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The Optimal Cooperative Relationship Evaluation Obtained Using TOPSIS Method

Yueh-Hua Lee, Chung-Chu Chuang, Feng-Yi Wu

Abstract



Achieving optimal cooperative relationship is a growing concern among members of market channels because all members of the retail industry are increasingly linked to each other. The enterprises have a good cooperative relationship with the distributor to increase revenue, whereas a poor relationship improves the cost of communication. This study, using the Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) method for normalizing the collected data, is to investigate the distributors in food industry. Each criteria weight setting and the best revenue selection fully consider the cooperative relationship simultaneously from coercive power, communication, economic satisfaction and non-economic satisfaction. The results show that the optimal cooperative relationships exist for companies with revenues between 100 million to 500 million. Finally, this study proved that TOPSIS can be utilized in the business cooperative decision topic of discussion and could be followed in the subsequent related study.

Keywords


Power, communication, satisfaction, Technique for Order Preference by Similarity to Ideal Solution (TOPSIS).

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