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Location-based pricing and channel selection in a supply chain: a case study from the food retail industry
Annals of Operations Research ( IF 4.8 ) Pub Date : 2018-09-03 , DOI: 10.1007/s10479-018-3040-7
Chen Wei , Sobhan Asian , Gurdal Ertek , Zhi-Hua Hu

Many retailers nowadays operate in an Internet-enabled dual-channel supply chain setting, referred to as “click and mortar”. In such a structure, products and services are delivered through both online B2C (business-to-consumer e-tail) and offline B2C (traditional brick and mortar retail) channels. In this paper, we develop and present a unified modeling approach that reflects a real-world dual-channel supply chain in the food retail industry. Motivated by the actual business operations of a case study, we incorporate the spatial locations of customers, as well as other logistics and operational costs, into the service provider’s pricing and the customers’ channel choice decisions. We develop two models, namely the benchmark and proposed models, and conduct extensive numerical experiments with parameter values centered on actual values. The results reveal that the ratio of online and offline profit to the total dual-channel profit vary significantly, depending on the locations of customers and the values of the logistics costs. In addition, our statistical and visual analysis suggest that by jointly optimizing the logistics and operational processes, the service provider can achieve a considerably high profit through both channels, without necessarily expanding the size of its geographical service areas.

中文翻译:

供应链中基于位置的定价和渠道选择:来自食品零售业的案例研究

如今,许多零售商在支持互联网的双渠道供应链环境中运营,称为“点击和迫击炮”。在这样的结构中,产品和服务通过在线 B2C(企业对消费者电子零售)和线下 B2C(传统实体零售)渠道交付。在本文中,我们开发并提出了一种统一建模方法,该方法反映了食品零售行业中真实世界的双渠道供应链。受案例研究的实际业务运营的启发,我们将客户的空间位置以及其他物流和运营成本纳入服务提供商的定价和客户的渠道选择决策中。我们开发了两种模型,即基准模型和建议模型,并使用以实际值为中心的参数值进行广泛的数值实验。结果表明,线上线下利润占双渠道总利润的比例差异很大,这取决于客户的位置和物流成本的价值。此外,我们的统计和可视化分析表明,通过联合优化物流和运营流程,服务提供商可以通过两种渠道获得相当高的利润,而不必扩大其地理服务区域的规模。
更新日期:2018-09-03
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