On the Choice of Manufacturer's Distribution Channel Strategy Based on Game Theory

Author(s):  
Zhao Liqiang ◽  
Guo Yajun
Author(s):  
Mitsunori Hirogaki

In this chapter, the author investigated the characteristics of online consumer behavior regarding the grocery retail market and their impact on retailers' distribution channel strategies. It examined the impact of recent innovations and the globalization of online technology on retail strategy. To achieve these goals, this study analyzed case studies of online consumer behavior in the Japanese online grocery market. Not only has there been a dramatic increase in sales over the last decade, but there have also been significant changes in both online technology and distribution channel strategy in this market. Underlying this transformation is the influence of Japan's characteristic online consumer behavior. Based on an empirical analysis of Japanese consumers and several case studies, this chapter predicts the future features of the online grocery market.


2016 ◽  
Vol 16 (2) ◽  
pp. 269-295 ◽  
Author(s):  
Ze-Bin Wang ◽  
Yao-Yu Wang ◽  
Jian-Cai Wang

2009 ◽  
Vol 5 (6) ◽  
pp. 13-22
Author(s):  
Hyejeong Cho ◽  
Yanghun Lim ◽  
Sungmin Ryu

The purpose of this case study was to describe the development of a channel strategy for an apparel brand, BoKids, designed to distribute its brand, Oliver, efficiently to customers. Bokids launched its childrens apparel brand, Oliver, in Korea by signing a brand license contract with Oliver of USA. When the brand was launched in 2005, Oliver was positioned as a brand with a reasonable price and a high quality product, which was sold primarily through department stores. In 2007, Oliver was suffering from sluggish sales volumes, and switched its main distribution channel from department stores to discount stores, which are the number 1 retail format in Korea. Oliver was compelled to adjust the price range of its main products to $20 30 in order to satisfy the needs of discount store customers. However, Oliver has considered Internet shopping as another channel for the Oliver brand, as Internet shopping is rapidly gaining popularity in Korea. This case can be used in conjunction with discussions on marketing topics, such as the design of marketing channels (Chapter 6, Designing the Marketing Channel, Marketing Channels: A Management View, 7th Edition by Bert Rosenbloom, South-Western College Pub, 2007) for senior level marketing seminars.


2018 ◽  
Vol 35 (03) ◽  
pp. 1850014 ◽  
Author(s):  
Xiaona Zheng ◽  
Luping Sun ◽  
Andy A. Tsay

Previous literature suggests that without regulations firms have incentives to collude by fixing price or reducing quantity. This paper sets up an infinitely repeated game to examine the interplay between the manufacturer’s channel strategy and the downstream retailers’ collusive behavior. The results show that the manufacturer can deter retailer collusion by strategically changing its channel strategy. This effect occurs when the discount rate (used to calculate the present value of future profits) is relatively large and the manufacturer’s direct selling efficiency is relatively high (i.e., the variable cost of direct selling is relatively low). With the deterrence of direct selling, retailers abandon collusion and “no collusion” is a win-win strategy for both levels in the supply chain. However, when the manufacturer is not efficient in direct selling or the discount rate is small, direct selling is not effective in deterring retailer collusion and the manufacturer is worse off. These findings provide insights into channel strategies and supply chain management.


Open Physics ◽  
2017 ◽  
Vol 15 (1) ◽  
pp. 207-212 ◽  
Author(s):  
Li-ping Xu ◽  
Haiyan Chen

AbstractThe digital publishing output increased significantly year by year. It has been the most vigorous point of economic growth and has been more important to press and publication industry. Its distribution channel has been diversified, which is different from the traditional industry. A deep research has been done in digital publishing industry, for making clear of the constitution of the industry chain and establishing the model of industry chain. The cooperative and competitive relationship between different distribution channels have been analyzed basing on a game-theory. By comparing the distribution quantity and the market size between the static distribution strategy and dynamic distribution strategy, we get the theory evidence about how to choose the distribution strategy to get the optimal benefit.


Author(s):  
Mohanbir Sawhney ◽  
Michael Biddlecom ◽  
Robert Day ◽  
Patrick Franke ◽  
John Lee-Tin ◽  
...  

Rockwell Automation's Allen-Bradley division was considering how to deal with the threat posed by national distributors in the maintenance, repair, and overhaul (MRO) business for its industrial automation products. National distributors were consolidating the MRO distribution channel, offering national account customers an integrated multichannel solution for their MRO needs. Allen-Bradley had traditionally served its customers through high-touch, high-value-added local distributors, but this channel was inadequate for the demands of large MRO customers. An effort by Allen-Bradley and other manufacturers to create an industry-wide electronic sourcing consortium called SourceAlliance.com had failed. Now the company had to choose between redesigning its traditional channel by creating a virtual network of local distributors, striking an alliance with a national distributor, or withdrawing from the MRO market. It had to contend with difficult channel conflict issues in choosing a channel strategy.To analyze the competitive strategy of a company serving the MRO market.


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