Pricing And Coordination Strategies For J Garment Company Based On BOPS Multi-channel Supply Chain

With the promotion of modern Internet technologies,online and offline links have become increasingly close.Relying on the Internet,the clothing sales industry has set up new platforms and tried the two-channel and multi-channel sales models to break through the online and offline information and inventory barriers.In recent years,COVID-19 has been falling in one area but rising in other cities constantly.In response to the announcement of the government and in compliance with epidemic prevention policies,stores in the clothing industry have obeyed policies to close offline stores,which has been exposed to a certain extent to offline economy.At present,prevention and control have entered a stable period,and large shopping malls and offline stores have opened one after another.However,it is not difficult to find that clothing selfemployed households are far more affected by the "Black Swan" incident like COVID-19 than large clothing manufacturing companies or chain enterprises,and they have discounted their positions and closed their stores for transfer.J Garment Company,a clothing chain manufacturing and sales enterprise has increased its supply chain resilience against the impact of the "Black Swan" event,and its offline stores are also in the process of gradually recovering their operations.For the company,the offline stores distributed across the country before the epidemic are the main sales channels and profit sources of the company.In the post-epidemic era,how to adjust the online and offline sales mode,re-energize the offline stores,coordinate the relationship with its authorized stores,and make pricing and service decisions in the context of many channel supply chains is the problem that J Clothing Company needs to solve at present.Based on an overview of the current research on the pricing and coordination of clothing sales services,including service spillovers,service efforts,and multi-channel supply chain,this dissertation firstly analyzes the multi-channel operation condition of J Clothing Company after introducing the BOPS(Buy Online and Pick it up in the Store)sales model and finds that J Clothing Company’s operation,service efforts The problems in the three aspects of relationship coordination of authorized stores include:the serious loss of customers in offline stores,the waste of value-added services in offline stores after the introduction of BOPS,and the low enthusiasm of offline authorized stores in introducing new channels.Then,we refined the secondary supply chain composed of J Clothing Company and its authorized stores,and J Clothing Company was the leading party of the supply chain.We established two different pricing models,containing the traditional dualchannel supply chain and the supply chain after introducing the BOPS mode,in order to solve the supply chain pricing,service,and profit situation in the two cases,and made a comparative analysis.We found that the introduction of the BOPS channel increased the pricing of both parties,regardless of centralized or decentralized decision-making,For J Clothing Company and authorized stores,there are incentives to invest more in new channels.In terms of the multi-channel supply chain after the introduction of BOPS,the results of pricing and service performance under centralized decisionmaking are better than ones in the situation of decentralized decision-making.Then,on the basis of the results,further model analysis and sensitivity analysis are carried out,so it is useful to study whether the market scale expansion coefficient,value-added service cost coefficient,inter-channel interaction factors,etc.will affect the pricing,service value,and profits of all parties in the multi-channel supply chain.We found that the increase in service costs after adding BOPS multi-channel influences the enthusiasm of licensors greatly.Therefore,it is necessary to consider actions we can do to coordinate and optimize the supply chain from the perspective of the service cost and the degree of interaction between channels.Finally,on the basis of discussing different parties that profits of the BOPS channel can be included in,introduce relevant contracts and explore the effectiveness of the contracts.Specifically,the BOPS channel revenue sharing contract and service costsharing contract based on the situation that BOPS profits are included in J Clothing Company,as well as the benchmark model,service cost-sharing contract and order quantity discount contract based on BOPS channel profits included in authorized stores.It is found that for authorized stores,their enthusiasm will be greatly inspired with the order quantity cintract when the BOPS channel profit is included in the authorized stores.For the J Clothing Company that is the leading party and the supply chain as a whole,when the BOPS channel profit,the service cost-sharing contract is included in J Clothing Company can more balanced ensure that the profits of all parties are not damaged and play an incentive role,so from the supply chain as a whole,the service cost-sharing contract when the BOPS channel profit is included in J Clothing Company is preferred.This kind of mutual cooperation between channels is conducive to the promotion of the multi-channel supply chain of BOPS,the positive spillover effect from online to offline after the introduction of the multi-channel supply chain of BOPS.Ultimately it benefits a lot to the coordinated development of the whole supply chain,helps J Clothing Company optimize the multi-channel operation strategy and increases the close and effective cooperation with authorized stores.