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An identification of warehouse location in Thailand

Assadej Vanichchinchai (Faculty of Engineering, Mahidol University, Nakhon Pathom, Thailand)
Songwut Apirakkhit (Thai-Amadeus Southeast Asia Co., Ltd, Bangkok, Thailand)

Asia Pacific Journal of Marketing and Logistics

ISSN: 1355-5855

Article publication date: 11 June 2018

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Abstract

Purpose

The purpose of this research is to identify a province in Thailand where total transportation cost for shipping grocery goods from this province to customers in all other provinces is the lowest.

Design/methodology/approach

Transportation distances among provinces, freight rate and the number of population in each province were gathered. Total transportation cost was computed by taking distance, tapering freight rate and population including that in original province into account.

Findings

Based on pre-set assumptions, it reveals that Saraburi province has the lowest total transportation cost.

Research limitations/implications

This research emphasizes only transportation cost. For future research, other monetary and non-monetary factors such as land, labor, investment incentive, local government regulation should be considered together.

Practical implications

This is an industry-based research especially for retail and fast-moving consumer goods businesses.

Originality/value

This practitioner paper is one of the first to identify population, freight rate and distance-based warehouse location which can be determined as a location for Thailand’s logistics hub, particularly for retail or fast-moving consumer goods business in Thailand.

Keywords

Acknowledgements

This paper is revised and expanded version of Vanichchinchai, A. and Apirakkhit, S. (2016). “A distance and population-based Location for Thailand’s Logistics Hub” in the 7th International Conference on Operations and Supply Chain Management 2016 Proceedings of the International Conference in Phuket, Thailand, 18-21 December 2016, Mahidol University and Sepuluh Nopember Institute of Technology, pp. 71-77. The authors would like to thank the editor and anonymous referees for their constructive reviews, and thank Dr Anna Fraszczyk and Dr Detcharat Sumrit for language editing and valuable comments.

Citation

Vanichchinchai, A. and Apirakkhit, S. (2018), "An identification of warehouse location in Thailand", Asia Pacific Journal of Marketing and Logistics, Vol. 30 No. 3, pp. 749-758. https://doi.org/10.1108/APJML-10-2017-0229

Publisher

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Emerald Publishing Limited

Copyright © 2018, Emerald Publishing Limited

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