Channel coordination and quantity discounts
Management Science
Internet-based e-banking and consumer attitudes: an empirical study
Information and Management
E-commerce and the undulating distribution channel
Communications of the ACM - How the virtual inspires the real
Intermediation and electronic markets: aggregation and pricing in internet commerce
Intermediation and electronic markets: aggregation and pricing in internet commerce
Privacy, economics, and price discrimination on the Internet
ICEC '03 Proceedings of the 5th international conference on Electronic commerce
Frictionless Commerce? A Comparison of Internet and Conventional Retailers
Management Science
Pricing strategies in B2C electronic commerce: analytical and empirical approaches
Decision Support Systems
An examination of the determinants of customer loyalty in mobile commerce contexts
Information and Management
The Impact of E-Commerce on Competition in the Retail Brokerage Industry
Information Systems Research
Information Systems Research
A Multichannel Model of Separating Equilibrium in the Face of the Digital Divide
Journal of Management Information Systems
Beyond the Hype of Frictionless Markets: Evidence of Heterogeneity in Price Rigidity on the Internet
Journal of Management Information Systems
Effect of Electronic Secondary Markets on the Supply Chain
Journal of Management Information Systems
Buyers' Choice of Online Search Strategy and Its Managerial Implications
Journal of Management Information Systems
Consumer Behavior in Web-Based Commerce: An Empirical Study
International Journal of Electronic Commerce
The Dynamics of Click-and-Mortar Electronic Commerce: Opportunities and Management Strategies
International Journal of Electronic Commerce
Information Technology and Management
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Achieving an effective business design across the Internet and the off-line channel is a critical concern for a hybrid firm's choice of pricing strategy. Two pricing models are proposed to examine how consumer channel migration (one-way channel interaction from the traditional sales channel to the Internet) affects pricing strategy. One model has no interaction between the Internet and off-line channels. The other includes the possibility of one-way migration to the Internet channel and incorporates consumers' channel-switching costs and loyalty to the firm. The two models offer interesting results for understanding traditional and Internet-based selling. A high level of channel migration leads a firm to manage the two channels as one. With low channel migration, in contrast, the firm should optimize and manage each channel separately. The models had two main findings: (1) the level of channel migration determines a hybrid firm's pricing strategy; (2) a hybrid firm's price-level choice should be determined by the on-line demand proportion of its business. The modeling results were validated with empirical analysis for 10 large South Korean e-commerce firms by comparing prices in different product categories for various types of hybrid firms and Internet-only firms. This research offers new marketing strategy insights for managers of hybrid firms who wish to optimize price-setting decisions based on interactions between distribution channels and the intensity of the firm's involvement in the on-line channel.