Retail industry developments - 2001/02; Audit risk alerts

https://egrove.olemiss.edu/aicpa_indev/1182/thumbnail.jp

Retail industry developments - 2000/01; Audit risk alerts

https://egrove.olemiss.edu/aicpa_indev/1181/thumbnail.jp

Brand Community Oriented Channel Coordination: An Empirical Study on Chinese Tire Market

Members of traditional tyre marketing channel aims to maximize profit for individual business, even at the cost of overall benefit of tyre marketing channel and tyre manufacturers, resulting in high channel cost. Practice focusing on channel relationship marketing has alleviated the tension among channel members. Yet profit diluted by disorderly competition in this industry has deteriorated channel performance. There is growing need to research on how to enhance channel performance and ensure benefit of channel members. Focus of related research is shifting from customers to relationship marketing, forming a trend in theoretical research on brand relationship. Branding is a fundamental element for competitive advantage and value creation for business today. Setting up a high-value brand in highly-competitive marketing environment has been the focus of marketers. Brand community research based on customer relationship also becomes the new hotspot in theoretical research on brand relationship. Existing research on relationship marketing only takes channel relationship or customer relationship into account. Research on channel relationship seldom consider the influence of final consumers on channel performance while research on final consumers usually ignore the channel relationship, setting apart these two most significant players in relationship marketing rather than combine them together. In fact, channel and end user are interactive. Discontinuity in channel relationships will affect customer experience brought by the products or service to end user, while review and purchase on products or service by final consumers will influence the performance of channel members. Considering the limitations of existing research, this article researched the potential mutual influence between channel relationship and customer relationship for the first time. Based on theory of channel relationship and customer relationship, including the manufacturers’ non-direct-profit relationship investment to end users by leveraging brand community, it proposes the industry brand community-oriented channel relationship model. Integrating these two factors in relationship marketing would bring new perspective and reference for related research. Based on proposed research model, this article gains scale through reference to related research, qualitative analysis and pretest. Based on field research on retailers and end users in replacement market for truck and bus tyre industry in China, using statistical analysis such as CFA(Confirmatory factor analysis), structure equation modeling and regression equation, the findings of positive research on industry brand community-oriented channel relationship model proposed by this article are listed as below. 1) Not only channel relationship influences channel performance, brand community based on end user relationship also influences channel performance, which is consistent with the proposition of this article. 2) Theories regarding channel relationship marketing and customer relationship marketing are applicable to truck and bus tyre industry in China. 3) Non-direct-profit RSIs by manufacturers would indirectly influence channel performance through brand community integration Based on literature review, model proposition and positive finding, the theoretical and practical contribution of this article includes the following aspects. 1) In the research of relationship marketing, not only the interactive influence of different B2B channel players shall be included, end users’ influence shall be considered as well. ‘Push’ strategy shall integrate with ‘pull’ strategy. Research on end users and channels could be integrated through brand community integration, which would be complimentary to existing research, also could be theoretical reference and practical guide to marketing practice. 2) This positive research proves that theories of relationship marketing is applicable to tyre industry in China. China’s market is unique and tyre industry has its own features compared to other industries. This research finds that trust and commitment of channel members and relationship investment by seller significantly influence the channel member performance. External environment has a moderating effect on channel member performance. Therefore, manufacturer shall pay attention to external environment, especially market diversity and changing environment, to adjust strategy accordingly. Manufacturer shall also communicate with agents and retailor to enhance trust and commitment. This article provides positive evidence and reference for relationship marketing theory. 3) This thesis contributes to clarify how manufactures’ non-direct-profit RSIs influence performance by retailor and other channel members. It is proved that although manufactures do not face consumers directly, its non-direct-profit RSIs will affect the end users’ trust and commitment to company and brand, and further influence their brand community identity, and ultimately channel members’ performance. 4) This research proposes comprehensive model on industry goods relationship marketing from theory, which is highly relevant for industry goods relationship marketing in China. Industry goods has its unique features. Manufacturer shall ensure channel member’s performance by outstanding channel relationship marketing, as well as form brand community integration through relationship investment on end user, to improve channel member’s performance and sales. Research has shown that the “push strategy” and “pull strategy” could organically combined and this conclusion provides theoretical guide and practical suggestion for companies’ marketing

Integration of e-business strategy for multi-lifecycle production systems

Internet use has grown exponentially on the last few years becoming a global communication and business resource. Internet-based business, or e-Business will truly affect every sector of the economy in ways that today we can only imagine. The manufacturing sector will be at the forefront of this change. This doctoral dissertation provides a scientific framework and a set of novel decision support tools for evaluating, modeling, and optimizing the overall performance of e-Business integrated multi-lifecycle production systems. The characteristics of this framework include environmental lifecycle study, environmental performance metrics, hyper-network model of integrated e-supply chain networks, fuzzy multi-objective optimization method, discrete-event simulation approach, and scalable enterprise environmental management system design. The dissertation research reveals that integration of e-Business strategy into production systems can alter current industry practices along a pathway towards sustainability, enhancing resource productivity, improving cost efficiencies and reducing lifecycle environmental impacts. The following research challenges and scholarly accomplishments have been addressed in this dissertation: Identification and analysis of environmental impacts of e-Business. A pioneering environmental lifecycle study on the impact of e-Business is conducted, and fuzzy decision theory is further applied to evaluate e-Business scenarios in order to overcome data uncertainty and information gaps; Understanding, evaluation, and development of environmental performance metrics. Major environmental performance metrics are compared and evaluated. A universal target-based performance metric, developed jointly with a team of industry and university researchers, is evaluated, implemented, and utilized in the methodology framework; Generic framework of integrated e-supply chain network. The framework is based on the most recent research on large complex supply chain network model, but extended to integrate demanufacturers, recyclers, and resellers as supply chain partners. Moreover, The e-Business information network is modeled as a overlaid hypernetwork layer for the supply chain; Fuzzy multi-objective optimization theory and discrete-event simulation methods. The solution methods deal with overall system parameter trade-offs, partner selections, and sustainable decision-making; Architecture design for scalable enterprise environmental management system. This novel system is designed and deployed using knowledge-based ontology theory, and XML techniques within an agent-based structure. The implementation model and system prototype are also provided. The new methodology and framework have the potential of being widely used in system analysis, design and implementation of e-Business enabled engineering systems

An enhanced approximation mathematical model inventorying items in a multi-echelon system under a continuous review policy with probabilistic demand and lead-time

An inventory system attempts to balance between overstock and understock to reduce the total cost and achieve customer demand in a timely manner. The inventory system is like a hidden entity in a supply chain, where a large complete network synchronizes a series of interrelated processes for a manufacturer, in order to transform raw materials into final products and distribute them to customers. The optimality of inventory and allocation policies in a supply chain for a cement industry is still unknown for many types of multi-echelon inventory systems. In multi-echelon networks, complexity exists when the inventory issues appear in multiple tiers and whose performances are significantly affected by the demand and lead-time. Hence, the objective of this research is to develop an enhanced approximation mathematical model in a multi-echelon inventory system under a continuous review policy subject to probabilistic demand and lead-time. The probability distribution function of demand during lead-time is established by developing a new Simulation Model of Demand During Lead-Time (SMDDL) using simulation procedures. The model is able to forecast future demand and demand during lead-time. The obtained demand during lead-time is used to develop a Serial Multi-echelon Inventory (SMEI) model by deriving the inventory cost function to compute performance measures of the cement inventory system. Based on the performance measures, a modified distribution multi-echelon inventory (DMEI) model with the First Come First Serve (FCFS) rule (DMEI-FCFS) is derived to determine the best expected waiting time and expected number of retailers in the system based on a mean arrival rate and a mean service rate. This research established five new distribution functions for the demand during lead-time. The distribution functions improve the performance measures, which contribute in reducing the expected waiting time in the system. Overall, the approximation model provides accurate time span to overcome shortage of cement inventory, which in turn fulfil customer satisfaction

Turnaround and Sustainability in Economic Crisis: The Case of NEXT PLC

Purpose- against a background of continued weak economic conditions and with many firms experiencing declining financial performance, this paper presents a synthesis of the business turnaround literature and combines with analysis case –NEXT plc. It purposes to discus the turnaround strategies can keep the declining firm sustainability recovery, during the economic cycle. Design/methodology/approach- the turnaround strategy for sustainability recovery are examined by a case study of NEXT PLC which largest clothing retailer in UK. The outcome combines with previous literature to analysis. Findings- the results indicate that financial control, efficiency operation, focus on core activities and valid top management team can contribute the company to sustainability turnaround. And the financial restructuring can accelerate the turnaround to success. Originality/value- this paper provide the situation that the declining firm can implement the efficiency turnaround strategies to reach sustainability turnaround in the period of economic cycle. Keywords: turnaround, recovery strategies Paper type- literature revie

The integrity of digital technologies in the evolving characteristics of real-time enterprise architecture

Advancements in interactive and responsive enterprises involve real-time access to the information and capabilities of emerging technologies. Digital technologies (DTs) are emerging technologies that provide end-to-end business processes (BPs), engage a diversified set of real-time enterprise (RTE) participants, and institutes interactive DT services. This thesis offers a selection of the author’s work over the last decade that addresses the real-time access to changing characteristics of information and integration of DTs. They are critical for RTEs to run a competitive business and respond to a dynamic marketplace. The primary contributions of this work are listed below. • Performed an intense investigation to illustrate the challenges of the RTE during the advancement of DTs and corresponding business operations. • Constituted a practical approach to continuously evolve the RTEs and measure the impact of DTs by developing, instrumenting, and inferring the standardized RTE architecture and DTs. • Established the RTE operational governance framework and instituted it to provide structure, oversight responsibilities, features, and interdependencies of business operations. • Formulated the incremental risk (IR) modeling framework to identify and correlate the evolving risks of the RTEs during the deployment of DT services. • DT service classifications scheme is derived based on BPs, BP activities, DT’s paradigms, RTE processes, and RTE policies. • Identified and assessed the evaluation paradigms of the RTEs to measure the progress of the RTE architecture based on the DT service classifications. The starting point was the author’s experience with evolving aspects of DTs that are disrupting industries and consequently impacting the sustainability of the RTE. The initial publications emphasized innovative characteristics of DTs and lack of standardization, indicating the impact and adaptation of DTs are questionable for the RTEs. The publications are focused on developing different elements of RTE architecture. Each published work concerns the creation of an RTE architecture framework fit to the purpose of business operations in association with the DT services and associated capabilities. The RTE operational governance framework and incremental risk methodology presented in subsequent publications ensure the continuous evolution of RTE in advancements of DTs. Eventually, each publication presents the evaluation paradigms based on the identified scheme of DT service classification to measure the success of RTE architecture or corresponding elements of the RTE architecture

Turnaround and Sustainability in Economic Crisis: The Case of NEXT PLC

Purpose- against a background of continued weak economic conditions and with many firms experiencing declining financial performance, this paper presents a synthesis of the business turnaround literature and combines with analysis case –NEXT plc. It purposes to discus the turnaround strategies can keep the declining firm sustainability recovery, during the economic cycle. Design/methodology/approach- the turnaround strategy for sustainability recovery are examined by a case study of NEXT PLC which largest clothing retailer in UK. The outcome combines with previous literature to analysis. Findings- the results indicate that financial control, efficiency operation, focus on core activities and valid top management team can contribute the company to sustainability turnaround. And the financial restructuring can accelerate the turnaround to success. Originality/value- this paper provide the situation that the declining firm can implement the efficiency turnaround strategies to reach sustainability turnaround in the period of economic cycle. Keywords: turnaround, recovery strategies Paper type- literature revie

Online Terms as in Terrorem Devices

Online shopping has quickly replaced the brick-and-mortar experience for a large portion of the consuming public. The online transaction itself is rote: browse items, add them to your cart, and check out. Somewhere along the way, the consumer is likely made aware of (or at least exposed to) the merchant\u27s terms and conditions, via either a link or a pop-up box. Such terms and conditions have become so ubiquitous that most consumers would be hardpressed to find a merchant that doesn\u27t try to impose them somewhere on their website. Though such terms and conditions are pervasive, most consumers do not bother to read them before checking out. Consumers might be surprised by what they would find if they did read the terms and conditions, as many retailers include clauses limiting liability, disclaiming warranties as well as choice of law, forum selection, arbitration, jury waiver, and class action waiver clauses. Many of these clauses are grounded in a practical concern over limiting liability and lowering transaction costs. However, the fact that retailers do not include such clauses as part of their in-store transactions raises the question of whether the retailers are actually concerned with binding consumers to such terms. The apparent lack of importance of these terms is further highlighted by the fact that most retailers use browsewrap terms and conditions to bind their customers, despite browsewrap being one of the least effective methods of making consumers aware of the terms. While these terms and conditions may provide some utility to the companies attempting to impose them, the main benefit may in fact be their in terrorem effect. This is especially true in instances where companies have failed to adequately notify their consumers about the terms\u27 existence. This Article will examine the various methods that are used in online contracting to bind consumers and consider the enforceability of the most common terms. The Article will conclude that the primary incentive sellers have to include such terms on their websites is their in terrorem effect. Though the use of online terms and conditions as in terrorem devices may be appealing economically, the use of browsewrap as the primary notification device ex ante presents moral and ethical issues