Research On SUNING Supply Chain Cost Control

Since the 20th century,The development of e-commerce has promoted a large number of B2C e-commerce giants such as JD and Alibaba Group,The birth and development of SUNING,GOME and other traditional retail companies have also developed online e-commerce businesses.These changes have subverted the consumption habits of ordinary consumers.Online shopping has also become part of consumers daily consumption habits.In recent years,the development data of online e-commerce is still growing.However,according to relevant information,on the one hand,the growth rate of online e-commerce market share is slowing down.On the other hand,offline retail still occupies a major share of the retail industry,especially in In third-and fourth-tier cities and villages and towns,differences in consumption habits make online sales inadequate.Therefore,e-commerce giants such as JD have begun offline layouts,intending to occupy the offline retail market.Based on this market background,this article takes SUNING as the research object,analyzes the current status of its cost control using supply chain related theories,and finds the existing problems.The study found that SUNING’s main business profits have risks such as risk reduction,corporate image and corporate transformation,high logistics costs,etc.The specific manifestations are that procurement costs account for a high proportion of operating income,huge operating expenses and unreasonable structure,and lack of customer,support Cost analysis,etc.In view of the above problems,it is proposed that the market positioning should be clearly established and the corporate image should be established reasonably;strengthen two-way communication with suppliers and improve the strategic alliance relationship;establish the concept of cost strategic management,strengthen operating cost control;and improve logistics cost investment.