Abstract: In China,with development of family appliances logistics (FAL) and the policy “familyappliances to the countryside”, FAL costs become higher, and the logistics supplychain need to be changed. This paper proposes the idea of logistics value chainand logistics value chain alliances, which constructed by the third-partylogistics providers, family appliances manufactures, distributors and customers.On that basis, value chain management is considered as a method which can be introducedinto FAL to cut down the logistics costs with "value creation", sothat all the members in logistics value chain can gain the added value, i.e.logistics profits, which come from the reduced logistics costs. At the sametime, all of the corporative partners in the logistics value chain will achievewin-win.

Keywords:value chain, logistics value chain, familyappliances logistics, value creation 

1 Introduction

About the modes of family appliances logistics (FAL), X. HAO (2003)proposed that there are three typical ones in China, Haier Mode, Attand Modeand Ande Mode (Haier, Attand and Ande are all logistics enterprises, and theyhave good performances in China). FAL is a complex and complete logistics systemwith huge investing of capital and human resource. By appearance, FAL is a flowfrom origin to destination of articles, but in the background, the flowincludes also the information of customers’ requirement, the levels of servicesand inventory, and finally the flow involves the logistics profits. Althoughlogistics is the third profits resource for manufacture enterprises, in a way,logistics can also result in a “black hole” and reduce the enterprise profitswithout appropriate planning and controlling. ^[1] 

From the view of supply chain, X. ZHOU and W. ZHAO (2006) pointed outthat more distributors (such as GOME and SUNING, they are large-scalesupermarkets of FA in China)have changed their distribution modes from traditional channel distribution tochain stores distribution. But the channel management becomes more complex andconfused, which brings the troubles in supply chain management (SCM) of FA.Therefore, it is necessary to revolute the SCM of FA in China, so as to coordinate thedistribution, channel, and logistics. ^[2]