KNITTING BRANCH NETWORK EXPANSION VARIABLES TOWARDS AN OPTIMAL INTERPRETATIVE STRUCTURAL MODEL
Abstract
There is a growing interest in retail operations of supermarkets chains due to the dominant position supermarket retailers hold in the downstream supply chains. Current literature agrees that there are less works on his area. The present study is a flagship study investigating on branch network variables with a greater impact. Using a mixed research design (descriptive and exploratory) the study employs hotellings, retail location and queuing theory to establish the relationship between store layout and branch network expansion using a sample size of 300 respondents in supermarket retail operations. With a response rate of 61%, the findings reveal that store layout design is significantly related to branch network expansion and that supermarket retailers should ensure that their layout designs were in congruent to the total supply chain designs of the suppliers, distributors and warehouses. The study proposes that store layout design is a significantly variable to be used in developing an ISM model for branch network expansion.
Keywords: Branch Network Expansion, Store Layout and Design, Interpretative Structural Model
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