Distribution Channel Selecting in Agricultural Supply Chain Based on Network Service Level

Abstract

Abstract:

To solve the problem of electronic distribution channel selecting for agricultural supply chain, two kinds of electronic channels (direct and indirect selling online) are put forward considering the impact of the network service level on electronic distribution channel selecting, and an analytical model for each channel is set up respectively. The optimal electronic distribution channel selecting from the perspective of maximizing agricultural enterprise's profit (OEDCS-1) is achieved and analyzed comparatively from the perspective of maximizing agricultural supply chain's profit. It is found that,1) even the cost of network service is very low, the agricultural enterprise will not sell their products online when the ratio of online price and offline price is lower than a specific value; 2) OEDCS-1 will be unfavorable for supply chain efficiency when the cost of network service for the channel of direct selling online is in the middle; 3) the percentage of primary demand for electronic distribution channel is positive for selecting the channel of direct selling online.

Key words: network service level, agricultural supply chain, distribution channel, agricultural enterprise

HUANG Jianhui. Distribution Channel Selecting in Agricultural Supply Chain Based on Network Service Level[J]. Industrial Engineering Journal .

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