Implementing proactive range management – requirements on timber suppliers from a business model perspective
(English)Manuscript (preprint) (Other academic)
A supplier to a retailer that influences what products customers are buying, with the aim to achieve an increased cost-efficiency in the distribution channel, can be said to have a proactive range management (PRM) offering. In implementing this offering, new requirements appear for the supplier as new responsibilities appear that are usually unfamiliar for passive product suppliers. By applying a business model perspective, an effort is made to identify these new requirements. The ARA model is then used for structuring the requirements. It is concluded that the transition from being a traditional product supplier to implementing a PRM offering implies significant changes in what activities to perform, what resources to hold and what actors, or customers, to approach with the new offering. The business model construct has also appeared as useful for identifying these requirements. The managerial implication is that the decision of implementing a PRM offering and influencing the product range of customers implies major changes for the business and has to be supported by the overall structure of the firm.
Proactive range management, business model, retail, ARA model
Economics and Business
IdentifiersURN: urn:nbn:se:liu:diva-95559OAI: oai:DiVA.org:liu-95559DiVA: diva2:636037