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The Performance Impacts of Quick Response and Strategic Alignment in Specialty Retailing

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  • Jonathan W. Palmer

    (Decision & Information Technologies, Robert H. Smith School of Business, University of Maryland, 4348 Van Munching Hall, College Park, Maryland 20742)

  • M. Lynne Markus

    (Peter F. Drucker Graduate School of Management, Claremont Graduate University, 1021 North Dartmouth Street, Claremont, California 91711)

Abstract

The Quick Response (QR) program is a hierarchical suite of information technologies (IT) and applications designed to improve the performance of retailers. Consultants advise retailers to adopt the program wholesale, implying that more and higher levels of technology are better than less technology and lower levels. Academicians, on the other hand, argue that good technology is “appropriate” technology. That is firms should adopt only those technologies that suit the specific strategic directions pursued by the firm. Who is right? Which approach to investing in IT yields better performance results? Surprisingly, this cross-sectional survey of 80 specialty retailers found more support for the practitioners' claims than for the academicians'. Adoption of the QR program at a minimal level was associated with higher performance, although there was no performance impact due to higher levels of QR use. Firms did appear to match their IT usage to their business strategies, but there was no linkage between strategic alignment and firm performance, and there was surprisingly little variation in business or IT strategy. In short, the findings of our study suggest that both practitioners and academicians need to refine their theories and advice about what makes IT investments pay off.

Suggested Citation

  • Jonathan W. Palmer & M. Lynne Markus, 2000. "The Performance Impacts of Quick Response and Strategic Alignment in Specialty Retailing," Information Systems Research, INFORMS, vol. 11(3), pages 241-259, September.
    • Handle: RePEc:inm:orisre:v:11:y:2000:i:3:p:241-259
    DOI: 10.1287/isre.11.3.241.12203
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    References listed on IDEAS

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    1. Maria-Eugenia Ruiz-Molina & Irene Gil-Saura & Beatriz Moliner-Velázquez, 2011. "Does technology make a difference? Evidence from Spanish hotels," Service Business, Springer;Pan-Pacific Business Association, vol. 5(1), pages 1-12, March.
    2. Huigang Liang & Nianxin Wang & Yajiong Xue & Shilun Ge, 2017. "Unraveling the Alignment Paradox: How Does Business—IT Alignment Shape Organizational Agility?," Information Systems Research, INFORMS, vol. 28(4), pages 863-879, December.
    3. Jinhwan Kim & Hyeob Kim & HyukJun Kwon, 2020. "The Impact of Employees’ Perceptions of Strategic Alignment on Sustainability: An Empirical Investigation of Korean Firms," Sustainability, MDPI, vol. 12(10), pages 1-23, May.
    4. Olivera Marjanovic & Vijaya Murthy, 2016. "From product-centric to customer-centric services in a financial institution – exploring the organizational challenges of the transition process," Information Systems Frontiers, Springer, vol. 18(3), pages 479-497, June.
    5. Terence J. V. Saldanha & Dongwon Lee & Sunil Mithas, 2020. "Aligning Information Technology and Business: The Differential Effects of Alignment During Investment Planning, Delivery, and Change," Information Systems Research, INFORMS, vol. 31(4), pages 1260-1281, December.
    6. Jun Tian & Kanliang Wang & Yan Chen & Björn Johansson, 2010. "From IT deployment capabilities to competitive advantage: An exploratory study in China," Information Systems Frontiers, Springer, vol. 12(3), pages 239-255, July.
    7. Chiu, Chia-Nan & Yang, Cheng-Liang, 2019. "Competitive advantage and simultaneous mutual influences between information technology adoption and service innovation: Moderating effects of environmental factors," Structural Change and Economic Dynamics, Elsevier, vol. 49(C), pages 192-205.
    8. Artur Siurdyban, 2014. "Understanding the IT/business partnership: A business process perspective," Information Systems Frontiers, Springer, vol. 16(5), pages 909-922, November.
    9. Viktoria Rajnak & Thomas Puschmann, 2021. "The impact of blockchain on business models in banking," Information Systems and e-Business Management, Springer, vol. 19(3), pages 809-861, September.
    10. Gil-Saura, Irene & Berenguer-Contrí, Gloria & Ruiz-Molina, María-Eugenia, 2009. "Information and communication technology in retailing: A cross-industry comparison," Journal of Retailing and Consumer Services, Elsevier, vol. 16(3), pages 232-238.
    11. Nikola Drašković & Milivoj Marković & Christian Petersen, 2018. "The Early Days of Swatch: Birth of the Fast Fashion Watch Business Model," Tržište/Market, Faculty of Economics and Business, University of Zagreb, vol. 30(1), pages 93-108.
    12. Viktoria Rajnak & Thomas Puschmann, 0. "The impact of blockchain on business models in banking," Information Systems and e-Business Management, Springer, vol. 0, pages 1-53.
    13. Jayashankar M. Swaminathan & Sridhar R. Tayur, 2003. "Models for Supply Chains in E-Business," Management Science, INFORMS, vol. 49(10), pages 1387-1406, October.
    14. Tambo, Torben, 2014. "Collaboration on technological innovation in Danish fashion chains: A network perspective," Journal of Retailing and Consumer Services, Elsevier, vol. 21(5), pages 827-835.
    15. I. Zouaghi & A. Spalanzani, 2011. "Les effets de la dynamique relationnelle inter-organisationnelle sur l'alignement des systèmes d'information au sein d'une supply chain," Post-Print halshs-00665712, HAL.
    16. Lo, Wei-Shuo & Hong, Tzung-Pei & Jeng, Rong, 2008. "A framework of E-SCM multi-agent systems in the fashion industry," International Journal of Production Economics, Elsevier, vol. 114(2), pages 594-614, August.
    17. Hassan Alghamdi & Lily Sun, 2017. "Business and IT Alignment in Higher Education Sector," International Journal of Technology and Engineering Studies, PROF.IR.DR.Mohid Jailani Mohd Nor, vol. 3(1), pages 01-08.

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