Consumer Choice, Firm Performance and Channel Coordination in a Dual-Channel Distribution System
Consumer Choice, Firm Performance and Channel Coordination in a Dual-Channel Distribution System作者机构:University of Science and Technology of China Hefei China
出 版 物:《American Journal of Operations Research》 (美国运筹学期刊(英文))
年 卷 期:2014年第4卷第4期
页 面:217-227页
学科分类:1002[医学-临床医学] 100214[医学-肿瘤学] 10[医学]
主 题:Dual-Channel Encroachment Consumer Choice Win-Win Zone Game Theory Channel Coordination
摘 要:The expanding role of the Internet in consumer purchasing activities has created substantial new opportunities accessing to end-consumers. More and more manufacturers are beginning to sell products to potential consumers directly online while continuing to sell through the traditional brick-and-mortar retailers, a phenomenon leading to intense channel competition and conflicts. Using game theory, this research examines the effect of market segments, consumer choice and the acceptance of direct online channels on firm performance and the whole system’s profit. The analysis indicates that the addition of direct online channel does not necessarily harm the incumbent retailers. A win-win zone is proposed, in which both the manufacturer and the retailer benefit from the encroachment.