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1 – 10 of over 7000Anagha Shukre and Naresh Verma
The case study is based on field research and also on secondary data. A primary survey is included in the case study. Simple frequency and factor analysis as statistical tools…
Abstract
Research methodology
The case study is based on field research and also on secondary data. A primary survey is included in the case study. Simple frequency and factor analysis as statistical tools have been used.
Case overview/synopsis
Family businesses, like that of Kiran Rai’s, owning a local Mom and Pop store in an emerging city were faced with a serious problem of sustaining their businesses. These family businesses countered immense competition from: their own types, i.e. from other local Mom and Pop stores within the same cities; online stores; and the organised stores.The choice of the customers to buy goods from the neighbourhood shops has remained largely as an age-old tradition in the households. With the millennials and the Generation Z (Gen Z) exposed to an array of brands, can they become the first choice of young customers for shopping for all kinds of products and varieties? Can the local Mom and Pop stores spread their wings across the young generations, particularly the Millennials and Gen Z through inexpensive social media channels? What are their growth options? How can the social media serve this purpose? The case uses the social cognition theory and the use gratification theory to throw light on the new concept of Social Shopping.
Complexity academic level
The case is meant to be discussed in courses like Fundamentals of Marketing, Digital Marketing and Retail Marketing in a 90-min session in the Post Graduate as well as in the Working Executives’ Management programmes. The case analysis will expose the students to the use of social media and its benefits to the small businesses. The students will also be able to analyse and understand the different types of Online Consumers’ Shopping Personalities. This would enable them to strategize for different stages in the decision-making processes.
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Peter Moran, Daniel Han Ming Chng and Liman Zhao
Following are the learning outcomes: to understand how the tools and frameworks of strategic analysis can be applied to understand the evolution of value creation and capture in…
Abstract
Learning outcomes
Following are the learning outcomes: to understand how the tools and frameworks of strategic analysis can be applied to understand the evolution of value creation and capture in the FMCG industry; to analyze the core competencies of a company and understand their relevance in this fast-changing industry; to understand how to evaluate the pros and cons of a certain strategy and business model; and to develop strategic recommendations.
Case overview/synopsis
The case series traces the developments in China’s FMCG industry from the early 2010s to 2017, in general, and the efforts of Beijing WinChannel Software Technology Co., Ltd. (WinChannel) and its affiliated company, Huixiadan, in their attempt to apply new digital technologies to transform the traditional trade channel, in particular. The decision point of Case A, in early 2015, is how WinChannel can help improve the reach and efficiency of the traditional trade channel and wonders if the emerging online/mobile B2B FMCG platforms are the right solution for the increasingly digitized FMCG retail industry in China. The decision point of Case B, at the end of 2017, is how could Huixiadan’s business model be sustainable and what it should do to withstand the competitive threats even as it tries to exploit opportunities in the traditional FMCG industry in China.
Complexity academic level
It can be used with MBAs, EMBAs and senior executives.
Supplementary materials
Teaching Notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes.
Subject code
CSS: 11: Strategy.
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As a “unicorn” devoted to the rural market, Huitongda has gone through a major evolution since its establish-ment in 2010 from a rural home appliance distributor, a supply chain…
Abstract
As a “unicorn” devoted to the rural market, Huitongda has gone through a major evolution since its establish-ment in 2010 from a rural home appliance distributor, a supply chain platform, an O2O service platform to an industry Internet platform of the rural e-commerce ecosystem, based on its deep understanding of the pain points in the rural market and operational experiences. After 2017, as the platform scaled with more vendors, Huitongda was no longer satisfied with selling a single product from urban to rural areas, but was committed to promoting the two-way flow of diverse commodities between urban and rural areas. It also set out to promote employment by entering the rural human resource market, expanding the single-industry O2O service platform to a complete multi-industry ecosystem. In 2018, with a service network covering over 17,000 townships across 20 Chinese provinces, Huitongda's sales reached RMB 35 billion yuan, enabling over 500,000 rural dwellers to start their own businesses or to find employment.
However, the depth, breadth and complexity of the rural industry Internet gradually multiplied, as more member stores joined the business ecosystem with more valuable commodities and services. As a rural industry Internet network owner, how could Huitongda better tap into digitalization in order to support its industry Internet business model and the huge network? How can it further widen the network boundaries to drive more business innovations and maximize network value?
M. A. Avila, J. A. Larco, C. Antonini, M. B. Ortíz and C. Mejía Argueta
In the context of increasing competition between chained retailers and family-owned retailers, it is key to understand the customer's format choice. Using a logistics regression…
Abstract
In the context of increasing competition between chained retailers and family-owned retailers, it is key to understand the customer's format choice. Using a logistics regression (i.e., binary logit) model, we explain customers' preference to buy in supermarkets or in small-scale, mom-and-pop stores like nanostores. We collect a representative sample of over 110 surveys from customers in the district of Surco, Lima, Perú, which is a representative area of the features of Lima's residents. We asked customers to focus on analyzing their preference between two retail formats: modern channel (i.e., big-box retailers, supermarkets, and hypermarkets) and traditional channel (i.e., mom-and-pop stores, nanostores). Our surveys included factors pertaining retail format attributes as well as factors related to the purchasing process. The results showed that time available for purchase and a comparatively better perceived service at a mom-and-pop store (i.e., nanostore) are significant factors that explain a higher probability of selecting these retailers, while a better store's ambience benefits more supermarkets. The overall discrete choice model is able to explain 65% of the variance using pseudo R-squared of the actual format choice decisions.
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Drew Martin, Carol Howard and Paul Herbig
We review the Japanese distribution system, its positives and negatives, its cultural heritage, and discuss the implications for the future for it.
Abstract
We review the Japanese distribution system, its positives and negatives, its cultural heritage, and discuss the implications for the future for it.
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This paper calls for a reconsideration of standard narratives regarding the role of small, independent retailers for twentieth‐century urban communities. The paper aims to discuss…
Abstract
Purpose
This paper calls for a reconsideration of standard narratives regarding the role of small, independent retailers for twentieth‐century urban communities. The paper aims to discuss the issues.
Design/methodology/approach
Taking the German city of Bremen as an example, the paper problematizes the nostalgic treatment of independent “Aunt Emma” (or “mom‐and‐pop”) stores in Germany during the last quarter of the century, by recounting the often conflict‐laden history of small retailers within the urban community. It draws on primary documents from retail associations, the chamber of commerce, municipal administrations, as well as media coverage.
Findings
The romanticization of the corner grocer overlooked the often divisive role of small store‐keepers in the interwar years as well as the social considerations behind some forms of retail modernization.
Originality/value
Beyond the particular examples of Bremen or even Germany, the paper urges historians of modern retailing to critically analyze the everyday role shops and shopkeepers have played within their communities without at the same time embracing a market‐liberal narrative of retail modernization as a function of consumer demand.
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Uncovers the facts and fallacies of the Japanese distribution channel and presents proactive distribution strategies with their managerial benefits, for the successful penetration…
Abstract
Uncovers the facts and fallacies of the Japanese distribution channel and presents proactive distribution strategies with their managerial benefits, for the successful penetration of the Japanese market. Frustrated US policy makers and business representatives have been crying “foul” for years over the difficulties in penetrating the Japanese market. They believe that a web of formal and informal Japanese trade barriers prevent US companies from getting a fair chance to sell their products in Japan. The Japanese distribution channel is often symbolic of such barriers. In general, it is characterized as closed and complex with multiple layers of middlemen leading to a large number of small‐scale “mom‐and‐pop” retail stores. Due to its non‐conventional structure, the Japanese distribution channel often has been misunderstood by many Westerners and subsequently such misunderstanding has led to unnecessary trade disputes with the Japanese government.
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Sunita Guru, Subir Verma, Pratibha Baheti and Vishal Dagar
The successive waves of the Covid-19 SARS-II pandemic and the attendant lockdown imposed by the governments worldwide drove the economic activities to a halt. Offices and…
Abstract
Purpose
The successive waves of the Covid-19 SARS-II pandemic and the attendant lockdown imposed by the governments worldwide drove the economic activities to a halt. Offices and factories closed, production of goods and services declined and supply chains got severely disrupted. Many companies were embattled with the grim reality of shrinkage of aggregate demand, first due to supply shock and later due to loss of jobs and wages. Amidst all this, the handling and shipping of commodities became extremely complex. As the pandemic shifted consumer preference in favour of digital platforms, more and more fast-moving consumer goods (FMCG) companies were confronted with multiple strategies and choices of an appropriate distribution channel to ensure smooth delivery of raw materials and products. The present study aims to study this shift and its implications in the Indian context.
Design/methodology/approach
A mix-method approach, integrating quantitative and qualitative analysis, is employed to investigate the factors influencing the selection of distribution channels amongst general trade, modern trade, e-commerce and hyperlocal for FMCG companies in India. The first phase of the study uses exploratory factor analysis (EFA), followed by the application of analytical hierarchy process (AHP) approach in a fuzzy environment to realise the priority weights and ranking of the identified factors. Finally, sensitivity analysis is performed to confirm the robustness of the fuzzy analytical hierarchy process (FAHP) outcomes.
Findings
The study revealed that modern trade has emerged as the most favoured channel in the post-pandemic Indian economy. It has the potential to disrupt general trade. The study also revealed that the hyperlocal delivery model is not economically viable, and the partnership of FMCG companies with these applications is at best a short-term solution. However, it must be submitted that due to its sheer capability to ensure quick deliveries within a confined geographic area, hyperlocal delivery will gain momentum with the advancement of technology.
Originality/value
This study can be seen as the first attempt to investigate the issues related to the selection of the distribution channels in the FMCG sector of India using multi-criteria decision-making technique (MCDM).
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