Omnichannel retail operations with consumer returns and order cancellation

Juzhi Zhang, Qingyun Xu and Yi He

Transportation Research Part E: Logistics and Transportation Review, 2018, vol. 118, issue C, 308-324

Abstract: In this paper, an analytical study is performed on an online retailer’s omnichannel retail operations in which consumers can cancel their order before payment and return the product after payment if the product does not meet their expectation. The online retailer’s optimal pricing and inventory decisions are derived under the online-only strategy and the omnichannel strategy. The results indicate that the retail price decreases when the online retailer opens physical stores and that the omnichannel strategy is not always beneficial to the retailer. Furthermore, we identify the conditions under which the retailer benefits from the omnichannel retailing strategy.

Keywords: Omnichannel; Pricing and inventory management; Consumer returns; Consumer order cancellation (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (35)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1366554518303041
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:transe:v:118:y:2018:i:c:p:308-324

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/journaldescription.cws_home/600244/bibliographic
http://www.elsevier. ... 600244/bibliographic

DOI: 10.1016/j.tre.2018.08.006

Access Statistics for this article

Transportation Research Part E: Logistics and Transportation Review is currently edited by W. Talley

More articles in Transportation Research Part E: Logistics and Transportation Review from Elsevier
Bibliographic data for series maintained by Catherine Liu ().