Impact of E-commerce environment on selection of sales methods considering delivery lead time of goods

Etsuko Kusukawa, Shinji Masui, Ikuo Arizono

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Abstract

In this study, we discuss a brick-and-mortar sales (the existing sales method through the sales channel 1) and an online sales under an e-commerce environment (the sales channel 2). We focus on each differences of goods return ratios and delivery lead-times to a customer through both sales channels for a selling period. Concretely, we consider a parallel sales method that the sales channel 2 is newly incorporated into the sales channel 1. In the parallel sales method, a manufacturer incurs returns processing costs and fixed system operational costs for both the sales channels. For an appropriate selection ratio to the sales channel 2, the additional system operational costs in the parallel sale method could be retrieved, and it could lead to improving the profit to the manufacturer. Utility of the parallel sales method is investigated from each difference of goods return rates and delivery lead-times between both the sales channels by comparing the expected profit of the manufacturer adopting the existing sales method with that adopting the parallel sales method.

Original languageEnglish
Title of host publicationLecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)
Pages929-938
Number of pages10
Volume4558 LNCS
EditionPART 2
Publication statusPublished - 2007
Externally publishedYes
EventSymposium on Human Interface 2007 - Beijing, China
Duration: Jul 22 2007Jul 27 2007

Publication series

NameLecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)
NumberPART 2
Volume4558 LNCS
ISSN (Print)03029743
ISSN (Electronic)16113349

Other

OtherSymposium on Human Interface 2007
CountryChina
CityBeijing
Period7/22/077/27/07

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Keywords

  • Business model
  • E-commerce
  • Inventory control
  • Sales method

ASJC Scopus subject areas

  • Computer Science(all)
  • Biochemistry, Genetics and Molecular Biology(all)
  • Theoretical Computer Science

Cite this

Kusukawa, E., Masui, S., & Arizono, I. (2007). Impact of E-commerce environment on selection of sales methods considering delivery lead time of goods. In Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics) (PART 2 ed., Vol. 4558 LNCS, pp. 929-938). (Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics); Vol. 4558 LNCS, No. PART 2).