Pricing Policies in a Dual-channel Supply Chain with Manufacture Services

DOI

10.2991/cisia-15.2015.203How to use a DOI?

Keywords

dual channel supply chain; pricing; service quality; game

Abstract

With the rapid development of network and information technology, online channel as a new business model has improved the structure of offline channel, but also caused a huge impact on offline channel, channel competition has entered the online channel. Manufacturer in this paper has only one online channel, retailer has both traditional distribution channel and online channel, we establish two game models based on Stackelberg game and Bertrand game separately.Our models focuse on the manufacturer's and the retailers' competition strategy of price under different service quality. Finally, we analyze the manufacturer's and the retailer's profit by numerical experiment. Numerical results reveal that the more consumers give perference to online channel,the lower prices are. With the improvement of service quality, the prices of both side increase. Although the retailer does not provide any service, but by raising the price of it's products, it can benefit from the manufacture's service. The manufacturer always prefers to be the price leader.

Copyright

© 2015, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - J.F Tian
AU  - T.J Fan
AU  - J.L Hu
PY  - 2015/06
DA  - 2015/06
TI  - Pricing Policies in a Dual-channel Supply Chain with Manufacture Services
BT  - Proceedings of the International Conference on Computer Information Systems and Industrial Applications
PB  - Atlantis Press
SP  - 746
EP  - 749
SN  - 2352-538X
UR  - https://doi.org/10.2991/cisia-15.2015.203
DO  - 10.2991/cisia-15.2015.203
ID  - Tian2015/06
ER  -