Contents
1 . Introduction. 1
2 . The Present Situation. 2
2 .1. The Characteristics of the Three Types of Products. 2
2 .2. The Location of the Present and Future Markets for the Three Types. 3
2 .3. The Present Supply Chain Structure. 3
3 . Tsuomo's Wishes for “New Supply Chain”. 4
3 .1. Terms Of Required Market Performance. 4
3 .2. Terms of the Legal Structure. 5
3 .3. Terms of the Control Structure and Information Structure. 6
4 . The 5 Companies. 7
5. My Suggested Solution For Tsuomo. 12
Bibliography. 14
Anderson, S.W. & Lanen, W.N., "Using Electronic Data Interchange (EDI) to Improve the Efficiency of Accounting Transactions", The Accounting Review 77(4), 2002, pp. 703-729. 14

1 . Introduction Since 1934, when Tsuomo was set up in Changwon, South-Korea and began trading agricultural products with China.
his ambition was making noodles for the home-market. But through the years, Tsuomo Industries developed and grown to be what is known in Korea as a "chaebol" – a conglomerate of many different companies, like Samsung, Hyundai and other concerns – active in many different fields of business.
After the Korean War (1950-1953) Tsuomo Industries included a lot of companies, and  had to start up all over again. Probably, it was the fault of the American Marshall, Plan, that the reconstruction of the Korean economy took too slow start. Just when general Park,  the new political leader, decided to build an export-oriented industry, in order to obtain economic growth, the Korean economy started growing, and Tsuomo Idustries became the second largest Korean exporter. Exports grew from US$ 580,000 in 1967 to US$ 40 million in 1972 and recorded total revenues of US$ 72 billion in 1997.
The core activities of Tsuomo Idustries can be concentrated in three categories:
Industrial machinery Computers and electronic equipment Transport equipment Tsuomo wishes to build a logistics system that serves each supply chain optimally. However, it wishes to have a similar control structure for each of the three supply chains. Furthermore, it seeks to reduce the number of contract parties for its logistics system dramatically. A small number of logistics service providers should manage an entire supply chain.
In this paper, I wish to advise Tsuomo Industries, New logistic system, that will create added value for Tsuomo Industries. In that logistic system, I strive to reduce the number of contract parties and the non-core activities of Tsuomo. Of course, there is the problem, that all companies want to maximize their own contribution to the current system. Any how, I will try to find a balance between the companies, and to offer a solution, though possible conflict between the companies. I'll try to do it, by using the relative advantage of every one of 5 companies in total logistic mission.