EAERCD Conference 2011 Abstracts (in alphabetical order by first author) *corresponding author 25 EAERCD Conference 2011 DOES SOFTWARE PIRACY ALWAYS REPRESENT CONSUMER MISBEHAVIOUR? Abdelhadi Amal * Foster Carley Whysall Paul This study aims to explore whether or not software piracy is perceived as consumer misbehaviour in Libya. Both qualitative and quantitative methods have been used; data were collected by interviewing 10 marketers and through a questionnaire surveying 219 Libyan consumers. The study found that almost all of the software in the Libyan market is copied in ways that would be considered illegal in Western societies but the marketers interviewed did not consider this as misbehaviour. Instead, some of them were actively encouraging consumers to adopt this pattern of behaviour. Also nearly half (49.4 %) of the sample had positive attitudes toward software piracy and 43% had an intention to conduct this behaviour. Furthermore, only 34% of consumers thought that software piracy is illegal, despite laws existing that protect intellectual property rights. Keywords: software piracy, Libya, consumer Misbehaviour WHAT’S THE BUZZ ABOUT THE STORE? A COMPARATIVE STUDY OF WORD OF MOUTH AND CUSTOMER SATISFACTION, THEIR SOURCES AND RELATIONSHIPS TO SALES GROWTH Anselmsson Johan Johansson Ulf * This is the first study to systematise “buzzables” in retailing that drive WOM. Also the argued relationship between WOM and sales growth is compared to the relationship between customer satisfaction and sales growth. The results build on data from 27 retail chains in seven categories on the Scandinavian retail market, panel data from 3000 households, and 1000 customer interviews. The results show that satisfaction and WOM are equally important for growth. Contrary to the previous literature, maintaining that WOM is driven by unique and extreme features, it is more common factors such as value for money, quality and range of goods that encourage WOM. Keywords: buzz, word of mouth, customer satisfaction, sales growth 27 EAERCD Conference 2011 ETHICAL SOURCING – CHOICE OF SOURCING STRATEGIES AND IMPACT ON PERFORMANCE OF THE FIRM IN GERMAN RETAILING AND WHOLESALING Bastian Jonas * Zentes Joachim The paper discusses the influence of corporate social responsibility (CSR) on sourcing strategies of retailers and wholesalers in Germany. Furthermore it is investigated how different sourcing strategies influence the ethical sourcing performance (ESP) and how ESP influences a company's success. An empirical study with 47 German retailers and wholesalers, using PLS regression, supports the conclusions that ethical sourcing intentions and ESP are both positively correlated to the use of vertical cooperation and third party controlled acceptance standards in sourcing activities. Whereas an ethical sourcing intention also leads to a higher direct influence of retailers and wholesalers on their suppliers, no correlation between a high influence on suppliers and ESP was found. Finally, a higher ESP is correlated with a lower monetary success in the short run, but it can significantly increase nonmonetary performance indicators like customer satisfaction. Implications for supply chain participants and opportunities for researchers are also discussed. Keywords: ethical sourcing, corporate social responsibility, sourcing strategies, strategic sourcing, ethical sourcing performance, performance of the firm MANAGING ON-SHELF-AVAILABILITY: THE STORE MANAGER'S PERSPECTIVE Bell James * Previous research has explored On-Shelf Availability (OSA), its implications for shopper behaviour, and its impact on retailer performance. Recent advances in tracking systems have improved the measurement of OSA. However, whilst effective in-store operations are acknowledged as key to maintaining OSA, little is known about store manager understanding of managing performance in this important service dimension. This qualitative study uses Critical Incident Technique to explore the perceptions of convenience store managers within a UK grocery retailer. The legitimacy of corporate performance indicators based on tracking systems is endorsed by this population and such systems positively encourage engagement with maintaining OSA. Keywords: performance measurement, performance management, retail operations, OSA, OOS 28 EAERCD Conference 2011 TARGETED AND MASS APPROACHES TO CUSTOMER LOYALTY: ARE ENDS MEETING? Bellini Silvia * Cardinali Maria Grazia Ziliani Cristina This research examines the determinants in building and maintaining customer loyalty to a store. The first part investigates the strategic role of different marketing levers, ranging from traditional mass levers such as range and price to relational targeted levers based on customer segmentation and loyalty card data. The second part focuses on the role of different levers in store differentiation, that is, to what extent they are perceived by customers as distinctive to a store. For the first time, parallel analysis of retailer and consumer is used to obtain a dual perspective. Keywords: customer loyalty, store loyalty, differentiation CONSUMER RESPONSE TO AN INCOMING FOREIGN RETAILING: COSTCO SUCCESS IN AUSTRALIA Bianchi Constanza Huddleston Patricia * Minahan Stella This paper explores consumer perceptions and responsiveness to a foreign retailer that has recently entered the host market. A review of the retail internationalisation literature is conducted and institutional theory is used as a theoretical approach. Case study methodology is used to explore consumer perceptions of Costco’s first year of operation in Australia; we interview 14 customers of the new store. Findings show that the business model has been embraced by the Australian customers. In the twelve-month period, Costco’s Melbourne store has become one of its top five stores in the world. This success is based on customer’s acceptance of key aspects of the business model and Costco’s flexibility in responding to the customer. We observe the emergence of new customer norms resulting from the Costco store. Keywords: customer receptiveness, shopping habits, retail internationalization 29 EAERCD Conference 2011 BRAND-DRIVEN LEADERSHIP AND MANAGEMENT IN RETAILING Botschen Günther * Thelen Eva Change management theorists write about all sorts of processes as mechanisms for change management. None of them suggests using the brand as a vehicle for change management. Similarly, while branding has become an increasingly popular research and business topic, branding literature appears to neglect change management. This paper intends to bridge this gap through the development of a practice-centered phase model, which uses brand identity as the main driver of the organizational renewal. The model consists of three layers: the determination of the „new“ strategic brand identity, the translation of the intended strategic identity into concrete contact-point experiences, and the alignment of structure, processes, functions and employees’ behaviors. The first layer describes the identification of the content of the new brand identity. For this purpose various approaches for the creation of brand identities have been integrated. In contrast to the internally oriented organizational identity concepts this approach is driven by socio-cultural meanings. These meanings provide a rich banquet of values, social concepts and archetypes for the creation of a unique strategic brand identity stimulating the most promising potential for enduring resonance. The second layer translates the rather abstract combination of core meanings into concrete contact point experiences for customers, employees and other important stakeholders. This mechanism supports the continuous and self-similar reproduction of the intended core values of the organization. The third layer deals with the challenging phase of aligning structure, processes, functions and behaviors of employees to facilitate the derived concrete contact point experiences. The proposed organizational change mechanisms are based on research and fieldwork on the learning organization, more specifically on understanding and developing mental models of human beings. The whole phase model has been evolving during a twelve years practitioner researcher collaboration applying action research approaches and techniques with the CEOs and owners of mainly family owned retail and services companies. The regional food retailer MPREIS who operates at present 180 supermarkets is prototypically used to describe the evolution of the phase model. Keywords: phase model for brand-driven retail leadership and management, aesthetical differentiation, brand identity, socio cultural, contact points, brand-driven alignment, behavioral branding 30 EAERCD Conference 2011 TRACKING SHOPPERS BEHAVIOR AT THE POINT OF SALE BY USING END-USERS MOBILE DEVICES Bourimi Mohamed Mau Gunnar * Steinmann Sascha Schramm-Klein Hanna Kesdogan Dogan An established way in analyzing shoppers’ behavior at the point of sale involves identifying their paths through the store as well as their approach behavior towards different shelves. Such procedure allows, among others, for optimization of product placements or in-store advertisement and guidance. As doing this within the respective locations is technologically challenging, there is a need for better localization methods than those using RFID, other similar localization technologies (e.g. indoor GPS, CCTV, and photo sensors), or human-based observations. Therefore, we introduce a multi-method approach for identifying shopper paths in the stores based on a combination of built-in sensors’ capabilities in end-users’ mobile devices, as well as a mobile product scanner application. Keywords: shopper behavior, mobile devices, point of sale THE CONCEPT AND MEASUREMENT OF RETAILER IMPLICATIONS FOR RETAILER INTERNATIONALISATION IMAGE: Burt Steve * Johansson Ulf Thelander Åsa The aim of this paper is to consider retail image as it is currently conceptualised and researched, and to highlight the implications for research into retailer internationalisation. First, we discuss how the concept of retail image has evolved in previous studies. Second, we consider the process of image formation. Third, the methodology and data collection techniques employed in previous studies are discussed. Finally, underpinning all three of these themes is consideration of the perspectives that have dominated retail image research, i.e., the managerial approach. It is argued that retail literature has, to date, mainly focused on tangible and intangible dimensions of the store environment, ignoring a broader, more complex construct than this, and that two more levels or contributing dimensions should be recognised - product image and company/corporate image. The fact that most existing retail image studies either implicitly or explicitly start from a managerial perspective constrains how we currently research retail image In future work, there needs to be greater integration and acknowledgement of the consumer perspective, which recognises how consumers construct and use retail brands and retail image. A further consideration, often lacking in existing conceptualisations of retail image, is the process leading to the formation of retail image. We argue that image formation develops over time, evolves through different stages and can be seen as a relationship formation process. 31 EAERCD Conference 2011 Finally, we view transferability of image across international markets and cultures as a much more complex process than is assumed in the literature, adopting (even if implicitly) the transmission type of perspective. Furthermore, branding approaches, which place greater credence on the role of the customer and other actors in image construction, also suggest that more inductive approaches and new methods are appropriate. Keywords: retailer image, store image, product image, company image, international retail OUTSHOPPING AND RETAIL SALES LEAKAGE – REGIONAL IMPACT OF AN ATTRACTIVE SHOPPING VENUE Bygvrå Susanne * The Danish retail trade experiences a large sales leakage caused by Danes’ cross-border shopping in Germany. This paper investigates the geographical distribution of this leakage. The analyses are based on face-to-face interviews with 8599 Danish border crossers between 1986 and 2003. Regression analyses reveal that the level of the purchases as well as the distance decay have changed with changing terms. Whether only the level or also the distance friction changed depends on the kind of change. Finally it was shown that the retail sales leakage is smallest from big-town regions, even if the products in question are low-order products. Keywords: outshopping, cross-border shopping ENHANCING INFORMATION SHARING IN E-COMMERCE: EMPIRICAL RESULTS ON THE ROLE OF INITIAL TRUST AND INCENTIVES Castaldo Sandro * Premazzi Katia Grosso Monica Collecting personal information from customers is an unavoidable element for Internet merchants to effectively deliver their goods and services to customers. However, the ease with which data can be acquired and disseminated across the Web, have led to many potential customers’ growing privacy concerns regarding disclosing their personal information. The paper analyzes the interaction between two strategies that firms can use to alter potential customers’ cost/benefit evaluation and increase information disclosure: the development of initial trust and compensation. Hypotheses are tested by means of two experimental studies, whose patterns are compared across two different consumer target groups. Keywords: privacy concern, self-disclosure, initial trust, compensation, e-commerce 32 EAERCD Conference 2011 ONLINE OR OFFLINE? A CROSS-CULTURAL STUDY OF SHOPPING ACTIVITIES OF AMERICAN AND CHINESE CONSUMERS Chen Siyan * Huddleston Patricia As consumers became familiar with online shopping, utilitarian and hedonic shopping values have been applied to online shoppers. Utilitarian and hedonic shopping values are suggested to have positive influence on online information search and online purchase intention. The objective of this study is to test the relationships among shopping values, online information search and online purchase intention in two countries- China and United States. This study included the influence of online information search intention on offline purchase intention into consideration. The results showed online information search intention was a mediator between utilitarian shopping value and online purchase intention. Our results also explore the different influence of utilitarian shopping value on online information search intention among Chinese and American consumers. Keywords: online, offline, shopping motivation, China, America CAPTURING VALUE BY IMPROVING CONSUMER EXPERIENCE: THE CASE OF APPLE Colla Enrico * Besson Madeleine Recent sociological and technological changes have profoundly modified the behaviour of consumers and influenced corporate strategies. Amongst other things, the internet has made it possible to develop interactive relations between firms and individuals, thus calling into question the traditional organisation of distribution. After a review of the various theories about the evolution of value chains and corporate business models, we will describe the evolution of Apple’s approaches to the IT, music and telecommunications markets, and show how its initial core business as a product developer was expanded to encompass the distribution of services and content. We will analyse how the firm’s entry into, firstly, the music market and, secondly, the mobile services market, modified established value chains, before examining the new business models introduced to those markets. Keywords: Apple, value chain, value creation, distribution, innovation 33 EAERCD Conference 2011 MODELLING STORE DEAL PRONENESS: AN ECONOMIC PERSPECTIVE Collins Alan * Kavanagh Ella George Richard This paper models store dial proneness (SDP) defined as the propensity for shopper to visit multiple grocery stores for the purpose of purchasing products on deal or special offers. It draws upon theory of household organisation and shopping behaviour literature to explain this activity. The model is tested on data obtained from 540 households. It finds that SDP is positively related to household financial pressure, the shopper’s willingness to trade-off quality for lower prices, shopping enjoinment, household composition and storage space. The opportunity cost of time spent in search is found to be one of the key determinants of SDP. In turn, this is found to depend on the number of stores proximate to the shopper, financial pressure and shopping enjoynment. The findings do not support any relationship between value for money at one’s primary grocery location and SDP. Finally, the model provides a rationale as to why shopper’s trade down to lower quality goods during times of financial pressure and teases out the implications for shopping behaviour and the kinds of products purchase. Keywords: grocery, promotions, deal proneness, food YOUNG PART-TIME EMPLOYEES: UNDERSTANDING THE IMPACT OF WORK EXPERIENCES ON JOB OUTCOMES IN THE RETAIL AND SERVICE SECTORS Crutsinger Christy * Knight Dee K. Haejung Kim This study investigates the impact of young part-time employees’ (ages 16-19) work experiences on job outcomes including job satisfaction, job performance, and job intention. Work experiences are crucial to job outcomes and are significantly heightened for this cohort just learning how to the work in the context of the retail/service sectors. A self-administered questionnaire was used to collect data from a sample of young employees (N = 898) at 26 public high schools in a major U.S. metropolitan area. Participants were enrolled in an academic career preparation program requiring a supervised work experience. Amos 4.1 was employed to construct structural equation modeling using a two-stage analysis. The findings suggest that role clarity, supervisory support, and work involvement are key determinants of job satisfaction, and job satisfaction is a critical factor in retaining young employees. Keywords: job outcomes, part-time, retail/service, work experiences, young employees 34 EAERCD Conference 2011 SHOPPING STYLES: ANALYSING AND CONTRASTING THE SPANISH SCENARIO De Juan Vigaray María D. Sarabia-Sanchez Francisco-Jose Chumpitaz Ruben Espinosa Seguí Ana * Consumer shopping styles, also known in consumer studies as consumer decision-making styles (CDMS), have been paid a great deal of attention in related literature because of their importance for relationship marketing and market segmentation based on behavior and psychographic criteria. Consumer Styles Inventory (CSI) (Sproles and Kendall, 1986) is the instrument which is most widely used to understand these styles. However, they have scarcely been studied in Spain. This research analyses them and lends support to the CSI, although not all the styles in the inventory could be identified, and those identified do not depend on the type of store. Keywords: consumer behavior, shopping styles, store choiche, decision-making THE EFFECT OF AN INTEGRATED VIRTUAL COMMUNITY ON THE EVALUATION OF AN ONLINE STORE: FINDINGS FROM AN INTERNET EXPERIMENT Domma Peter Zentes Joachim Schramm-Klein Hanna Morschett Dirk * We examined the impact of three characteristics of a virtual community within an online store on consumer evaluations of that store. In particular, we focused on the exertion of retailer influence, the quality of the virtual community and the degree of sociability. An Internet experiment using a professionally designed shopping Web site was conducted, confirming the influence of all three characteristics. Keywords: virtual communities, online-shop, experiment 35 EAERCD Conference 2011 CUSTOMER RELATIONSHIP MARKETING: THE CASE OF SME RETAILERS Donnell Lisa Fleck Emma Hutchinson Karise * Reid Aisling The purpose of this paper is to extend strategic thinking in the area of Relationship Marketing implementation to reflect the contextual issues of SME retailing. The aim of the research is to identify how a customer RM strategy can make a difference for SME retailers in achieving a true understanding of customer needs and wants in the time of an economic recession. A single case study approach is adopted and the findings highlight three main strategic issues namely, lack of strategic focus on the customer, no customer data management strategy, and a conflict between operational efficiency and customer intimacy. In order to close the ‘customer needs to offer gap’ (Favaro et al. 2009), the paper outlines a number of strategic recommendations applicable to the retail SME sector. Keywords: relationship marketing, retail sector, SME, single case study RETAILERS' MANAGEMENT OF CSR IN THEIR SUPPLIER RELATIONSHIPS – DOES PRACTICE FOLLOW BEST PRACTICES? Elg Ulf * Hultman Jens The purpose of this study is to further explore the association between firm characteristics and the extent to which retailers deploy CSR best practices to ensure social and environmental sustainability in international supplier relationships. Through an investigation of combined survey- and case-study data, this research contributes to the literature on implementation and governance of CSR practices in international supplier relationships by providing empirical evidence for best practice and by providing a comparison of best practice and a sample of firms representing the largest Swedish retail firms. The results of the study implies that a significant amount of the ac-tors in the Swedish retail sector do not follow best practice as outlined and discussed in this study, i.e., to focus on creating, supporting and reporting social and environmental sustainability. Keywords: CSR, retail industry, supplier relationships, best practice 36 EAERCD Conference 2011 CONSUMER CHOICE AND THE SPATIALLY DISADVANTAGED SHOPPER: THE ROLE OF INTERNET PROVISIONS Elms Jonathan * Tinson Julie De Kervenoael Ronan Developments and changes in the geographies of corporate retail provision constantly impact consumer welfare and the experiences of consumers in a differential and relative manner. Little, however, is known about how consumers use multiple provisions (Internet and store) interchangeably and how and to what extent Internet provisions impact on the choices of different consumer groups. This paper seeks to explore how retail grocery provisions are perceived and experienced by the spatially disadvantaged consumer and employs an ethnographic approach to establish strategies used by ‘Danni’ to manage her grocery shopping requirements as well as her disability. The findings, compiled using data from interviews, accompanied shopping trips, kitchen visits and diaries illustrate that whilst the Internet as well as in-store offerings have the potential to afford greater social inclusion a number of managerial implications including consumer trust, brand promise and access need to be more fully addressed. Keywords: consumer choice, spatial disadvantage, internet, grocery shopping, ethnography EFFECTS OF INTRA-BRAND COMPETITION BETWEEN PRIVATE LABELS AND MANUFACTURER BRANDS. EMPIRICAL RESULTS FROM THE ITALIAN MARKET Fornari Daniele Grandi Sebastiano Fornari Edoardo * A proliferation of private labels in European food retailing has been evident for several years now. The purpose of this paper is to analyze the impact of competition between manufacturer brands and private labels on assortment and pricing practices by Italian grocery retailers. Previous studies underlined both pro-competitive and anti-competitive effects of private label development. In this study within an empirical analysis based on scanner data from Symphony IRI Group, all the Fast Moving Consumer Goods product categories are investigated over a period of two years (from September 2008 to September 2010). The empirical results indicate that there is evidence of decreasing in manufacturer brands’ products, prices and turnover over time when private labels proliferate. Keywords: intra-brand competition, private labels, Modern Grocery Distribution (MGD), assortment range, pricing strategies, FMCG market 37 EAERCD Conference 2011 THE ROLE OF AGE AND GENDER IN THE RETAIL SERVICE ENCOUNTER Foster Carley * Resnick Sheilagh Research typically explores the service encounter in relation to the soft and hard skills of front line staff, yet has neglected the role the visible diversity of sales staff have on the interactions between the service deliverer and receiver. This paper therefore attempts to address this gap in knowledge by reporting on how the age and gender of customer facing staff can influence customer evaluations of the retail service encounter in a health and beauty retailer. An analysis of qualitative interviews with forty customers and twenty store staff propose that customers attempt to 'match' and 'mirror' the age and gender of sales staff with their expectations of who should deliver good retail service during the retail service encounter. Keywords: retail service encounter, age, gender, skills DYNAMIC CAPABILITIES IN RETAILING: A PERSPECTIVE FOR THE STUDY OF INTERNATIONAL FASHION RETAILING Frasquet Marta * Mollá Alejandro Dawson John The dynamic capabilities approach is an evolution of the resource based view of the firm that attempts to explain how enterprises obtain competitive advantage. Dynamic capabilities are those processes or routines that allow a firm to assess and reconfigure its competences to achieve congruence in a changing environment. This approach is particularly appropriate to explain success in fashion retailing as this industry is characterised by globalisation, highly demanding and fragmented markets and a variety of strategies. Based on an analysis and interpretation of the main contributions from the field of strategic management, we suggest, first, a set of dynamic capabilities that are needed for retailers’ success, and second, we identify those that are specific to international retailers. We apply this proposal to the international retailing sector by providing examples of fashion retailers that are deploying the dynamic capabilities identified. Key words: dynamic capabilities, strategic management, competitive advantage, fashion retailing, international retailing 38 EAERCD Conference 2011 THE FLYER-PRONE CONSUMER: SOME FINDINGS BASED ON ECONOMIC AND SHOPPING-RELATED ASPECTS Gázquez-Abad Juan C. * Martínez-López Francisco J. Cebollada-Calvo Javier The purpose of this paper is to predict the differences between highly prone and less prone consumers to store flyers in terms of their sensitivity to two types of variables: (i) economic variables, and (ii) shopping-related variables. Data were collected from 225 individuals who buy all or part of their packaged food and cleaning products for the home, and the data were tested through separate one-way ANOVAs. The empirical findings showed that the flyer-prone consumer’s profile somehow differs from the characteristics of consumers more prone to other types of promotion and to deals in general. In particular, the need to obtain price reductions is not the main reason for consumers consulting store flyers. Keywords: sales promotions, store flyers, deal-proneness, store flyers-proneness THE IMPACT OF STORE FLYERS ON WHETHER AND HOW MUCH TO BUY: A RANDOM PARAMETERS APPROACH Gázquez-Abad Juan C. * Martínez-López Francisco J. Huertas-García Rubén Casas-Romeo Agustí The objective of this study is to analyse how consumers are really influenced by store flyers in terms of whether and how much to buy decisions. Using scanner choice datasets of the purchases made by Spanish households in olive oil category over 53 weeks, the study finds that store flyers influenced whether to buy decision; however, a decision on how much of a category to purchase was not influenced by featuring brands in store flyers. The implications of these and other findings for managers and future research directions are discussed. Keywords: deal-proneness, sales promotions, price-reductions, store flyers, random effect models, retail promotional budget 39 EAERCD Conference 2011 DO COD AND COM MATTER FOR RETAILERS? Grappi Silvia Martinelli Elisa * This paper investigates the simultaneous effects of Country of Design (COD) and Country of Manufacture (COM) on retailer buying behaviour. A total of 126 Italian sunglasses’ retail buyers evaluated different experimental conditions concerning COD and COM. Results show that the origin of a product exerts an effect on retailers evaluations and behaviour. Specifically, the perception of market risk moderates the effect of country of origin information on retailers’ attitude towards the product origin’s choice of the producer, retailers’ intention to buy the product, and retailers’ word of mouth. This paper makes therefore a noteworthy contribution to the country of origin literature investigating retail buyers, a subject on which very poor is the theoretical knowledge so far and possibly important the managerial implications involved. Keywords: country of origin, bi-national products, Country of Design (COD), Country of Manufacture (COM), retailer buying behavior THE CONCEPT OF WELLNESS IN MARKETING, RETAILING, TOURISM AND LEISURE - A REVIEW OF LEADING JOURNALS Grénman Miia * Räikkönen Juulia Marjanen Heli Wellness is seen as one of the key drivers of consumer behaviour as consumers pursue health, wellbeing, and a better quality of life. Although health and well-being are increasingly significant motivators in consumer behaviour, wellness consumption is an under theorized and researched domain in academic research. The purpose of this study is to examine wellness-related research within the fields of marketing, retailing, tourism, and leisure. In short, this article aims to identify research themes related to wellness, published in leading journals of each discipline. In contrast to the commercial nature of the wellness studies conducted by consulting companies, this article focuses on wellness as a scientific phenomenon. Based on literature review and analyses of 108 articles, 14 research themes were identified. The results provide an overview of past scientific research, explore research gaps, and suggest directions for future research. Keywords: wellness; health; well-being; consumer behaviour, research 40 EAERCD Conference 2011 GUANXI NETWORK AND DISTRIBUTION IN THE CHINESE MARKET: THE CASE OF FERRERO Guercini Simone * Ranfagni Silvia The Chinese market attracts foreign investors. The difficulty to access this market is linked to the ability to develop a system of relationships, the guanxi network, with government and officials at the national, regional and local levels. This study aims to examine wether and how the guanxi influences distribution strategies of foreign companies entering the Chinese market. The authors analyze the case of Ferrero, an Italian multinational company involved in food distribution that is developing in China a penetration strategy combining economic and social interests. Keywords: China, guanxi, network, distribution channel, Ferrero EXPLORING RETAIL BRAND IMAGE ASSOCIATIONS Hart Cathy * Smith Gareth French Alan Consumers perceive up to five different levels of image for different retail environments and the literature demonstrates image transference between the brand and retail environment. However, while linkages between image levels are hypothesized, the majority of image research focuses on ‘within-level issues’. This article suggests that other brand images may provide important cues in the formation of retail image and that consumers potentially link different levels of retail brand image through their associative network memory. Brand Concept Mapping is introduced as an approach for exploring the relationships and associations between retail image levels and the aggregated brand maps for different groups of consumers will be presented and discussed. Keywords: retail image, brand associations, store image 41 EAERCD Conference 2011 MANAGING THE EDUCATED DOCILITY IN THE FRENCH HYPERMARKETS. HOW DOES THE UNSKILLED RETAIL JOBS SEDUCE THE NEW POPULAR YOUTH (AND WHY THIS RELATIONSHIP DOESN’T LAST LONG)? Hocquelet Mathieu * This communication focuses on a group of young French workers who interrupted their studies between the end of the secondary school and the commencement of the university courses, in order to occupy an unskilled job (UJ) in retail. This cohort and these jobs have undergone an increase since the mid 1990s, driven by the development of services and education policies. Facing their overrepresentation in unskilled service jobs, this communication study the relationship between the management of a new workforce through the main retail firms, and the hopes, values and representation of this category of young people whose insertion goes through an UJ, illustrating the growing consideration by the retail industry for the specific resources of this mutating popular workforce. Keywords: management, skill, retail, workforce, education CONDENSING A CONSUMER’S CONSIDERATION SET TO ENHANCE THE PREDICTIVE VALIDITY OF ATTITUDINAL MEASURES IN BRANDING RESEARCH Hofmeyr Jannie Terblanche Nic S. * Boshoff Christo The predictive validity of attitudinal-type measures often used in consumer surveys to predict actual consumption behaviour (behavioural loyalty) has been severely criticised. Two potential explanations have been offered. One is that respondents are not given the opportunity to provide information about brands that, in the real world, form part of their consideration set. This limitation is a source of measurement error. A second possibility is that consumers are questioned about too many competing brands that may lead to respondent fatigue. Respondent fatigue will also lead to invalid results. The question this study addresses is whether the optimal number of brands in a consumer’s consideration set can be identified. By analysing over five million observations covering more than 9 000 brands in 50 countries it was found that across all countries and across all categories (including services) on average each respondent had a repertoire size of 2.2 brands and would consider an additional 2.0 brands when considering a purchase. Thus, we conclude that by asking respondents about only four competing brands in their consideration set market researchers can minimise measurement error and optimise the predictive validity of their measures. Keywords: consideration set, predictive validity, brands 42 EAERCD Conference 2011 IDENTIFYING SCENARIOS FOR RETAIL DEVELOPMENT IN INDIA Kar Malobi * Cuthbertson Richard The immense scope for retail growth and development in a fast growing economy like India is undisputed. The challenge for retail development arises from the Indian market being multifaceted and multi-cultured, where tradition and modernity exist in parallel, poverty and affluence exist alongside one another, and socio-demographics continue to experience a rapid shift. This paper discusses the results of research that takes a scenarios approach in seeking to identify the evolution of retail formats in this dynamic Indian retail landscape. The scenarios approach is a prudent choice as it enables the researchers to conceptualize the evolution of different retail formats, thereby capturing the potential for a myriad of business models and formats to evolve. In accordance with the tenets of the scenarios approach, an analysis of important events and factors is undertaken following the secondary and primary research. This enables the identification of the critical and uncertain factors that could impact Indian retail development. Infrastructure and consumer price sensitivity are identified as the two prime forces to be reckoned with in Indian retailing and the appropriate retail formats under different permutations and combinations of these critical uncertainties are then proposed. Key indicators for the advent of each scenario are also indentified as this enables practitioners and policy makers to help foresee the advent of each scenario and strategies accordingly. The academic contribution of this paper lies in gauging the impact of rapidly changing, and sometimes conflicting, consumer spending habits, as well as the sporadic development of infrastructure within India. There are lessons here for any rapidly developing economy. Keywords: scenarios, retail formats, infrastructure THE EFFECT OF AGE ON SHOPPING ORIENTATION - CHOICE ORIENTATION TYPES OF THE AGEING SHOPPERS Kohijoki Anna-Maija * Marjanen Heli Traditionally, ageing consumers have been considered and treated as a rather homogeneous group. The appropriateness of this way of conduct is increasingly challenged when the baby-boom generation is reaching the retirement age. In the near future, 55+ consumers will be the dominant consumer segment in Western societies. Therefore, retailers should be more aware of the heterogeneous needs and wants of the “new old”. In the current study, six segments of ageing (55– 75 year old) consumers were formed based on choice orientation. The findings were compared to those obtained using the sample of younger consumers. The results indicate that the ageing market is formed of different consumer types which are rather similar to those found among younger age cohorts. Keywords: ageing consumers, baby-boomers, choice orientation, consumer segments, non-food retailing 43 EAERCD Conference 2011 THE EVOLUTION OF CRITICAL SUCCESS FACTORS IN GERMAN RETAILING – A RETROSPECTIVE ANALYSIS Kolb Stefan * Rittinger Sebastian Zentes Joachim Our study aims to contribute to the understanding of the development of critical success factors in retailing. Therefore the paper distinguishes between two time periods, 1945-1989 ("Past") and 1990-2010 ("Today"). In a qualitative pre-study in Germany, the five most important critical success factors in both time periods (Location, Staff, Organization, Assortment, and Advertisement) were identified. Using PLS regression in conjunction with data from a quantitative follow-up survey, we assess the importance of the five critical success factors for both time periods and compare them using t-test. We demonstrate that the relative importance of the critical success factors is subject to change and that today's retailing landscape is characterized by a greater variety of critical success factors. Keywords: critical success factors, competitive retail environment, retailing history, strategic retailing, retrospective analysis PSYCHOSOCIAL DIMENSIONS OF SUPPLIER-BUYER RELATIONSHIPS IN INDIA Li Jie Pysarchik Thorndike Dawn * Srivastava Dabas Chitra Yu Jong Pii The purpose of this study is to investigate the psychosocial (non-economic) dimensions of Indian supplier-buyer relationships. A conceptual model was tested to determine the relationships among the following dimensions: long-term orientation, perceived relational investment, noneconomic dependence, non-economic satisfaction, trust and commitment. A sample of 30l buyers was divided into two groups based on the length of their business relationship with their primary suppliers. Through two-group analysis, structural equation modeling (SEM) results indicate that: I) buyers' long-term orientation is an antecedent to non-economic dependence, relational investment, and commitment to suppliers. In longer term relationships, long-term orientation influences non-economic satisfaction and trust indirectly through non-economic dependence. 2) Non-economic (dependence and satisfaction) factors play an important role to engender trust and commitment when a channel relationship is relatively new; however, these factors are not as important in developing trust and commitment as the relationship endures. This study contributes to the existing literature by incorporating multi-dimensional constructs and providing new insights into the psychosocial components of Indian supplier-buyer relationships. Keywords: India, supplier-buyer relationship, long-term orientation, non-economic component 44 EAERCD Conference 2011 CONFIRMATORY FACTOR ANALYSIS OF MARKOR DATA FROM RUSSIAN COMPANIES: A MULTITRAIT-MULTIMETHOD ASSESSMENT Li Jie * Calantone Roger Huddleston Patricia Good Linda K. Previous research on market orientation (MO) typically has used perceptual measures of this construct. The adoption of perceptual or self-report measures can be problematic and research findings can be misleading, when informant bias accounts for a large portion of variance. However, very little attention has been given to developing a valid MO measure taking into account the informant factors. This study is devoted to address this challenge and assess the psychometric properties of MO construct. A multiple-informant method was used as an alternative to singleinformant method to improve the quality of response data and thereby the validity of research findings. Next, we conducted a CFA-MTMM analysis of market orientation measures (MARKOR) to delineate organizational constructs from potential Sources of measurement error in multiple informant reports. Measures which demonstrate significant perceptual agreement across informants are retained as organization-level indicators. Data from 197 Russian retail firms with three informants per firm was analyzed. Alternative models for CFA-MTMM data were evaluated based on model fit indices, parameter estimates and magnitude of error variance. We chose CTCM model for further analysis. Keywords: CFA-MTMM analysis, construct validity, discriminant validity, method effects RETAILING MODERNIZATION AND PURCHASING BEHAVIOUR: A CROSS-SECTOR ANALYSIS Luceri Beatrice * Latusi Sabrina The task taken on in this study sought to determine whether and to what extent a standardization of purchasing patterns in sectors that converge on the retailing side are being seen. In order to determine the degree of homogeneity of purchasing behaviour, a cross-sectional approach was adopted, tracking the same consumer in different markets (food and consumer electronics). To achieve the cognitive goals, a quantitative survey was carried out on a sample of consumers in a local context whit homogeneous characteristics of demand and retailing structure. The results allow us to outline some useful managerial implications in addressing the growing intra-type, inter-type and cross-sector competition. Keywords: consumer behaviour, grocery, consumer electronics, retailing 45 EAERCD Conference 2011 COGNITIVE BIASES IN PRIVATE BRANDING (A FMRI EXPERIMENT OF OVER-THE-COUNTER DRUGS) Lugli Gianpiero * Di Dio Cinzia Vergura Donata Tania Luceri Beatrice This research analyzes the neural implications of the purchase for the private label and the industrial brand, by means of an experiment using functional magnetic resonance imaging (fMRI). We found that the preferred brand stimulates emotional affiliation; that the information on price increases the level of concentration; that the higher the price differential between the private label and the industrial brand, the greater the emotional involvement; and that the price advantage is the key element for the group affiliated to the private label. The results suggest that the price positioning of the two types of brand represent a strategic choice that assumes a value which is not strictly confined to the margins of the category. It also impacts on the type of link established with the private label and, therefore, with the retailer. Implications for future neuromarketing research and retail and industrial managers are discussed. Keywords: consumer behaviour, over the counter drugs, private label, neuromarketing STORE BRANDS SPECIALIZATION. THE AGE OF DISTINCT POSITIONING FOR FOOD STORE BRANDS IN SPAIN Marañón Rafael * Puelles G. Maria Store Brands have experienced, over the last three decades, a relentless growth that has jeopardized the traditional Manufacturer Brands performance, while achieving market shares that take them to the leadership in a wide range of food categories. As the Store Brands experience grew, their managers also learned to tackle all the marketing mix areas instead of using just price as they typically would some thirty years ago, at the start of the Store Brands creation. For instance, the upgrade of the Store Brands quality perception that previous research has put forward, or the fight to position the Store Brands name around targeted specific attributes such as quality or reliability are initiatives in this direction. For the Store Brands in Spain, this new strategic focus should already be changing some of the Spanish food Store Brands positioning, towards a more distinct and clear place in the consumer’s mind Keywords: store brands, private labels, food, positioning, risk, consumer behaviour, perceived quality, brand loyalty, consumer satisfaction 46 EAERCD Conference 2011 PHILOSOPHY-BASED SHOPPING EXPERIENCE Martinez-Ribes Lluis * Salazar Paulina Using a polymathic approach, the presentation will show a method to devise an innovative retail business model using the detection of philosophy‐based insights, and then creating a shopping experience based on them. Through an eye-catching and practical presentation, the audience will learn a method for retail innovation. PRIMARY STORE DISLOYALTY: A LEGACY OF THE RECESSION? McGoldrick Peter J. * Hampson Daniel P. Relationship marketing and loyalty programs have been major strategic tools of retailers through recent decades. The recession however impacted severely on loyalty and this study focuses specifically on increased levels of primary store disloyalty. Additional explanations for disloyalty are evaluated, notably critical service incidents and intrinsic motivations towards promiscuous patronage, assessing their relative influence on disloyalty. Qualitative investigations with managers and consumers were followed by a survey of 611 British shoppers, revealing significant influences of recession effects, service failures and intrinsic motivations. It is evident that researchers need to give closer scrutiny to the impact of recessions and to disloyalty, not treat it merely as an antonym of loyalty. The paper concludes with implications for researchers, retailers and other marketers. Keywords: primary store disloyalty, store loyalty, recession effects, disloyalty motives, critical incidents 47 EAERCD Conference 2011 COMPETITIVE ADVANTAGE FOR INDEPENDENT RETAILERS: PRODUCT KNOWLEDGE AS A CRITICAL RESOURCE McGuinness Donna * Hutchinson Karise Boyle Emily Primary Objective: The purpose of this paper is to explore the influence of product knowledge on the overall success of Specialist Independent Grocery Retailers (SIGRs). More specifically, this paper seeks to gain insight into the knowledge held by SIGRs about their products and how they exploit and utilize their product knowledge. Research Design: A qualitative approach was deemed most appropriate to gain insight into an unexplored area of study. Thirty in-depth interviews were conducted over a six-month period. Retailers were chosen through purposeful sampling and the owner/manager’s were interviewed as they were seen as key informants for the study. Interviews were then transcribed and analysed using NVivo. Main Outcomes: Five core intangible assets were identified to explain the success of SIGR product strategy. Namely, these were product knowledge of how to provide a unique product; knowledge of unique recipes; knowledge of sourcing products from quality suppliers; knowledge of how to store and prepare products; and knowledge of how to merchandise products. These assets were seen to be critical to the overall success of the firm and helped lead the firm in gaining competitive advantage. Practical Implications: It is argued that if these firms can achieve sustained competitive advantage from building and exploiting these assets, so too can other firms in the sector. Originality/Value: This paper provides important evidence and theoretical understanding into a neglected area of study, namely the retailing and strategy literature. Keywords: independent grocery retailing, resource based view, product knowledge DEVELOPERS, ANCHORS, TENANTS - SHOPPING MALL DEVELOPMENT IN JAPAN Meyer-Ohle Hendrik * Japan’s retailing has seen two major developments since the 1990s. One is the emergence of large independent specialist retail chains and the other is shopping centers becoming the main place for retailer’s activities. This paper brings the two trends together by asking about tenants in shopping centers. Based on an overview of the state of shopping mall developers and a set of propositions it presents first results from a database of shopping malls and their tenants that is currently being constructed. Findings show that the fact that the major retailers also act as the major shopping center developers influences the composition of shopping malls. From these findings the paper develops possible avenues for further empirical research and theorization. Keywords: shopping centres, speciality stores, Japan 48 EAERCD Conference 2011 A LONGITUDINAL STUDY OF THE IMPACT OF INTER-FIRM RELATIONSHIPS IN RETAIL SOLUTION Minami Chieko * Nishioka Kenichi “Retail solution” refers to the system integration developed for the efficiency of store operations and transactions in retail environments. ICT (information and communication technology) is the key to the improvement of retail operation management in terms of efficiency and productivity, where IS (Information services) are empowering the system with ICT. Integrating services as solution can be developed from both provider's technological sales side and customer's needs side. Retail companies tend to utilize ICT to evolve their business system as the business expands. The IS providers are expected to involve their clients companies not just as a vendor but as a strategic partner, when the clients face the transition of their business. Solution process is expected to be interactive between service providers and client companies. However, IS providers tend to have risks in two ways because they have to develop their technological resources to solve their clients' operational problems. Solving managerial problem requires value creation for clients. One risk is the situation which the c1ients problem left unsolved. The other is vendor's investment recovery issue due to over-dependence. This article aims to clarify how both IS providers and clients are dealing with these two risks. The longitudinal case study method was employed with the case of 7-11 (Seven Eleven) Japan and NRI (Nomura Research Institute). Authors found that the IS provider is encouraged to invest and develop their technological resources, given a chance to apply their technology to business problems. However, initial investments could be recovered when the technological resources are also developed for other companies within the industry. Keywords: retail solution, inter-firm relationship, system integration, Japan RETAIL BRAND COMMUNICATION: EVIDENCE FROM UK SMALL TO MEDIUM ENTERPRISES Mitchell Richard * Hutchinson Karise Quinn Barry Retail branding is conceptualised as being centered upon a set of store based components which communicate organisational distinctiveness to consumers. This paper explores retail branding within the disparate SME context, utilising a case study research design. The findings suggest that owner manager behavior is focused on the communication of brand meaning through store design, product brand assortment and service components. These findings both confirm and supplement current theoretical conceptualisations of the retail brand. In addition, the findings of this paper introduce a number of future research directions into SME brands around the areas of customer experience, branding networks and the SME characteristics, all of which are found to be influential upon the SME retail brand management function. Keywords: retail branding; brand management; SMEs 49 EAERCD Conference 2011 AN EMPIRICAL ANALYSIS OF DETERMINANTS AND CONSEQUENCES OF E-COMMERCE ADOPTION BY RETAILERS Mollá-Descals Alejandro Frasquet-Deltoro Marta Ruiz-Molina María-Eugenia * The Internet provides retailers a new communication and sales channel to access customers. While many retailers have decided to create virtual stores, other retail chains are still not fully exploiting the opportunities offered by the world-wide web. This paper analyzes the factors influencing the decision to adopt e-commerce and its impact on business performance. Our results for the main retailers in the United Kingdom, France and Spain show that e-commerce adoption is affected by firm size, assortment and country of origin of the retail chain. There are significant differences in terms of profit and profitability between retailers that have adopted e-commerce and those who have not, although these differences are also affected by product line, country and firm size. Keywords: e-commerce, retailing, determinants, return, profit THE MANAGEMENT OF THE OUTBOUND SUPPLY CHAIN FOR THE INTERNATIONALIZATION: THE CASE OF A FASHION-LUXURY ITALIAN COMPANY Moretto Antonella * The fashion industry has emerged as critical from a practitioner and researcher point of view, because of its complexity, dynamism and economic importance. In order to remain competitive, the internationalization in emerging countries has become essential for fashion companies and the outbound supply chain is a key asset to face this challenge. This paper presents the result of an exploratory study based on a single, in depth case study of a fashion-luxury Italian firm producing lingerie. The findings provide insights about how the outbound supply chain should be managed, in collaboration with the internal supply chain and the product development process, to compete in international markets. Keywords: internationalization, supply chain management, outbound supply chain, fashion-luxury industry, case study 50 EAERCD Conference 2011 DISINTERMEDIATION IN DISTRIBUTION CHANNELS – A TRANSACTION COST-BASED ANALYSIS OF WHOLESALERS Morschett Dirk * Zentes Joachim Schramm-Klein Hanna In the last decades, the issue of disintermediation, i.e. the elimination of certain actors from the distribution channel, has been an often heard assumption with regard to wholesalers, but reality did not confirm this assumption. In this article, we mainly refer to transaction cost theory to argue under which conditions disintermediation is likely to occur. Based on data of an empirical study with 432 German wholesalers, we show that increased concentration of suppliers and customers indeed enhances the propensity to disintermediate. Furthermore, if wholesalers focus their activities strongly on marketing, they are more likely to be eliminated from the channel. On the opposite side, focusing on logistic activities and offering an adequate assortment reduces the likelihood of disintermediation. Keywords: wholesalers, intermediaries, disintermediation, transaction cost analysis DETERMINANTS OF INDIVIDUAL CHARITABLE GIVING DURING A RECESSION Mukumbi Kudzai * Huddleston Patricia T. The objective of this paper is to analyze the determinants of charitable giving to a food bank in the midst of an economic recession using the resource based view and social justice motivation theories. The effect of charity's reputation, perceived donor sympathy and familiarity with the charity's activities on the recency of donation and donation amount were investigated. Data were collected using an online survey of donors and were analyzed using multiple regression analysis. The results indicate a positive relationship between donation amount and perceived donor sympathy and familiarity. In addition, familiarity is a mediator of the relationship between reputation and the amount of money donated. Giving during a recession is not influenced by perceived donor sympathy, familiarity with the charity's activities or charity reputation. These results were robust after controlling for demographic characteristics of donors that could influence individual charitable giving. Keywords: individual charitable giving, food banks, recession 51 EAERCD Conference 2011 RETAIL 2.0, OR NOT? Negri Francesca * In web2.0 is typical a continuous flow of information to and from customers, using blogs, Facebook, MySpace, Twitter, and other social networking tools. Catching the social media networking wave is neither as easy nor as straightforward as is might seem at first blush. Social media networking is a low-cost, high-energy type of strategy. Companies have to follow the rules of the tools and interact appropriately, positively and frequently. Most companies have long been managing social networks: are there retailers among them? Not yet. Using a descriptive approach and looking for a general overview on the trend the paper identifies the role of social media networks in retailer’s marketing strategies. Keywords: social media, networking, FMCG, Facebook, Twitter, retail 2.0, Italy VIEWS FROM THE BRIDGE: PERSPECTIVES ON CORPORATE BRAND BUILDING IN RETAIL SMES O’ Callaghan Edmund * The purpose of the study is to better understand the process of brand building within retail SMEs, a relatively unexplored area of both SME and retail literatures. A social constructionist perspective was adopted using a multiple case methodology. Findings highlight several critical factors for successful corporate brand building in a retail SME context; the primacy of the store experience in brand communications, the role of the CEO/owner manager, strategic clarity of brand vision, enduring brand values to underwrite the store brand, effective recruitment, induction and retention policies and a balanced internal/external brand communications strategy. While this study offers a single perspective ‘from the bridge’ on the brand building process in retail SMEs, future research should offer multiple internal perspectives, both ‘from the bridge’ and ‘from the engine room’, as well as an external view on corporate brand building requirements. In the light of increasing market concentration in the retail sector, findings have practical implications for building competitive retail store brands. Keywords: corporate branding, retailing, sme’s, case study 52 EAERCD Conference 2011 TRUST AND RISK PERCEPTION IN DIFFERENT CULTURAL SETTINGS OF E-TAILING SERVICES Park JungKun * Gunn Frances Sang-Lin Han While trust between e-retailers and shoppers has been paid much attention as one of the most important factor to influence consumers’ purchase, the Internet also raises another important needs for cultural studies with its potential of globalization. This empirical study tried to research how cultural factors can influence a trust forming procedure and dimensions with perception on risk especially focusing on differences between the USA (n=252) vs. Korean (n=256) online customers. Keywords: e-retailing, culture, online trust, online shopping, perceived risk, website quality, reputation RETAIL RECOVERY FROM NATURAL DISASTERS: NEW ORLEANS VERSUS EIGHT OTHER US DISASTER SITES Pearson Michael M. * Hickman Thomas M. Lawrence Katherine E. After a major natural disaster, which retail firms lead the recovery? Who are the leaders and who are the laggards? In doing research to aid in the New Orleans’ recovery from Hurricane Katrina, the authors of this paper wanted to see if the recovery pattern from Katrina paralleled that of other United States’ cities recovering from disaster. The telephone book, Yellow Pages, was used for initial research on New Orleans and its surrounding area. The United States Economic Census of Retail Trade was used to gather data on eight other US cities that experienced natural disasters. Some of the retailers showing the most rapid recovery growth were not surprising – building material retailers, automobile dealers and general merchandise stores. Other rapid recovery retail categories (health and personal care retailers; sports, hobby and book retailers; and gasoline retailers) might deserve more research attention as to reasons why. Keywords: retail recovery, natural disasters, New Orleans, Hurricane Katrina, number of stores 53 EAERCD Conference 2011 CHANNEL METRICS. EFFICIENCY TESTS IN THE ITALIAN FOOD AND RETAIL INDUSTRY Pellegrini Davide * This paper makes an up to date measure of efficiency in the Italian agri-food chain. We gathered and elaborated balance sheets from the “Annual Mediobanca Report” 2001 -2009 in six sectors: large scale distribution, beverages, dairy products, confectionary, general grocery and other foods. For manufacturing sectors, the figures were aggregated with a weighted average of the turnover of the individual sector. Balance sheets and breakdowns from twenty leading companies were examined in detail. In depth interviews with top managers were carried out to gather qualitative information. The results can be analysed from both a managerial and an economic point of view. Our elaborations show that from 2001 to 2009, value in the Italian market was evenly distributed along the agri-food chain and there was no evidence of excessive profits. But there were clear signs of sub-optimal competition. Close examination of balance sheets and comparison with international benchmarks reveals that there is ample room to increase productivity and efficiency. Costs along the interface between manufacturers and distribution indicate the existence of a conservative negotiation model, which tends to stabilize performance levels and indirectly consolidate market structure over time. The first signs of change were seen only in 2009. Keywords: efficiency, productivity, negotiation THE IMPACT OF THE INTERNATIONALISATION OF APPAREL SOURCING ON FASHION RETAIL SUPPLY CHAIN RELATIONSHIPS: THE CASE OF SRI LANKA Perry Patsy Fernie John * Towers Neil The purpose of this paper is to discuss the main changes that have occurred in the international fashion supply chain over the last 30 years and how this has impacted upon supplier-retailer relationships. The rise of fast fashion and the need for retailers to be able to respond quickly to market demand has led to increased offshore sourcing and supply chain partnerships with overseas suppliers. This paper focuses specifically upon the Sri Lankan garment industry because of its reputation for producing high quality garments in factories with strong CSR credentials. The research shows that despite an absence of formal written contracts, suppliers and their US and EU buyers have developed long term relationships of 10 to 20 years built upon trust, collaboration and the sharing of information. The CSR ethos within the country’s garment industry is also facilitated by strong supply chain partnerships. Keywords: fashion, sourcing, relationships, supply chain management, Sri Lanka 54 EAERCD Conference 2011 COULD PRIVATE LABELS DRIVE THE ORGANIC MARKET? THE SPANISH CASE Puelles Maria * Labajo Victoria Valor C. Organic PLs are considered a main driver of the organic market growth. This paper analyses why organic PLs may help overcome the barriers found to an increased consumption and how it may contribute to build a quality positioning for retailers. It then tests the potential success of organic PLs in Spain and explores marketing stimuli that could help develop this market. Based on the results of the survey conducted, recommendations are offered to retailers, for different objectives and types of retailers. Additionally, it describes the segments to target, based on a four-group clustering of attitudes and behavior towards both PLs and organic PLs. Keywords: organic products, consumer behaviour, private labels, marketing tools RELATIONSHIPS IN THE RETAIL SUPPLY CHAIN: THE ROLE OF FACILITATING FACTORS Reid Aisling * Hutchinson Karise Armstrong Gillian Humphreys Paul With increasing pressures to look beyond the traditional supply chain, retailers can no longer rely on the product to convey competitive advantage. In adopting a case study approach, the findings of this paper report that relationships must be managed as a priority in the retail supply chain to achieve optimum value across the network. It was found that information technology is paramount in facilitating smooth business transactions, management of customer demand, control of product specification, and efficiency at each point of the supply chain. The holistic end to end viewpoint of the retail supply chain presented in this paper adds a new and important dimension to theoretical perspectives in the literature. Keywords: retail supply, chain relationship facilitation, value creation 55 EAERCD Conference 2011 A ‘BURNING PLATFORM’? UNDERSTANDING THE EFFECTS OF ECONOMIC RECESSION ON RETAIL PRODUCTIVITY Reynolds Jonathan * Piotrowicz Wojciech Payton Paula Cliquet Gérard What does increasing efficiency mean in retailing? Simple cost cutting, or investing in new technologies to streamline business processes? Pursuing pure efficiency goals in the absence of a proper understanding of how retailing works, and what customers expect, can be dangerous. In practice, managing the productivity of a retail business is a complex equation between efficiency, effectiveness and competitiveness. A retail firm’s human capital lies at the heart of this equation. It is the firm’s biggest asset in securing and retaining customers. And the quality, skills and capabilities of retail employees count in delivering consistently profitable businesses. But the retail sector worldwide has been under significant pressure over the past few years to become more productive, as a result of an unparalleled economic downturn. This paper provides new insight into the nature of recent change in retail productivity in the UK by comparison with a number of other international markets, provides possible explanations for it, and draws out the consequences for people and skills. It does this by interviewing senior practitioners and analysing statistical data from the UK, US and France. Whilst the effects of the global economic crisis have, to date at least, not been as damaging to UK retailing as had at first been feared, for many retailers worldwide, the recession provided a ‘burning platform’ for implementing wide-ranging, and often perceived as overdue, costcutting. Nevertheless, the best firms have put these short term strategies to improve efficiency alongside the need to retain customer focus and relationships in the long run. We argue that the goal of all retail businesses should be ‘effective efficiency’. Best in class businesses are all moving towards greater sophistication in their use of people, insofar as the environment in which they trade will allow. Keywords: retail productivity, recession, human capital, skills CONTENT ANALYSIS AND ASSESSMENT OF DEONTOLOGICAL CODES OF FRANCHISING ASSOCIATIONS Rondán-Cataluña F. Javier * Navarro García Antonio Gámez González Juan Rodríguez Rad Carlos The objective of this work is to run the content analysis and assessment of deontological codes of national and international franchising associations. To do this, we compared the content of 46 deontological codes of franchising associations from five continents to the standards established in the so-called C-40 or model of franchising deontological codes. Results show that, in general, ethical content included in deontological codes of franchising associations are not very large, requiring progress in improving its structure and content. In any case, according to the contents of their deontological codes, there are two groups of franchising associations worldwide. On the one hand, those taking the archetype of the European Franchise Federation code (30 associations), 56 EAERCD Conference 2011 which show a greater number of ethical issues and have a better structured code than the other group that do not follow the European Code (16 associations). Keywords: franchising, deontological codes, franchising associations CONSUMERS' SELF-SCANNING ADOPTION: THE ROLE OF PERSONAL AND SITUATIONAL FACTORS Rudolph Thomas Hödl Jasmin * Sohl Timo In this study, we examine how customers' satisfaction with self-scanning is affected by certain personal characteristics and situational influences. More precisely, this study shows that consumers who have a personal need for socializing during their shopping trips, perceive selfscanning as less useful and less easy to use which, in turn, leads to lower satisfaction with the self-scanning technology. In contrast, consumers who are frequently shopping under time pressure perceive selfscanning as more useful and hence are more satisfied with selfscanning. Surprisingly, we find that consumers' innovativeness has no influence on both the perceived usefulness and perceived ease of use of self-scanning. Finally, our findings indicate that retailers should take into account their target customers' personal needs and their predominant situational shopping circumstances when they decide about whether or not to invest in the implementation of a self-scanning-system. Keywords: self-service technology, self-scanning, consumer behavior, retailing NETWORK RELATIONSHIPS AND LEARNING IN RETAIL INTERNATIONALIZATION Runfola Andrea * Elg Ulf This paper deals with the role of relationships in retail internationalization. Theoretically, the paper starts from a review of international marketing literature, pointing out the relevance of the network perspective and the role of relationships for business learning. Empirically the paper deals with two cases, IKEA and OVS Industry, which are built considering the major focus of the firm’s international expansion and the main perceptions on the role of relationships in developing internationally. The paper ends with the presentation of a conceptual framework emerging from the comparative analysis of the two retail firms investigated. Keywords: internationalization, retailing, relationships, learning, emerging markets 57 EAERCD Conference 2011 FLAGSHIP STORES AND FASHION BRAND Sabbadin Edoardo * Very little marketing literature has examined the relationship between single brand sale points, flagship stores, franchising networks and brand building. But in the fashion, design and luxury sector today, vertical branding is one of the most widespread strategies for building brand image and value and brand equity. Branded goods manufacturers are investing marketing resources in increasing integration downstream, while investment in traditional advertising is declining. Design stores are becoming a basic instrument of marketing that is pivotal to fashion retail, helping to create brand equity and customer loyalty. This paper focuses on the fashion sector and aims to analyze the role of single brand distribution in building brand equity and the relationship between brand and retail. Our aims are to: • Define and classify flagship stores • Establish whether flagship stores constitute a marketing innovation; • Identify examples of excellence; • Discuss factors pushing fashion firms to integrate downstream; • Assess implications of vertical branding for management. Keywords: flagship stores, vertical branding, fashion design, luxury brand THE STRATEGIC ROLE OF THE STORE BRAND IN THE COMPETITIVE POSITIONING OF RETAILERS: RETAILERS’ EVOLVING TENDENCIES AND MARKETING COMPETENCIES Sansone Marcello * This contribution specifically proposes an analysis of the store brand and considers its role in the competitive development of GDO food and no-food retailers. It analyses networks of retailers which are homogenous in their size and heterogeneous in their capacity of marketing. Particularly, this contribution proposes an analysis of the store brand and considers critical aspects of national and international exchange as well as the strong innovating tensions which characterise the declination on the market of distributive formats and concepts in the competitive field. Like similar studies on this issue, the research is aiming for an analysis of retailers’ main competencies and a subsequent definition of strategies of competitive differentiation among retailers and new models of relation with the industrial system. Keywords: store brand, private label, relations between industry and retailer 58 EAERCD Conference 2011 CROSS-CHANNEL INTEGRATION – IS IT VALUED BY CUSTOMERS? Schramm-Klein Hanna * Wagner Gerhard Steinmann Sascha Morschett Dirk It has been common for retail companies to use multiple channels simultaneously. However, simultaneous use is only the first step in creating a customer-centric multichannel system that demands channel synergies rather than parallel retail formats. Therefore, the perceived integration of customer-related functions and processes between the channels of multichannel systems is analyzed with respect to its significance for customer loyalty and usage of a multi-channel system. Drawing on a sample (N) of 981 customers, the results indicate that linkages between retail channels positively affect customer loyalty and verify the importance of establishing a wellintegrated – “seamless” as perceived by the customer – multichannel system. Keywords: consumer behavior, multichannel retailing, channels of distribution, customer loyalty RETAILING SERVICES IN LITHUANIA: RETROSPECT AND PROSPECTS Sekliuckiene Jurgita Langviniene Neringa * The paper illustrates the development of Lithuanian retail trade services sector. Investigated period takes the beginning of 1990’ when Lithuania has got its Independence from the Soviet Union and finishes by the end of 2009’s. Main structural changes in retailing till the 2000 when Lithuania passed through transition economy and after that when a market economy started to act are presented. Retail services sector is analysed on the ground of secondary data, main and derivative indices of retail trade are calculated and analysed. Recent problems, affecting the retail trade market, concentration and competition issues are discussed. At the end of the paper prospects for retail trade services sector are presented. Keywords: retailing, retailing services, Lithuania, retail market regulation 59 EAERCD Conference 2011 UNIFIED COMMUNICATIONS, ADVANCED TECHNOLOGY, AND BRAND EQUITY DIMENSIONS IN LUXURY HOTELS OF CROATIA: SOME NEW PERSPECTIVES FROM THE CONSUMER-CENTRIC APPROACH Šerić Maja * Gil Saura Irene Unified communications are considered as an important aspect of the new marketing communication approach, named Integrated Marketing Communications (IMC), which has been broadly recognized as a key factor in the marketing literature. Boosted by advancements in Information and Communication Technology (ICT), IMC is starting to be considered as an element that contributes to brand equity creation. The purpose of this research is to study the IMC, (more specifically unified communications for consistent message and image), ICT, and brand equity dimensions in the hotel sector from the consumer perspective. Thus, 101 guests have been interviewed in 13 hotels in Dalmatia, the largest region on the coast of Croatia. The analysis of guests’ perceptions, using PLS technique, confirms positive relationships between: a) ICT advancements and unified communications; b) unified communications and perceived quality; c) perceived quality and brand image; and d) perceived quality and brand loyalty. Keywords: unified communications, ICT advancements, brand equity, brand image, perceived quality, brand loyalty RETAIL INTERNATIONALISATION IN EMERGING MARKET: FROM THE PERSPECTIVE OF LOCAL RETAILERS Shi Jin * The heterogeneity of emerging market erects barriers for international retailers to prevent them from adopting efficient strategies and at the same time creates opportunities for local retailers to gain competitive advantages. This study illustrates how local retailers successfully cope with heterogeneous environment by examining the cases of two Chinese retailing firms. The findings resulting from the case studies suggest that innovation orientation and organisational learning are key capabilities contribute to local Chinese retailers’ competitive advantages. Keywords: heterogeneity of emerging market, retail internationalization, competitive advantage, local retailers, China 60 EAERCD Conference 2011 STRATEGIC RESPONSES OF RETAIL TNCS TO EXTERNAL ENVIRONMENT CHALLENGES IN EMERGING MARKETS Siebers Qixun Lisa* This paper explains how retail transnational corporations (TNCs) respond to external environment challenges to develop their territorial embeddedness in emerging markets. The paper employs an explanatory case study approach to build theory, by providing evidence from China. The findings indicate that retail TNCs adopt reflexive strategies to respond to the new regulatory, institutional and cultural environment in emerging markets, and they adjust their strategies accordingly based on the learning during the expansion process. This paper explicates two groups of external environment factors to which retail TNCs must respond effectively. One group of the factors include governmental policies and laws and regulations and can be interpreted based on retail TNCs’ experience. These factors mainly provide opportunities for expansion if responded appropriately. Another group of factors emphasise major environmental challenges existing in the host market, involving distribution system, suburbanisation, transportation and urbanisation. Keywords: external environment, expansion, retail TNCs, emerging markets, China ANY OLD IRON? Sparks Leigh * Attempts to research changes in retail products and retailing over any extended period are fraught with problems, mainly arising from a lack of contemporaneous or retained data. This paper exploits a unique data source to consider such issues over a long run period. The aim is to understand how a particular product category has altered between 1973 and 2009 as a consequence of retailer, manufacturer and consumer decisions. Aspects investigated include general questions of category ranging as well as the more specific consideration of innovation in product development and price positioning and dispersal over time. Some consideration is given to questions of branding, product presentation and merchandising. Such painstaking historical work is vital for a true understanding of retail product development and retailing over time. Modern retail history should not be left to the anecdote, the half remembered store visit or the rose tinted nostalgic view of the past, which is all too common. This paper shows that the database used here provides a vital, evidential window on this past world. Keywords: retailing, history, pricing, brands, irons, Argos 61 EAERCD Conference 2011 A MULTI-STATE MARKOV-MODEL FOR ANALYZING MULTIDIMENSIONAL CUSTOMER CONTACT SEQUENCES IN RETAILING Steinmann Sascha * Mau Gunnar Schramm-Klein Hanna Morschett Dirk We used a Multi-State Markov-Model to analyze transitions between successive customer contacts in the multidimensional sequence of the customer contacts (dimension 1), their functions (dimension 2) and importance (dimension 3) across the purchase process. Special interest is paid to horizontal effects of the sequencing and vertical effects of the functions and importance of a customer contact on the transitions in the multidimensional contact sequence (MCCS). Hence, if a contact in the contact sequence is known, one can predict which contact will be realized next by that customer. Our insights contribute to the design of an optimal multi channel mix and successful CRM strategies. Keywords: retailing, customer contact, multidimensional contact sequence, sequence analysis, multi-state Markov-model SEGMENTING CUSTOMERS BY THEIR MULTIDIMENSIONAL CONTACT SEQUENCES – RESULTS OF AN EMPIRICAL STUDY IN RETAILING Steinmann Sascha * Silberer Günter Schramm-Klein Hanna Mau Gunnar We used a multidimensional sequence alignment method to cluster customers (N = 304) of a German retailer for consumer electronics according to the multidimensional sequences of their customer contacts (dimension 1), their functions (dimension 2) and importance of the customer contact (dimension 3). In doing so, we obtained four clusters. Results reveal differences in customer behavior concerning the customer contacts and their functions in the whole purchase process, as well as between the customer segments identified. Customer segmentation based upon demographic or psychographic variables would not have been able to enrich the knowledge of the customers in this manner. Keywords: retailing, customer contact, multidimensional contact sequence, sequence alignment 62 EAERCD Conference 2011 GLOBAL RETAIL: USING DIFFUSION THEORY TO EXPLORE WHO ENTERS THE U.S. MARKET? Sullivan Pauline * Crisostomo Elizabeth A. Much of the literature about retail internationalization approaches the topic from managerial perspective (Cairns, Quinn, Alexander, & Doherty, 2010; Vida, 2000), operational strategy and organizational learning (Burt, Davies, Dawson, & Sparks, 2008), and market and corporate perspectives (Myers & Alexander, 2007; Bianchi & Ostale, 2005; Myers & Alexander, 2000). Few studies examine retail internationalization from a diffusion of innovation perspective (Hoffman & Preble, 2001; Ganesh & Kumar, 1996). These diffusion studies of internalized retail operations examined technology adoption (Ganesh and Kumar, 1996) and franchise operations (Hoffman & Preble, 2001). The literature review revealed little about diffusion theory as an explanatory of in variables associated with retail firms entering an international market. This paper examines the applicability of the diffusion theory in predicting variables associated with international retail firms having operations in the U.S. A Model for Diffusion of Internationalization Amongst Retailers is proposed. The Model for Diffusion of Internationalization Amongst Retailers includes four predictor variables, “exogenous variables,” “scale,” “experience,” and “knowledge.” The dichotomous dependant variable was whether or not the firm had operations in the United States. Logistic regression was used to analyze the data. Results found only limited support for the variables “experience” and “knowledge” as predictors of whether or not the firm had operations in the United States. Keywords: retail, internationalization, diffusion CONNECTEDNESS AND PURCHASE INFLUENCE: A COMPARISON OF YOUNG ADULT CONSUMERS IN GERMANY Sung (Christine) Eunyoung * Huddleston Patricia As of 2010, the 20th anniversary of the German reunification, the current study investigates the consumer behavior of young adults who have matured in a Germany that has simultaneously had a market economy in the Western region and a transitional economy in the Eastern region. Within social groups, the tendencies to seek the opinions of others when making a purchase have shifted over the 20 years since the reunification. Opinions of others in the western region were significantly more important than those in the eastern region in 2009, contrary to previous findings in the mid 1990s. The current study examines this shift using Social Connectedness and Generational Cohort Theories, showing that the higher the perception of social connectedness, the greater the degree to which young consumers rely on the opinions of their social groups. Keywords: transitional economy, social connectedness, cohort theory, opinion seeking behavior, German consumer behavior 63 EAERCD Conference 2011 COMPETITION BETWEEN AUPARK SHOPPING CENTER AND AVION SHOPPING PARK Tamás Sikos T. * This paper provides an overview of the establishment and historical development of shopping centres in Bratislava, Slovakia. In the framework of a case study we describe the competition between Aupark and Avion Shopping Park, the two largest shopping centres in Slovakia. Our analysis is based on a field research and on a desk research as well. In the framework of the case study 300 questionnaires were filled in (150 in each centre) with random sampling method. Keywords: shopping centres, competitiveness, historical development ANTECEDENTS OF STORE FORMAT PATRONAGE BEHAVIOUR OF ELDERLY CONSUMERS - A RESPONSE BASED SEGMENTATION Teller Christoph * Gittenberger Ernst This article investigates antecedents of and heterogeneity in grocery store format patronage behaviour of elderly shoppers. Based on a literature review we set up a conceptual model that proposes effects between the perception of store attributes, satisfaction, patronage intention and the share of visits. We test the model using a survey of more than 400 supermarket patrons aged 60 and over who live in a highly concentrated urban retail environment. Variance based structural equation modelling reveals that the product range and the price-value ratio have the most considerable impact on patronage behaviour of supermarkets. Nevertheless, response based segmentation identifies unobserved heterogeneity in the overall modelling results. Unlike demographic characteristics of the respondents the variables ‘availability of a car’ and ‘problems in walking longer distances’ explain the heterogeneity of the results between segments where significantly different impacts of accessibility and price-value ratio on patronage behaviour can be identified. Keywords: response based segmentation, grocery, older consumers 64 EAERCD Conference 2011 EXPLORING STRATEGIC DECISION-MAKING IN RETAIL SMES DURING TURBULENT TIMES: A GREEK CASE STUDY Theodoridis Costas * Bennison David The paper looks at the strategic decision-making process in a Greek retail SME during turbulent times. Strategic decision-making in retail SMEs is a rather under-researched field, particularly in the latter mentioned geographic context. The paper contributes to the understanding of how decisions are made in retail SMEs during periods of rapid change, with limited or no information available, and under the influence of power and politics relationships within the organisation. A qualitative approach was employed based on an instrumental case study. The authors argue that strategic decisions take place in a context of limited data and information access where personal and hierarchical characteristics strongly influence the decisions made. Keywords: strategic decision-making, retail SMEs, Greece, networks SHOPPING CENTRE IMAGE ATTRIBUTES EFFECTS ON CONSUMER’S SATISFACTION AND LOYALTY DURING THE CRISIS IN GREECE Theodoridis Prokopis K. * Panopoulos Anastasios P. This paper presents a study investigating the consumers’ satisfaction level as experienced by the shopping centre offer, the relationship between shopping centre image attributes and the consumers’ satisfaction and loyalty. Results indicate that specific shopping centre image attributes are positively related to consumer satisfaction and loyalty. Further, consumers’ intentions are examined regarding potential shifts in their behaviour due to the economic crisis. Keywords: shopping centre, image, consumer behaviour, consumer satisfaction, loyalty, Greece 65 EAERCD Conference 2011 HOW TO LINK RETAIL BRANDS TO RETAILER PROFITABILITY? Troiville Julien * Cliquet Gérard Considering all the dynamism and innovation they carry out, retail brands appear fundamental in the retail sector. The conventional wisdom that retail brands are more profitable for the retailer than manufacturer brands is not obvious at all and requires more empirical research, especially on consumer packaged goods. More precisely, the main research question concerns the link between retail brands and retail profitability. This article reviews the literature and underlines many research questions which still remain. A better understanding of retail brand customer individual profitability and the way they contribute to retailer profitability are future priorities. Consequently, we propose the Customer Longtime Value method as a way to answer these questions because it combines financial and marketing theories and it is based on the main asset of retailers: their customers. Keywords: consumer packaged goods, customer longtime value (CLV), retail brand, retailer performance, retailer profitability CONSUMERS AND GROCERY STORES EXPLORING THE EVERYDAY BRANDED RETAIL EXPERIENCE Ulver-Sneistrup Sofia Johansson Ulf * This paper extends theories of retail branding and consumer experience of retail stores by bringing consumer culture theory into the field of retailing. Using ethnographic data collection methods (photo-diaries, participant observations, long interviews, artifact collections) we studied the grocery shopping habits and life at home among Swedish middle-class working women with children. The analysis suggests that McCracken’s (1989) ‘homeyness’ framework succeeds to understand the orientations inflected in the everyday branded retail experience, as opposed to the ‘mythotypic’ (see Kozinets 2002) that explicates the power of the more spectacular. The studied consumers held strong ties to their favorite grocery retailer brand where the ‘homeyness’ constellation, executed power over these women that went beyond mere convenience. Still, in terms of retail brand ideology, where the immersion into marketplace myths supports the agendas of ideologies. The myths conveyed in these everyday marketplaces rather supported unreflected dominant ideologies, than paradigm-breaking and emerging ideology which more spectacular arenas may strive for in their quest for an overwhelming consumer experience. Thus, the powerful and distinctive experience of ‘homeyness’ demands an ideology-neutral surrounding supported by marketplace-crafted myths. Additional research is needed to see if and how the constellation of ‘homeyness’ is applicable in other national, gender, class, ethnic and lifestyle contexts. Hence, the conceptual implications of our analysis for consumer research concern on one hand the possible transferability and appropriation of the specific constellation of ‘homeyness’ to other important consumer cultural contexts, and on the other hand more generally the importance for consumer cultural researchers to not primarily always aim for the spectacular but also direct their eyes towards experiences of the more ordinary, yet culturally rich, kind. Keywords: branded retail environments, consumer culture theory, everyday retail experience, ‘homeyness’ 66 EAERCD Conference 2011 ORGANISATIONAL STABILITY, DURABILITY AND VOLATILITY IN RETAIL REPUTATION: AN INVESTIGATION OF LEADING UK RETAILERS Whysall Paul Brown Michael * This paper explores the reputational characteristics of seven leading British retailers over the period 1996-2008 using data from the Britain’s Most Admired Company survey. It finds evidence of both homogeneity and heterogeneity within the reputational profiles of retailers, with community and environmental responsibility in particular showing different characteristics from other elements of reputation. Exploring retailers’ changing reputations over time reveals examples of enduring strong reputation (Tesco) yet also incidences of ‘reputational collapse’ and recovery (Marks and Spencer, Morrisons). Analysing different components of reputation shows that greater stability existed in areas such as the quality of products and services and the ability to attract and retain talent, whereas greater volatility characterized financial considerations such as the value as a long term investment and the use of corporate assets. The paper concludes with suggestions for further research. Keywords: retailing, reputation, Britain’s Most Admired Companies, ranking, durability TEMPORAL-SPATIAL PERSPECTIVES ON THE RETURN OF PAWNBROKING TO BRITAIN’S HIGH STREETS Whysall Paul * This article aims to place the recent revival of pawnbroking in British cities in context. After a review of the limited literature on British pawnbroking that illustrates its traditional structure and historical evolution, a brief history of the trade in Nottingham over the last two centuries is provided together with an analysis of its changing spatial patterning. Turning to the more recent revival of pawnbroking in the UK, the major players are introduced and their characteristics explored as providers of a bundle of functions alongside pawnbroking. A regional-level analysis of the density and correlates of contemporary pawnbroking is offered before a general discussion of reasons for this recent expansion, some comments on potential threats and opportunities, and comparisons with pawnbroking’s historical manifestations. Keywords: pawnbroking, consumer credit, history, Nottingham 67 EAERCD Conference 2011 AM I CHEAP? TESTING THE ROLE OF STORE PERSONALITY AND SELF-CONGRUITY IN DISCOUNT RETAILING Willems Kim * Swinnen Gilbert This study examines whether consumer perceptions of store personality differ according to the store's format (hard-discount versus soft-discount and value retailing). A consumer survey (n = 306) is conducted in which respondents are asked to rate these retail formats in terms of five store personality (SP) dimensions (cf. d’Astous and Lévesque, 2003) and on self-congruity (SC). The findings of both repeated measures ANOVA and hypothesis testing of proportion difference indicate that the three formats differ significantly in terms of all five SP dimensions. Moreover, consumers perceive a greater match between their self-concept and the value retailer' s personality than the discounter's. A PLS model is estimated linking SP and SC to store loyalty and word-ofmouth intentions (WOM). The measurement model of d'Astous and Lévesque is only partially confirmed by the data. The effect of SC is found to dominate in explaining loyalty and WOM. These results provide valuable insights for optimizing retail positioning strategies. Keywords: store personality, self-congruity, discount retailing, value retailing, symbolic value, PLS analysis RETAIL STORE SALES FORECASTING: A KNOWLEDGE MANAGEMENT PERSPECTIVE Wood Steve * Reynolds Jonathan An important element of retail network planning is the accurate and timely forecasting of sales yields from potential store development opportunities. This process is typically supported by quantitative modelling techniques which vary in their sophistication and practical application between firms. However, it is also known that analysts supplement modelled knowledge with managerial judgement and observation. By framing store forecasting as a challenge of knowledge management and manipulation, this paper draws on a qualitative methodology to understand how knowledge is interpreted and synthesised to produce forecasts and recommendations to affect the decision-making of senior management. We find that tacit knowledge in the form of observation, experience and intuition plays an important role in complementing, informing and amending the codified outputs of models. Keywords: retail location, knowledge management, decision-making, organisational routines, tacit knowledge, modelling 68 EAERCD Conference 2011 INTERNATIONALISATION OF EUROPEAN GROCERY RETAILERS – PATTERNS AND STRATEGIES Wortmann Michael * Based on an international store count of the biggest sixteen European grocery retailers, we identify format specific internationalisation patterns. These patterns are explained as the result of different competitive advantages and internationalisation strategies in the respective retail segments. Foreign hypermarkets are primarily located in emerging markets in Europe, Asia, and Latin America; in this retail segment, companies follow a multinational strategy relying on asset based competitive advantages. In contrast, discounters have internationalised primarily into European markets independent of their level of maturity; these companies follow a global strategy relying on transaction based competitive advantages. The picture for supermarkets is more complex but three patterns and strategies emerge: border-hopping to neighbouring countries, piggy-backing on existing foreign hypermarket operations, and investments in established supermarket chains in the US. Keywords: international retailing, multinational strategy, global strategy, hypermarkets, discounters, supermarkets “CHANNEL LOYALTY”: EXPLORING THE ROLE OF LOYALTY PROGRAMS IN CHANNEL RELATIONSHIPS Ziliani Cristina * Increased reseller power in numerous sectors is forcing suppliers to shift channel promotion budgets to price incentives, which are preferred by partners because of their versatility. Price incentives tend to determine mere compliance, while non-price channel promotions, which act on attitudes, are probably more effective in aligning supplier and reseller goals. This paper aims to draw management and research attention to the fact that “loyalty” promotion, i.e. loyalty schemes and clubs, that have literally flourished in consumer markets, have a great and untapped potential for aligning supplier and distributor objectives and improve channel performance. We believe that our findings could be useful for management decision-making in the area of channel promotion investment, design and innovation, especially in times of recession, when more companies resort more frequently to trade promotion and sales force motivation. Keywords: trade promotion, incentives, sales channels, loyalty schemes, channel management 69