Plural Governance of Last‐Mile Delivery Networks in E‐Commerce Retailing

ABSTRACT This study explores why and how retailers adopt plural governance structures to manage last‐mile delivery (LMD). Although plural governance of LMD is increasingly central in omnichannel retail, there remains little research on how alternative structures of plural governance (e.g., combining in‐house and outsourced models) emerge and evolve over time. Using a theory‐building, temporal comparative case study approach and drawing on retrospective, cross‐period qualitative data from eight retailers in the United Kingdom, the United States, and Germany, we develop a middle‐range process theory of plural governance in LMD. We uncover a two‐stage nested structure through which retailers strategically integrate supplementary governance structures into their existing plural sourcing mix, driven by four contextual mechanisms: knowledge‐based hierarchical integration, value‐oriented network expansion, adaptive governance flexibility, and relationally embedded resilience governance. These LMD‐specific mechanisms explain how retailers strategically reconfigure their governance portfolios to balance control, coverage, flexibility, and resilience over time.