Article ID: | iaor20061573 |
Country: | Netherlands |
Volume: | 43 |
Issue: | 2 |
Start Page Number: | 222 |
End Page Number: | 238 |
Publication Date: | Mar 2006 |
Journal: | Information and Management |
Authors: | Zahedi Fatemeh Mariam, Song Jaeki |
Keywords: | e-commerce |
The Web is a new market channel that has become a serious alternative to traditional channels. At present, there is little strategy analysis available to guide a company's decision about its involvement in the internet market. In this paper, we differentiate between the internet and traditional market channels and define two fundamental strategies for operating on the internet as: pure and mixed. Based on models of competition in microeconomic theory and resource-based perspectives, we develop a conceptual model for channel selection. We discuss the results and their implications for companies operating on the internet.