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ISSN : 1738-3110

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Vol.12 No.3

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A Study on a Mutual Win-Win Growth Strategy for Korean Supermarkets

The Journal of Distribution Science / The Journal of Distribution Science, (P)1738-3110; (E)2093-7717
2014, v.12 no.3, pp.43-53
https://doi.org/https://doi.org/10.13106/jds.2014.vol12.no3.43.
Park, Han-Hyuk
Kang, Dong-Nam
Lee, Sang-Youn
Park,, H. , Kang,, D. , & Lee,, S. (2014). A Study on a Mutual Win-Win Growth Strategy for Korean Supermarkets. The Journal of Distribution Science, 12(3), 43-53, https://doi.org/https://doi.org/10.13106/jds.2014.vol12.no3.43.

Abstract

Purpose - This study suggested a practical model for super supermarkets (SSMs) and small- and medium-sized stores to grow together. Super centers expanded their business. However, after the retail distribution law was revised in 2009, mutual cooperation between large and small enterprises resulted in social issues and people raised the issue of profitability. Research design, data, and methodology - This study investigated cases of regulation over distribution in Japan, France, and other countries to reveal implications and recommendations. Results - This study demonstrated how SSM and middle and small supermarkets could grow together by franchising and using cooperative society law. Franchising was a mutual growth model whereby the franchiser provided franchisees with large enterprise systems and utilities while franchisees could provide the franchiser with local information. They could thus build trust in each other to facilitate a mutual growth model. Further, the voluntary franchise system's model facilitated the mutual growth model. Conclusions - This study demonstrates that the franchise system and cooperative society could constitute an ideal model whereby large enterprises and middle and small stores could rely upon each other and grow together.

keywords
SSM, Middle or Small Supermarket, Mutual Cooperative, Franchise System, Cooperative Society

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