• Title/Summary/Keyword: Wholesale Market Company

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A Study of Information system Effects on the Trust between Wholesale Market Company and Intermediary Wholesaler in SeaFood Market (수산물 도매시장의 유통정보화가 도매법인과 중도매인 간의 신뢰에 미치는 영향연구)

  • Jang, Young-Soo;Park, Kwang-Ho
    • The Journal of Fisheries Business Administration
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    • v.36 no.2 s.68
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    • pp.1-24
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    • 2005
  • The purpose of the study are summarized as follows : First, it has researched the possibility of the Distribution Information application in Sea Food Wholesale Market. Second, the effects which the Wholesale Market Company and the Intermediary Wholesaler Corporations can obtain in Sea Food Wholesale Market by building up a Distribution Information are classified into the effects of task, cost, and competition. It has analyzed the influence of these effects in direct and indirect Trust between the Wholesale Market Company and the Intermediary Wholesaler. Third, it has recognized the upcoming problems in Sea Food Wholesale Market by building up a Distribution Information, and it has suggested a plan to make the Distribution Information application successful in Sea Food Wholesale Market. This study has used a questionnaire to verify 5 hypotheses. Research model, factor analysis, correlation relationship analysis. The result of this study are summarized as follows : Building up the Distribution Information influences positively on the effectiveness of task, cost and competitiveness regardless of it being the Wholesale Market Company or the Intermediary Wholesaler corporation. However, the results of this analysis are to verify differences according to the degree of construction of the Distribution Information and the degree of the perception of the problems between the Wholesale Market Company and the Intermediary Wholesaler corporations have shown that there were distinct differences in the degree of computerization and of efforts to build a Distribution Information. Also there were distinct differences according to the degree of perceiving problems relating to building up the Distribution Information and the stages of the Distribution Information between the Wholesale Market Company and the Intermediary Wholesaler corporations. This study suggest three important steps that will help to establish a successful Distribution Information. First, the Wholesale Market Company and the Intermediary Wholesaler corporations should make efforts to increase mutual profits in partnership, and make direct Trust by sharing mutual information. Second, the lack of understanding of the Distribution Information between departments within the company requires educating employees about the Distribution Information. It is necessary to expand the communication networks of the Distribution Information between the Wholesale Market Company and the Intermediary Wholesaler. Third, mutual exchange of Information should be possible to offer systematic exchange of Information between the Wholesale Market Company and the Intermediary Wholesaler corporations.

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A Study on the Feasibility of Win-Win Growth in Wholesale Market

  • WON, Jong-Moon
    • The Journal of Industrial Distribution & Business
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    • v.11 no.4
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    • pp.31-38
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    • 2020
  • Purpose: At a time when the distribution industry is dominated by capital and technology, win-win growth among businesses groups (BGs) in wholesale market is becoming a social issue. Therefore, through analysis of market growth, market concentration (MC) and market power (MP), we want to identify the structure of the wholesale market and the competitiveness of the BGs in terms of market share (MS), sales-profit ratio (SPR), and labor productivity (LP) to explore the possibility of win-win growth. Market situation: Wholesale and Retail sales ratio (W/S) continues to increase, which also means inefficiency in distribution channels or opportunities in wholesale markets. Wholesale sales have grown 8.3 percent annually over the past 15 years, while the number of companies and workers has declined since 2017, which is why some restructuring is believed to begin in the wholesale industry. In terms of MC and MP, the growth potential of SBG can be found in FCB, ARM, FBT and CME BTs. Methodology and data: Through ANOVA and Regression Analysis, the 2015 Economic Census Data of KOSTAT was analyzed. Results: The results of ANOVA show that statistically significant SBG has a larger MS than LBG. The SPR was not different among BGs. LP is higher for LBG than for other BGs. Regression results show that the employment weight (EW) and the company size (SC) have positive effects on the MS, but the company weight (CW) and employment size (SE) have negative effects. In the case of SPR, the CW is positive and the EW is negative. In addition, LP appears to be more positive as SC in the BGs is larger. Conclusions: Although there is sufficient potential for SBG in the wholesale market, there is a problem that needs to increase LP. Therefore, the SBG needs to restructure in terms of number of companies and SC to improve the efficiency of employment. In terms of MC and MP, the SBG looks for possibilities in FCB, ARM, FBT and CME BTs. In addition, SBG that seeks higher returns with human services rather than simple sales is found to be competitive in the HHG, MES and CME BTs.

A Study of Fisheries Distribution Margin and Performance ; Focused on the case of Mackerel (수산물 유통마진과 유통성과 연구 -고등어 유통 사례를 중심으로 -)

  • Jang, Young-Soo;Park, Key-Seop;Lee, Jung-Phil
    • The Journal of Fisheries Business Administration
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    • v.46 no.3
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    • pp.143-161
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    • 2015
  • This study presents a comparative analysis on mackerel distribution process and price formation process, and investigation of price and margin between traditional markets and Large-scale discount store distribution channel. Through this, the study investigated distribution efficiency of each channel, and examined whether a difference of distribution efficiency leads to a difference of performance through the investigation of a difference of function and role between members of a wholesale market and vendor of Large scale discount store. The following are the results of this study. As a consequence of investigating supply and sum by distribution channel of mackerel, it appeared that mackerels shipped from port market are distributed into 9 consumption sites(Wholesale market, Large scale discount store, Institutional Food Service, etc.). In the comparison of distribution efficiency between traditional retail store and Large scale discount store 52.0% margin is formed in traditional retail store distribution channel and 43.1% margin is formed in Large scale discount store, and a distribution cost rate consists of 19.4% cost in a traditional retail store for fishery products and 18.1% cost in a Large-scale discount store. To analyze a difference of performance, the study examine a difference of role and function between vendor and Wholesale market company, wholesaler and middleman. Wholesale market company and middleman of wholesale market for consumer have slightly high or similar score in collection function, sorting function, evaluation function and financial function which are traditional and original. However, it was confirmed that vendor has a better score in other functions, that is, newly-demanded functions(ex : market frontier function, product development function, Integral Distribution Function, etc.).

A Study on the Determinants of Third Party Logistics Service Suppliers in Dongdaemun Market

  • Zhang, Yu-Liang;Yoo, Chang-Gwon;Kim, Gi-Pyoung
    • Journal of Distribution Science
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    • v.15 no.2
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    • pp.27-36
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    • 2017
  • Purpose - This study was intended to find the selection attribution factors and service satisfaction determinants of third party logistics suppliers in Dongdaemun wholesale market. Research design, data, and methodology - A questionnaire survey was performed, and the retailers and wholesalers in Dongdaemun wholesale market were asked to fill in it. Company employees using third party logistics service were selected by a random sampling method. Results - It is easy for both retailers and wholesalers to use third party logistics service. The logistics companies in Dongdaemun wholesale market have paid more heed to the security of freight and the operability. That is, the freight safety and operating service are the most important factors in selecting third party logistics suppliers, and they both have a close relationship with user satisfaction. There is no relation between service level and recognition in selection factors of third party logistics suppliers. All the responsiveness, operability and informativeness of third-party logistics providers has a significant relationship with user satisfaction. Conclusions - Third party logistics service is entirely different from the existing delivery or transport service. The most market vendors' wish for third party logistics suppliers is the stability of freight and robust operating service. They also demand the responsiveness for special or emergency situation with having information strength.

A Study on Electrical Power Trading in Minimum Price Wholesale Market (최소 가격 도매경쟁시장에서의 전력 거래에 관한 연구)

  • Seo, Tae-Min;Lee, Hee-Sang
    • IE interfaces
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    • v.24 no.4
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    • pp.379-386
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    • 2011
  • The importance of renewable energy technology is discussed and next generation power transmission networks, which is called the smart grid, are constructed in developed countries. However for construction and operation of the smart grid, it is required not only to develop the electrical power generation technologies and transmission equipments but also to study systematic analysis and optimization for design and operation of the smart grid. In this paper we study electrical power trade in the smart grid using operations research models and simulation methods. We also consider future electrical power exchange markets in Korea and build four scenarios and the related optimization and simulation models, which reflect electrical power transaction pricing strategies of stake-holders. We can also simulate electrical power exchange market and analyze the results of electrical power trading, which can give us some insights for future electrical power exchange market.

Detection of Phantom Transaction using Data Mining: The Case of Agricultural Product Wholesale Market (데이터마이닝을 이용한 허위거래 예측 모형: 농산물 도매시장 사례)

  • Lee, Seon Ah;Chang, Namsik
    • Journal of Intelligence and Information Systems
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    • v.21 no.1
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    • pp.161-177
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    • 2015
  • With the rapid evolution of technology, the size, number, and the type of databases has increased concomitantly, so data mining approaches face many challenging applications from databases. One such application is discovery of fraud patterns from agricultural product wholesale transaction instances. The agricultural product wholesale market in Korea is huge, and vast numbers of transactions have been made every day. The demand for agricultural products continues to grow, and the use of electronic auction systems raises the efficiency of operations of wholesale market. Certainly, the number of unusual transactions is also assumed to be increased in proportion to the trading amount, where an unusual transaction is often the first sign of fraud. However, it is very difficult to identify and detect these transactions and the corresponding fraud occurred in agricultural product wholesale market because the types of fraud are more intelligent than ever before. The fraud can be detected by verifying the overall transaction records manually, but it requires significant amount of human resources, and ultimately is not a practical approach. Frauds also can be revealed by victim's report or complaint. But there are usually no victims in the agricultural product wholesale frauds because they are committed by collusion of an auction company and an intermediary wholesaler. Nevertheless, it is required to monitor transaction records continuously and to make an effort to prevent any fraud, because the fraud not only disturbs the fair trade order of the market but also reduces the credibility of the market rapidly. Applying data mining to such an environment is very useful since it can discover unknown fraud patterns or features from a large volume of transaction data properly. The objective of this research is to empirically investigate the factors necessary to detect fraud transactions in an agricultural product wholesale market by developing a data mining based fraud detection model. One of major frauds is the phantom transaction, which is a colluding transaction by the seller(auction company or forwarder) and buyer(intermediary wholesaler) to commit the fraud transaction. They pretend to fulfill the transaction by recording false data in the online transaction processing system without actually selling products, and the seller receives money from the buyer. This leads to the overstatement of sales performance and illegal money transfers, which reduces the credibility of market. This paper reviews the environment of wholesale market such as types of transactions, roles of participants of the market, and various types and characteristics of frauds, and introduces the whole process of developing the phantom transaction detection model. The process consists of the following 4 modules: (1) Data cleaning and standardization (2) Statistical data analysis such as distribution and correlation analysis, (3) Construction of classification model using decision-tree induction approach, (4) Verification of the model in terms of hit ratio. We collected real data from 6 associations of agricultural producers in metropolitan markets. Final model with a decision-tree induction approach revealed that monthly average trading price of item offered by forwarders is a key variable in detecting the phantom transaction. The verification procedure also confirmed the suitability of the results. However, even though the performance of the results of this research is satisfactory, sensitive issues are still remained for improving classification accuracy and conciseness of rules. One such issue is the robustness of data mining model. Data mining is very much data-oriented, so data mining models tend to be very sensitive to changes of data or situations. Thus, it is evident that this non-robustness of data mining model requires continuous remodeling as data or situation changes. We hope that this paper suggest valuable guideline to organizations and companies that consider introducing or constructing a fraud detection model in the future.

Channel Innovation through Online Transaction processing System in Floral Wholesale Distribution: FLOMARKET Case (화훼도매 온라인 거래처리 시스템을 통한 유통경로 개선방안 연구: (주)플로마켓 사례)

  • Lee, Seungchang;Ahn, Sunghyuck
    • Journal of Distribution Science
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    • v.8 no.1
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    • pp.21-33
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    • 2010
  • The ICT(information & communication technology) led to a dramatic change of floral distribution service, a phase of competition between wholesales and retail stores, and distribution channels in floral industry. It was expected that a role of the intermediaries in this industry would have reduced due to the improvement of transaction process by ICT. However, the ICT made to overcome a regional limit of the floral retail distribution service leading to an increase in sales and enlargement of the stores. And even it made possible to bring out another type of intermediaries such as private associations. This case study focuses on what kinds of efforts the floral wholesale distributors have made to enable a distribution process more smoothly between the wholesale distributors and retail stores through the information system, and what the failure factors in adopting the information system have been. This paper is also to examine how the wholesale distributors have changed themselves to gain dominant positions in distribution channels. As a result of the study, it was found that the intermediaries mostly failed in successfully achieving the distribution channel innovation through the information system because of several main reasons. FLOMARKET Inc. tried to innovate a distribution channel to obtain high quality goods through consolidating a wholesale distribution market in that segregated both floral joint market from free markets. after implementing the information system with consideration of the failure factors, FLOMARKET Inc. was able to minimize goods in stock and make a major purchase of various goods. In addition, it made a possible pre-ordering process and an exact calculation of purchasing goods so they could provide their products with market price in real time, which helped for the company to gain credits from their customers. Also, FLOMARKET Inc. established the information system which well suited to its business stage in order to deal with a rapidly changing distribution environment. It's so obvious that the transaction processing system of FLOMARKET Inc. definitely helped to share information among traders more seamlessly and smoothly in realtime, standardize goods, and make a transaction process clearer. Besides, the transaction information helped the wholesale distributors and retail stores to make more strategic decisions in their business because through the system they enabled to gather the marketing intelligence information more easily and convenient. If we understand that the floral distribution market is characterized by the low IT- based industry, it's worth to examine a case study proving that the information system actually increases the productivity of the transaction process in the floral industry.

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A Study on KAN Code ID for Promoting Distribution Information or Agricultural Products (농산물 유통 정보화 촉진을 위한 KAN코드 사용 확대에 관한 연구)

  • Ahn, Seung-Yong;Kang, Kyung-Sik
    • Journal of the Korea Safety Management & Science
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    • v.8 no.5
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    • pp.99-117
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    • 2006
  • Consumers keep demanding for diversified high quality products, valuable services and safety. With this in mind, Distribution Industry is being updated rapidly to accomodate this demand. Meanwhile, Distribution Information Technology of agricultural products has been in slow progress with little in-depth studies. In this study, it has been analyzed the usage of Bar code which is the key element for agricultural Distribution Information Technology. The analysis was conducted through a survey utilizing questionnaire covering 5 Hypermarkets(Super-centers) including big 3 companies. Also, Japanese market trends have been studied to visit a Japan Government Organization concerned, GS1 Japan, an Agricultural Cooperative, an Agricultural Wholesale Market, and a Retail Company. If we could use KAN code for all agricultural products, we could collect and analyze the information of price and trade quantity of them. It opens a new era to understand the agricultural products supply and demand easily. This will certainly make a great contribution to the evolution of agricultural products distribution. From this research, it is suggested that collective efforts by suppliers, wholesalers, retailers and Government Officers are needed to make large scale mutual marketing Organizations, which specialize in sending out agricultural products. The Organization is recommended to standardize and pack every final agricultural products, to promote the use of KAN code.

A Study on the Discrepancies of Gas Measurement and the Solution Measures between Suppliers and Consumers in South Korea (도시(都市)가스 계량(計量) 편차(偏差) 및 해소방안(解消方案)에 관(關)한 소고(小考))

  • Park, Sang-Chul;Bang, Sun-Hyuk
    • Journal of the Korean Institute of Gas
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    • v.14 no.3
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    • pp.26-34
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    • 2010
  • KOGAS, established in 1983 by law to ensure stable gas supply to the public, is responsible for the wholesale distribution to 30 city gas companies that deal with the retail distribution of natural gas in their geographic areas. The gas imported by KOGAS is measured by checking the level difference of LNG shipped in tankers before and after unloading. The analysis of gas composition is essential because the imported gas price is determined by its calorific value. The turbine meter is widely used for measuring the gas sold to city gas companies. Unlike the metering system for power plants, there is no gas chromatograph since the custody transfer of gas to the city gas companies is not billed by calorific value, but by volume basis. The gas quantity that a city gas company has bought from KOGAS is not equal to the quantity that the company sold to its customers. There have been some discrepancies between the wholesale gas meter readouts and retail ones due to some inherent errors of meters and some operational issues of the meters. This paper investigates the controversies regarding the real quantity of gas between distributors and consumers. It will discus and suggest desirable policies, both technically and economically, in order to solve the discrepancies of gas measurement.

A study on the improvement of distribution system by overseas agricultural investment (해외농업투자에 따른 유통체계 개선방안에 관한 연구)

  • Sun, Il-Suck;Lee, Dong-Ok
    • Journal of Distribution Science
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    • v.8 no.3
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    • pp.17-26
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    • 2010
  • Recently concerns have been raised due to the unbalanced supply of crops: the price of crops has been unstable and at one point the price went up so high that the word Agflation(agriculture+ inflation) was coined. Korea, in particular, is a small-sized country and needs to secure the stable supply of crops by investing in the produce importation at a national level. Investment in foreign produce importation is becoming more important as a measure for sufficient supply of crops, limited supply of domestic crops, weakened farming conditions worldwide, as well as recent changes in the use of crops due to the development of bio-fuels, influence of carbon emission on crops, the price increase in crops, and influx of foreign hot money. However, there are many problems with investing in foreign produce importation: lack of support from the government; lack of farming information and technology; difficulty in securing the capital; no immediate pay-off from the investment and insufficient management. Although foreign produce is originally more price-competitive than domestic produce, it loses its competiveness in the process of importation (due to high tariffs) and poor distribution system, which makes it difficult to sell in Korea. Therefore, investment in foreign produce importation is being questioned for feasibility; to make it possible, foreign produce must maintain the price-competitiveness. Especially, harvest of agricultural products depends on natural and geographical conditions of each country and those products have indigenous properties, so distribution system according to import and export of agricultural products should be treated more carefully than that of other industries. Distribution costs are differentiated into each item and include cost of sorting and wrapping, cost of wrapping materials, cost of domestic transport, cost of international transport and cost of clearing customs for import and export. So transporting and storing agricultural products generates considerable costs compared with other products. Also, due to upgrade of dietary life, needs for stability, taste and visible quality toward food including agricultural products are being raised and wrong way of storage causes decomposition of food and loss of freshness, making the storage more difficult than that in room temperature, so storage and transport in distribution of agricultural products needs specialty. In addition, because lack of specialty in distribution and circulation such as storage and wrapping does not solve limit factors in distance, the distribution and circulation has been limited to a form of import and export within short-distant region. Therefore, need for distribution out-sourcing which can satisfy specialty in managing distribution and circulation and it is needed to establish more effective distribution system. However, existing distribution system of agricultural products is exposed to various problems including problems in distribution channel, making distribution and strategy for distribution and those problems are as follows. First, in case of investment in overseas agricultural industry, stable supply of the products is difficult because areas of production are dispersed widely and influenced by outer factors due to including overseas distribution channels. Also, at the aspect of quality, standardization of products is difficult, distribution system is quite complicated and unreasonable due to long distribution channels according to international trade and financial and institutional support is not enough. Especially, there are quite a lot of ineffective factors including multi level distribution process, dramatic gap between production cost and customer's cost, lack of physical distribution facilities and difficulties in storage and transport due to lack of wrapping containers. Besides, because import and export of agricultural products has been manages under the company's own distribution according to transaction contract between manufacturers and exporting company, efficiency is low due to excessive investment in fixed costs and lack of specialty in dealing with agricultural products causes fall of value of products, showing the limit to lose price-competitiveness. Especially, because lack of specialty in distribution and circulation such as storage and wrapping does not solve limit factors in distance, the distribution and circulation has been limited to a form of import and export within short-distant region. Therefore, need for distribution out-sourcing which can satisfy specialty in managing distribution and circulation and it is needed to establish more effective distribution system. Second, among tangible and intangible services which promote the efficiency of the whole distribution, a function building distribution environment which includes distribution information, system for standard and inspection, distribution finance, system for diversification of risks, education and training, distribution administration and tax system is wanted. In general, such a function building distribution environment is difficult to be changed and supplement innovatively because its effect compared with investment does not appear immediately despite of its necessity. Especially, in case of distribution of agricultural products, as a function of collecting and distributing is performed individually through various channels, the importance of distribution information and standardization is getting more focus due to the problem of repetition of work and lack of specialty. Also, efficient management of distribution is quite difficult due to lack of professionals in distribution, so support to professional education is needed. Third, though effort to keep self-sufficiency ratio of staple food, rice is regarded as important at the government level, level of dependency on overseas of others crops is high. Therefore, plan for stable securing food resources aside from staple food is also necessary. Especially, governmental organizations of agricultural products distribution in Korea are production-centered and have unreasonable structure whose function at the aspect of distribution and consumption is quite insufficient. And development of new distribution channels which can deal with changes in distribution environment and they do not achieve actual results of strategy for distribution due to non-positive strategy for price distribution. That is, it implies the possibility that base for supply will become vulnerable because it does not mediate appropriate interests on total distribution channels such as manufacturers, wholesale dealers and vendors by emphasizing consumer protection excessively in the distribution of agricultural products. Therefore, this study examined fundamental concept and actual situation for our investment to overseas agriculture, drew necessities, considerations, problems, etc. of overseas agricultural investment and suggested improvements at the level of distribution for price competitiveness of agricultural products cultivated in overseas under five aspects; government's indirect support, distribution's modernization and distribution information function's strengthening, government's political support for distribution facility, transportation route, load and unloading works' improvement, price competitiveness' securing, professional manpower's cultivation by education and training, etc. Here are some suggestions for foreign produce importation. First, the government should conduct a survey on the current distribution channels and analyze the situation to establish a measure for long-term development plans. By providing each agricultural area with a guideline for planning appropriate production of crops, the government can help farmers be ready for importation, and prevent them from producing same crops all at the same time. Government can sign an MOU with the foreign government and promote the importation so that the development of agricultural resources can be stable and steady. Second, the government can establish a strategy for an effective distribution system by providing farmers and agriculture-related workers with the distribution information such as price, production, demand, market structure and location, feature of each crop, and etc. In order for such distribution system to become feasible, the government needs to reconstruct the current distribution system, designate a public organization for providing distribution information and set the criteria for level of produce quality, trade units, and package units. Third, the government should provide financial support and a policy to seek an efficient distribution channel for foreign produce to be delivered fresh: the government should expand distribution facilities (for selecting, packaging, storing, and processing) and transportation vehicles while modernizing old facilities. There should be another policy to improve the efficiency of unloading, and to lower the cost of distribution. Fourth, it is necessary to enact a new law covering exceptional cases for importing produce in order to maintain the price competitiveness; currently the high tariffs is keeping the imported produce from being distributed domestically. However, the new adjustment should be made carefully within the WTO regulations since it can create a problem from giving preferential tariffs. The government can also simplify the distribution channels in order to reduce the cost in the distribution process. Fifth, the government should educate distributors to raise the efficiency and to modernize the distribution system. It is necessary to develop human resources by educating people regarding the foreign agricultural environment, the produce quality, management skills, and by introducing some successful cases in advanced countries.

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