ESC
Clarivate

 
Source: Journal Citation ReportsTM from ClarivateTM 2022

Entrepreneurship and Sustainability Issues Open access
Journal Impact FactorTM (2022) 1.7
Journal Citation IndicatorTM (2022) 0.42
Received: 2023-09-15  |  Accepted: 2023-12-10  |  Published: 2023-12-30

Title

Key factors and conditions for implementing the drop-shipping method as an alternative to traditional supply chain


Abstract

The drop-shipping method is an innovative alternative to the traditional supply chain, rooted in the principles of e-commerce. Drop-shipping has gained increasing popularity over the years. The main objective of this research is to identify the key factors and conditions for its implementation as part of the traditional supply chain. An empirical study was conducted among Bulgarian Small and Medium-sized Enterprises (SMEs) from various industries using survey and interview methods to gather the necessary data. Descriptive analysis was employed to examine the characteristics and distribution of the studied variables. Furthermore, regression analysis was conducted to explore the influence of various factors on delivery times and the average number of annual sales. Additionally, a correlation analysis was performed to examine the relationships between suppliers, delivery times, and levels of customer satisfaction when implementing the drop-shipping method. A variation analysis was also carried out to delve into the connections and changes between the two categories of factors – supplier-related and customer-related. The data from this study can serve as guidelines for implementing new innovative delivery methods within SMEs, aiming to provide the necessary factors and conditions for their successful operation.


Keywords

drop-shipping, supply chain, factors and conditions, alternative, e-commerce


JEL classifications

D22 , L21 , L81 , M13 , M15 , M29 , M31


URI

http://jssidoi.org/jesi/article/1155


DOI


Pages

498-515


Funding

This research was funded by Prof. Dr. Asen Zlatarov University – Burgas, Bulgaria, Project NIH 485/2023

This is an open access issue and all published articles are licensed under a
Creative Commons Attribution 4.0 International License

Authors

Dimitrov, Ivan
University "Prof. Dr. Assen Zlatarov", Burgas, Bulgaria https://www.btu.bg
Articles by this author in: CrossRef |  Google Scholar

Koprinkova-Noncheva, Nadezhda
University "Prof. Dr. Assen Zlatarov", Burgas, Bulgaria https://www.btu.bg
Articles by this author in: CrossRef |  Google Scholar

Dimitrova, Adile
University "Prof. Dr. Assen Zlatarov", Burgas, Bulgaria https://www.btu.bg
Articles by this author in: CrossRef |  Google Scholar

Journal title

Entrepreneurship and Sustainability Issues

Volume

11


Number

2


Issue date

December 2023


Issue DOI


ISSN

ISSN 2345-0282 (online)


Publisher

VšĮ Entrepreneurship and Sustainability Center, Vilnius, Lithuania

Cited

Google Scholar

Article views & downloads

HTML views: 500  |  PDF downloads: 236

References


Agatz, N., Fleischmann, M. & Nunen, J. (2006). E-fulfillment and multi-channel distribution - A review, ERIM Report Series. https://repub.eur.nl/pub/7901/ERS-2006-042-LIS.pdf

Search via ReFindit


Ayanso, A., Diaby, M. & Nair, S. (2006) Inventory rationing via drop-shipping in Internet retailing: A sensitivity analysis, Euro-pean Journal of Operational Research, 171(1), pp. 135- 152. https://doi.org/10.1016/j.ejor.2004.07.060

Search via ReFindit


Boyer, K., & Hult, G. (2005). Extending the supply chain: integrating operations and marketing in the online grocery industry. Journal of Operations Management 23(6), pp. 642–661. https://doi.org/10.1016/j.jom.2005.01.003

Search via ReFindit


Chen, F. (2001). Market segmentation, advanced demand information, and supply chain performance. Manufacturing and Service Operations Management 3 (1), pp 53–67. https://doi.org/10.1287/msom.3.1.53.9993

Search via ReFindit


Chopra, S. & Meindl, P. (2007). Supply Chain Management: Strategy, Planning and Operation. Pearson Prentice Hall. pp. 395-396.

Search via ReFindit


Daniel E., Muhammad A., Domenico D. & Laura M. (2014). Fixed, Tethered or Free: The Role of Space and Place in Online Home-Based Businesses, ESRC Seminar Series: Entrepreneurship in Homes and Neighbourhoods, pp., 1-26. https://oro.open.ac.uk/40870/1/Daniel_Anwar_Domenico_2014.pdf

Search via ReFindit


Dimitrov, I., & Koprinkova-Noncheva, N. (2020). E-commerce, as a Modulating Possibility for Application of the Drop-shipping Model, III International Conference on High Technology for Sustainable Development (HiTech), Sofia, Bulgaria, pp. 1-3, https://doi.org/10.1109/HiTech51434.2020.9363980

Search via ReFindit


Fitraharizki, F., & Rahayu, R. (2023). Analysis of Factors Influencing E-Commerce Adoption in MSMEs in Padang City. Jurnal Informatika Ekonomi Bisnis, 5(3), 807-813. https://doi.org/10.37034/infeb.v5i3.648

Search via ReFindit


Hawk, J. (2016). Dropshipping: Six-Figure Dropshipping Blueprint: Step-by-Step Guide to Private Label, Retail Arbitrage, Ama-zon FBA, Shopify, Dropshipping Business Empire, Dropshipping, CreateSpace Independent Publishing Platform, London. https://pdfcoffee.com/dropshipping-six-figure-dropshipping-blueprint-pdf-free.html

Search via ReFindit


Kalakota, R. & Whinston, A. B. (1997). Electronic commerce: A manager’s guide. MA: Addison-Wesley, pp. 22. https://marmamun.gov.np/sites/marmamun.gov.np/files/webform/electronic-commerce-a-managers-guide-ravi-kalakota-andrew-b-whinston-pdf-download-free-book-df76020.pdf

Search via ReFindit


Kaluzhsky, M. (2011). Dropshipping-a revolutionary form movement of goods in the global economic crisis, management and marketing in the innovation economy, Sankt-Peterburg: Info-Da, pp. 172-185. https://mpra.ub.uni-muenchen.de/58197/1/MPRA_paper_58197.pdf

Search via ReFindit


Khouja, M. (2001). The evaluation of drop shipping option for e-commerce retailers. Computers & Industrial Engineering, 41(2), pp. 109-126. 00046-8 https://doi.org/10.1016/S0360-8352(01)

Search via ReFindit


Khouja, M. & Stylianou, A. (2009). A (Q, R) inventory model with a drop-shipping option for e-business. Omega, 37(4), pp. 896-908. https://doi.org/10.1016/j.omega.2008.07.002

Search via ReFindit


Koprinkova-Noncheva, N. & Dimitrov I. (2021). Methods for research of the possibilities for application of the drop-shipping model in Bulgarian small and medium enterprises. Management and Education, 17(1), http://www.conference-burgas.com/maevolumes/vol17_2021/b1_v17.pdf

Search via ReFindit


Li, P.X. & Xie, W. (2012) A Strategic Framework for Determining E-Commerce Adoption. Journal of Technology Management in China, 7, 22-35. http://dx.doi.org/10.1108/17468771211207321

Search via ReFindit


Lu, Z. (2017). Research on the Improvement of Supply Chain Management Under Drop-shipping Model, International Conference on Economic Development and Education Management (ICEDEM 2017), pp. 251-252. https://doi.org/10.2991/icedem-17.2017.65

Search via ReFindit


Ma, S., Jemai, Z., Sahin, E. & Dallery, Y. (2017). The newsvendor problem with drop-shipping and resalable returns, Internation-al Journal of Production Research, 55(22), pp. 6547- 6571. https://doi.org/10.1080/00207543.2017.1324221

Search via ReFindit


Netessine, S., & Rudi, N. (2006). Supply Chain Choice on the Internet, Management Science, 52(6), pp 844-864, https://www.jstor.org/stable/20110561

Search via ReFindit


Pfeffer, J. (2010). Building sustainable organizations: The human factor. Academy of Management Perspectives, 24(1), pp. 34-45, http://www.jstor.org/stable/25682382

Search via ReFindit


Rabinovich, Е., Rungtusanatham, М. & Laseter, Т. (2008). Physical distribution service performance and Internet retailer mar-gins: The drop-shipping context, Journal of Operations Management, pp 1-14. . https://doi.org/10.1016/j.jom.2008.05.001

Search via ReFindit


Rheude, J. (2016). Drop Shipping Fulfillment: Complete Guide, Dipetik. https://redstagfulfillment.com/drop-shipping-fulfillment-complete-guide

Search via ReFindit


Tornatzky, L. and Fleischer, M. (2001). The process of technological innovation.Lexington, MA: Lexington Books

Search via ReFindit


Vellve, F. & Burgos, S. (2018). Dropshipping in e-commerce: the Spanish case, Esic Market Economics and Business Journal, Vol. 49, Issue 2, pp. 285-310, May-August. https://www.studypool.com/documents/27310326/09-dropshipping-in-e-commerce-the-spanish-case-author-francisco-j-s-nchez-vellv-sara-lorena-milla-burgos

Search via ReFindit


Waksman K. (2016). Starting a Drop Shipping Business. https:// www.thebalance.com/starting-a-drop-shipping-business-3502193

Search via ReFindit


Yao D Q, Kurata H., & Mukhopadhyay S K (2008). Incentives to reliable order fulfillment for an Internet. Drop-shipping supply chain [J]. International Journal of Production Economics, 113(1): 324-334. https://doi.org/10.1016/j.ijpe.2007.09.002

Search via ReFindit


Zhao, J., Duan Y. & Wang, S. (2013). Commitment contract in dual channel dropshipping supply chain, Journal of System and Management Sciences, 3(3), pp. 51-57. https://doi.org/10.1007/978-3-642-32054-5

Search via ReFindit