Economics and Business Management

Adaptation of business structures of wholesale and retail trade in food products to crisis phenomena using logistics mechanisms

Mykola Ilchuk, Anastasiia Kyrychenko, R. Liubar, Olha Tomashevska, Ye. Ivanov
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Abstract

Logistics adaptation mechanisms in food trade provide a flexible response to market changes through supply optimisation, interaction between wholesale and retail, digitalisation, and cost reduction while maintaining quality. The paper examines the adaptation of wholesale and retail trade structures to economic and social instability caused by war, inflation, changes in demand and digital transformation through the use of logistics mechanisms. The purpose of the study was to improve logistics strategies, considering the specifics of the functioning of various types of commercial enterprises. The methodological basis was the structural and functional approach, comparative typological analysis, and the construction of economic and mathematical models. Analysis of the dynamics of retail enterprises in 2010-2023 revealed a significant reduction in their number in all segments, which indicates a structural transformation of retail and wholesale trade in the context of digitalisation and changes in consumer practices. The paper systematised participants in wholesale and retail trade in food products in Ukraine, considering specialisation, scale, and logistics functions. The features of the market, the level of logistics integration, and the adaptability of operators to external changes were determined. Based on statistical data for 2014-2023, an analysis of the volume of sales of food products and the dynamics of value added in the wholesale and retail trade sectors was carried out. In 2023, the volume of sales in retail trade in food products amounted to: in non-specialised stores –594.0 billion UAH; in specialised stores –28.0 billion UAH; from stalls and markets –0.3 billion UAH, while in wholesale: in specialised stores –670.0 billion UAH; in non-specialised stores –107.7 billion UAH. The highest relative change in value added in terms of production costs from 2023 to 2014 can be traced in specialised wholesale enterprises and amounted to 747.4%. Two mathematical models were proposed: for wholesale enterprises – with the priority of supply stability, effective inventory management and minimisation of logistics costs; for retail enterprises – with a focus on rapid rotation of the range, flexible response to demand, and maximisation of profitability. A flowchart of the adaptive decision-making algorithm in logistics was constructed. The practical significance of the study was to develop tools for improving the sustainability of commercial enterprises in the face of external threats

Keywords

market turbulence; changes in the business environment; forms of trade; flexibility of commercial structures; sales models; logistics management

Suggested citation
Ilchuk, M., Kyrychenko, A., Liubar, R., Tomashevska, O., & Ivanov, Ye. (2025). Adaptation of business structures of wholesale and retail trade in food products to crisis phenomena using logistics mechanisms. Economics and Business Management, 16(3), 27-49. https://doi.org/10.31548/economics/3.2025.27
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