Types Of Distribution Channels Research Articles

Measuring food insecurity: Food Affordability Index as a measure of territorial inequalities

The devastating economic and social impact of COVID-19 and the war in Ukraine has exacerbated poverty and food insecurity, making it harder for people to access food. Based on a multidimensional understanding of food insecurity, this study focuses on one of the most challenging dimensions for affluent societies, namely, the economic access to food. Therefore, the research aims to develop an innovative Food Affordability Index (FIA) that captures the inter-territorial inequalities and critical problems created by the economic disruptions in the local food system that prevent people from eating healthy. The index is based on a survey of the prices of products suitable for healthy eating in thirty shops in Rome, Italy. A distinction was made both by the type of distribution channel (e.g. discount and supermarket) and by the area in which the survey was conducted, i.e., the 15 municipalities of Rome. This study sheds light on the problem of food insecurity and highlights areas where households are far from an ideal healthy diet. Understanding the spatial distribution of economic inequalities in access to healthy food seems crucial for the implementation of targeted policies and programmes to address this problem, which is increasingly structural in affluent societies.

APPLICATION OF INTERNET MARKETING IN ACTIVITY ENTERPRISES

The article highlights the essence of Internet marketing, its role and opportunities in the distribution of goods and services. I determined the advantages of digital marketing in modern conditions. The purpose of the study is to consider the features of the use of Internet marketing tools, types of distribution channels, interaction with various spheres of consumer life, and to identify features that should be applied in the activities of enterprises. The automated system of information processes is a strategic factor of competition. The tools of interactive marketing are e-mail, promo site, website, mobile messages, and the use of e-commerce. At the current stage of informatization of society, this technology is the most significant in the complex of information solutions and is gradually absorbing all the above-listed information technologies of interaction. Channels that I considered as ways of promoting goods and services in a complex of marketing communications, indicating the advantages of each of them. The main advantages of digital marketing in modern conditions are interactivity; absence of territorial restrictions; easy access to resources; attraction of the target audience; the ability to quickly assess the promotion company being conducted and manage events in real time. The functions of interactive marketing are the study of sales; study of pricing; study of advertising; study of consumer wishes; assortment planning; sales promotion. The use of a system of Internet marketing tools will provide an opportunity to conduct business more effectively on the Internet, that is, to reduce production costs, carry out effective marketing research, automate the processes of buying and selling and informing customers, conduct market analysis, and increase the effectiveness of buyer-seller interaction. Companies large and small, despite the aforementioned difficulties, are quickly including interactive marketing in the list of marketing tools used. In the 21st century, interactive marketing will prove to everyone that it is capable of becoming a powerful tool for creating sustainable relationships with customers, improving sales performance, providing customers with information about the company and the products it manufactures, for more efficient and cheaper delivery of goods and services to end consumers.

STRATEGY OF DISTRIBUTION VARIATION TO VOLUME OF LIGHT FOOD SALES ON MANDALA TRADING COMPANY IN CIPAKU-CIAMIS REGENCY

This research was conducted to find out the influence of distribution channel cost to sales volume. This research was conducted on a snack food company that survived since 1992 until today and has increased from year to year with the marketing strategy it uses. The types of distribution channels used are the Mandala Cipaku Ciamis Trading Company so well that it can increase the productivity of the company. The method of analysis used in this research is descriptive verivikatif method with correlational research method. Sources of data used in this study is secondary data in the form of corporate financial statements of 2017-2020. The author uses two variables, namely the variable X as the independent variable is the cost of disstribusi channel and variable Y as the dependent variable is the sales volume. Statistical analysis method used by writer is Kolmogorov Smirnov normality test and Simple Linear Regression by testing the hypothesis used is Coefficient of Determination (R2) and Test t (Partial Test). Based on the research results, it can be concluded that: The cost of distribution channels and sales volume of PD Mandala Cipaku Ciamis year 2017-2020 jointly experienced an average increase of 10% achieved the company using the type of distribution channels indirectly by continuing to increase the number of distributors in the cities that are marketing goals. The amount of distribution channel cost incurred by PD Mandala Cipaku Ciamis have a positive and significant effect to the increase of company's sales volume based on the result of quantitative analysis with correlation coefficient value (r) of 0.993 indicates a very strong relationship level, meaning the relationship between distribution channel and sales volume is direction. And the value of determination coefficient (R2) is 98,6% and the rest 1,4% influenced by other factor outside this research. Hypothesis testing using t test shows that the independent variable has a strong and significant influence on the dependent variable.

Supply chain product quality control strategy in three types of distribution channels.

Based on a three-stage stackelberg dynamic game analysis, this paper constructs a product quality control strategy model for three types of distribution channels (direct channel, retail channel and mixed channel) in a three-echelon supply chain, which is composed of one manufacturer, one retailer and the final customer. This paper studies how to design a distribution channel strategy and provides a product quality control strategy. Furthermore, this paper analyzes three types of distribution channels strategy in the context of how they influence a manufacturer's product quality decision and quality prevention strategy, a retailer's product pricing decision and quality inspection strategy, and the final customer's product demand decision. We compare the manufacturer's product quality level, quality prevention effort level, wholesale price, direct sale price and the retailer's quality inspection effort level, retail price in three types of distribution channels and determine the manufacturer's and retailer's expected profits function and the final customer's consumer surplus. In addition, we introduce the distribution channels demand elasticity ratio to analyze the influence of determining the product quality control strategy. Most importantly, we conduct a numerical sample analysis that will prove the model's effectiveness and indicate a specific application in practice.

Managing international distributors’ complaints: an exploratory study

PurposeComplaint management is at the heart of customer relationship management. While many studies have analyzed a client’s complaint behavior in business-to-business (B2B) relationships, there is a lack of research in the study of complaints by distributors from different countries. The purpose of this paper is to explain the following two main objectives: to analyze if the complaint management strategy of a manufacturer varies depending on the type of international distributor used (indirect exporters, direct exporters and commercial subsidiaries); and to analyze the potential effects of complaint management on the satisfaction and fidelity of distributors and the quantity of complaints that they put.Design/methodology/approachA stratified probabilistic sampling method was used, dividing the entire population of distributors of a leading Spanish manufacturer into three different groups. In total, 79 valid responses were obtained as follows: 24 per cent from indirect exporters (organizational commitment Grade 1), 68 per cent from direct exporters (organizational commitment Grade 2) and 8 per cent from commercial subsidiaries (organizational commitment Grade 3). Partial least squares were used to analyze the proposed relationships.FindingsThe results have confirmed that the procedure for resolving the complaint and its length (resolution time) depends on the seriousness of the complaint (the type of complaint). In turn, the resolution of the complaint influences the satisfaction of the vendor and the latter will influence its fidelity. Regarding the number of complaints, those distributors with the highest number of complaints satisfactorily resolved are those who remain loyal to the company. On the contrary, it is not possible to affirm that the type of distribution channel affects the types of complaints that are presented. Different kinds of distributors of the same manufacturer (indirect exporters, direct exporters and commercial subsidiaries) complain equally. In addition, those whose complaints take longer to resolve are not significantly less satisfied. Even more, low-satisfied distributors will present more complaints than the most satisfied ones.Originality/valueFirst, this study investigates if different kinds of distributors with different international commitments (indirect exporting, direct exporting and commercial subsidiary) behave differently in terms of claims and complaints. Second, this paper analyzes the role of complaint management in international B2B relations to improve distributors' satisfaction and loyalty; but considering the join impact of three dimensions of a successful complaint management strategy that literature usually has examined separately as follows: what (the type of complaint), how it is resolved (management procedure) and when it is closed (duration).

Sustainable Closed-Loop Supply Chain Design Problem: A Hybrid Genetic Algorithm Approach

In this paper, we propose a solution to the sustainable closed-loop supply chain (SCLSC) design problem. Three factors (economic, environmental, and social) are considered for the problem and the three following requirements are addressed while satisfying associated constraint conditions: (i) minimizing the total cost; (ii) minimizing the total amount of CO2 emission during production and transportation of products; (iii) maximizing the social influence. Further, to ensure the efficient distribution of products through the SCLSC network, three types of distribution channels (normal delivery, direct delivery, and direct shipment) are considered, enabling a reformulation of the problem as a multi-objective optimization problem that can be solved using Pareto optimal solutions. A mathematical formulation is proposed for the problem, and it is solved using a hybrid genetic algorithm (pro-HGA) approach. The performance of the pro-HGA approach is compared with those of other conventional approaches at varying scales, and the performances of the SCLSC design problems with and without three types of distribution channels are also compared. Finally, we prove that the pro-HGA approach outperforms its competitors, and that the SCLSC design problem with three types of distribution channels is more efficient than that with a single distribution channel.

Factors Affecting Consumer Satisfaction to Online Shopping

Most companies are expanding their network through an online platform. Under various scenarios (e.g. pandemic situations), market vendors should be versatile and adaptable to different types of distribution channels. This paper described the factors affecting consumer satisfaction to online shopping such as reliability and responsiveness, assurance and empathy, and tangibility. This paper determined the significant difference between the sex of respondents and the factors affecting consumer satisfaction to online shopping. This paper used a descriptive method, a total of 487 online consumers (219 Male and 268 Female) within Cabanatuan City were involved in this study using adopted questionnaire with adopted likert-scale responses. Based on the gathered data, the researchers drew four conclusions. First, the respondents have a strong degree of confidence in their respective website/application for online shopping. Hence, it is recommended that owners of online shopping website/application should work on improving their order cancelation and returns. Second, the respondents trusted online shopping websites/applications because of their marketing tactics, such as word of mouth, to boost their credibility. Hence, it is highly suggested that the owners of online shopping website/application should track the problems involving product delivery. Third, respondents have been literate in using and searching online shopping websites/applications. Hence, it is recommended that the owners of the online shopping website/application continuously improve their system to keep their consumers satisfied. Finally, the null hypothesis is retained. It implies that sex does not affect the consumer satisfaction to online shopping factors. Thus, it is suggested to look for other variables that may affect consumer satisfaction.

ЛОГІСТИЧНА ДІЯЛЬНІСТЬ В СИСТЕМІ МАРКЕТИНГУ ТА ЗБУТУ ПРОДУКЦІЇ АГРАРНИХ ПІДПРИЄМСТВ

Introduction. The article emphasizes the importance of the role of the sales channels and the logistics system of the agricultural enterprise. This necessitates their improvement in order to en-sure marketing activities. Forms of product promotion are determined in accordance with economic content, economic and economic conditions of distribution, production and economic relations, place on the market. Choosing distribution channels is a difficult decision for the manufacturer, because of the need to take into account many aspects of the functioning of logistics systems. The purpose of scientific research is to determine the nature and role of logistic activity in the marketing and sailing of agricultural products. Results. The zero-distribution channel, which is most often used by producers in the activities of agricultural enterprises, is characterized. The conditions, under which it is appropriate to use this sales channel, are identified. The specifics of logistics activities and the relationship between the intermediary and the manufacturer are outlined. The essence of two-level and three-level sales channels is characterized, their participants are defined and the conditions for effective interaction between them. The factors that influence the choice of direct or indirect channel of interaction between producer and consumer are systematized. The logistics system and distribution channels are identified as one of the most important components in ensuring the competitiveness of agricultural products. The role and essence of marketing communications in the process of logistic activity of agricultural enterprises is established. The effectiveness of Internet communications, including information portals, is highlighted. The influence of state authorities on the logistic systems formation of agricultural enterprises in the process of products sale is determined. The essence of marketing infrastructure is outlined. Formation of grain marketing channels for logistic activity of domestic agricultural enterprises is proposed. The purpose of the sales department of the agricultural enterprise in its logistic activity is characterized. Conclusions. Logistics activities are important in the marketing of agricultural products. Domestic manufacturers need to consider a large number of factors to determine the feasibility of using different types of distribution channels in the logistics system. Improvement of logistic activity of agrarian enterprise is the key to maintaining the proper level of competitiveness of its products. Keywords: logistics, logistic activity, logistics system, marketing, marketing of agricultural products, agrarian enterprise, sales channel, marketing communications.

향상도 기반 연관규칙 네트워크를 활용한 농식품 판매 전략 개발: 대형마트와 전통시장을 중심으로

The purpose of this study is to conduct an experiment using association rules analysis to discover interesting relationships resulting from consumers’ purchase of agricultural products and to propose practical sales strategies for agricultural products through such relationships. To this end, we made experimental data for using association rules analysis from the Korean Rural Development Administration’s Agricultural Consumer Panel Survey Data and conducted two types of experiments after preprocessing the data. In the first experiment, we discovered seasonal association rules for all consumers according to three types of distribution channels: all channels, large supermarkets, and traditional markets. In the second experiment, we divided all consumers into four clusters based on socio-demographic characteristics and identified seasonal association rules according to two types of distribution channels—large supermarkets and traditional markets—for each cluster. We also newly proposed a Lift-based Association Rules Network (LARN) in order to visualize the relationships of various association rules derived from each experiment and developed practical sales strategies effectively. As a result, we found that the association rules in large supermarkets were much more diverse compared to traditional markets. The association rules in large supermarkets were formed around certain items, such as confectioneries, white milk, processed marine products, bananas, and bread, while association rules in traditional markets were created without common items. In addition, the association rules for each cluster showed that the rules in the Gyeonggi-do region’s clusters were formed around fruits and vegetables, whereas the rules in the Seoul region’s clusters were created around processed products; thus, we were able to identify differences in rules created in the two regions. We hope that the results of our study will help sellers establish practical sales strategies for agricultural products reflecting the type of distribution channel, sales season, and characteristics of major consumers.

Comparative characteristics of the organic food market in Russia and Germany

A comparative analysis of the organic food market in Russia and Germany presented in this paper makes it possible to identify the advantages and disadvantages of each and to work out directions for the development of domestic organic agriculture. A comparative analysis of the organic food market is carried out according to the following parameters: (a) types of distribution channels; (2) barriers to entry and exit; and (3) the price level in relation to the industrial products.

Does innovation propensity influence wineries’ distribution channel decisions?

PurposeThe aim of this paper is to analyze the relationships between distribution strategies and the level of innovation propensity in the winemaking industry. It intends to identify the existence of patterns around the way wineries innovate and the way distribution channels are used. These determinants can support or constrain wineries’ behaviors in their strategic choices related to distribution channels.Design/methodology/approachThe sample comprised 191 Italian small- to medium-sized enterprises in the wine industry. First, a two-step cluster analysis was used to identify patterns in the level of innovation propensity and differences in distribution channel strategies. Second, the research question was tested using multinomial logit regression.FindingsFive clusters of innovation propensity were identified, varying from “no propensity to innovate” to “propensity for radical innovation”, and three clusters of distribution channel strategies were found. A significant negative relationship between innovation propensity and distribution channel strategies was revealed. This means that the greater the propensity to innovate, the smaller the need for a wholesale distribution option.Research limitations/implicationsAs with most research, there are limitations to this study. First, the sample is from only one country. A second limitation is the sample size (191 Italian firms). A sample including large firms can be used to further validate the findings. Linked to the sample, another possible limitation is that all respondents were small- and medium-sized enterprises from a single industry.Practical implicationsThis study contributes to the current innovation research by showing the existence of a negative relationship between innovation propensity and the choice of distribution channel in the wine industry. This knowledge is precious to entrepreneurs and managers in the wine sector, allowing them to better consider not only the type of strategies related to distribution channels but also the importance of building the firm’s propensity to innovate into the strategic decision-making process. Furthermore, the paper provides an opportunity for practitioners to reflect upon the fact that changing the distribution channel is more than just changing the outlet for their product; it might also require a revision in their innovation propensity to better facilitate the process.Social implicationsThere are also social implications, in particular providing an advantage for consumers. The major advantage is based on the fact that consumers are now aware that the level of innovation propensity in a wine industry is directly linked to the type of distribution channel adopted. Therefore, wines with low-innovation propensity are most likely found to adopt wholesale distribution strategy, while the more innovative wineries adopt the wine expert and direct distribution channels.Originality/valueFor the first time, a cluster analysis approach was used to review different typologies of Italian wineries based on their propensity toward to innovation and subsequent distribution strategies. This study further explains the direct relationship between innovation propensity and the strategic choice toward between long or short distribution channels.

Commodity flow estimation for a metropolitan scale freight modeling system: supplier selection considering distribution channel using an error component logit mixture model

Freight forecasting models have been significantly improved in recent years, especially in the field of goods vehicle behavior modeling. On the other hand, the improvements to commodity flow modeling, which provide inputs for goods vehicle simulations, were limited. Contributing to this component in urban freight modeling systems, we propose an error component logit mixture model for matching a receiver to a supplier that considers two-layers in supplier selection: distribution channels and specific suppliers. The distribution channel is an important element in freight modeling, as the type of distribution channel is relevant to various aspects of shipments and vehicle trips. The model is estimated using the data from the Tokyo Metropolitan Freight Survey. We demonstrate how typical establishment survey data (i.e. establishment and outbound shipment records) can be used to develop the model. The model captures the correlation structure of potential suppliers defined by business function and provides insights on the differences in the supplier choice by distribution channel. The reproducibility tests confirm the validity of the proposed approach, which is currently integrated into a metropolitan-scale agent-based freight modeling system, for practical use.

The impact of online sales in centralized and decentralized dual-channel supply chains

This paper studies a supply chain structure featuring two different types of distribution channels through which manufacturers sell products. The centralised and decentralised distribution channels considered in this study are affected by online sales outside the structured channels. In the centralised distribution channel, two retail stores located in geographically distinct markets are operated by a single owner. In the decentralised distribution channel, two retailers independently operate two retail stores. In the non-cooperative scenario, the manufacturer always prefers the decentralised distribution channel irrespective of whether an online channel is used. To achieve channel coordination, a revenue-sharing contract is applied, but it can be used to coordinate only the decentralised distribution system. Therefore, a modified revenue-sharing contract is proposed to coordinate the centralised distribution system. The analytical study reveals that without coordination among the channel members, the manufacturer always earns maximum profit in decentralised distribution systems. However, if the supply chain is coordinated, then the manufacturer receives more benefits from using the centralised distribution systems under certain conditions. Propositions are presented to describe the characteristics of distribution structures, and to provide meaningful management guidelines for coordinating them. Extensive numerical investigations are also presented. [Received 20 January 2016; Revised 13 December 2016, 9 March, 4 August 2017; Accepted 25 September 2017]

Pharmaceutical entrepreneurship, a new challenge after the new tax measures

The analysis focuses on the pharmaceutical legislative framework, from the Pharmacy Law and reaching financial and accounting legislation, trying to highlight the organization, distribution, storage of pharmaceutical products. This study focuses on price comparability in the pharmacy, given the trend of recent years when the pharmaceutical market in Romania has undergone an expansion of pharmacies, which have a higher capital and wealth than individual pharmacies and which can support the practice at very low prices. The national pharmaceutical market can be analyzed considering the two types of distribution channels: Community pharmacies (retail or open pharmacies) and hospital pharmacies (closed / medical programs). In this market context, each pharmacy should implement a strategic procurement and consumer approach plan. Here, we can discuss the so-called differentiation from competitors, always coming up with something new, with promotions and attractive marketing operations. Of particular importance in the current economic context of Community pharmacy is the management of acquisitions but also its economic and financial performance under the new tax measures applicable from 1 January 2018.

Identification of Distribution Channels to Create Sustainable Vegetable Prices

The price of vegetables has a role as a contributor to the rate of inflation. Currently the number of vegetable production in Boyolali region can no longer meet the needs of local communities. The limited amount of vegetable production and the inhibition of the vegetable distribution channel creates a scarcity of vegetables that result in price increases. This study aims to identify the distribution channel and the formation of vegetable prices derived from Boyolali area. The method used in this research is quantitative and qualitative. Respondents from this study consisted of farmers, wholesalers, small trader and end consumers. The type of distribution channel prevailing in Boyolali area are traditional and modern distribution channels. Intermediate distribution channels play a greater role in determining vegetable prices. If farmers want to improve their economic condition, it needs innovation and creativity in the process of planting, harvesting, packaging and marketing vegetable products.

Exploring Alternative Distribution Channels of Agricultural Products

Fresh fruits and vegetables constitute the basis of many people's daily nutrition habits and different distribution systems have been developed to cover daily supply needs. Important components of alternative distribution channels among others are high quality, high standards and consumer-producer trust. Although numerous studies have been conducted on alternative types of distribution channels, there is a lack of research on consumer behaviour towards these ways of distribution. The aim of this article is to identify consumer attitudes and preferences towards alternative agricultural distribution channels regarding fresh fruits and vegetables. In addition, this article contributes to the understanding of consumer behaviour, by pointing out the factors that affect the final purchase of agricultural products.

СТРУКТУРА КАНАЛІВ РОЗПОДІЛУ В ТУРИЗМІ

In the article deals with distribution as one of the elements ofthe marketing complex in tourism. The paper gives characteristics of types of distribution channels in tourism. It defines channels for the distribution of a tourism product as well as traditional and non–traditional methods and forms of distribution in tourism. The article also analyzes the management of distribution operations in tourism. The strategic goal of tourism development in Ukraine is to create a tourist product that is competitive in the domestic and world markets, capable of meeting the tourist needs of both the Ukrainian population and foreigners to the maximum. And also to ensure, on this basis, the comprehensive development of tourism, the preservation and restoration of historical and cultural heritage, solving problems of filling the state and local budgets, at the expense of the tourism industry and creating new jobs, improving the image of Ukraine as a tourist state at the international level. Therefore, a number of fundamental principles of forming a strategy for the development of the marketing complex of tourism should include - sales. The spatial and temporal isolation of tourist demand from supply increases the relevance of considering this component.

DISTRIBUTION CHANNELS SELECTION USING PCA-DEA APPROACH

Strategic decision making is very important in logistics. One of the most important strategic decisions in logistics is the selection of distribution channels. This paper proposes the efficiency of distribution channels as one of the main selection criteria. The efficiency of distribution channels simultaneously affects logistics costs and customer satisfaction. Based on the main characteristics of the distribution channels, such as delivery time, service level, volume of business, the level of errors and the different cost categories in this paper the PCA-DEA approach for measuring the efficiency and selection of certain types of distribution channels is proposed. Model is tested on the numerical example. Results show the great capability of the proposed model.

Is there a Link between Supply Chain Design Practices among Milk Processing Firms and Business Performance? Evidence from in Kenya

Many firms who have implemented the use of various Supply Chain Design practices have had nothing short of enjoying the fruits of their investments. This project set out to establish the relationship between SC design practices and business performance among milk processing firms in Kenya. It also sought to determine the SC design practices commonly used by milk processing firms in Kenya. The research adopted a cross-sectional descriptive survey of Milk Processing Firms in Kenya. The descriptive approach was used to determine the various SC design practices used by Milk Processing Firms in Kenya. A census study of 42 Milk Processing Firms was carried out. Data was collected from the field through the use of questionnaires and then analyzed using Statistical Package for Social Scientists (SPSS) and presented in tables and figures with the results well interpreted and discussed. The study revealed that the milk processing firms had invested resources towards the SC and used it as a strategic weapon to beat the competition. The researcher concluded from the findings of the study that SC design helped companies to understand where the value is being created and destroyed. The regression model on the relationship between SC Design Practices and overall firm’s performance indicated that SC Design Practices contributed by 30% towards the performance of the firms. Despite this being a small percentage it should be noted that it was positive, and so had a positive contribution towards business performance. However, a T-test showed no significant relationship between the dependent variable and the independent variables. The researcher concluded that SC Design Practices contributed positively towards a firm’s overall performance. The study recommends that in order to have a successful SC in terms of total SC costs and service performance to the customer, companies need to design their SCs such that they match the type of products they are selling with the type of distribution channels delivering them. It also recommends that it is important to measure performance to determine achievement of goals and alignment of objectives with organizational strategy.

Classification of distribution channels of textile and apparel retailers in Turkey

Abstract Being one of the most important textile and apparel producers for years, Turkey began to become active in terms of retailing. Although retailing industry is in its growing phase, the social and economic influences caused the customers’ tastes and demands to be more distinctive and segmented in parallel with the advancement of the retail industry. Therefore, the retail industry began to develop in more fragmented way where clear boundaries between different types of retailers were established. In this study, the apparel retail market is overviewed and analyzed within the context for determination of the current situation and future prospective. To this aim, the textile and apparel companies that are active in Turkey were classified into groups based on the type of distribution channels they used. Then, the performances of the groups were established using the secondary type of resources. Finally, the findings were summarized, by showing the similarities and differences between different channels. Keywords: apparel, retailer, classification, distribution channel