COMPETITION IN THE BRICKS-AND-CLICKS WORLD: STRATEGIC IMPLICATIONS OF MARKET-SEGMENT- SPECIFIC DIFFERENCES

摘要

Pure-play Internet companies compete not only with their e-commerce rivals but also with traditional bricksand-rnmortar firms entering into online business. Traditional firms going online, for their part, cope with seriousrnchallenges such as integrating their traditional operations with online business without cannibalizing theirrnexisting customer base in the traditional market. Faced with these challenges, both online and offlinerncompanies need to develop unique business strategies in order to compete against each other and sustainrnprofitability. Using McCarthy’s marketing mix model, Porter’s competitive forces model, and market segmentrnclassification, this research presents a model for developing successful e-business strategies. This model hasrnthree components: 1) market segmentation, 2) competitive forces, and 3) marketing mix. Using this model, thernfuture research will derive e-business strategies likely to contribute to increased profit for both pure-playrnInternet companies and traditional companies entering into e-commerce.