Dongdaemun Fashion and Innovation of Logistics System


As is widely known, Dongdaemun market is a global shopping district that sells designers’ fashion products at low prices. In Dongdaemun market, however, its market competitiveness based on low price has been weakening gradually due to rising wages and other costs.

In the late stages of development, it is true that Dongdaemun market is difficult to avoid the trend of wage increase., Furthermore, it is a big problem of the market that the cost is not reduced due to the inefficiency of physical distribution.

We know about the Amazon effects, which have recently come up with an amazing business wave. As CEO Jeff Bezos said, Amazon’s mission is simple. They are trying to discover what products the global consumers want to buy and deliver the products to everyone on the planet. To improve its performance and cost factors, Amazon is investing heavily in the mechanization of its warehouses.

We should know that the key to Amazon’s success is, more than anything else, driven by logistics innovation and its application. Like everyone, we should be interested in Amazon’s business strategy and its growth.

Fortunately, LogisALL, a partner company of SeoulClick, was declared that it is planning a logistics rationalization business so that the Dongdaemun market can overcome the difficulties of low efficiency and high cost.

As we are now discussing, Dongdaemun market still has a high cost factor due to the inefficiency of physical distribution and its market competitiveness is low. In this situation, LogisALL is preparing a logistics information system for the ultra-modernized integrated co-distribution system, quick service, delivery agency, trunk delivery system, combination and distribution of cargo, packaging and transportation.

 Perhaps the choice for such a strategic tool can drastically reduce the high cost factor in Dongdaemun market. Suh Byong Yoon, CEO of LogisALL, stated his company’s management philosophy. +

“We are trying to create a new logistics system, to create the value for logistics and coexist with our customers through this. Our company LogisALL pursues win-win management performance with customers as it means ‘Total Logistics Alliance’.”

 -One of the popular Dongdamun fashion items we exported last week, seoulclick.com-

After overcoming the crisis in the Corona 19 pandemic, hopefully, Dongdaemun market people will be able to get opportunities for management innovation, such as improving the logistics system.

“Opportunity doesn’t make appointments; you have to be ready when it arrives.” ++

In Korea, most companies have increased their international competitiveness thanks to the development of the ultra-modern system of national logistics achieved in the 1990s. On the other hand, even though the commercial distribution system was developed, Dongdaemun market still has high cost factors without achieving innovation in the logistics system.

Just as someone said opportunity is manufactured, Dongdaemun market will draw a V-shaped curve of sales growth after the crisis if innovation of physical distribution is ready.

Such a golden opportunity is too good for us to miss.

+ www.logisall.co.kr
++ Tim Fargo, CEO of Tweet Jukebox, The Big Book of Business Quotations (Johnnie L. Roberts, 2016)
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Bong Sul (Advisor, SeoulClick)
 Read more: Bong (Bong Sik) Sul, Dongdaemun Style, ebook.kstudy.com, Seoul, 2019.

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