Co-evolution between etailing and parcel express industry and its geographical imprints: The case of China

This study conceptualizes the relationship between etailing (e-retailing) and the parcel express industry (PEI) and analyzes their co-evolution in China. Four operational models of etailing are discussed in the context of their intertwining relations with different forms of parcel express services. This co-evolution generated compound outcomes because of the late start of PEI and the fast growth of online shopping in China. These four models coexist, with two standing out as major types that suggest future directions. Two major geographical imprints of this process are explained and conceptualized: (1) the zonal delivery strategy by supply-chain-based e-merchants, which is conceptualized into a choice model of order-fulfilling locations to strengthen timely delivery; and (2) the Baoyou strategy advocated by e-market-based retailers and their logistic support for a slower, low-cost market of larger geographical coverage compared to the first strategy. Both strategies demonstrate that co-evolution is not only a path-dependent process but is also associated with place-dependent institutions.

[1]  Kenneth K. Boyer,et al.  THE LAST MILE CHALLENGE: EVALUATING THE EFFECTS OF CUSTOMER DENSITY AND DELIVERY WINDOW PATTERNS , 2009 .

[2]  Ronald H. Ballou,et al.  The evolution and future of logistics and supply chain management , 2007 .

[3]  M. Hesse,et al.  The transport geography of logistics and freight distribution , 2004 .

[4]  Markus Hesse,et al.  The City as a Terminal: The Urban Context of Logistics and Freight Transport , 2008 .

[5]  R. Boschma,et al.  Why is economic geography not an evolutionary science? : towards an evolutionary economic geography , 2004 .

[6]  Alan C. McKinnon,et al.  Unattended delivery to the home: an assessment of the security implications , 2003 .

[7]  P. Raven,et al.  BUTTERFLIES AND PLANTS: A STUDY IN COEVOLUTION , 1964 .

[8]  E. Voorde,et al.  Characteristics and Typology of Last-mile Logistics from an Innovation Perspective in an Urban Context , 2011 .

[9]  Jan Fabian Ehmke,et al.  Integration of Information and Optimization Models for Routing in City Logistics , 2012, International series in operations research and management science.

[10]  Edmund Prater,et al.  Distribution and logistics development in China: The revolution has begun , 2002 .

[11]  Markus Hesse,et al.  Cities and flows: re-asserting a relationship as fundamental as it is delicate , 2013 .

[12]  E. Schamp.  On the Notion of Co-evolution in Economic Geography , 2010 .

[13]  Hau L. Lee,et al.  Winning the Last Mile of E-Commerce , 2001 .

[14]  Mohdzaher B. Mohdzain,et al.  Co-evolution of Supply Chain Strategies and Technologies , 2009 .

[15]  Peter V . Hall and Markus Hesse.  Reconciling cities and flows in geography and regional studies , 2012 .

[16]  Maria Madlberger,et al.  The Last Mile in an Electronic Commerce Business Model - Service Expectations of Austrian Online Shoppers , 2005, ECIS.

[17]  William P. Anderson,et al.  E-commerce, Transportation, and Economic Geography , 2003 .

[18]  K. O'connor,et al.  Global city regions and the location of logistics activity , 2010 .

[19]  Jjj Wang.  Logistics in China , 2006 .

[20]  Tom Cherrett,et al.  Addressing the Last Mile Problem , 2009 .

[21]  M. Christopher,et al.  An Integrated Model for the Design of Agile Supply Chains. , 2001 .