• Title/Summary/Keyword: Physical distribution channel

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Physical Distribution Channel Choice according to Commodity Types (제품특성에 따른 물적유통경로선택 분석)

  • Park, Min-Yeong;Kim, Chan-Seong;Kim, Eun-Mi;Park, Dong-Ju;Pattanamekar, Parichart
    • Journal of Korean Society of Transportation
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    • v.28 no.1
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    • pp.77-86
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    • 2010
  • The study developed physical distribution channel choice models reflecting decision making of the firms and studied how choice decision factors influence selection of distribution channel. The distribution channel survey data in Korea was used to do empirical study. As a choice set, distribution channels were classified into two main choice channels: direct and indirect channels. In addition, indirect channels were classified into other three channels according to the type of intermediate point: distribution center, wholesale store, and agency. This study developed choice models by applying both binary and multinomial logit model with various set of factors. The results showed that the developed logit models seemingly reflect distribution channel choice behaviors. The hypothesis tests on how each factor influences choice of distribution channel were performed and discussed as well.

CORE AND SUB-CHANNEL EVALUATION OF A THERMAL SCWR

  • Liu, Xiao-Jing;Cheng, Xu
    • Nuclear Engineering and Technology
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    • v.41 no.5
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    • pp.677-690
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    • 2009
  • A previous study demonstrated that the two-row fuel assembly has much more favorable neutron-physical and thermal-hydraulic behavior than the conventional one-row fuel assemblies. Based on the newly developed two-row fuel assembly, an SCWR core is proposed and analyzed. The performance of the proposed core is investigated with 3-D coupled neutron-physical and thermal-hydraulic calculations. During the coupling procedure, the thermal-hydraulic behavior is analyzed using a sub-channel analysis code and the neutron-physical performance is computed with a 3-D diffusion code. This paper presents the main results achieved thus far related to the distribution of some neutronic and thermal-hydraulic parameters. It shows that with adjustment of the coolant and moderator mass flow in different assemblies, promising neutron-physical and thermal-hydraulic behavior of the SCWR core is achieved. A sensitivity study of the heat transfer correlation is also performed. Since the pin power in fuel assemblies can be non-uniform, a sub-channel analysis is necessary in order to investigate the detailed distribution of thermal-hydraulic parameters in the hottest fuel assembly. The sub-channel analysis is performed based on the bundle averaged parameters obtained with the core analysis. With the sub-channel analysis approach, more precise evaluation of the hot channel factor and maximum cladding surface temperature can be achieved. The difference in the results obtained with both the sub-channel analysis and the fuel assembly homogenized method confirms the importance of the sub-channel analysis.

Effect of the Scarcity Message Type and Sender Type on Purchase Intention in Instagram as a Distribution Channel

  • Inyup LEE;Dong-Kyu KIM;Chulhwan CHOI
    • Journal of Distribution Science
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    • v.21 no.7
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    • pp.73-82
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    • 2023
  • Purpose: Social networking services have been recognized as an attractive distribution channel at a time when efforts to deliver effective messages to consumers are essential amid a flood of advertisements in the multi-media era. In that sense, this study investigated the effect of the scarcity message type (limited-time vs. limited-quantity) and sender type (corporate vs. consumer) on the intention to purchase golf equipment by Instagram distribution channel. Research design, data and methodology: Data from 108 college students in their 20s and 30s with experience using Instagram were collected online through convenience sampling. A frequency analysis, exploratory factor analysis, reliability analysis, independent sample t-test, and two-way analysis of variance were performed using SPSS 23.0. Results: The results showed that limited-quantity messages induce a higher purchase intention than limited-time messages. Similarly, consumer-sent advertisements induce a higher purchase intention than corporate-sent advertisements. Further, there is no statistically significant interaction effect of the scarcity message type and sender type on the intention to purchase golf equipment. Conclusions: This study is meaningful in verifying consumers' purchase intention depending on the type of scarcity message and the type of sender in Instagram advertisements. The results yield significant implications for marketers and several directions for future research.

Distribution Channel Performance Measurement: Valid Measures From Customers' Perspective

  • Kim, Sang-Youl
    • Journal of Navigation and Port Research
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    • v.32 no.2
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    • pp.141-148
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    • 2008
  • This paper is structured into three main parts and a conclusion. The main section provide definitions of efficiency, effectiveness and performance in terms of the distribution channel, followed by a review of related performance measurement, before discussing difficulties of measurement. According to the theoretical approach, it appears that key theroretical issues are centered around customer service, logistics excellence, time compression, the use of IT, and a move towards integrated logistics. The empirical approach shows that in the past, various financial performance indicators were regarded as relevant management information. However, today, management needs additional performance indicators. Therefore, external assessments of effectiveness must be performed to measure customers' satisfaction with the physical flow of product through the distribution channel network. So, what is needed is to take previous normative and explorative research and progress through a framework by developing valid measures of distribution channel's effectiveness and efficiency, and identifying research methodologies suited to the data collection requirements.

The Impact of Market Environments on Optimal Channel Strategy Involving an Internet Channel: A Game Theoretic Approach (시장 환경이 인터넷 경로를 포함한 다중 경로 관리에 미치는 영향에 관한 연구: 게임 이론적 접근방법)

  • Yoo, Weon-Sang
    • Journal of Distribution Research
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    • v.16 no.2
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    • pp.119-138
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    • 2011
  • Internet commerce has been growing at a rapid pace for the last decade. Many firms try to reach wider consumer markets by adding the Internet channel to the existing traditional channels. Despite the various benefits of the Internet channel, a significant number of firms failed in managing the new type of channel. Previous studies could not cleary explain these conflicting results associated with the Internet channel. One of the major reasons is most of the previous studies conducted analyses under a specific market condition and claimed that as the impact of Internet channel introduction. Therefore, their results are strongly influenced by the specific market settings. However, firms face various market conditions in the real worlddensity and disutility of using the Internet. The purpose of this study is to investigate the impact of various market environments on a firm's optimal channel strategy by employing a flexible game theory model. We capture various market conditions with consumer density and disutility of using the Internet.

    shows the channel structures analyzed in this study. Before the Internet channel is introduced, a monopoly manufacturer sells its products through an independent physical store. From this structure, the manufacturer could introduce its own Internet channel (MI). The independent physical store could also introduce its own Internet channel and coordinate it with the existing physical store (RI). An independent Internet retailer such as Amazon could enter this market (II). In this case, two types of independent retailers compete with each other. In this model, consumers are uniformly distributed on the two dimensional space. Consumer heterogeneity is captured by a consumer's geographical location (ci) and his disutility of using the Internet channel (${\delta}_{N_i}$).
    shows various market conditions captured by the two consumer heterogeneities.
    (a) illustrates a market with symmetric consumer distributions. The model captures explicitly the asymmetric distributions of consumer disutility in a market as well. In a market like that is represented in
    (c), the average consumer disutility of using an Internet store is relatively smaller than that of using a physical store. For example, this case represents the market in which 1) the product is suitable for Internet transactions (e.g., books) or 2) the level of E-Commerce readiness is high such as in Denmark or Finland. On the other hand, the average consumer disutility when using an Internet store is relatively greater than that of using a physical store in a market like (b). Countries like Ukraine and Bulgaria, or the market for "experience goods" such as shoes, could be examples of this market condition. summarizes the various scenarios of consumer distributions analyzed in this study. The range for disutility of using the Internet (${\delta}_{N_i}$) is held constant, while the range of consumer distribution (${\chi}_i$) varies from -25 to 25, from -50 to 50, from -100 to 100, from -150 to 150, and from -200 to 200.
    summarizes the analysis results. As the average travel cost in a market decreases while the average disutility of Internet use remains the same, average retail price, total quantity sold, physical store profit, monopoly manufacturer profit, and thus, total channel profit increase. On the other hand, the quantity sold through the Internet and the profit of the Internet store decrease with a decreasing average travel cost relative to the average disutility of Internet use. We find that a channel that has an advantage over the other kind of channel serves a larger portion of the market. In a market with a high average travel cost, in which the Internet store has a relative advantage over the physical store, for example, the Internet store becomes a mass-retailer serving a larger portion of the market. This result implies that the Internet becomes a more significant distribution channel in those markets characterized by greater geographical dispersion of buyers, or as consumers become more proficient in Internet usage. The results indicate that the degree of price discrimination also varies depending on the distribution of consumer disutility in a market. The manufacturer in a market in which the average travel cost is higher than the average disutility of using the Internet has a stronger incentive for price discrimination than the manufacturer in a market where the average travel cost is relatively lower. We also find that the manufacturer has a stronger incentive to maintain a high price level when the average travel cost in a market is relatively low. Additionally, the retail competition effect due to Internet channel introduction strengthens as average travel cost in a market decreases. This result indicates that a manufacturer's channel power relative to that of the independent physical retailer becomes stronger with a decreasing average travel cost. This implication is counter-intuitive, because it is widely believed that the negative impact of Internet channel introduction on a competing physical retailer is more significant in a market like Russia, where consumers are more geographically dispersed, than in a market like Hong Kong, that has a condensed geographic distribution of consumers.
    illustrates how this happens. When mangers consider the overall impact of the Internet channel, however, they should consider not only channel power, but also sales volume. When both are considered, the introduction of the Internet channel is revealed as more harmful to a physical retailer in Russia than one in Hong Kong, because the sales volume decrease for a physical store due to Internet channel competition is much greater in Russia than in Hong Kong. The results show that manufacturer is always better off with any type of Internet store introduction. The independent physical store benefits from opening its own Internet store when the average travel cost is higher relative to the disutility of using the Internet. Under an opposite market condition, however, the independent physical retailer could be worse off when it opens its own Internet outlet and coordinates both outlets (RI). This is because the low average travel cost significantly reduces the channel power of the independent physical retailer, further aggravating the already weak channel power caused by myopic inter-channel price coordination. The results implies that channel members and policy makers should explicitly consider the factors determining the relative distributions of both kinds of consumer disutility, when they make a channel decision involving an Internet channel. These factors include the suitability of a product for Internet shopping, the level of E-Commerce readiness of a market, and the degree of geographic dispersion of consumers in a market. Despite the academic contributions and managerial implications, this study is limited in the following ways. First, a series of numerical analyses were conducted to derive equilibrium solutions due to the complex forms of demand functions. In the process, we set up V=100, ${\lambda}$=1, and ${\beta}$=0.01. Future research may change this parameter value set to check the generalizability of this study. Second, the five different scenarios for market conditions were analyzed. Future research could try different sets of parameter ranges. Finally, the model setting allows only one monopoly manufacturer in the market. Accommodating competing multiple manufacturers (brands) would generate more realistic results.

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  • A Fluid Flow Numerical Study on the Design Factor of Inlet Distribution Channel for Flocculation/Sedimentation Basin (유동(流動) 수치해석(數値解析)을 이용한 응집·침전지 유입 분배수로 설계인자 연구)

    • Yoon, Jang-Ken;Kim, Jeong-Hyun;Oh, Jung-Woo;Ha, Eun-Jung
      • Journal of Korean Society of Water and Wastewater
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      • v.14 no.4
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      • pp.337-342
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      • 2000
    • In water treatment plants, open channel is used to distribute incoming flow to parallel treatment unit, such as flocculation basin and sedimentation basin. These control devices must be designed so that the incoming flow evenly distributed to the process unit. this is important in the view of optimizing process unit. In the recent past. significant insights into the sedimentation process have been developed. In this study, the 2-D computer program is developed to investigate fluid flow field and velocity vectors in flocculation sedimentation inlet distribution weir and calculate flow rates in each inlet weir. The specific purpose of this study is to analyze physical design factors, such as now rates, shape of channel, tapered angle in tapered type channel and main channel width.

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    The Impact of the Internet Channel Introduction Depending on the Ownership of the Internet Channel (도입주체에 따른 인터넷경로의 도입효과)

    • Yoo, Weon-Sang
      • Journal of Global Scholars of Marketing Science
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      • v.19 no.1
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      • pp.37-46
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      • 2009
    • The Census Bureau of the Department of Commerce announced in May 2008 that U.S. retail e-commerce sales for 2006 reached $ 107 billion, up from $ 87 billion in 2005 - an increase of 22 percent. From 2001 to 2006, retail e-sales increased at an average annual growth rate of 25.4 percent. The explosive growth of E-Commerce has caused profound changes in marketing channel relationships and structures in many industries. Despite the great potential implications for both academicians and practitioners, there still exists a great deal of uncertainty about the impact of the Internet channel introduction on distribution channel management. The purpose of this study is to investigate how the ownership of the new Internet channel affects the existing channel members and consumers. To explore the above research questions, this study conducts well-controlled mathematical experiments to isolate the impact of the Internet channel by comparing before and after the Internet channel entry. The model consists of a monopolist manufacturer selling its product through a channel system including one independent physical store before the entry of an Internet store. The addition of the Internet store to this channel system results in a mixed channel comprised of two different types of channels. The new Internet store can be launched by the independent physical store such as Bestbuy. In this case, the physical retailer coordinates the two types of stores to maximize the joint profits from the two stores. The Internet store also can be introduced by an independent Internet retailer such as Amazon. In this case, a retail level competition occurs between the two types of stores. Although the manufacturer sells only one product, consumers view each product-outlet pair as a unique offering. Thus, the introduction of the Internet channel provides two product offerings for consumers. The channel structures analyzed in this study are illustrated in Fig.1. It is assumed that the manufacturer plays as a Stackelberg leader maximizing its own profits with the foresight of the independent retailer's optimal responses as typically assumed in previous analytical channel studies. As a Stackelberg follower, the independent physical retailer or independent Internet retailer maximizes its own profits, conditional on the manufacturer's wholesale price. The price competition between two the independent retailers is assumed to be a Bertrand Nash game. For simplicity, the marginal cost is set at zero, as typically assumed in this type of study. In order to explore the research questions above, this study develops a game theoretic model that possesses the following three key characteristics. First, the model explicitly captures the fact that an Internet channel and a physical store exist in two independent dimensions (one in physical space and the other in cyber space). This enables this model to demonstrate that the effect of adding an Internet store is different from that of adding another physical store. Second, the model reflects the fact that consumers are heterogeneous in their preferences for using a physical store and for using an Internet channel. Third, the model captures the vertical strategic interactions between an upstream manufacturer and a downstream retailer, making it possible to analyze the channel structure issues discussed in this paper. Although numerous previous models capture this vertical dimension of marketing channels, none simultaneously incorporates the three characteristics reflected in this model. The analysis results are summarized in Table 1. When the new Internet channel is introduced by the existing physical retailer and the retailer coordinates both types of stores to maximize the joint profits from the both stores, retail prices increase due to a combination of the coordination of the retail prices and the wider market coverage. The quantity sold does not significantly increase despite the wider market coverage, because the excessively high retail prices alleviate the market coverage effect to a degree. Interestingly, the coordinated total retail profits are lower than the combined retail profits of two competing independent retailers. This implies that when a physical retailer opens an Internet channel, the retailers could be better off managing the two channels separately rather than coordinating them, unless they have the foresight of the manufacturer's pricing behavior. It is also found that the introduction of an Internet channel affects the power balance of the channel. The retail competition is strong when an independent Internet store joins a channel with an independent physical retailer. This implies that each retailer in this structure has weak channel power. Due to intense retail competition, the manufacturer uses its channel power to increase its wholesale price to extract more profits from the total channel profit. However, the retailers cannot increase retail prices accordingly because of the intense retail level competition, leading to lower channel power. In this case, consumer welfare increases due to the wider market coverage and lower retail prices caused by the retail competition. The model employed for this study is not designed to capture all the characteristics of the Internet channel. The theoretical model in this study can also be applied for any stores that are not geographically constrained such as TV home shopping or catalog sales via mail. The reasons the model in this study is names as "Internet" are as follows: first, the most representative example of the stores that are not geographically constrained is the Internet. Second, catalog sales usually determine the target markets using the pre-specified mailing lists. In this aspect, the model used in this study is closer to the Internet than catalog sales. However, it would be a desirable future research direction to mathematically and theoretically distinguish the core differences among the stores that are not geographically constrained. The model is simplified by a set of assumptions to obtain mathematical traceability. First, this study assumes the price is the only strategic tool for competition. In the real world, however, various marketing variables can be used for competition. Therefore, a more realistic model can be designed if a model incorporates other various marketing variables such as service levels or operation costs. Second, this study assumes the market with one monopoly manufacturer. Therefore, the results from this study should be carefully interpreted considering this limitation. Future research could extend this limitation by introducing manufacturer level competition. Finally, some of the results are drawn from the assumption that the monopoly manufacturer is the Stackelberg leader. Although this is a standard assumption among game theoretic studies of this kind, we could gain deeper understanding and generalize our findings beyond this assumption if the model is analyzed by different game rules.

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    농산물 유통단계 축소에 관한 연구 -농산물 물류센터를 중심으로-

    • Ju, U-Jin;Jo, Gyu-Sik
      • Journal of Distribution Research
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      • v.1 no.2
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      • pp.173-198
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      • 1996
    • Distribution of farm produce in Korea is known to be inefficient due to the numerous stages that exist in the distribution channel. This has resulted in dissatisfaction for both farmer and consuers; farmers sell their produce at low prices to middlemen while consumers pay high prices for them because of price increases that occur in the distribution chain. We apply Spengler's theory of double marginalization to show that price increases are inevitable as the length of the farm distribution chain increases. We then show that the negative effects of double marginalization can be contained by setting up a physical distribution center. The physical distribution center effectively reduces the stages in the distribution from 5 or 6 stages to 3 or 4 stages. We also lay out the design and major characteristics of the distribution center, as well as the expected cost savings.

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    Thermal radiation and some physical combined effects on an asymmetric peristaltically vertical channel of nanofluid flow

    • Amira S. Awaad;Zakaria M. Gharsseldien
      • Advances in nano research
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      • v.16 no.6
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      • pp.579-591
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      • 2024
    • This study explained the effects of radiation, magnetic field, and nanoparticle shape on the peristaltic flow of an Upper-Convected Maxwell nanofluid through a porous medium in an asymmetric channel for a better understanding of cooling and heating mechanisms in the presence of magnetic fields. These phenomena are modeled mathematically as a system of non-linear differential equations, that are solved under long-wavelength approximation and low Reynolds number conditions using the perturbation method. The results for nanofluid and temperature described the behavior of the pumping characteristics during their interaction with (the vertical position, thermal radiation, the shape of the nanoparticle, and the magnetic field) analytically and explained graphically. Also, the combined effects of thermal radiation parameters and some physical parameters on pressure rise, pressure gradient, velocity, and heat distribution are pointed out. Qualitatively, a reverse velocity appears with combined high radiation and Grashof number or combined high radiation and low volume flow rate. At high radiation, the spherical nanoparticle shape has the greatest effect on heat distribution.

    An empirical study on distribution channel choice of shippers (화주기업의 유통경로 선택요인 분석)

    • Kim, Chang-Sung;Park, Min-Young;Park, Dong-Joo;Kim, Han-Soo
      • Journal of Korean Society of Transportation
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      • v.26 no.6
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      • pp.17-27
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      • 2008
    • Logistic activities of shippers contains only origin-destin commodity flow information, but also contract relationships, cash flows and distribution channels. Under the lack of understanding of physical distribution channels, most studies have focused on the social and psychological aspects between manufacturers and retailers (e.g., mutual trust, power, conflict, reciprocal commitment, and so on). This study reports empirical results of distribution channel choice drawn from 2001 Korean Commodity Flow Survey(CFS) conducted by Korean government. Based on the CFS data, four distribution channels are classified. This study scrutinized how various factors including mode, commodity and firms characteristics affect distribution channel choice, and reported the problems of 2001 CFS survey questionaires and future directions.


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