Measuring the impact of eChannel additions on the financial performance

• Main Authors: Hung-Jen Tu, 涂宏任
• Other Authors: Ming-Sung Cheng
• Format: Others
• Language: en_US
• Published: 2007
• Online Access: http://ndltd.ncl.edu.tw/handle/12930399462036900784

博士 === 國立中央大學 === 企業管理研究所 === 95 === The emergence of the Internet has forced firms to add eChannels to their existing channel system. In the context of multiple channels, there has been a call for better measures of performance to assess whether channel management was productive and whether eChannel additions could enhance the financial performance of the firm. Unfortunately, there has been little research aiming at exploring these two issues. In this thesis, an attempt was made to fill in this literature gap by applying the fuzzy Analytic Hierarchy Process (fuzzy AHP) to measure and compare the performance of eChannel additions on the basis of multi-attribute financial performance criteria. Furthermore, three financial measure perspectives, i.e., Event Study methodology, Economic Value Added (EVA) measure and Market Value Added (MVA) measure, were employed to assess the impact of eChannel additions on the financial performance of the firm. The finding revealed that the most important dimension was profitability while the most critical criteria was net profit margin ratio. Another finding was that eChannel addition announcement could increase a firm’s accumulative abnormal returns, EVA value and MVA value. In conclusion, this research has provided insights into the benefits of eChannel additions for firms.