Cooperation or non-cooperation:: Examining impact of spillover effect on community group buying operational strategy

• Jing Zheng ^[1] ; Yong Wang ^[1] ; Yue Chen ^[1] ; Yue Wen ^[2]
  1. [1] Chongqing University

     Chongqing University

     China

     
  2. [2] Chongqing Technology and Business University

     Chongqing Technology and Business University

     China

     
• Localización: Journal of Theoretical and Applied Electronic Commerce Research, ISSN-e 0718-1876, Vol. 20, Nº. 2, 2025
• Idioma: inglés
• Enlaces
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• Resumen

  • The emergence of the new retail model of community group buying (CGB) has brought a significant impact on the traditional retail of community nanostores while community nanostores, as the leaders of the community, have the natural advantage of becoming the pick-up points of the CGB platform. Therefore, as the two core formats in the new community retail ecosystem, the CGB platform and community nanostore exhibit both competitive and complementary characteristics. Aiming at the community retail market composed of the CGB platform and the community nanostore, this study constructed a Hotelling game model to portray the competition and cooperation between these two channels and explored the impacts of different operational strategies on the equilibrium decisions and optimal profits of community retail market participants through comparative analysis. The research revealed that when retailers adopt the non-cooperation strategy, the community nanostore will occupy a larger market share, and the spillover effect between channels brought by the cooperation strategy is the main factor influencing retailers’ operation strategy. In addition, the type of pick-up point operated by the community nanostore will also affect the cooperation willingness of the CGB platform.