This study is designed to set up a comprehensive plan for improving the distribution system of agricultural products in the city of Mungyeong. For this purpose, the study analyzed the current status and problems of the distribution system and presented strategies for building strong agricultural product brands and a basic plan for establishing a new distribution facility in Mungyeong.
Chapter 2 summarizes the changes and prospects of the agricultural products distribution system. The changing of the distribution environment requires marketing strategies that can satisfy various consumers' needs, a distribution system that makes the best use of the IT (information technology) industry, and brand marketing strategies to manage and develop a successful brand.
Chapter 3 examines the current situation and problems of agricultural products distribution in Mungyeong. Even though Mungyeong is a main producing district of apples and the fruit of Maximowiczia typica, the production scale of most agricultural products is small. In the case of apple, in particular, the negotiating power and the level of brand recognition and consumer loyalty are remarkably low because of confusingly similar brands.
Chapter 4 suggests a direction for improving the agricultural product distribution system in Mungyeong through an SWOT analysis (Strength, Weakness, Opportunity, and Threat analysis). In order to improve the distribution system, it is necessary to 1) build a strong brand asset and nationally famous agro-food brands, 2) establish strategies for reinforcing the market negotiating power and market strength, 3) set up strategies to differentiate the brand of Mungyeong from others, 4) and establish strategies to connect and integrate a new distribution facility with the existing ones. On top of that, a general distribution center for agricultural products needs to be built in Mungyeong as it was found to be most suitable among five possible types of distribution facilities.
Chapter 5 presents the basic direction of the general distribution center, including basic concept, main functions, proper volume of business, suitable scale and working expense of the center. The estimated dealing volume of the general distribution center is about 130,340 tons with a proper floor space of 17,802㎡. In addition, the cost of construction is about 26 billion won.
Chapter 6 introduces the operating plan of the general distribution center. Although the type of an operating organization can vary, the best type is a consortium of regional associations, and the operating organization must be chosen based on an objective valuation through open bidding.
Chapter 7 presents brand strategies to market agricultural products of Mungyeong. The general brand strategy of Mungyeong is to unify disjointed brands into a joint brand so that consumers can easily recognize high-quality agricultural products of Mungyeong.