Research on Supply Chain Hybrid Competition and Channel Pervasion Effects in E-Commerce Age

Abstract:

Supply chain hybrid competition happens among two manufacturers and one traditional retailer in e-commerce age. Being a channel leader the first manufacturer’s role becomes a little sophisticated. That is, being the traditional retailer’s supplier and competing with the traditional retailer’s on the internet at the same time. Besides, as an online competitor the second manufacturer’s channel status could go steadily up as electronic market becomes more mature institutionally. This paper compares two kinds of game models corresponding to two different channel statuses in supply chain partners, which means a weakest traditional retailer or a weakest online manufacturer separately. It finds two models’ existence conditions of supply chain partners’ optimal revenues, optimal decision variables, etc. By numerical analysis it especially analyzes their channel pervasion effects, at the same time, it gives some useful managerial inspiration further.

• Periodical: Applied Mechanics and Materials (Volumes 97-98)
• Pages: 507-511
• DOI: https://doi.org/10.4028/www.scientific.net/AMM.97-98.507
• Online since: September 2011
• Authors: Pei Qin Li
• Keywords: Channel Pervasion Effects, E-Commerce Age, Hybrid Competition, Supply Chain

References

[1] Chiang W K,Chhajed D,Hess J D. Direct Marketing, Indirect Profits: A Strategic Analysis of Dual-Channel Supply-Chain Design[J]. Management Science, 2003, 49(1):1-20.

DOI: 10.1287/mnsc.49.1.1.12749