Marketspace or marketplace? Online information search and channel outcomes in auto retailing

Information Systems Research

Volumn 19, Issue 2, 2008, Pages 182-201

  Kuruzovieh, Jason ^a   Viswanathan, Siva ^b   Agarwal, Ritu ^b   Gosain, Sanjay ^c   Weitzman, Scott ^d  

^a RENSSELAER POLYTECHNIC INSTITUTE   (United States)

^b UNIVERSITY OF MARYLAND   (United States)

^c Capital Group Companies Inc   (United States)

^d Isky Inc   (United States)

Author keywords

Auto retailing; Information needs fulfillment; Online infomediaries; Value chain

Indexed keywords

COSTS; CRASHWORTHINESS; INFORMATION RETRIEVAL; ONLINE SEARCHING; PRODUCT DESIGN; PURCHASING; SALES;

AUTO RETAILING; CONSUMER INFORMATION; INFORMATION NEEDS FULFILLMENT; INFORMATION PROVISIONING; MULTI-CHANNEL SHOPPING; ONLINE INFOMEDIARIES; ONLINE INFORMATION SEARCHES; VALUE CHAINS;

COMMERCE;

EID: 61349202772     PISSN: 10477047     EISSN: 15265536     Source Type: Journal    
DOI: 10.1287/isre.1070.0146     Document Type: Article

References (85)

1. Agarwal, R., V. Venkatesh. 2002. Assessing a firm's Web presence: A heuristic evaluation procedure for the measurement of usability. Inform. Systems Res. 13(2) 168-188.
2. Alba, J. W., J. W. Hutchinson. 1987. Dimensions of consumer expertise. J. Consumer Res. 13(4) 411-454.
3. Alba, J. W., J. Lynch, B. Weitz, C. Janiszewski, R. Lutz, A. Sawyer, S. Wood. 1997. Interactive home shopping: Consumer, retailer, and manufacturer incentives to participate in electronic marketplaces. J. Marketing 61(3) 38-53.
4. Anderson, E, W., C. Fornell, R. T. Rust. 1997. Customer satisfaction, productivity, and profitability: Differences between goods and services. Marketing Sci. 16(2) 129-147.
5. Angrist, J. D. 2001. Estimation of limited-dependent variable models with dummy endogenous regressors: Simple strategies for empirical practice. J. Bus. Econom. Statis. 19(1) 1-16.
6. Ayres, I., R Siegelman. 1995. Race and gender discrimination in bargaining for a new car. Amer. Econom. Rev. 85(3) 304-321.
7. Bakos, J. Y. 1997. Reducing buyer search costs: Implications for electronic marketplaces. Management Sci. 43(12) 1676-1692.
8. Balasubramaniam, S., E Konana, N. M. Menon. 2003. Customer satisfaction in virtual environments: A study of online investing. Management Sci. 49(7) 871-889.
9. Balasubramanian, S., R. Raghunathan, V. Mahajan. 2005. Consumers in a multichannel environment: Product utility, process utility, and channel choice. J. Interactive Marketing 19(2) 12-30.
10. Batiste, J. L., J. T. Jung. 1984. Requirements, needs, and priorities: A structured approach for determining MIS project definition. MIS Quart. 8(4) 215-227.
11. Baye, M. R., J. Morgan. 2001. Information gatekeepers on the Internet and the competitiveness of homogeneous product markets. Amer. Econom. Rev. 91(3) 454-474.
12. Baye, M. R., J. Morgan, E Scholten. 2003. The value of information in an online electronic market. J. Public Policy and Marketing 22(1) 17-25.
13. Bettman, J. R. 1979. An Information Processing Theory of Consumer Choice. Addison-Wesley, Reading, MA. Chang, T. Z., A. R. Wildt. 1994. Price, product information, and purchase intention: An empirical study. J. Acad. Marketing Sci. 22(1) 16-27.
14. Charnes, A., W. W. Cooper. 1958. The theory of search: Optimum distribution of search effort. Management Sci. 5(1) 44-50.
15. Chen, Y., G. Iyer, P. V. Padmanabhan. 2002, Referral infomediaries. Marketing Sci. 21(4) 412-435.
16. Deei, E. L., R. M. Ryan. 2000. The "what" and "why" of goal pursuits: Human needs and the self-determination of behavior. Psych. Inquiry 11(4) 227-268.
17. DeSarbo, W. S., K. Jedidi, I. Sinha. 2001. Customer value analysis in a heterogeneous market. Strategic Management J. 27(5) 845-858.
18. Economist, The. 2006. Death of the salesman: Car retailing. (May 25).
19. Fisher, M. L. 1997. What is the right supply chain for your product? Harvard Bus. Rev. 75(2) 105-116.
20. Furse, D. H., G. N. Punj, D. M. Stewart. 1984. A typology of individual search strategies among purchasers of new autos. J. Consumer Res. 10(4) 617-631.
21. Garbarino, E. C., J. A. Edell. 1997. Cognitive effort, affect, and choice. J. Consumer Res. 24(2) 147-158.
22. Giese, J. L., J. A. Cote. 2000. Defining consumer satisfaction. Acad. Marketing Sci. Rev 1 1-33.
23. Goerzen, A., P. W. Beamish. 2003. Geographic scope and multinational enterprise performance. Strategic Management J. 24(13) 1289-1306.
24. Goldberg, P. K. 1996. Dealer price discrimination in new car purchases: Evidence from the consumer expenditure survey. J. Political Econom. 104(3) 622-654.
25. Hagel, J., M. Singer. 1999. Net Worth: Shaping Markets When Customers Make the Rules. Harvard Business School Press, Boston.
26. Hardesty, D. M., T. A. Suter. 2005. E-tail and retail reference price effects. J. Product and Brand Management 14(2/3) 129-137.
27. Hodkinson, C., G. Kiel. 2003. Understanding Web information search behavior: An exploratory model. J. End User Comput. 15(4) 27-48.
28. Hong, W., J. Y. L. Thong, K. Y. Tam. 2004. Does animation attract online users' attention? The effects of flash on information search performance and perceptions. Inform. Systems Res. 15(1) 60-86.
29. Hoyle, R. H. 1995. Structural Equation Modeling: Concepts, Issues, and Applications. Sage Publications, Thousand Oaks, CA.
30. Hu, L., P. M. Bentler. 1999. Cutoff criteria for fit indices in covariance structure analysis: Conventional versus new alternatives. Structural Equation Modeling 6(1) 1-55.
31. Johnson, E. J., S. Bellman, G. L. Lohse. 2003. Cognitive lock-in and the power law of practice. J. Marketing 67(2) 62-75.
32. Johnson, E. J., W. W. Moe, P. S. Fader, S. Bellman, G. L. Lohse. 2004. On the depth and dynamics of online search behavior. Management Sci. 50(3) 299-308.
33. Kambil, A., E. van Heck. 1998. Reengineering the Dutch flower auctions: A framework for analyzing exchange organizations. Inform. Systems Res. 9(1) 1-19.
34. Keeney, R. L. 1999. The value of Internet commerce to the customer. Management Sci. 45(1) 533-542.
35. Kiel, G., R. Layton. 1981. Dimensions of consumer information seeking behavior. J. Consumer Res. 18(2) 233-239.
36. Klein, L. R., G. T. Ford. 2003. Consumer search for information in the digital age: An empirical study of pre-purchase search for automobiles. J. Interactive Marketing 17(3) 29-49.
37. Krishna, A., R. Briesch, D. R. Lehmann, H. Yuan. 2002. A metaanalysis of the impact of price presentation on perceived savings. J. Retailing 78(2) 101-118.
38. Kulviwat, S., C. Guo, N. Engchanil. 2004. Determinants of online information search: A critical review and assessment. Internet Res. 14(3) 245-253.
39. Kunreuther, H. C., R. Ginsberg. 1978. Disaster Insurance Protection: Public Policy Lessons. Wiley, New York.
40. Kushwaha, T. L., V. Shankar. 2006. Optimal multichannel allocation of marketing efforts. Working paper, The University of North Carolina at Chapel Hill, Chapel Hill, NC.
41. Lahiri, K., R Schmidt. 1978. On the estimation of triangular structural systems. Econometrica 46(5) 1217-1221.
42. Laurent, G., J. N. Kapferer. 1985. Measuring consumer involvement profiles. J. Marketing Res. 22(1) 42-53.
43. Lilien, G. L., P D. Morrison, K. Searls, M. Sonnack, E. Von Hippel. 2002. Performance assessment of the lead user idea-generation process for new product development. Management Sci. 48(8) 1042-1059.
44. Lurie, N. H. 2004. Decision making in information-rich environments: The role of information structure. J. Consumer Res. 30(4) 473-486.
45. Lynch, J. G., Jr., D. Ariely. 2000. Wine online: Search costs affect competition on price, quality, and distribution. Marketing Sci. 19(1) 83-104.
46. Maddox, N. R., K. Grønhaug, R. E. Homans, F. E. May. 1978. Correlates of information gathering and evoked set size for new automobile purchasers in Norway and the US. H. K. Hunt, ed. Advances in Consumer Research. Association for Consumer Research, Ann Arbor, MI, 167-170.
47. Markus, M. L., A. Majchrzak, L. Gasser. 2002. A design theory for systems that support emergent knowledge processes. MIS Quart. 26(3) 179-212.
48. Marti, E. 2000. Disintermediation in the U.S. auto industry. Graduate School of Business Case Number EC-10, Stanford University, Stanford, CA.
49. Maslow, A. 1954. Motivation and Personality. Harpers, New York.
50. McKinney, V., K. Yoon, F. Zahedi. 2002. The measurement of web-customer satisfaction: An expectation and disconfirmation approach. Inform. Systems Res. 13(3) 296-315.
51. Mehta, N., S. Rajiv, K. Srinivasan. 2003. Price uncertainty and consumer search: A structural model of consideration set formation. Marketing Sci. 22(1) 58-85.
52. Moe, W. W. 2003. Buying, searching, or browsing: Differentiating between online shoppers using in-store navigational click- stream. J. Consumer Psych. 13(1&2) 29-39.
53. Moe, W. W., P. S. Fader. 2004. Dynamic conversion behavior at e-commerce sites. Management Sci. 50(3) 326-335.
54. Neslin, S. A., D. Grewal, R. Leghorn, V. Shankar, M. L. Teerling, J. S. Thomas, P. C. Vcrhoef. 2006. Challenges and opportunities in multichannel customer management. J. Service Res. 9(2) 87-94.
55. Oliver, R. L. 1995. Attribute need satisfaction in product usage satisfaction. Psych. Marketing 12(1) 1-17.
56. Oliver, R. L. 1997. Satisfaction: A Behavioral Perspective on the Consumer. McGraw-Hill, New York.
57. Pennings, J. M. E., A. Smidts. 2000. Assessing the construct validity of risk attitude. Management Sci. 46(10) 1337-1348.
58. Peterson, R. A., M. C. Merino. 2003. Consumer information search behavior and the Internet. Psych. Marketing 20(2) 99-121.
59. Podsakoff, P. M., D. W. Organ. 1986. Reports in organizational research: Problems and prospects. J. Management 12(4) 531-544.
60. Power, J. D. 2005. Online product information is more influential than price to new-vehicle shoppers. J. D. Power and Associates, Westlake Village, CA. http://www.ismtoday.com/content/view/16/2/.
61. Rangan, V. K. 1987. The channel design decision: A model and an application. Marketing Sci. 6(2) 156-174.
62. Ratchford, B. T. 2001. The economics of consumer knowledge. J. Consumer Res. 27(4) 397-411.
63. Ratchford, B. T, N. Srinivasan. 1993. An empirical investigation of returns to search. Marketing Sci. 12(1) 73-87.
64. Ratchford, B. T., M. S. Lee, D. Talukdar. 2003. The impact of the Internet on information search for automobiles. J. Marketing Res. 40(2) 193-209.
65. Ratchford, B. T., D. Talukdar, M. S. Lee. 2001. A model of consumer choice of the Internet as an information source. Internat. J. Electronic Commerce 5(3) 7-21.
66. Rayport, J. F., J. J. Sviokla. 1994. Managing in the marketspace. Harvard Bus. Rev. 72(6) 141-150.
67. Rayport, J. F., J. J. Sviokla. 1995. Exploiting the virtual value chain. Harvard Bus. Rev. 73(6) 75-85.
68. Sawhney, M., E. Prandelli, G. Verona. 2003. The power of innomediation. MIT Sloan Management Rev. 44(2) 77-82.
69. Sawin, D. A., K. Yamazaki, A. Kumaki. 2002. Putting the "D" in UCD: User-centered design in the ThinkPad experience development. Internat. J. Human-Comput. Interaction 14(3/4) 307-335.
70. Schumaker, R. E., G. Marcoulides. 1998. Interaction and Nonlinear Effects in Structural Equation Modeling. Lawrence Erlbaum Associates, Mahwah, NJ.
71. Scott Morton, F. M., F. Zettelmeyer, J. Silva-Risso. 2001. Internet car retailing. J. Indust. Econom. 49(4) 501-519.
72. Scott Morton, F. M., F. Zettelmeyer, J. Silva-Risso. 2003. Consumer information and discrimination: Does the Internet affect the pricing of new cars to women and minorities? Quant. Marketing Econom. 1(1) 65-92.
73. Sheldon, K. M., A. J. Elliot, Y. Kim, T. Kasser. 2001. What is satisfying about satisfying events? Testing 10 candidate psychological needs. J. Personality Soc. Psych. 80(2) 325-339.
74. Shugan, S. M. 1980. The cost of thinking. J. Consumer Res. 7(2) 99-111.
75. Smith, M. D., E. Brynjolfsson, 2001. Consumer decision-making at an Internet shopbot: Brand still matters. J. Indust. Econom. 49(4) 541-558.
76. Spreng, R. A., S. B. MacKenzie, R. W. Olshavsky. 1996. A reexamination of the determinants of customer satisfaction. J. Marketing Res. 60(3) 15-38.
77. Straub, D. W., D. L. Hoffman, B. W. Weber, C. Steinfield. 2002. Toward new metrics for net-enhanced organizations. Inform. Systems Res. 13(3) 227-238.
78. Susarla, A., A. Barua, A. Whinston. 2003. Understanding the service component of application service provision: An empirical analysis of satisfaction with ASP services. MIS Quart. 27(1) 91-124.
79. Torkzadeh, G., G. Dhillon. 2002. Measuring factors that influence the success of Internet commerce. Inform. Systems Res. 13(2) 187-204.
80. van Baal, S., C. Dach. 2005. Free riding and customer retention across retailers' channels. J. Interactive Marketing 19(2) 75-85.
81. Venkatesh, V., R. Agarwal. 2006. Turning visitors into customers: A usability-centric perspective on purchase behavior in electronic channels. Management Sci. 52(3) 367-382.
82. Verhoef, P. C., S. A. Neslin, B. Vroomen. 2007. Multi-channel customer management: Understanding the research-shopper phenomenon. Internat. J. Res. Marketing 24(2) 129-148.
83. Viswanathan, S, J. N. Kuruzovich, S. Gosain, R. Agarwal. 2007. Online infomediaries and price discrimination: Evidence from the auto-retailing sector. J. Marketing 71(3) 89-107.
84. Zaichkowsky, J. L. 1985. Measuring the involvement construct. J. Consumer Res. 12(3) 341-352.
85. Zettelmeyer, F., F. M. Scott Morton, J. Silva-Risso. 2004. Cowboys or cowards: Why are Internet car prices lower? Working paper, University of California at Berkeley, Berkley.