Distribution Business Optimization Analysis Of Chain Retail Industry

In recent years, the chain retail industry in China has developed rapidly. However, with the rapid expansion of foreign retail chains in Chinese market, domestic retail chains are facing unprecedented challenges. Confronted with these challenges, logistics has become a key factor in the competition.Further, how to reduce inventory and distribution costs, as well as improve distribution efficiency have become the primary problem. Therefore, it is necessary to study ordering and delivery issues in the chain retail industry in China market.This dissertation first analyzes the problems of the development of the logistics in domestic chain retail industry, and summarizes the causes of these problems. The dissertation proposes that, from reality, it is not good enough to consider the distribution optimization problem. For chain retail enterprises, in order to effectively control logistics costs and improve distribution efficiency, they need to take both the selection of distribution route and the ordering into account simultaneously.Therefore, on the basis of introducing the characteristics and mode of distribution, according to the level of demand of retail enterprises for distribution and their distribution management capabilities, the study selects the distribution mode via matrix method firstly. Secondly, the study establishes a decision model which integrated order with distribution in the light of inventory control model. Thirdly, with the combination of the optimal order strategy, it analyses the optimal distribution volume and the optimal distribution cycle quantitatively. Then, through the iteration of order quantity and distribution volume as well as "Maximum Saving Law", the dissertation makes the most optimized selection in distribution routes of the chain retail, which has theoretical and practical significance for retail chain distribution process optimization.Further, this study conducts a case study by investigating a chain retail enterprise, and validates the above models with the survey data. From reality, this dissertation puts forwards corresponding solutions for choosing suitable logistics distribution model, reducing ordering-delivery cost, cutting down empty loading rate, reducing transportation cost and determining the most appropriate route to save time in many potential routes, etc. The study provides arguments for retail chain corporates to reduce logistics costs and improve distribution efficiency.