Structure selection and coordination in dual-channel supply chains
Abstract: This paper
investigates the influence of channel structures and channel coordination on
the supplier, the retailer and the entire supply chain in the context of two
different kinds of marketing models: The common retailer and the exclusive
shop.
Methodology: With suppliers who manufacture the alternative commodities
and retailers in the dual-channel supply chains as the object of the research,
this paper compares suppliers' profits, consumer utility without coordination
and contrasts suppliers' and retailers' profits with coordination to determine
the range of the revenue sharing rates and which parameters are related.
Findings: The analysis suggests the preference lists of the supplier and
the retailer over channel structures with and without coordination are
different, and depend on parameters like channel basic demand, channel cost and
channel substitutability.
Originality/value: In this research, new sales model for two suppliers
should choose the same retailer or the exclusive retailers to sell their
commodities.
Author: Jingjing Cai, Jing Wu,
Meidan Xiao, Bin Liu, Wenliang Wang
Journal Code: jptindustrigg150035
