COVID-19 crisis, but that the pandemic has accelerated the evolution of the e-commerce sector by at least five years. Overall, the study concludes that the shift towards e-commerce is permanent and, thus, governments (especially in developing countries) should prioritize policies aimed at harnessing e-commerce for sustainable development. Furthermore, in light of the research findings, digital transformation should constitute a top management priority for retail businesses.

Intermittency and electricity retailing: An incomplete market approach

We analyze the integration of intermittent renewables-based technologies into an electricity mix comprising of conventional energy. Intermittency is modeled by a contingent electricity market and we introduce demand-side flexibility through the retailing structure. Retailers propose diversified electricity contracts at different prices, but in an insufficient number to cover intermittent production. These delivery contracts are modeled similarly to numeraire assets. We study the competitive equilibrium of the state-contingent wholesale electricity markets and the delivery contract markets. We also provide an analysis linking the delivery contracts to social welfare. Finally, we discuss the conditions under which changing the delivery contracts improve penetration of renewables and increases welfare. These provide useful insights for managing intermittency and achieving renewable capacity objectives.

Consumer Intention towards Webrooming Behavior in Emerging Economies: A Conceptual Framework based on Behavioral Reasoning Theory

Purpose: Recent research about consumer webrooming behavior has conferred the importance and wide prevalence of this behavior and indicates the impelling need for the exploration of this emerging phenomenon in the omni-channel retail environment. The purpose of this study is to understand consumers’ reasons related to channel attributes, acting as determinants and resistance factors for the consumers’ intention towards webrooming behavior, based on the framework of the Behavioral Reasoning Theory (BRT).
 Design/Methodology/Approach: Using the framework of BRT, postulations related to webrooming behavior have been proposed. The postulations are based on the literature review on webrooming conduct in the omnichannel shopping scenario.
 Findings: The proposed model imparts understanding about webrooming behavior on the basis of consumers’ reasoning and values underlying their attitude and intention towards webrooming behavior to provide a comprehensive view for understanding webrooming behavior in omni-channel retail environment.
 Implications/Originality/Value: This study contributes to the literature on the important research area of changing consumer buying behavior due to transforming retail structure, herein, the webrooming behavior, in the context of omni-channel retailing, in emerging economies.

Retail power in distribution channels: A double‐edged sword for upstream suppliers

In distribution channels, the growing popularity of downstream retailers is a cause of both delight and despair for their upstream suppliers. While such retailers can generate more sales for the suppliers, they may also have higher leverage during any bargaining. This paper uses an analytical model to explore how a supplier's preference about the structure of her retail distribution channel is shaped by (1) the level of substitutability between the end products sold by the retailers, (2) the correlation between the popularity of the retailers and their bargaining power, and (3) the intensity of competition from other channels. In our base model, a monopolist supplier sells two substitutable products to two retailers who then sell to end customers. The two retailers are asymmetric in their ability to attract customers and their bargaining power during any contract negotiation with the supplier is proportional to that attraction potential. Analysis of the model and its extension reveals a number of robust insights, irrespective of whether the negotiation between the channel partners is about profit allocation or about wholesale price. First, an ideal situation for the supplier is that less asymmetric retailers sell differentiated products while more asymmetric ones sell similar products. That is, a supplier whose products are quite substitutable should not be too concerned about a dominant retail partner, but one selling differentiated products should be worried. Second, a stronger correlation between the retailers' popularity and their bargaining power makes the retail structure with less asymmetric retailers preferable from the supplier's perspective. Finally, the presence of competing channels selling substitutable variants significantly impacts the supplier's preference about its own channel structure, and a high level of channel competition reverses some of the above findings.

An art museum in every mall? Persuasive spaces for contemporary art in China

ABSTRACT This paper offers a critical consideration of the proliferation of art museums situated in shopping malls in China. Creating interventions of art and the art museum within retail structures can be conceptually understood as a synthesis development model, whereby the combination of art and commerce is adopted by real estate enterprises in China. The operational characteristics of mall museums reflect a growing tendency for art to be used instrumentally to align with everyday life: an aestheticisation of the ordinary. In the late twentieth century, postmodernism placed great emphasis on the blurring of boundaries between art and everyday life, signalling the collapse of the distinction between high art and mass/popular culture [Baudrillard, Jean. 1983. Simulations. New York: Semiotext; Featherstone, Mike. 1990. Consumer Culture and Postmodernism, 64–80. London: SAGE Publications]. Nonetheless, through the example of the Chi Shanghai K11 Art Mall, this paper considers public engagement practices where ‘art is for the masses’ within such structures to explore whether curatorial strategies and art practices are influenced through a constant adaptation into ‘art museum retail’. It also aims to consider whether the development of these ‘persuasive spaces’ thus has the potential to include experimentation and knowledge production.

Stakeholders’ perception of collaborative stores in the city of São Paulo

The sharing economy is a recent phenomenon that has emerged due to its growing expansion in the market and in the media. The objective is to present the perception of stakeholders about collaborative stores in the city of São Paulo. Collaborative stores are retail structures engaged in the shared economy. The research is exploratory, qualitative and multiple case study. Eight interviews were conducted with semi-structured questions with stakeholders. It was concluded that collaborative stores are structures that foster entrepreneurship, especially for managers of small businesses or individual entrepreneurs, serving as a laboratory for the development of small brands and products.

A STUDY OF CONSUMER BEHAVIOR FOR BUILDING NEW BUSINESS FORMATS IN INDIAN RETAIL SECTOR DUE TO DIGITIZATION

This paper specifies propositions to explain the occurrence of a theory to restructure retail formats on the bases of demographic variables. It focuses on one specific need of a paradigm shift for retail industry due to digitization. This covers the retail formats, retail related consumer behavior and theory to restructure the formats. These consequences and concerns include the evolution of new retail formats. It augments changes to be brought in to the market structure due to the continuous dynamic growth in different disciplines of electronic retail structure and globally growing concern for the shared sales of store formats. This research was aimed to compare and identify the features of retail stores and adopt it to meet the need of modern retail industry. The significant and continuous growth of e-commerce as well as the digital transformation itself are responsible for a necessary transformation process of the existing retail sector. Studying empirically, it highlights that to serve the customer better and offer a good customer-experience, it seems necessary to adopt the necessary features for the formats. As an outcome concrete occurrences and the path for the retailers will be derived. This will help retailer to decide which demographic variables will impact their stores while deciding the adopting changes to their formats as per their type of store and product segment.