Abstract
In resent years, distribution and marketing system is requested to change drastically by digitalization of social system. In another word, distribution and marketing system will be disbanded and customer support system which takes a serious view of demand side will be developped rapidly.
Therefore, strategy of physical distribution system is also requested to change to network strategy which is based on collaboration thought. So strategy of physical distribution system of department stores is expected to reform as a new form of management innovation system.
And then, on the bases of these critical mind as an approach of innovation in physical distribution of department stores, I will mention about prospects of business logistics of department stores from the view point of merchandising strategy and customer service strategy.