Research On O2O Business Model Of Large - Scale Department Stores In China

As one of the important retail types, the department store plays a decisive role in China’s economic development and modernization construction. With the change of social and economic situation, China’s large department stores have been impacted by the external e-commerce, and also been constraint by its internal business model. Thus, its glorious history has not been back any longer.In the rapid development era of electronic information, the Internet has penetrated into every aspect of people’s life. It has become an important issue in the general merchandise industry for the department store to combine with the electronic commerce, so as to promote the transformation of the O2 O business model and get rid of the internal and external development dilemma. However, so far, the transformation of O2 O business model of China’s large department stores has been still in the early stage and has a very slow development progress. This is mainly because, on the one hand, many large department stores dare not to try the new business model; on the other hand, those enterprises who have tried the new type are still in the stage of groping for stones to cross the river without mature experience, so there are many obstacles l exist in the process of development. Therefore, how to realize the transition of O2 O business model China’s large department stores and obtain the combination of online and offline retail has be come the common problems facing China’s large department stores.Firstly, the paper summarized the concepts and theory related to department stores and O2 O management model. Secondly, from the macro environment and competitive environment facing China’s large department stores, this paper discusses the necessity and possibility of transformation to O2 O business model of China’s large-scale department store. Then, from the perspective of welfare economics, the compared advantages of O2 O development model of department stores has compared and analyzed based on the present business model of large department stores-- joint venture model. Finally, draw lessons from American Messi Department’s successful O2 O management model and from practical obstacles for China’s large department stores in the O2 O business, this paper has carried on deep analysis in three aspects including the whole channel, logistics system and operations management, and also the corresponding measures have been proposed.