The Impact of E-Commerce Sales on Capacity Utilization

Xuechang Zhu; Hui Shang; Zhen Dai; Bin Liu

doi:10.5755/j01.ee.32.5.28508

Authors

Xuechang Zhu School of Management, Tianjin University of Technology, China
Hui Shang School of Economics, Zhejiang Gongshang University, China
Zhen Dai China Institute for WTO Studies, University of International Business and Economics, China
Bin Liu China Institute for WTO Studies, University of International Business and Economics, China

DOI:

https://doi.org/10.5755/j01.ee.32.5.28508

Keywords:

E-commerce sales, Process innovation, Product focus, Capacity utilization, Manufacturing firms, Mediated moderation model

Abstract

This study aims to examine the relationship between e-commerce sales and capacity utilization in China, with process innovation being the mediator and product focus being the moderator. A mediated moderation model was developed and tested using data from 804 Chinese manufacturing firms as well as two-stage least squares regression analysis. The results reveal that the relationship between e-commerce sales and capacity utilization is negative; while process innovation mediates this relationship. Furthermore, product focus not only moderates the relationship between e-commerce sales and capacity utilization, but also moderates the relationship between process innovation and capacity utilization. These findings are useful for decision-makers when formulating e-commerce sales strategies and focusing on process innovation that will help them achieve higher capacity utilization. This paper contributes to existing research by validating process innovation as mediator and product focus as moderator between e-commerce sales and capacity utilization.

Author Biographies

Xuechang Zhu, School of Management, Tianjin University of Technology, China

Xuechang Zhu is a lecturer at the School of Management at the Tianjin University of Technology, China. He holds a PhD in Management from Tianjin University, China. His present research interest includes e-commerce and operations performance.

Hui Shang, School of Economics, Zhejiang Gongshang University, China

Hui Shang is a lecturer at the School of Economics at the Zhejiang Gongshang University, China. She holds a PhD in Economics from University of International Business and Economics, China. Her present research interest includes e-commerce and operations performance.

Zhen Dai, China Institute for WTO Studies, University of International Business and Economics, China

Zhen Dai is an Associate Professor at the China Institute for WTO Studies at University of International Business and Economics, China. She holds a PhD in Economics from the School of International Trade and Economics, University of International Business and Economics, China. Her major is international trade. Her present research interests are in the field of economic security and international trade.

Bin Liu, China Institute for WTO Studies, University of International Business and Economics, China

Bin Liu is a Professor at the China Institute for WTO Studies at University of International Business and Economics, China. He holds a PhD in Economics from the College of Economics, Nankai University, China. His major is international trade. His present teaching and research interests are in the field of e-commerce and international trade. He is the corresponding author.