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A Complementary Resource Bundle as an Antecedent of E-Channel Success in Small Retail Service Providers

This study proposes an e-service resource bundle (E-SRB) as an antecedent of electronic service channel (e-channel) success in small retail service providers. The E-SRB indicates a collection of three resources: e-market acuity, e-IT competence, and e-service agility. Given the interdependence of these three resources in delivering quality e-services, the authors hypothesize about their complementarity and its positive effect on performance. The results of this structural equation modeling using survey data show support for the proposed hypotheses, demonstrating that the E-SRB positively influences e-channel performance. The performance impact is not limited to perceived financial performance but extends to self-reported dollar-based sales and profits. These results have theoretical implications when it comes to linking e-service quality to financial performance. They also carry managerial implications for small-scale e-retailing, where limited resources can seriously impede the full use of the e-channel. One of these implications concerns what resources are necessary and how to allocate them in order to improve an e-service system. In the end, this study suggests that managers should understand the interrelationships that might exist among resources that collectively influence performance.