Manufacturer's pricing strategy in a two-level supply chain with competing retailers and advertising cost dependent demand

Giri, Bibhas C.; Sharma, Swati

doi:10.1016/j.econmod.2013.11.005

Cited by 61 publications

(35 citation statements)

References 41 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Under such circumstances, supply chain (SC) mangers should apply different mechanisms to gain more market share. Promotion effort or advertising is one of the key tools which has extensively been used within service industry to intensify the image of brand name and stimulate instant sales (Giri & Sharma, 2014). According to Huang et al (2002), there are two kinds of advertising: (1) national advertising and, (2) local advertising.…”

Section: Introductionmentioning

confidence: 99%

See 1 more Smart Citation

Coordination of cooperative promotion efforts with competing retailers in a manufacturer-retailer supply chain

Johari¹,

Hosseini‐Motlagh²

2018

10.5267/j.uscm

View full text Add to dashboard Cite

In this paper, the issue of cooperative (co-op) promotion efforts is addressed in a two-stage supply chain (SC). The investigated SC includes one monopolistic manufacturer and two duopolistic retailers facing different market demands. The customers' demand is affected by both advertising efforts of the manufacturer and two retailers. Moreover, the retailers compete with each other on local advertising investments within the market. In order to boost the retailers' advertising level, it is assumed that the manufacturer pays a ratio of the retailers' advertising expenditures. We propose four non-cooperative game scenarios and one cooperative game. Non-cooperative models are established through both Stackelberg and Nash game between two echelons. Moreover, both Cournot and Collusion behaviors are assumed to be followed by two retailers. We develop a promotion cost sharing contract to achieve the channel coordination. Under cooperation model, all SC members seek to reach the highest profit for the entire SC by considering the bargaining power of the SC participants. In each game scenario the optimal solution and unique equilibrium are determined. In addition, a comparison on the advertising level of all SC members along with the value of participation rate are provided. In addition, the feasibility of the cooperative game is discussed and resulted.

show abstract

Section: Introductionmentioning

confidence: 99%

“…To obtain the realized value of the market demand, the firm offered menu of compensation contracts to the sales agents. In another research, Giri and Sharma (2014) established a two-level SC consisting one manufacturer and two competing retailers. Two retailers competed with each other on local advertising.…”

Section: Literature Reviewmentioning

confidence: 99%

Coordination of cooperative promotion efforts with competing retailers in a manufacturer-retailer supply chain

Johari¹,

Hosseini‐Motlagh²

2018

10.5267/j.uscm

View full text Add to dashboard Cite

show abstract

“…Research results show that consumers prefer retailers who offer low prices every day or offer to discount. Similarly, research by Giri and Sharma (2014) which states that manufacturers adopt the application of different pricing strategies for each retailer. It is done as a stimulus to retailers and consumers that the product turnover rate can run faster and consume process continues over time that becomes part of their lifestyle.…”

Section: Life Stylementioning

confidence: 99%

Prestige Pricing Strategy as A Symbol of Social Class on Perfume Products

Subawa

2016

jbm

View full text Add to dashboard Cite

AbstrakPenentuan strategi harga yang tepat adalah penting untuk mempertahankan dan memenangkan persaingan. Penelitian ini meneliti makna penerapan strategi harga, terutama harga prestise bagi konsumen yang mengkonsumsi produk parfum di kota Denpasar. Metode AbstractDetermination of the appropriate pricing strategy is essential in order to maintain and win the competition. This research examined the meaning of the application of the pricing strategy, especially prestige pricing for consumers who consume the product perfume in the city of Denpasar. The method used in this research is a qualitative method, by using descriptive analysis of qualitative and interpretative. The results showed that the first, the meaning of social class, that class was connected with the premium class perfume consumed by certain groups of people. Secondly, life style that is now for people using branded perfume is part of daily activities, and become part of the lifestyle. Because it was done patterned, repetitive, and in a certain period of time in accordance with the nature of the lifestyle itself. Third, are the value & Psychological pricing, it was very specific in contrast to sales of other products in general. Producers to sellers maintain sales strategy accompanied with high price remain optimal service to attract or retain customers. Fourth, was the meaning of prestige, that the practice of buying branded perfume with an expensive price to increase or maintain the prestige of its users. Exchange of capital was very evident, buyers exchanging economic capital, social and cultural symbolic capital to achieve the sense of pride and prestige. In this research, the expected contribution is to interpret the application of prestige pricing strategy that so far only examined as part of the marketing strategy and consumer behavior.

show abstract

“…Das et al (2014) proposed an integrated inventory model with delay in payment for deteriorating item under Weibull distribution and advertisement cum price-dependent demand. Giri and Sharma (2014) studied the manufacturer's pricing strategy in a two-level supply chain with competing retailers and advertising cost dependent demand.…”

Section: Introductionmentioning

confidence: 99%

Two-warehouse inventory model for non-instantaneous deteriorating items with partial backlogging and permissible delay in payments under inflation

Palanivel

Uthayakumar

2017

IJOR

View full text Add to dashboard Cite

Abstract:In this paper, two-warehouse economic order quantity (EOQ) model for non-instantaneous deteriorating items with permissible delay in payments under the effect of inflation and time value of money is presented in which the demand is considered as a deterministic function of selling price and advertisement cost. Also in this model, shortages are allowed and partially backlogged. The backlogging rate is dependent on the waiting time for the next replenishment. This model aids in minimising the total inventory cost by finding the optimal intervals and the optimal order quantity. Furthermore, numerical examples are provided to illustrate the proposed model, sensitivity analysis of the optimal solutions with respect to major parameters is carried out and some managerial inferences are obtained. To his credit, he has published many research articles in the area of inventory management and supply chain in the reputed international journals. Moreover, he is guiding many scholars in the above said areas. Keywords

show abstract

Manufacturer's pricing strategy in a two-level supply chain with competing retailers and advertising cost dependent demand

Cited by 61 publications

References 41 publications

Coordination of cooperative promotion efforts with competing retailers in a manufacturer-retailer supply chain

Coordination of cooperative promotion efforts with competing retailers in a manufacturer-retailer supply chain

Prestige Pricing Strategy as A Symbol of Social Class on Perfume Products

Two-warehouse inventory model for non-instantaneous deteriorating items with partial backlogging and permissible delay in payments under inflation

Contact Info

Product

Resources

About