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Most retailers today sell products through an online channel in addition to traditional physical stores. We investigate how such a multi-channel or omni-channel retailer should decide the number and size of physical stores. We show that a higher return rate for online purchases can incentivize...
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This paper studies how retailers can effectively deliver online and offline information to omnichannel consumers who strategically choose whether to gather information online/offline and whether to buy products online/offline. Information resolves two types of uncertainty: product value...
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Many online retailers offer free shipping services if customers spend more than a threshold amount. We use a unique transaction-level dataset from a large online retailer to study the impacts of free shipping threshold on consumer shopping behavior across two different online channels, mobile...
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