Investigating the role of factors influencing the relationship between the development of the mega retailers and create new business models in the distribution industry (Case: packaged food products in Iran)

Mohamad Mahdi Hajmohamad, Behzad Sasanizadeh

Abstract


Today the trade environment is experiencing many rapid changes. These changes include all levels of economy in the world even households. Therefore distributors are concerned about entering a new era and they should consider changing their models in order to lower their costs and increase their productivity. Some of retailers, especially megastores that are developing very quickly, are trying to eliminate middlemen and buy directly from manufacturers. Statistics shows that because of this development there has been a decrease in small independent retailer's activities. Previous studies also show that factors like JIT, Economies of scale, consumer's preference and government policies have an effective role on development of   megastores and chain retailers. So researchers realized the importance of relationship between megastores development and distribution industry environment then they reviewed previous studies and logical relations in packaged food product industry in order to create a conceptual model. This model is about the effect of above-mentioned factors on the relationship between megastores development and creation of new business models in distribution industry. The model was evaluated by a questionnaire that was distributed between experts in big companies active in the related field. At the end for facing this phenomena and choosing right strategies by distribution companies, a number of suggestions is proposed.

Keywords


Consumer Behavior, economies of scale, JIT, megastores, distribution industry business models, structural equation modeling

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