Feasibility study for the implementation of Taobao´s 4PL

In this paper, we illustrate the feasibility of Taobao´s implementation of 4PL from economy, technology, 3PL´s participation and profitability. This paper prove the feasibility for the 3PL enterprises to participate in Taobao´s 4PL, using Bertrand.J oligopoly model. It bulid revenue model through simplifying the model of cooperation between 3PL and 4PL in Wang nan´s paper, using supply and demand relation under conditions of modern market economy, and demonstrate the feasibility in of Taobao´s implementation of 4PL. Finally, we can arrive at the conclusion that it is feasible for Taobao´s implementation of 4PL from these four angles.