Optimal Showroom Service Strategy and Power Structure for Retailers considering Consumer Return

This paper investigates the optimal showroom service strategy and power structure for online and offline retailers considering online consumer return. Combining two service strategies and three competition power structures, six models are constructed to analyze the effects of the showrooming effect...

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Main Authors: Xuemei Zhang, Haoran Chen, Jiawei Hu, Chenhao Ma, Wei Shi
Format: Article
Language:English
Published: Wiley 2021-01-01
Series:Discrete Dynamics in Nature and Society
Online Access:http://dx.doi.org/10.1155/2021/4598341
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author Xuemei Zhang
Haoran Chen
Jiawei Hu
Chenhao Ma
Wei Shi
author_facet Xuemei Zhang
Haoran Chen
Jiawei Hu
Chenhao Ma
Wei Shi
author_sort Xuemei Zhang
collection DOAJ
description This paper investigates the optimal showroom service strategy and power structure for online and offline retailers considering online consumer return. Combining two service strategies and three competition power structures, six models are constructed to analyze the effects of the showrooming effect and consumer return on retailers’ decisions and consumer surplus. The results show that the SS strategy is the best choice for offline retailers, and it is also an effective way to solve consumer return. Online retailers are suggested to cooperate with offline retailers to implement SS strategy and enhance the showrooming effect. Under the SS strategy, the offline-led power structure is the best choice for online retailers, but the online-led power structure is optimal for offline retailers. We also find that the supply chain and consumers are more likely to implement SS strategy and offline-led power structure. More importantly, we pinpoint that there is no incentive for retailers to implement the Nash power structure. Therefore, it is recommended to revitalize the real economy of offline retailers and implement the strategy SS effectively.
format Article
id doaj-art-9e979bd8ba294dabaf8aa15f706253ee
institution Kabale University
issn 1026-0226
1607-887X
language English
publishDate 2021-01-01
publisher Wiley
record_format Article
series Discrete Dynamics in Nature and Society
spelling doaj-art-9e979bd8ba294dabaf8aa15f706253ee2025-02-03T05:44:48ZengWileyDiscrete Dynamics in Nature and Society1026-02261607-887X2021-01-01202110.1155/2021/45983414598341Optimal Showroom Service Strategy and Power Structure for Retailers considering Consumer ReturnXuemei Zhang0Haoran Chen1Jiawei Hu2Chenhao Ma3Wei Shi4Business School, Fuyang Normal University, Fuyang, Anhui, 236037, ChinaBusiness School, Fuyang Normal University, Fuyang, Anhui, 236037, ChinaBusiness School, Fuyang Normal University, Fuyang, Anhui, 236037, ChinaBusiness School, Fuyang Normal University, Fuyang, Anhui, 236037, ChinaBusiness School, Fuyang Normal University, Fuyang, Anhui, 236037, ChinaThis paper investigates the optimal showroom service strategy and power structure for online and offline retailers considering online consumer return. Combining two service strategies and three competition power structures, six models are constructed to analyze the effects of the showrooming effect and consumer return on retailers’ decisions and consumer surplus. The results show that the SS strategy is the best choice for offline retailers, and it is also an effective way to solve consumer return. Online retailers are suggested to cooperate with offline retailers to implement SS strategy and enhance the showrooming effect. Under the SS strategy, the offline-led power structure is the best choice for online retailers, but the online-led power structure is optimal for offline retailers. We also find that the supply chain and consumers are more likely to implement SS strategy and offline-led power structure. More importantly, we pinpoint that there is no incentive for retailers to implement the Nash power structure. Therefore, it is recommended to revitalize the real economy of offline retailers and implement the strategy SS effectively.http://dx.doi.org/10.1155/2021/4598341
spellingShingle Xuemei Zhang
Haoran Chen
Jiawei Hu
Chenhao Ma
Wei Shi
Optimal Showroom Service Strategy and Power Structure for Retailers considering Consumer Return
Discrete Dynamics in Nature and Society
title Optimal Showroom Service Strategy and Power Structure for Retailers considering Consumer Return
title_full Optimal Showroom Service Strategy and Power Structure for Retailers considering Consumer Return
title_fullStr Optimal Showroom Service Strategy and Power Structure for Retailers considering Consumer Return
title_full_unstemmed Optimal Showroom Service Strategy and Power Structure for Retailers considering Consumer Return
title_short Optimal Showroom Service Strategy and Power Structure for Retailers considering Consumer Return
title_sort optimal showroom service strategy and power structure for retailers considering consumer return
url http://dx.doi.org/10.1155/2021/4598341
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AT jiaweihu optimalshowroomservicestrategyandpowerstructureforretailersconsideringconsumerreturn
AT chenhaoma optimalshowroomservicestrategyandpowerstructureforretailersconsideringconsumerreturn
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