Logistics Solutions for China

B2C or Business-To-Consumer is a transaction that occurs between a company and a consumer, as opposed to a transaction between companies (called B2B). The term may also describe a company that provides goods or services for consumers.

B2C e-commerce requires a logistic system that is capable of distribution to wide scattered customers. However, providing this service may bring higher set-up and management costs of the distribution center, as well as some other costs. One example would be the costs of returning or repairing of unqualified products, the duplicated packaging costs, etc.

An automatic packaging and taping machine system combined with specially formulated carton sealing tape is what you need to optimize your company's operational efficiency and reduce production costs. BestPack is the total tape sealing solution with specially formulated lines of carton sealing tape, as well as eighty different models of taping machines: carton sealers, case formers and case erectors.

SooBest is a retail company that has sought to provide a solution for the logistics concern for China’s B2C transactions. Currently it has two logistics models that can be explored by fellow B2C actors.

The first model is the Self-logistics Model in which the ownership of distribution channels is a prerequisite, perhaps even including their own manpower and specialized equipment such as taping machines. This distribution system has more cost advantages; fewer funds are taken up; as well as the self-logistics system can enhance the liquidity and reduce the cost of capital.

Third-party Logistics Model is the second model. This presupposes that most B2C businesses are run in small scales, with limited economic strength, and thus not able to build a self-logistics system. Besides, usually dealing with small and scattered markets, these B2C enterprises can hardly bear the generally high costs of self-distribution. It is difficult even to those B2C companies who already own a self-logistics system. When their business involves a larger area, working with a third-party logistics company will be necessary, due to the following cost advantages: First, storage costs are decreased. The cooperation with a third-party logistics entity enables the B2C enterprise to minimize inventory and even achieve zero inventory, and meanwhile ensures the security of supply. Thus the storage costs will be reduced.

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