Format:
1 Online-Ressource (10 p)
Content:
In cross-border e-commerce, free-shipping service and product price jointly influence consumers' purchase decisions. When brand-owners offer free-shipping service, it will bear both logistics and import tariff fees. Otherwise, these fees will be paid by the consumers. In this paper, we study the free-shipping decisions of two brand-owners A and B when they sell through a common cross-border e-commerce platform with the consideration of the two-dimensional competition of product and logistics service. We develop four strategy combinations (N, N), (N, F), (F, N) and (F, F) by considering brand-owners A and B provide free-shipping or not. We find that there exists three equilibrium strategies (N, N), (N, F) and (F, F) when the two brand-owners’ products are highly differentiated, depending on the logistics fee directly borne by consumers. In contrast, when their product competition is fierce, (N, N) and (F, F) are the equilibrium strategies
Note:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments January 13, 2022 erstellt
Language:
English
DOI:
10.2139/ssrn.4008066
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