With the rapid development of the Internet, many manufacturers nowadays are increasingly adopting a dual-channel to sell their products, i.e., the traditional retail channel and online direct channel. In this paper, we focus on retail service, manufacturer’s direct service and quality effort, and present an analytical framework to examine the optimal decisions in dual-channel supply chain between the manufacturer and the retailer. Considering the efficacy of different supply chain structures, centralized and decentralized models are established. By using the backwards induction and the two-stage optimization technique in Stackelberg game, the corresponding analytical equilibrium solutions are obtained. Our analysis shows that the degree of customer loyalty to the direct channel strongly influences the manufacturer’s and the retailer’s services and quality strategies in the decentralized dual-channel supply chain, but not in the centralized model. Our results also point out that compared to centralized model, for any given selling price, the ratio of profit margins of selling one unit in the direct and retail channels determines the retailer’s service strategy; and the manufacturer will raise the level of direct channel service, but put less effort on quality improvement in the decentralized model. Finally, numerical examples present the contrasting view that disparate interests within a dual-channel supply chain can actually realize improving outcomes.
Mots-clés : Dual-channel, retail services, manufacturer services, quality effort
@article{RO_2020__54_4_1041_0, author = {Chen, Jiumei and Zhang, Wen and Liu, Zhiying}, title = {Joint pricing, services and quality decisions in a dual-channel supply chain}, journal = {RAIRO - Operations Research - Recherche Op\'erationnelle}, pages = {1041--1056}, publisher = {EDP-Sciences}, volume = {54}, number = {4}, year = {2020}, doi = {10.1051/ro/2019024}, mrnumber = {4100697}, language = {en}, url = {http://www.numdam.org/articles/10.1051/ro/2019024/} }
TY - JOUR AU - Chen, Jiumei AU - Zhang, Wen AU - Liu, Zhiying TI - Joint pricing, services and quality decisions in a dual-channel supply chain JO - RAIRO - Operations Research - Recherche Opérationnelle PY - 2020 SP - 1041 EP - 1056 VL - 54 IS - 4 PB - EDP-Sciences UR - http://www.numdam.org/articles/10.1051/ro/2019024/ DO - 10.1051/ro/2019024 LA - en ID - RO_2020__54_4_1041_0 ER -
%0 Journal Article %A Chen, Jiumei %A Zhang, Wen %A Liu, Zhiying %T Joint pricing, services and quality decisions in a dual-channel supply chain %J RAIRO - Operations Research - Recherche Opérationnelle %D 2020 %P 1041-1056 %V 54 %N 4 %I EDP-Sciences %U http://www.numdam.org/articles/10.1051/ro/2019024/ %R 10.1051/ro/2019024 %G en %F RO_2020__54_4_1041_0
Chen, Jiumei; Zhang, Wen; Liu, Zhiying. Joint pricing, services and quality decisions in a dual-channel supply chain. RAIRO - Operations Research - Recherche Opérationnelle, Tome 54 (2020) no. 4, pp. 1041-1056. doi : 10.1051/ro/2019024. http://www.numdam.org/articles/10.1051/ro/2019024/
[1] Game theoretical perspectives on dual-channel supply chain competition with price discounts and pricing schemes. Int. J. Prod. Econ. 117 (2009) 80–96. | DOI
, and ,[2] Dual sales channel management with service competition. Manuf. Serv. Oper. Manage. 10 (2008) 654–675. | DOI
, and ,[3] Price and quality decisions in dual-channel supply chains. Eur. J. Oper. Res. 259 (2017) 935–948. | DOI | MR
, , and ,[4] Direct marketing, indirect profits: A strategic analysis of dual-channel supply-chain design. Manage. Sci. 49 (2003) 1–20. | DOI | Zbl
, and ,[5] Online-offline fashion franchising supply chains without channel conflicts: Choices on postponement and contracts. Int. J. Prod. Econ. 215 (2019) 174–184. | DOI
, and ,[6] Pricing policies in a dual-channel supply chain with retail services. Int. J. Prod. Econ. 139 (2012) 312–320. | DOI
, and ,[7] Antecedents of B2C channel satisfaction and preference: Validating e-commerce metrics. Inf. Syst. Res. 13 (2002) 316–333. | DOI
, and ,[8] A supply chain model with direct and retail channels. Eur. J. Oper. Res. 187 (2008) 691–718. | DOI | MR | Zbl
, , and ,[9] Ernst and Young LLP, Global online retailing. An Ernst and Young Special Report (2000).
[10] Customer support: A cross-industry study of distribution channels and strategies. Int. J. Phys. Distrib. Logistics Manage. 29 (1999) 374–398. | DOI
,[11] Supply contracts in manufacturer-retailer interactions with manufacturer-quality and retailer effort-induced demand. Naval Res. Logistics 55 (2008) 200–217. | DOI | MR | Zbl
and ,[12] Coordinating a supply chain with effort and price dependent stochastic demand. Appl. Math. Model. 33 (2009) 2777–2790. | DOI | MR | Zbl
, , and ,[13] Price and lead time decisions in dual-channel supply chains. Eur. J. Oper. Res. 205 (2010) 113–126. | DOI | Zbl
, and ,[14] Introduction of a second channel: Implications for pricing and profits. Eur. J. Oper. Res. 194 (2009) 258–279. | DOI | Zbl
and ,[15] A strategy analysis in dual-channel supply chain based on effort levels. In: 11th International Conference on Service Systems and Service Management (ICSSSM 2014): Beijing, China. IEEE (2014). | DOI
and ,[16] On manufacturers complementing the traditional retail channel with a direct online channel. Quant. Marketing Econ. 4 (2006) 289–323. | DOI
and ,[17] Pricing policies under direct vs. indirect channel competition and national vs. store brand competition. Eur. J. Oper. Res. 180 (2007) 262–281. | DOI | Zbl
, and ,[18] Pricing policies of a competitive dual-channel green supply chain. J. Cleaner Prod. 112 (2016) 2029–2042. | DOI
, , and ,[19] Cooperative advertising models in O2O supply chains. Int. J. Prod. Econ. 215 (2019) 144–152. | DOI
, and ,[20] Consumer perceptions of risk and uncertainty and the implications for behaviour towards innovative retail services: The case of internet banking. J. Retailing Consum. Serv. 13 (2006) 431–443. | DOI
and ,[21] Timing of sales commitment in a supply chain with manufacturer-quality and retailer-effort induced demand. Int. J. Prod. Econ. 195 (2018) 249–258. | DOI
, , and ,[22] Supply chain channel strategies with quality and marketing effort-dependent demand. Int. J. Prod. Econ. 144 (2013) 572–581. | DOI
, and ,[23] Contract design for two-stage supply chain coordination: Integrating manufacturer-quality and retailer-marketing efforts. Int. J. Prod. Econ. 146 (2013) 745–755. | DOI
, and ,[24] Managing a dual-channel supply chain under price and delivery-time dependent stochastic demand. Eur. J. Oper. Res. 272 (2019) 147–161. | DOI | MR
and ,[25] “Bricks and clicks”: The impact of product returns on the strategies of multichannel retailers. Marketing Sci. 30 (2011) 42–60. | DOI
, and ,[26] Two-echelon manufacturer-retailer supply chain strategies with price, quality, and promotional effort sensitive demand. Int. Trans. Oper. Res. 22 (2015) 1071–1095. | DOI | MR | Zbl
, and ,[27] Consumer free riding: Coordinating sales effort in a dual-channel supply chain. Electron. Commerce Res. Appl. 22 (2017) 1–12. | DOI
, and ,[28] A typology of online shoppers based on shopping motivations. J. Bus. Res. 57 (2004) 748–757. | DOI
and ,[29] Consumer heterogeneity, product quality, and distribution channels. Manage. Sci. 59 (2013) 1162–1176. | DOI
, and ,[30] Strategic customer behavior, commitment, and supply chain performance. Manage. Sci. 54 (2008) 1759–1773. | DOI | Zbl
and ,[31] The effect of marketing effort on dual-channel closed-loop supply chain systems. IEEE Transactions on Systems Man and Cybernetics Systems 99 (2016) 1–12.
, and ,[32] Supply chain coordination under channel rebates with sales effort effects. Manage. Sci. 48 (2002) 992–1007. | DOI | Zbl
,[33] Pricing policies in a dual-channel supply chain with manufacture services. In: International Conference on Computer Information Systems and Industrial Applications. Atlantis Press (2015). | DOI
, and ,[34] Channel conflict and coordination in the e-commerce age. Prod. Oper. Manage. 13 (2004) 93–110. | DOI
and ,[35] Pricing and service decisions in a dual-channel supply chain with manufacturer’s direct channel service and retail service. WSEAS Trans. Bus. Econ. 11 (2014) 293–302.
and ,[36] Pricing and service decisions of complementary products in a dual-channel supply chain. Comput. Ind. Eng. 105 (2017) 223–233. | DOI
, and ,[37] Optimal price and product quality decisions in a distribution channel. Manage. Sci. 55 (2009) 1347–1352. | DOI | Zbl
,[38] A strategic analysis of dual-channel supply chain design with price and delivery lead time considerations. Int. J. Prod. Econ. 139 (2012) 654–663. | DOI
, and ,[39] Retail services and firm profit in a dual-channel market. J. Retailing Consum. Serv. 16 (2009) 306–314. | DOI
and ,[40] Retailer’s channel structure choice: Online channel, offline channel, or dual channels? Int. J. Prod. Econ. 191 (2017) 37–50. | DOI
, and ,[41] Pricing and retail service decisions in fuzzy uncertainty environments. Appl. Math. Comput. 250 (2015) 580–592. | MR | Zbl
and ,Cité par Sources :