Premium
Manufacturer Support for a Partially Integrated Channel in South Korea: Power‐dependence vs. Marketing Effectiveness Perspective
Author(s) -
Yi Hotaek,
Dubinsky Alan J.,
Lim Chae Un
Publication year - 2013
Publication title -
canadian journal of administrative sciences / revue canadienne des sciences de l'administration
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.347
H-Index - 48
eISSN - 1936-4490
pISSN - 0825-0383
DOI - 10.1002/cjas.1248
Subject(s) - perspective (graphical) , marketing , context (archaeology) , channel (broadcasting) , business , marketing channel , antecedent (behavioral psychology) , volatility (finance) , industrial organization , telecommunications , computer science , psychology , artificial intelligence , biology , paleontology , developmental psychology , finance
Abstract This article introduces the unique context of a partially‐integrated channel (PIC) that incorporates both market and hierarchical governance forms. In so doing, it examines determinants of the manufacturer's support for a PIC. Using power‐dependence and marketing effectiveness theories, we collected data from 172 marketing managers in charge of PICs in 15 companies in South Korea. The results showed that from the power‐dependence perspective, demand volatility, manufacturer's competitive intensity, and channel concentration are positively related to a manufacturer's dependence on the retailer, which is positively related to the manufacturer's support for the PIC with a retailer. From a marketing effectiveness perspective, channel bonding and customer linking are positively associated with manufacturer marketing effectiveness, which is an antecedent to PIC support for a retailer. Copyright © 2013 ASAC. Published by John Wiley & Sons, Ltd.