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Chinese Journal of Management Science ›› 2025, Vol. 33 ›› Issue (9): 77-88.doi: 10.16381/j.cnki.issn1003-207x.2022.1854

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Adoption Decision on Ship-from-store Strategy for Dual-channel Retailers in the Context of Public Health Emergencies

Ping Xie, Di Xu()   

  1. School of Management,Xiamen University,Xiamen 361005,China
  • Received:2022-08-23 Revised:2023-03-06 Online:2025-09-25 Published:2025-09-29
  • Contact: Di Xu E-mail:dxu@xmu.edu.cn

Abstract:

Influenced by public health emergencies, ship-from-store (SFS) has emerged as a pivotal strategy for the digital transformation of the retail industry. However, given the potential cannibalization and complementarity effects between sales channels, as well as the additional operational costs associated with SFS, the question of whether dual-channel retailers should adopt this strategy remains unresolved. Furthermore, as the status of epidemic prevention and control evolves, it is essential to examine how dual-channel retailers should adjust their SFS adoption decisions in response. To address these issues, game-theoretic models are developed to analyze the adoption of SFS by dual-channel retailers under different pandemic control scenarios. First, the scenario involving mandatory lockdown policies is examined. By solving and comparing equilibrium outcomes before and after SFS adoption, the conditions under which retailers should implement this strategy are identified. Second, the post-lockdown scenario is analyzed, deriving the retailer’s optimal decision once such restrictions are lifted. Finally, through a comparative analysis of equilibrium outcomes across both scenarios (i.e., with and without lockdown policies), the interplay between pandemic control status and SFS adoption is revealed. The main findings are as follows. First, under lockdown policies, SFS is viable only for retailers with low operating costs and high product valuations. Second, once lockdown policies are lifted, SFS benefits not only retailers with low operating costs and high valuations but also those with high operating costs and low valuations. Third, retailers should dynamically adjust their SFS adoption decisions in accordance with changes in pandemic control status, with different types of retailers following distinct transition paths. Finally, although lockdown policies consistently harm dual-channel retailers, those with low costs and high valuations can leverage SFS to mitigate or even fully counteract these negative effects.

Key words: the COVID-19 epidemic, new retail, omnichannel, O2O

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