Bundling and retail agglomeration effects on shopping behavior

The impact of competition and cooperation on the performance of a retail agglomeration and its stores

“…In total, the negative effect of competition is neutralised by the positive spill over from agglomeration to store performance. This finding is in line with the customer view on competition in agglomerations in the work of, for example, Yiu and Xu (2012) and Oppewal and Holyoake (2004). The identification of any spill-over effects reflects the benefits of agglomeration-level synergies for the individual store (Chetty & Wilson, 2003).…”

“…Such networks produce synergies and encourage cooperation due to the retail and service stores' close proximity to one another. Yet, alongside the potential benefits from cooperation, retailers and their stores find themselves competing with each other for a share of the money and dwell time spent by customers during trips to the agglomeration (Oppewal and Holyoake, 2004). Such competition can have positive effects for customers but negative effects for retailers.…”

“…For inter-organisational networks in general, the benefits that an organisation seeks by being part of a network are maximised efficiencies, synergies and organisational learning through the sharing of resources (Chetty & Wilson, 2003). Further synergistic effects, also called agglomeration effects (Oppewal & Holyoake, 2004), that organisations can achieve by collaborating within an agglomeration such as a shopping centre include, for example, shared parking facilities, enhanced footfall, and integrated centre-wide marketing and management (Teller & Schnedlitz, 2012). Individual organisations' abilities to realise these benefits depend upon a combination of network structure effects and focal organisation characteristics (Zaheer & Bell, 2005).…”

“…Competition, for example at a promotional or a price level, creates benefits for customers. This enhances the attractiveness of agglomerations to customers, and thus their performance (Oppewal & Holyoake, 2004). Clearly not all stores in an agglomeration may benefit from such competition and, on the contrary, they may be under pressure to enhance their marketing efforts, for example in terms of price discounts or promotional events, in order to win as large a share as possible of the time and money customers spend within the agglomeration (Teller & Schnedlitz, 2012).…”

Investigation of the Effects of Stores’ Tenant Mix and Internal and External Environmental Conditions on Customer Satisfaction from Shopping Centers in Iran

“…From a consumer's point of view, such a "bundling or agglomeration effect" delivers additional utilitarian and hedonic shopping values to customers (Oppewal and Holyoake, 2004;Babin et al, 1994). Such an enrichment of shopping experiences compared to those in single stores results from the provision of easy accessibility, parking facilities, orientation, a broad variety of shops, atmosphere and entertainment facilities (Kim, 2002).…”