Title: Optimisation strategy of online dual-channel supply chain under differentiated products

Authors: Jie Xu; Xiru Yang; Angus Xiao; Lei Chen

Addresses: School of Economics and Management, Beijing Jiaotong University, Beijing, China ' School of Economics and Management, Beijing Jiaotong University, Beijing, China ' National University Health System, Singapore ' Electric Power Science and Research Institute of State Grid Tianjin Electric Power Company, China

Abstract: In this paper, differentiated products are its background. When manufacturers direct sales channels and retail channels are both electronic channels, this paper studies manufacturers and retailers pricing strategy about new products and inventory respectively. Taking into account the actual situation, this paper considers the three main factors that affect the utility of consumers, namely, the degree of channel preference, product discount coefficient, service sensitivity to the profit of manufacturers and online retailers, using consumer utility and game theory to build online dual-channel supply chain model, studying the optimal decision of the supply chain when considering the optimal profitability of the supply chain and the different scenarios of profit and inventory sales. Finally, the reliability of the model is verified by an example. The research of this paper can not only enrich the theoretical research of online dual-channel, but also can provide reference for the implementation of online double-channel enterprises.

Keywords: online dual-channel; differentiated products; price; differentiated services.

DOI: 10.1504/IJMTM.2018.093362

International Journal of Manufacturing Technology and Management, 2018 Vol.32 No.4/5, pp.450 - 469

Received: 24 Nov 2016
Accepted: 25 Mar 2017

Published online: 25 Jul 2018 *

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