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Factors Affecting Supply Chain Integration in Omni-Channel Retailing

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  • Yue Liu

    (Renmin Business School, Renmin University of China, Beijing 100872, China)

  • Guang Song

    (Beijing Laboratory of National Economic Security Early-Warning Engineering, Beijing Jiaotong University, Beijing 100044, China)

Abstract

China’s retail industry has vigorously developed an omni-channel retail strategy in the last few years. However, quantitative research on this development remains relatively scarce. This article addresses this by building a theoretical model of the relationships between internal supply chain integration, external supply chain integration and financial performance in omni-channel retailing and then verifies it by using a structural equation model to analyze 356 omni-channel retailers. The results show that in the case of omni-channel retailers, the supply chain’s internal information integration has a significant positive impact on its external information integration and that the supply chain’s internal process and internal organization integration significantly positively impact its external process and external organization integration. And it also shows the supply chain’s external information integration and external organization integration positively impact omni-channel retailers’ financial performance. However, the supply chain’s external process integration is not found to have the same effect on financial performance. This study addresses a theoretical gap in the research on the impact of supply chain integration on firm performance in omni-channel retailing. In addition, it provides suggestions about how omni-channel strategies can be effectively implemented in China’s retail industry.

Suggested Citation

  • Yue Liu & Guang Song, 2024. "Factors Affecting Supply Chain Integration in Omni-Channel Retailing," Sustainability, MDPI, vol. 16(8), pages 1-18, April.
  • Handle: RePEc:gam:jsusta:v:16:y:2024:i:8:p:3445-:d:1379284
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    References listed on IDEAS

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    2. Cai, Ya-Jun & Lo, Chris K.Y., 2020. "Omni-channel management in the new retailing era: A systematic review and future research agenda," International Journal of Production Economics, Elsevier, vol. 229(C).
    3. Wong, Christina W.Y. & Lai, Kee-hung & Bernroider, Edward W.N., 2015. "The performance of contingencies of supply chain information integration: The roles of product and market complexity," International Journal of Production Economics, Elsevier, vol. 165(C), pages 1-11.
    4. Holzapfel, Andreas & Hübner, Alexander & Kuhn, Heinrich & Sternbeck, Michael G., 2016. "Delivery pattern and transportation planning in grocery retailing," European Journal of Operational Research, Elsevier, vol. 252(1), pages 54-68.
    5. Chang, Woojung & Ellinger, Alexander E. & Kim, Kyoungmi (Kate) & Franke, George R., 2016. "Supply chain integration and firm financial performance: A meta-analysis of positional advantage mediation and moderating factors," European Management Journal, Elsevier, vol. 34(3), pages 282-295.
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    Cited by:

    1. Chenxing Li & Xianliang Shi, 2024. "Optimisation of a multilevel logistics network for prepositioned warehouses under an omni-channel retail model," Humanities and Social Sciences Communications, Palgrave Macmillan, vol. 11(1), pages 1-14, December.

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