The Web has been changing the retail market in many ways. Following a new
market framework, this paper analyzes the unique characteristics of the Web for
retail applications, examines its market effects, and presents two perspectives
for business response strategies. The Web can either be used as a marketing tool,
which is integrated into traditional business strategies, or can be viewed as a
new marketplace, which demands new business design. Differences between
these two views will have strategic and implementation implications for both
traditional and startup retailers as they adapt to Web marketing. Finally, we
propose some research issues and challenges that should be addressed to better
our understanding and promote the success of this new marketplace.
This article is distributed using a Creative Commons Attribution-NonCommercial 4.0 license. Copyright remains with the author(s).