Case Study: Innovations in Distribution Strategy.


t the center of highly populated urban cities have succeeded due to market availability and the ease with which there can be distribution to customers (Perreault, Cannon & McCarthy, 2014). This also means that urban and rural market is an important factor because urban markets have likelihood of having more customers and multiple orders as against rural markets. The other characteristic that is seen about businesses that can succeed with same-day delivery has to do with funding. This is because of the evidence that was gathered about the failure of Urbanfetch due to lack of funds (Chopra, 2013. With this said, it will be said that evidence of home delivery reducing any cost (Lam & Postle, 2006).

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There are some trade-offs that companies seeking to go into same-day delivery may have to bear. Trade-offs occur when a company has to loss one for of quality so as to get a retained gain for another quality. With this said the major trade-off that companies are likely to go through as a result of going into same-day delivery is the type of product that is offered. Is this because product type serves as one important factor that affects the logistics business and for that matter same day delivery. Every often, products that are considered portable, durable and light weighted are more accommodating for courier services and thus same-day delivery (Perreault, Cannon & McCarthy, 2014). Such products cost the distributor less and thus make the whole business very cost efficient. The implication here is that if a company wants to go into same-day delivery and succeed in this business, it ought to consider losing out on its type of products if these are not the types that are easily conforming to this principle. It is under such circumstance that the inventory mix can be made simple rather than complex for the company.

Having said all the above, it will be stressed that there are factors that relate to innovation that have the likelihood of increasing success with same-day

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