Impact of Shipping Distance on Online Retailers’ Sales: A Case Study of Maiyang on Tmall

Impact of Shipping Distance on Online Retailers’ Sales: A Case Study of Maiyang on Tmall Many studies have qualitatively explained that information and communication technology (ICT) has loosened the restrictions of distance and space on retailers’ sales. Few empirical studies, however, have explored the impact of shipping distance on online retailers’ sales. This study examined the Maiyang (M-Y) store on Tmall in China as a case study to investigate the relationship between shipping distance and sales. The results showed that sales volume in 2014 at the county level did not strictly obey the distance decay law. The shipped distance of high-priced commodities may not be much longer than that of low-priced commodities. Within the scope of investigation, the relationships between income, cost, and net profit curves do not follow central place theory. Goods have neither thresholds nor ranges. The key factor in the spatial discrepancy of sales is the size of market. The impact of shipping distance on sales is not as strong as that of traditional retailers in Information Era. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Chinese Geographical Science Springer Journals

Impact of Shipping Distance on Online Retailers’ Sales: A Case Study of Maiyang on Tmall

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Publisher
Science Press
Copyright
Copyright © 2018 by Science Press, Northeast Institute of Geography and Agricultural Ecology, CAS and Springer-Verlag GmbH Germany, part of Springer Nature
Subject
Geography; Geography, general
ISSN
1002-0063
eISSN
1993-064X
D.O.I.
10.1007/s11769-018-0945-7
Publisher site
See Article on Publisher Site

Abstract

Many studies have qualitatively explained that information and communication technology (ICT) has loosened the restrictions of distance and space on retailers’ sales. Few empirical studies, however, have explored the impact of shipping distance on online retailers’ sales. This study examined the Maiyang (M-Y) store on Tmall in China as a case study to investigate the relationship between shipping distance and sales. The results showed that sales volume in 2014 at the county level did not strictly obey the distance decay law. The shipped distance of high-priced commodities may not be much longer than that of low-priced commodities. Within the scope of investigation, the relationships between income, cost, and net profit curves do not follow central place theory. Goods have neither thresholds nor ranges. The key factor in the spatial discrepancy of sales is the size of market. The impact of shipping distance on sales is not as strong as that of traditional retailers in Information Era.

Journal

Chinese Geographical ScienceSpringer Journals

Published: Mar 13, 2018

References

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