Journal of Theoretical and Applied Electronic Commerce Research

Open AccessArticle

From Fake Reviews to Fake News: A Novel Pandemic Model of Misinformation in Digital Networks

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J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 1069-1085; https://doi.org/10.3390/jtaer18020054 - 04 Jun 2023

Abstract

Digital networks and E-commerce platforms have had a profound effect on people’s personal, educational, and professional life all around the world. They offer space for advertising, sales, and disseminating news and information, even if they are frequently used for social marketing, interacting, and [...] Read more.

Digital networks and E-commerce platforms have had a profound effect on people’s personal, educational, and professional life all around the world. They offer space for advertising, sales, and disseminating news and information, even if they are frequently used for social marketing, interacting, and sharing thoughts among people. Currently, most E-commerce platforms utilize digital network space for advertisement and an increasing trend of social commerce is visible in all parts of the world. During the Post-COVID-19 pandemic, a rapid increase in digital media and E-commerce usage was observed in all parts of the world for personal and professional aspects. The increase in misinformation through these platforms is a major challenge that the current governments face today as rumors and fake news creates severe detrimental implications in society. In this work, we consider fake reviews and misinformation in online digital networks as a single disease, and thereby, by considering the recent trends in online social media marketing, we formulate a pandemic model for digital networks with a psychological state of human choice. The positivity and stability of the model are mathematically tested and validated. Our analysis and simulation prove that the system is stable and justifiable in the real-world digital environment. The generated pandemic model can be applied to assess the social and emotional intelligence of communities and consumers who are frequently exposed to misinformation and share fake news. Full article

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Open AccessArticle

Pricing Decisions and Coordination in E-Commerce Supply Chain with Wholesale Price Contract Considering Focus Preferences

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J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 1041-1068; https://doi.org/10.3390/jtaer18020053 - 03 Jun 2023

Abstract

Decision makers’ behavioral preferences have always been important in coordinating the supply chain. Decision makers need to choose a partner wisely to increase the profitability of the entire supply chain, especially in the competitive e-commerce environment. In this paper, we examine a two-echelon [...] Read more.

Decision makers’ behavioral preferences have always been important in coordinating the supply chain. Decision makers need to choose a partner wisely to increase the profitability of the entire supply chain, especially in the competitive e-commerce environment. In this paper, we examine a two-echelon e-commerce supply chain with one retailer and one supplier using the most popular wholesale price contract to facilitate collaboration. Traditional research has shown that the classical expectation model cannot coordinate the supply chain. We apply the focus theory of choice to describe the retailer’s behavior as a follower, and we examine the impact of the retailer’s pricing decisions on the supplier under different focus preferences and the coordination for the entire supply chain. The lower the parameter φ, which represents the degree of positivity, and the higher the parameter κ, which represents the level of confidence, the closer the profit of the whole supply chain is to the coordination result—both are visualized through numerical experiments and images. In the case of φ determination, the lower the κ, the better the supply chain coordination. The finding implies that the retailer may be able to coordinate the supply chain and produce better results than the expectation model when he or she makes choices using a positive evaluation system that includes both higher levels of optimism and lower levels of confidence. The findings of the FTC model can simultaneously offer a theoretical foundation for expanding collaboration among supply chain participants and management insights for decision makers to choose cooperation partners. Full article

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Open AccessArticle

A Luxury Tourist Destination in Housing for Tourist Purposes: A Study of the New Airbnb Luxe Platform in the Case of Marbella

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María Jesús Carrasco-Santos

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Andrea Peña-Romero

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Daniel Guerrero-Navarro

J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 1020-1040; https://doi.org/10.3390/jtaer18020052 - 19 May 2023

Abstract

Marbella has a wide range of luxury property rentals, which are the subject of study within the framework of the collaborative economy, where the Airbnb platform stands out as the most used channel. This research focuses on the analysis of the total number [...] Read more.

Marbella has a wide range of luxury property rentals, which are the subject of study within the framework of the collaborative economy, where the Airbnb platform stands out as the most used channel. This research focuses on the analysis of the total number of luxury villas offered in Marbella by Airbnb Luxe and Luxury Retreats. The methodology was carried out in four phases: the first phase involved a review of the literature on tourism and luxury and a study of Marbella as a luxury destination. The second phase focused on the analysis of the types of accommodation that Marbella offers. The third phase focused on the collection of data from the analyzed platform: Airbnb Luxe and Luxury Retreats. Finally, qualitative research consisting of in-depth interviews with owners and real estate agents focused on the luxury sector in Marbella was carried out. The results obtained yield relevant conclusions: Marbella is one of the main luxury holiday destinations in Spain, and the most demanded type of luxe accommodation in Marbella is large luxury villas. The term ‘luxury’ can be subjective, referring to such things as the visible and non-visible aspects that determine the category of a luxury property, hence the need to carry out a study on the luxury segment to establish a precise definition. Full article

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Open AccessReview

Chatbots and Voice Assistants: Digital Transformers of the Company–Customer Interface—A Systematic Review of the Business Research Literature

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Carmen Bălan

J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 995-1019; https://doi.org/10.3390/jtaer18020051 - 18 May 2023

Abstract

Chatbots and voice assistants are digital transformers of the interface between companies and customers. They have become part of the current practice of companies and represent a distinct domain of business research. This trend is significant in the broad business context marked by [...] Read more.

Chatbots and voice assistants are digital transformers of the interface between companies and customers. They have become part of the current practice of companies and represent a distinct domain of business research. This trend is significant in the broad business context marked by the digital transformation of companies, the fast development of e-commerce and the omnichannel behavior of customers. This article is a systematic review of the high-quality business research literature on chatbots and voice assistants. The purpose of this review is to critically analyze the current status of this literature from the perspective of the theories, contexts, characteristics and methodologies applied. The final aim of this review is to support the domain of study by suggesting a relevant agenda for future research. This review brings several contributions to the research domain, including the following: the identification of the main streams of high-quality business research in function of the theories in which the studies are grounded; the development of a conceptual framework of the investigated variables (antecedents, mediators, moderators and consequences); the creation of a conceptual framework of the humanlikeness of chatbots and voice assistants; the development of a conceptual framework of the consumer experience with chatbots and voice assistants and the presentation of insights for business practice. Full article

(This article belongs to the Special Issue Digital Resilience and Economic Intelligence in the Post-Pandemic Era)

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Open AccessArticle

The Return of the King: The Importance of Killer Content in a Competitive OTT Market

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Jongwha Kim

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Changjun Lee

J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 976-994; https://doi.org/10.3390/jtaer18020050 - 17 May 2023

Abstract

As the over-the-top (OTT) service market continues to evolve, with new large global players entering the already crowded market, competition between various OTT services for subscribers has intensified. In this study, we aim to investigate the impact of user preference content on the [...] Read more.

As the over-the-top (OTT) service market continues to evolve, with new large global players entering the already crowded market, competition between various OTT services for subscribers has intensified. In this study, we aim to investigate the impact of user preference content on the selection of specific OTT services by consumers. Specifically, we employ the conjoint experiment (CE) method to examine consumer utility, relative importance, and marginal willingness to pay (MWTP) for over-the-top (OTT) subscription service attributes. Especially, the presence of users’ killer content and its impact on MWTP is the focus of our study. As a result of calculating the MWTP for each attribute, we found that users are willing to pay about 7633 KRW (5.8 USD) for the first-ranked killer content in their first preferred genre. To gain a deeper understanding of users’ willingness to pay for OTT services, we further analyzed the data by age group and the number of OTT services in use. Based on the results, we suggest strategic plans for local OTT operators to compete effectively in the fiercely competitive OTT market. Full article

Open AccessArticle

Live Commerce Platforms: A New Paradigm for E-Commerce Platform Economy

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Junic Kim

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Nianwen He

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Ian Miles

J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 959-975; https://doi.org/10.3390/jtaer18020049 - 10 May 2023

Abstract

Live commerce is creating a new paradigm for e-commerce platform economy. This study aims to provide effective strategies that can be used for live commerce platform operation and management by analysing factors that influence consumer intentions to purchase. As a combination of e-commerce [...] Read more.

Live commerce is creating a new paradigm for e-commerce platform economy. This study aims to provide effective strategies that can be used for live commerce platform operation and management by analysing factors that influence consumer intentions to purchase. As a combination of e-commerce and live streaming, live commerce allows businesses to demonstrate products, answer customer questions, and provide personalized recommendations in a way that replicates the in-store experience. Thus, this study aims to provide effective strategies that can be used for the new e-commerce platform economy and market competition that live commerce platforms build by analysing factors that influence consumer intentions to purchase. This study was conducted using structural equation modeling (SEM) based on a survey of 237 live commerce users. The results of this study lend platform-providers a more comprehensive understanding of the functional and social factors that influence consumers’ decisions to make purchases on such platforms. The outcomes can further serve as a basis for improving platforms, providing consumers with a better consumption experience, and offering theoretical support for consumers to use related services rationally and efficiently. Full article

(This article belongs to the Section Digital Marketing and the Connected Consumer)

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Open AccessArticle

Regional Digital Resilience and the 4Helix Model—The Higher Education Institutions’ Case in Romania

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Adriana Grigorescu

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Cristina Lincaru

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Throstur Olaf Sigurjonsson

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Speranța Pîrciog

J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 928-958; https://doi.org/10.3390/jtaer18020048 - 08 May 2023

Abstract

Against the background of multiple and simultaneous global socio-economic shocks, coupled with digital transformation and the green transition, regional resilience triggers new structural transformations. The more complex processes that need to be addressed now require the usage of complex integrated tools. The novelty [...] Read more.

Against the background of multiple and simultaneous global socio-economic shocks, coupled with digital transformation and the green transition, regional resilience triggers new structural transformations. The more complex processes that need to be addressed now require the usage of complex integrated tools. The novelty of the integrated approach is the combination of the models and the synthetic spatial–temporal picture offered. The quadruple helix, or 4Helix, model puts Higher Education Institutions (HEIs) at the nexus of generating regional digital resilience. We posit a new mindset and behavior of human capital to reinforce innovation and knowledge production and transfer. We explore, using the Romanian national case, to what degree the spatial 4Helix model generates regional digital resilience as a positive externality of adoption of the ‘new normal’ digital education. We analyze this process in three steps. (1) We determine the spatial distribution of HEIs at the Romanian county level (NUTS3). (2) We calculate the regional static and dynamic resilience indexes (at NUTS2) as the outcome of the method for multi-criteria decision making (MCDM) by each region’s digital economy as well as individual and regional wealth, social digital use and social digital connectivity dimensions. (3) Lastly, we provide the result of overlaid maps and radar charts (using HEIs number and spatial coverage and each region’s static and dynamic digital resilience). These three classes of digital resilience models of 4Helix by region indicate a generalized failure in adopting digital education in Romania. The study contributes by adding a powerful tool to explore the complex processes or phenomena and generating an integrated perspective using a pre-existing framework. In doing so, it enables researchers to better understand and address society’s needs, co-create knowledge and solutions together with the end-users, maximize the impact of these solutions, optimize resources usage, and increase the transparency and accountability of the decision-making processes. Full article

(This article belongs to the Special Issue Digital Resilience and Economic Intelligence in the Post-Pandemic Era)

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Open AccessArticle

Monitoring Events of Market Competitors: A Text Mining Method for Analyzing Massive Firm-Generated Social Media

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J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 908-927; https://doi.org/10.3390/jtaer18020047 - 27 Apr 2023

Abstract

Understanding how competitors act in a market is a critical component of strategic decision-making. In this paper, we propose a method to extract firm events from the textual content generated by firms in the market and explore the competitive relationships among firms based [...] Read more.

Understanding how competitors act in a market is a critical component of strategic decision-making. In this paper, we propose a method to extract firm events from the textual content generated by firms in the market and explore the competitive relationships among firms based on the spatiotemporal homogeneity of events of different firms. To this end, we first introduce experts to define a series of business events based on the content of corporate-generated texts; then, we propose algorithms to extract and enrich the feature words (triggers) of these business events to form better event classifiers. We subsequently use these classifiers to identify the business events recorded in all online texts published by companies. Finally, based on these results, we can obtain a sequence of activities/events for each firm in the market, which can be used to identify the evolutionary patterns of firms’ behavior in the market, as well as their potential competitive relationships. Considering that competition between companies in the market appears to be continuous at the strategic level, but the implementation of competitive behavior is expressed through their “events” in the market, identifying whether companies are “competing” in the market requires timely observation of the information about “events” in the market. However, obtaining accurate market information is complex and costly. Therefore, this study provides a way to bridge the gap between social media data and market competition “events”. Full article

(This article belongs to the Section Digital Business Organization)

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Open AccessArticle

Empowering Digital Marketing with Interactive Virtual Reality (IVR) in Interior Design: Effects on Customer Satisfaction and Behaviour Intention

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Yuk Ming Tang

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Yui-yip Lau

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Uen Lam Ho

J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 889-907; https://doi.org/10.3390/jtaer18020046 - 25 Apr 2023

Abstract

Interior design industries have evolved to adopt advanced digital and interactive virtual reality (IVR) technologies for promotion. Marketing using a platform with a virtual interior design feature is an approach that enables not only the building up of a positive image for an [...] Read more.

Interior design industries have evolved to adopt advanced digital and interactive virtual reality (IVR) technologies for promotion. Marketing using a platform with a virtual interior design feature is an approach that enables not only the building up of a positive image for an interior design firm but also allows customers to experience home design intuitively on the digital platform. This study researched the relationship between the three factors of aesthetics, ease of use, and information quality in digital marketing and consumer satisfaction. Data from 120 respondents were collected via the internet. The results generated from structural equation modelling indicated that the above factors positively influence customer satisfaction with a digital platform empowered with the IVR interior design. It was found that information quality has the most influence among the three factors. Despite numerous scholars having conducted in-depth research on digital marketing, existing research lacks a consumer perspective for examining what factors have the most significant impact on consumers. Moreover, relatively little work has been conducted to determine the customer’s perceptions towards the digital marketing approach using virtual interior design and its interactive features. A theoretical model for interactive virtual interior design features for digital marketing is thus proposed. Full article

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Open AccessArticle

The Adoption and Openness of Livestreaming on the Retail Platform with Third-Party Sellers

by

Shukun Liu

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Wenli Li

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Peng Wang

J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 867-888; https://doi.org/10.3390/jtaer18020045 - 25 Apr 2023

Abstract

Observing the fast development of livestreaming, this paper investigates its adoption on the retail platform and examines its impact on merchants. We develop a game-theoretic model in which a leading retailer and a third-party seller engage in price competition. Our model fully considers [...] Read more.

Observing the fast development of livestreaming, this paper investigates its adoption on the retail platform and examines its impact on merchants. We develop a game-theoretic model in which a leading retailer and a third-party seller engage in price competition. Our model fully considers the initiative of live streamers in this asymmetric competition. We find that the streamer’s cost and the seller’s initial awareness are two key factors affecting the adoption of livestreaming. Specifically, when the streamer’s cost is low, or it is intermediate and the seller’s initial awareness is high, the retailer adopts and opens livestreaming and the seller also adopts it; when both factors are intermediate, the retailer adopts livestreaming but does not open it to the seller; when both factors are high, the retailer adopts and opens livestreaming but the seller does not adopt it; otherwise, the retailer does not adopt livestreaming. Our results also suggest that the presence of livestreaming benefits the retailer but may hurt the seller especially when the seller’s initial awareness is high. Our findings provide relevant and useful implications for both the platform retailer and third-party seller in their livestreaming decisions. Full article

(This article belongs to the Section Digital Marketing and the Connected Consumer)

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Open AccessArticle

An Explainable Artificial Intelligence Approach for Multi-Criteria ABC Item Classification

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Alaa Asim Qaffas

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Mohamed-Aymen Ben HajKacem

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Chiheb-Eddine Ben Ncir

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Olfa Nasraoui

J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 848-866; https://doi.org/10.3390/jtaer18020044 - 11 Apr 2023

Abstract

Multi-criteria ABC classification is a useful model for automatic inventory management and optimization. This model enables a rapid classification of inventory items into three groups, having varying managerial levels. Several methods, based on different criteria and principles, were proposed to build the ABC [...] Read more.

Multi-criteria ABC classification is a useful model for automatic inventory management and optimization. This model enables a rapid classification of inventory items into three groups, having varying managerial levels. Several methods, based on different criteria and principles, were proposed to build the ABC classes. However, existing ABC classification methods operate as black-box AI processes that only provide assignments of the items to the different ABC classes without providing further managerial explanations. The multi-criteria nature of the inventory classification problem makes the utilization and the interpretation of item classes difficult, without further information. Decision makers usually need additional information regarding important characteristics that were crucial in determining the managerial classes of the items because such information can help managers better understand the inventory groups and make inventory management decisions more transparent. To address this issue, we propose a two-phased explainable approach based on eXplainable Artificial Intelligence (XAI) capabilities. The proposed approach provides both local and global explanations of the built ABC classes at the item and class levels, respectively. Application of the proposed approach in inventory classification of a firm, specialized in retail sales, demonstrated its effectiveness in generating accurate and interpretable ABC classes. Assignments of the items to the different ABC classes were well-explained based on the item’s criteria. The results in this particular application have shown a significant impact of the sales, profit, and customer priority as criteria that had an impact on determining the item classes. Full article

(This article belongs to the Collection Advances in Supply Chain Management in the Era of Electronic Commerce)

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Open AccessArticle

A Recommendation System in E-Commerce with Profit-Support Fuzzy Association Rule Mining (P-FARM)

by

Onur Dogan

J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 831-847; https://doi.org/10.3390/jtaer18020043 - 06 Apr 2023

Abstract

E-commerce is snowballing with advancements in technology, and as a result, understanding complex transactional data has become increasingly important. To keep customers engaged, e-commerce systems need to have practical product recommendations. Some studies have focused on finding the most frequent items to recommend [...] Read more.

E-commerce is snowballing with advancements in technology, and as a result, understanding complex transactional data has become increasingly important. To keep customers engaged, e-commerce systems need to have practical product recommendations. Some studies have focused on finding the most frequent items to recommend to customers. However, this approach fails to consider profitability, a crucial aspect for companies. From the researcher’s perspective, this study introduces a novel method called Profit-supported Association Rule Mining with Fuzzy Theory (P-FARM), which goes beyond just recommending frequent items and considers a company’s profit while making product suggestions. P-FARM is an advanced data mining technique that creates association rules by finding the most profitable items in frequent item sets. From the practitioners’ standpoints, this method helps companies make better decisions by providing them with more profitable products with fewer rules. The results of this study show that P-FARM can be a powerful tool for improving e-commerce sales and maximizing profit for businesses. Full article

(This article belongs to the Special Issue Digital Resilience and Economic Intelligence in the Post-Pandemic Era)

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Open AccessArticle

A Review of Blockchain Technology Adoption in the Tourism Industry from a Sustainability Perspective

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Juan F. Prados-Castillo

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José Manuel Guaita Martínez

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Agnieszka Zielińska

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Dolores Gorgues Comas

J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 814-830; https://doi.org/10.3390/jtaer18020042 - 03 Apr 2023

Abstract

The deployment of Blockchain technology in the tourism industry is already becoming a reality with the gradual emergence of innovative business models. At its core is the promise of improving the efficiency of the tourism service value chain and enhancing the quality of [...] Read more.

The deployment of Blockchain technology in the tourism industry is already becoming a reality with the gradual emergence of innovative business models. At its core is the promise of improving the efficiency of the tourism service value chain and enhancing the quality of the service provided to the end customer. This paper analyses research trends focused on using Blockchain technology in tourism. The aim is to determine how this technology impacts the tourism sector and its sustainability. A systematic review, descriptive bibliometric analysis, and network analysis based on co-authorship, co-citation, and keyword analysis criteria, among others, have been used. The results reveal that the subject matter analysed is generating a growing trend in academic research in the fields of sustainable management and supply chain efficiency. The activities in the tourism sector that are incorporating this technology to a greater extent are those related to the areas of marketing, logistics, and smart business models, according to the data extracted from the analysis. This technology already enables the application of solutions that predict and promote tourist behaviour based on sustainable behaviour and consumption habits, generating value for the different stakeholders. Full article

(This article belongs to the Special Issue Blockchain Commerce Ecosystem)

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Open AccessArticle

An Exploratory Study of the Critical Success Factors of the Global Shipping Industry in the Digital Era

by

Surinder Brrar

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Eunha Lee

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Tsz Leung Yip

J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 795-813; https://doi.org/10.3390/jtaer18020041 - 31 Mar 2023

Abstract

The global shipping industry faces many uncertainties which impact on how organisations within this sector will perform in the future. Research in the critical success factors which impact the global shipping industry in the digital era is lacking. This study plugs the gap [...] Read more.

The global shipping industry faces many uncertainties which impact on how organisations within this sector will perform in the future. Research in the critical success factors which impact the global shipping industry in the digital era is lacking. This study plugs the gap in the literature by identifying four key critical success factors which are innovation capability, risk governance capability, leadership and strategic capability, and technological capability. In addition, this study also found three organisational performance measures that are useful for senior management teams within the industry, namely, financial performance, operational performance and marketing performance. The results were then triangulated and validated by the case study method using a global shipping organisation. The findings establish a set of critical success factors and the corresponding relationships between the identified critical success factors and the identified organisational performance measures. The paper also provides managerial insights for industry practitioners for defining, prioritising and allocating resources in order to improve organisational performance. Full article

(This article belongs to the Special Issue Supply Chain Digitalization)

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Open AccessArticle

The Digital Platform, Enterprise Digital Transformation, and Enterprise Performance of Cross-Border E-Commerce—From the Perspective of Digital Transformation and Data Elements

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Yunpeng Yang

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Nan Chen

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Hongmin Chen

J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 777-794; https://doi.org/10.3390/jtaer18020040 - 23 Mar 2023

Abstract

The digital trade ecosystem’s development relies on the growth of cross-border e-commerce platforms. To ensure the continued growth of China’s digital trade, it is crucial to consider the service capabilities of digital platforms and the digital transformation capabilities of cross-border e-commerce firms. This [...] Read more.

The digital trade ecosystem’s development relies on the growth of cross-border e-commerce platforms. To ensure the continued growth of China’s digital trade, it is crucial to consider the service capabilities of digital platforms and the digital transformation capabilities of cross-border e-commerce firms. This study explores the impact of these factors on the performance of cross-border e-commerce companies, with digital transformation capability acting as a mediator. Empirical research reveals that the service capability of digital platforms is composed of supply chain communication and cost control abilities, which partially mediate the relationship between digital platform serviceability and cross-border e-commerce enterprise performance. Moreover, both the service capabilities of digital platforms and the digital transformation capabilities of cross-border e-commerce companies have a positive and significant impact on enterprise performance. Full article

(This article belongs to the Collection Utilizing Models for e-Business Decision-Making: From Data to Wisdom)

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Open AccessArticle

Sentiment and Emotion on Twitter: The Case of the Global Consumer Electronics Industry

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Claudia Pezoa-Fuentes

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Danilo García-Rivera

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Sebastián Matamoros-Rojas

J. Theor. Appl. Electron. Commer. Res. 2023, 18(2), 765-776; https://doi.org/10.3390/jtaer18020039 - 23 Mar 2023

Abstract

Sentiment analysis is a new tool on new social media platforms, locations very attractive to the global consumer industry to investigate, due to their relevance and increased consumption in a pandemic. This study aims to determine the predominant sentiment and emotions on Twitter [...] Read more.

Sentiment analysis is a new tool on new social media platforms, locations very attractive to the global consumer industry to investigate, due to their relevance and increased consumption in a pandemic. This study aims to determine the predominant sentiment and emotions on Twitter through a sentiment analysis in the consumer electronics industry, according to the top 30 companies of the Consumer Electronic Show 2020, by analyzing 96,000 tweets with a total of 273,221 words. The methodology used is quantitative, of a descriptive type, that integrates the study of emotions and sentiment through a statistical analysis of the tweets with R. The main results identify that the predominant sentiment is of positive assessment and the emotions of anticipation and confidence were the most representative. The contribution of this research is to provide empirical evidence of the global consumer electronics industry for correct decision-making through a data language analysis procedure on Twitter. Full article

(This article belongs to the Collection Customer Relationships in Electronic Commerce)

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Open AccessArticle

Co-Opetitive Strategy Optimization for Online Video Platforms with Multi-Homing Subscribers and Advertisers

by

Jing Li

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Shuying Gong

and

Xing Li

J. Theor. Appl. Electron. Commer. Res. 2023, 18(1), 744-764; https://doi.org/10.3390/jtaer18010038 - 22 Mar 2023

Abstract

In the two-sided market for online streaming content, the platform’s co-opetitive strategy has been wildly discussed, where the platforms cooperate in sharing the broadcasting right of content and meanwhile compete for both subscribers and advertisers. Although platform co-opetition in practice can be easily [...] Read more.

In the two-sided market for online streaming content, the platform’s co-opetitive strategy has been wildly discussed, where the platforms cooperate in sharing the broadcasting right of content and meanwhile compete for both subscribers and advertisers. Although platform co-opetition in practice can be easily captured, the impacts of cross-side network effects on pricing strategy are contingent upon the participation decision of both sides, including single-homing and multi-homing. Therefore, we examine the optimal co-opetitive strategy of duopoly platforms using a Hotelling model to capture user behaviors and investigate the equilibriums of pricing decisions and profits in three scenarios: single-single, multi-single, and multi-multi. The main findings are: (1) Advertisers choose multi-homing only when subscribers are also multi-homing, and the broadcasting cost is relatively low. (2) With single-homing advertisers, the primary broadcasting platform earns more profit than the re-broadcasting one. (3) With multi-homing advertisers, the primary broadcasting platform’s profit increases with the broadcasting rights cost. (4) Platforms should focus on building strong cross-side network effects with multi-homing advertisers. Alternatively, they would be better off contracting with single-homing advertisers if the effects are relatively low. Full article

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Open AccessArticle

The Growth of Social Commerce: How It Is Affected by Users’ Privacy Concerns

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J. Theor. Appl. Electron. Commer. Res. 2023, 18(1), 725-743; https://doi.org/10.3390/jtaer18010037 - 22 Mar 2023

Abstract

Over recent years, social commerce has evolved into a powerful segment of e-commerce, creating new opportunities for brands of all types and sizes. However, if social commerce is to continue to grow and deliver the many benefits it promises, it must address a [...] Read more.

Over recent years, social commerce has evolved into a powerful segment of e-commerce, creating new opportunities for brands of all types and sizes. However, if social commerce is to continue to grow and deliver the many benefits it promises, it must address a number of key challenges, including privacy, trust, and ethical concerns. This paper explores the extent to which privacy issues affect the attitudes and behaviours of social media platform (SMP) users towards social commerce, and investigates whether these attitudes and behaviours are a function of cultural context. The approach adopted for the research is a two-stage method, which initially uses semi-structured interviews of social-commerce users to identify their key privacy concerns. These concerns are then used to develop, using the theory of reasoned action (TRA), a structural model that facilitates the formation of hypotheses which relate users’ attitudes to privacy to subsequent behaviour. This model is assessed by analysing the responses to a questionnaire from a large sample of participants. This allows us to evaluate the general accuracy of the model and to compare culturally distinct subgroups (Saudi vs. Chinese) using partial least-squares analysis. Results show good support for all of our hypotheses and indicate that there are clear cultural effects. One of these effects is the inadequacy of privacy policies implemented by SMP providers, regarding culturally specific ethical concerns. Full article

(This article belongs to the Special Issue Social Commerce and the Recent Changes)

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Open AccessArticle

The Impact of Return Shipping Insurance on a Retailer Based on Restricting Rights

by

Xingyi Yang

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Xiaopei Dai

and

Zhenyu Liu

J. Theor. Appl. Electron. Commer. Res. 2023, 18(1), 706-724; https://doi.org/10.3390/jtaer18010036 - 20 Mar 2023

Abstract

In e-commerce, retailers often use return shipping insurance (RSI) to solve consumer returns, leading to a high return rate. To reduce this negative effect, we consider restricting rights to restrict consumers from obtaining RSI or buying products. We examine the effect of RSI [...] Read more.

In e-commerce, retailers often use return shipping insurance (RSI) to solve consumer returns, leading to a high return rate. To reduce this negative effect, we consider restricting rights to restrict consumers from obtaining RSI or buying products. We examine the effect of RSI on retail pricing strategies and profits under restricting rights. We formulate a game-theoretical model which consists of one insurer, a retailer and two types of consumers (informed consumers and uninformed consumers). By solving the model, we find that even though the insurer has restricted uninformed consumers from obtaining RSI, the retailer further restricts them from buying the product when the salvage value is low. Second, when the retailer and insurer have no right to restrict uninformed consumers, purchasing RSI may hurt the retailer. Third, when the insurer restricts uninformed consumers and the product salvage is low, the retailer adopts the high-price strategy; otherwise, the retailer adopts the low-price strategy. Finally, when the product salvage is low, the retailer will prevent uninformed consumers from buying the product by adopting the high-price strategy or using the restricting right. In this case, the insurer will set a higher premium. Full article

(This article belongs to the Collection Advances in Supply Chain Management in the Era of Electronic Commerce)

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Journal of Theoretical and Applied Electronic Commerce Research

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