- Log In/Sign Up
- P-ISSN1738-3110
- E-ISSN2093-7717
- SCOPUS, ESCI
ISSN : 1738-3110
Effect of Market-Wholesaler System on Market Expansion, Retransaction Intention, and Recommendation Intention
YI, Jong-Hyun
CHO, Young-Sam
Abstract
Purpose: This study aims to develop and empirically analyze a research model in order to comprehend the relationship among the service quality of market-wholesaler system, re-transaction intention, and recommendation intention of forwarder. Further, we suggest new six factors reflecting the service quality of market-wholesaler system and highlight market expansion of forwarder as a mechanism in the relationship. Research design, data and methodology: The authors developed the new scales measuring the service quality of market-wholesaler system (i.e. trade price, price fluctuation, payment receipt, settlement period, trade information, and customer service) and conducted a cross-sectional survey for 439 forwarders in a wholesale market. And then we performed a series of path analyses to test hypotheses. The hypotheses are as follows. [H1] The service quality of market-wholesaler system will positively affect forwarders' market expansion, [H2] Forwarders' market expansion will positively affect their re-transaction intention, [H3] Forwarders' market expansion will positively affect their recommendation intention, [H4] Forwarders' re-transaction intention will positively affect their recommendation intention. Results: The results showed that all the six factors for the service quality of market-wholesaler system were positively related to market expansion of forwarders. There was a differential effectiveness in the six factors of the service quality. More specifically, the positive effect of customer service factor was the strongest on market expansion of forwarders. And the respective effects of trade price, price fluctuation, settlement period, trade information factors were followed in order. The positive effect of payment receipt factor was the weakest on market expansion of forwarders. Also, market expansion of forwarders was positively related to their re-transaction intention and recommendation intention. Furthermore, market expansion of forwarders was indirectly related to recommendation intention through re-transaction intention as well. Conclusions: The research findings provide important theoretical and practical implications. This study is the first to attempt to test the perception of forwarders for the service quality of market-wholesaler system by developing and using the new scales. Also, there has been a sharp controversy about the effectiveness of market-wholesaler system. The findings support that market-wholesaler system would be activated by empirically verifying the effectiveness of the service quality on the various outcomes.
- keywords
- Market-Wholesaler System, Market Expansion, Re-transaction Intention, Recommendation Intention
Reference
Cha, S. S., & Seo. B. K. (2019). The effect of brand trust of home meal replacement on repurchasing in online shopping. The Journal of Business, Economics, and Environmental Studies, 9(3), 21-26.
Childers, T. L., & Rao, A. R. (1992). The influence of familial &peer-based reference groups of consumer decisions. Journal of Consumer Research, 19(2), 198-211.
Coarse, R. (1937). The nature of the firm, Economica, 4(16), 386-405.
Dahlstrom, R., & Nygaard, A. (1999). An empirical investigation of ex post transaction costs in franchised distribution channels. Journal of Marketing Research, 36(2), 160-170.
Giao, H. N. K. (2020). Customer satisfaction at Tiki. vn Ecommerce platform. Journal of Asian Finance, Economics and Business, 7(4), 173 -183.
Gouk, S. Y., & Kim, W. B. (2007). An empirical analysis of the effects of transaction systems on pricing efficiency in GangSeo agricultural wholesale market in Korea. The Korean Journal of Agricultural Economics, 48(2), 51-73.
Griesinger, D. W. (1990). The human side of economic organization. Academy of Management Review, 15(3), 478-499.
Heo, G. H., Cho, M. G., Jeong, C. G., Jeong, H. S., & Byun S. E.(2004). Measures to activate the wholesale market operation for agricultural and fishery products (KREI 2004 Report). Korea Rural Economic Institute.
Heo, G. H., Kim, B. R., Kim, Y. S., Ko, B. H., & Jeong, C. G.(2000). A study on moving the Yeongdeungpo commercial area to build a Southwestern wholesale market and preparing the candidate site for the moving. (KREI 2000 Report). Korea Rural Economic Institute.
Hyun, J. G., Kim, S. H., Kim, Y., Lee, J. S., & Kim, T. H. (2019). Wholesale market for GangSeo agricultural products: An analysis and development strategy of the market traders system (2019 Report). Seoul Agro-Fisheries & Food Corporation.
Jang, S. W., Yang, S. R., & Sohn, Y. S. (2007). A comparison of agricultural distribution channels by transaction cost: Auction market vs. Wholesale market. Journal of Channel and Retail, 12(5), 87-103.
Jung, M. H., Bae, D. I., & Yun, J. C. (2014). The Effects of SNS characteristics on purchase intention. The Journal of Business, Economics, and Environmental Studies, 4(3), 19-25.
Kim, B. R. (2015). Changes in the distribution environment and the direction of innovation in the wholesale market. Proceeding of 2015 Summer Symposium of Korean Food Marketing Association, 47-49.
Kim, H. S., & Shim, J. H. (2017). The effects of service qualities on customer satisfaction and behavioral intention in coffee shops. International Journal of Industrial Distribution &Business, 8(5), 95-109.
Kim, K. H., & Yoo, Y. J. (2016). A study on the influence relationships among Korean restaurant's selection attributes using the IPA method, satisfaction, revisit and recommendation intention. Korean Journal of Hospitality &Tourism, 25(3), 113-132.
Kim, M. J., & Park, S. I. (2014). Are delighted customers really more loyal? The linear and nonlinear effects of customer satisfaction and customer delight on customer loyalty. Journal of Korean Marketing Association, 29(3), 19-50.
Kim, S. H., Park, J. E., & Kim, D. S. (2012). The analysis on the trading system of garlic at the wholesale market. Korean Journal of Agricultural Science, 39(2), 291-297.
Kim, Y. D. (2005). A study of the improvement strategies of market-wholesaler system. Korean Journal of Food Marketing Economics, 22(1), 99-128.
Kim, Y. D., & Kwon, S. G. (2005). Review of the first year of market-wholesaler system and future challenges. Korean Journal of Agricultural Management and Policy, 32(4), 824-848.
Kwon, K. D., Lee, S. W., & Huh, W. H. (2004). Importance Performance analysis as a strategic tool for car manufacturers, an empirical study on factors affecting satisfaction of car owners, repurchase and recommend intention. Korean Journal of Business Administration, 45(1), 1795-1812.
Lance, C. E., & Vandenberg, R. J. (2002). Confirmatory factor analysis. In F. Drasgow & N. Schmitt (Eds.), Measuring and analyzing behavior in organizations (pp. 221-254). San Francisco, CA: Jossey-Bass.
Lee, J. R., & Kim, M. O. (2010). An empirical study of the influence of automobile attributes on overall satisfactions, repurchase intentions, recommendation intentions: Focusing on Chinese consumers. International Business Review, 14(1), 19-54.
Lee, J. R., Cho, Y. S., & Kim, B. Y. (2014). Moderating effects of perceived justice and country of origin in a relationship between customer complaint behavior and customer retention. International Business Journal, 25(2), 157-188.
Nguyen, T. K. C., Nguyen, D. M., Tran, T. P. D., & Cao, T. P.(2020). Factors affecting intention to purchase green products in Vietnam. The Journal of Asian Finance, Economics and Business, 7(4), 205-211.
Nguyen, X. T., Nguyen, H. M., Dang, L. A. T., & Ngo, T. T.(2020). Factors that influence the intentions to revisit Korea of Vietnamese tourists. The Journal of Asian Finance, Economics and Business, 7(4), 247-258.
Park, J. J., & Jang, H. Y. (2013). A study on the improvement of agricultural and marine products distribution structure -Focused on the expansion of the market traders system. Traditional Retail & Periodic Market Review, 6(1), 1-19.
Potluri, R. M., & Angiating, G. (2018). A study on service quality and customer satisfaction in Nigerian healthcare sector. Journal of Industrial Distribution & Business, 9(12), 7-14.
Richard, A. S., Gilbert, D. H., & Robert, D. M. (1995). Service recovery, impact on satisfaction & intentions. Journal of Service Marketing, 9(1), 15-23.
Shin, C. S., Hwang, G. S., Lee, H. W., & Cho, S. R. (2015). The impact of Korean franchise coffee shop service quality and atmosphere on customer satisfaction and loyalty. The Journal of Business, Economics, and Environmental Studies, 5(4), 45-57.
Williamson, O. (1978). Transaction cost economics: The governance of contractual relations. The Journal of Law Economics, 22(1), 233-61.
Yang, S. K., & Shim, J. H. (2018). The effects of service qualities on customer satisfaction, trust, and behavioral intention in smartphone shopping malls. International Journal of Industrial Distribution & Business, 9(12), 31-43.
Yoon, C. S., & Yang, S. R. (2009). A comparison analysis of the prices from the auction and consignment systems in the GangSeo wholesale market. Journal of Channel and Retailing, 14(1), 67-8.
- Downloaded
- Viewed
- 0KCI Citations
- 0WOS Citations