scholarly journals Game Models on Optimal Strategies in a Tourism Dual-Channel Supply Chain

2016 ◽  
Vol 2016 ◽  
pp. 1-15 ◽  
Author(s):  
Lei Yang ◽  
Jingna Ji ◽  
Kebing Chen
Keyword(s):  
Supply Chain ◽  
Stackelberg Game ◽  
Wholesale Price ◽  
Optimal Strategies ◽  
Stackelberg Games ◽  
Travel Agency ◽  
Dual Channel ◽  
Online Travel ◽  
Tourism Supply Chain ◽  
Online Travel Agency

This paper explores a two-echelon tourism supply chain consisting of a hotel and an online travel agency. The upside hotel rooms can be sold through the downside hotel alliance and online travel agency. The hotel alliance, selling rooms at a lower price, is a direct sale platform with a negligible entry fee. Notwithstanding, the online travel agency sells the room at a higher price with related personalized service. Customers will be refunded partially in case of their cancellation or no-show. An integrated model and two decentralized models based on Bertrand and Stackelberg games are developed, respectively. The results show that when the wholesale price is lower than a certain value, both the hotel and the online travel agency can gain more profit from the Stackelberg game than that from the Bertrand game. In the case that the hotel allows overbooking, the optimal overbooking quantity is obtained. If the overbooking proportion is too high, overbooking is profitable for the hotel only when the overbooking cost is lower than a certain value. At the end of the study, some experiments are conducted to analyze the sensitivity of the optimal prices and profits in the light of certain parameters.

Competition and Coordination in a Dual-Channel Supply Chain With Asymmetric Retailers

2020 ◽  
pp. 1311-1328
Author(s):  
YuHang Zhang ◽  
Ying Wang
Keyword(s):  
Supply Chain ◽  
Single Channel ◽  
Stackelberg Game ◽  
Wholesale Price ◽  
Retail Market ◽  
Dual Channel ◽  
The Cost ◽  
Dual Channel Supply Chain ◽  
Different Characteristics ◽  
Linear Quantity

This article studies competition and coordination in a dual-channel supply chain where one supplier supplies homogeneous products to multiple asymmetric retailers, meanwhile, selling products to the end consumers acting as retailers, through a two-level Stackelberg game. This article first studies the asymmetry among the retailers in terms of the different characteristics of the cost, price, quantity. This article finds that a supplier's profits increase when the number of retailers are high enough in the retail market, even though the retail price of the retailers is lower than that of the supplier, or the wholesale price is cut down when there are many retailers competing in the retail market. On the other hand, under certain conditions, the efficiency of supply chain goes to 1. In this article, the authors show that some traditional contracts that can perfectly coordinate the single-channel supply chain, while failing to coordinate the dual-channel supply chain. Therefore, this article puts forth a linear quantity discount contract and first proves it can be applicable to the dual-channel supply chain with asymmetric retailers under a certain special condition where the lead retailer exits the retail market. The authors examine contracts which can reduce the loss of the efficiency, though they cannot completely coordinate a dual-channel supply chain.

scholarly journals Optimal strategies of a dual-channel green supply chain with recycling under retailer promotional effort

2021 ◽  
Author(s):  
Brojeswar Pal ◽  
Amit Sarkar
Keyword(s):  
Supply Chain ◽  
Raw Materials ◽  
Optimal Strategies ◽  
Stackelberg Games ◽  
Market Demand ◽  
Green Innovation ◽  
Nash Game ◽  
Promotional Effort ◽  
Dual Channel ◽  
Decision Variables

Due to the hugely populated world, recycling of the used products has become the most significant perspective in e-commerce. The scientists have been exploring how increases the degree of recyclability and the green innovation level. This paper considers a supply chain with a manufacturer, a retailer, a supplier, and a collector. The manufacturer can increase or decrease the level of green innovation by changing the quality of raw materials. He sells them through his direct channel as well as the retailer's traditional channel. The retailer enforces the strategy promotional effort for enlarging his market demand. After Formulating the problem, the strategies in collector-led, supplier-led, collector-supplier Nash, and collector-supplier-retailer Nash game are studied under manufacturer Stackelberg games along with the centralized policy. The parameters' sensitivity has been analyzed to the profit and decision variables and then draw significant managerial insights. The model declares the optimal strategies for each player as well as the chain. It is achieved that the higher level of green innovation and promotional effort always increases all the profits. The optimal pricing decisions be lowest under the Collector-Supplier Nash game.

scholarly journals Tripartite game models in a dual-channel supply chain: competition and cooperation

2021 ◽  
Vol 55 (2) ◽  
pp. 653-671
Author(s):  
Zhenkai Lou ◽  
Fujun Hou ◽  
Xuming Lou ◽  
Yubing Zhai
Keyword(s):  
Supply Chain ◽  
Stackelberg Game ◽  
Wholesale Price ◽  
Revenue Sharing ◽  
Competition And Cooperation ◽  
Dual Channel ◽  
Supply Chain Competition ◽  
Bertrand Game ◽  
Definition Of ◽  
Dual Channel Supply Chain

This paper considers tripartite games in a dual-channel supply chain which involves a manufacturer, an offline retailer and an online retailer. Both competition and cooperation issues are analyzed. In the competition model, a Stackelberg game between the manufacturer and two retailers and a Bertrand game between two retailers occur simultaneously. It is shown that the channel which attracts more consumers’ purchase preference is charged a higher wholesale price and it meanwhile declares a higher sales price. In the presence of revenue sharing, cooperation issues between the three participants are studied and the change of the revenue of each participant is analyzed when partial cooperation exists. Further, the definition of the optimum two-player coalition is proposed. We demonstrate that the channel which attracts more preference of consumers is definitely in the optimum coalition. The structure of the two-player coalition is analyzed. Finally, under revenue sharing and cost apportionments, the change of each participant’s profit is examined.

scholarly journals Pricing Decisions of a Supply Chain with Multichannel Retailer under Fairness Concerns

2019 ◽  
Vol 2019 ◽  
pp. 1-22 ◽  
Author(s):  
Xueping Zhen ◽  
Dan Shi ◽  
Sang-Bing Tsai ◽  
Wei Wang
Keyword(s):  
Supply Chain ◽  
Stackelberg Game ◽  
Rapid Development ◽  
Wholesale Price ◽  
Selling Price ◽  
Dual Channel ◽  
Fairness Concerns ◽  
Fairness Concern ◽  
Dual Channel Supply Chain ◽  
Offline Channels

With the rapid development of the Internet, many traditional retailers have built their online channels. The fairness concern may play an important role in a dual-channel supply chain with a multichannel retailer. This paper establishes a Stackelberg game model in which a manufacturer produces and sells products through direct online channel and a retailer sells directly to consumers through online and offline channels. The manufacturer’s fairness concern (advantageous inequity) and the retailer’s fairness concern (disadvantageous inequity) are considered. Four scenarios are investigated: no fairness concern (NF), the retailer fairness concern (RF), the manufacturer fairness concern (MF), and both the manufacturer and the retailer fairness concern (MRF). The theoretical analysis shows that if the manufacturer’s advantageous inequity concern is low, the profit of the whole supply chain in the MRF scenario is the greatest. Otherwise, the supply chain profit in the NF or RF scenario is the greatest. That is, the manufacturer’s and the retailer’s fairness concern may increase the profit of the supply chain. This study also finds that the manufacturer’s advantageous inequity concern can increase the social welfare. The retailer should not concern about fairness if the manufacturer has high fairness concern. Besides, this paper shows that the manufacturer’s selling price cannot be affected by the fairness concern. Adjusting the wholesale price is the only thing that the manufacturer can do to reduce disadvantageous or advantageous inequity. In the RF scenario, the role of the retailer’s disadvantageous inequity concern is to reallocate the supply chain profit. Our findings provide some managerial insights on the pricing decision when the multichannel retailer and the manufacturer consider the fairness.

scholarly journals The value of information sharing in a dual-channel closed-loop supply chain

2021 ◽  
Author(s):  
Yanting Huang ◽  
Benrong Zheng ◽  
Zongjun Wang
Keyword(s):  
Supply Chain ◽  
Information Sharing ◽  
Private Information ◽  
Value Of Information ◽  
Closed Loop ◽  
Stackelberg Game ◽  
Wholesale Price ◽  
Closed Loop Supply Chain ◽  
Dual Channel ◽  
Model C

This paper considers a dual-channel closed-loop supply chain consisting of a manufacturer, a retailer and a collector in which the retailer possesses private demand information and determines whether to share his private information with other chain members. Specifically, we develop four information sharing models, namely no information sharing (Model C-R), the retailer sharing information with the manufacturer (Model C-R-M), the retailer revealing information to the collector (Model C-R-C), and the retailer disclosing information to both the manufacturer and the collector (Model C-R-T). We adopt the Stackelberg game to acquire the equilibrium strategies and examine the value of information sharing on chain members’ decisions. We find that, chain members will set the largest wholesale price, retail prices of direct and indirect channels when the retailer only shares information with the manufacturer and the highest return rate can be obtained in the case of the retailer only revealing information to the collector. We can also find that, information sharing is profitable to the manufacturer and the collector, while is detrimental to the retailer. The manufacturer, the collector and the retailer can reach the largest profits in Model C-R-T, Model C-R-C and Model C-R-M, respectively.

Competition and Coordination in a Dual-Channel Supply Chain With Asymmetric Retailers

2018 ◽  
Vol 14 (2) ◽  
pp. 98-115 ◽  
Author(s):  
YuHang Zhang ◽  
Ying Wang
Keyword(s):  
Supply Chain ◽  
Single Channel ◽  
Stackelberg Game ◽  
Wholesale Price ◽  
Retail Market ◽  
Dual Channel ◽  
The Cost ◽  
Dual Channel Supply Chain ◽  
Different Characteristics ◽  
Linear Quantity

This article studies competition and coordination in a dual-channel supply chain where one supplier supplies homogeneous products to multiple asymmetric retailers, meanwhile, selling products to the end consumers acting as retailers, through a two-level Stackelberg game. This article first studies the asymmetry among the retailers in terms of the different characteristics of the cost, price, quantity. This article finds that a supplier's profits increase when the number of retailers are high enough in the retail market, even though the retail price of the retailers is lower than that of the supplier, or the wholesale price is cut down when there are many retailers competing in the retail market. On the other hand, under certain conditions, the efficiency of supply chain goes to 1. In this article, the authors show that some traditional contracts that can perfectly coordinate the single-channel supply chain, while failing to coordinate the dual-channel supply chain. Therefore, this article puts forth a linear quantity discount contract and first proves it can be applicable to the dual-channel supply chain with asymmetric retailers under a certain special condition where the lead retailer exits the retail market. The authors examine contracts which can reduce the loss of the efficiency, though they cannot completely coordinate a dual-channel supply chain.

A Strategic Analysis of Mixed Channel Structure

2015 ◽  
Vol 2 (1) ◽  
pp. 39-59 ◽  
Author(s):  
Xiaowei Linda Zhu ◽  
Xingxing Zu ◽  
Lei Zhu ◽  
Huafan Ma
Keyword(s):  
Supply Chain ◽  
Business Model ◽  
Stackelberg Game ◽  
Wholesale Price ◽  
Value Added ◽  
Optimal Strategies ◽  
Retail Store ◽  
Retail Price ◽  
Channel Structure ◽  
Online Store

In order to meet the needs of different customer segments, manufacturers use multiple distribution channels. This paper will examine two of the most common types of multi-channel structures. Under Structure 1, a supply chain includes a manufacturer, its online store and its own retail store, like GAP's business model. A profit maximization model is used to obtain optimal strategies in terms of optimal retail price and level of value-added services provided by manufacturer-owned retailer. Under Structure 2, a supply chain includes a manufacturer, its online store and an independent retail store, like Dell's business model. Stackelberg game is applied to obtain the optimal retail price, wholesale price, and level of value-added services provided by an independent retailer. Furthermore, comparisons between these two business structures are discussed and managerial guidelines are proposed. Finally, numerical examples are provided and real business examples are discussed to illustrate and justify the theoretical results.

scholarly journals Impacts of government interventions on pricing policies of the dual-channel supply chain by considering retailer services

2019 ◽  
Vol 15 (S1) ◽  
pp. 231-252
Author(s):  
Taher Javadi ◽  
Ashkan Hafezalkotob
Keyword(s):  
Supply Chain ◽  
Stackelberg Game ◽  
Optimal Strategies ◽  
Service Level ◽  
Government Interventions ◽  
Response Strategies ◽  
Dual Channel ◽  
Best Response ◽  
The Government ◽  
Dual Channel Supply Chain

AbstractIn this study, the implications of the government’s tariffs on optimal pricing decisions in a dual-channel SC with one manufacturer and one retailer by taking into account the retailer services are examined. First, the best response strategies of retailer and manufacturer have obtained following the government’s tariffs by using a Stackelberg game model. Then, the government problem has modeled in six scenarios in a competitive mode about service level, social welfare, and government’s revenue-seeking policies. It can be concluded that retailer services affect the optimal manufacturer and retailer’s decisions. Moreover, with the sensitivities analysis that was studied on government models, it was shown that an integrated SC could better serve the government to achieve its goals. Also, the optimal strategies of the manufacturer and retailer of a dual-channel supply chain have been reached to the government’s social and economic goals. It can be found that the government with proper tariffs could coordinate social, economic, and service objectives.

Tourism Supply Chain Coordination through Revenue Sharing Contract

2014 ◽  
Vol 644-650 ◽  
pp. 6093-6096 ◽  
Author(s):  
Ting Long Zhang ◽  
Yi Wang
Keyword(s):  
Supply Chain ◽  
Stackelberg Game ◽  
Supply Chain Coordination ◽  
Revenue Sharing ◽  
Nash Bargaining ◽  
Travel Agency ◽  
Revenue Sharing Contract ◽  
Scenic Spot ◽  
Participation Constraint ◽  
Tourism Supply Chain

In this paper we develop revenue sharing contracts in a scenic spot –travel agency tourism supply chain. We use the Stackelberg game model to formulate the leader–follower relationship. By backward induction, we obtain equilibrium under the non-cooperative revenue sharing contract and the cooperative revenue sharing contract. Results show that the non-cooperative revenue sharing contract doesn’t meet the travel agency’s participation constraint while the cooperative revenue sharing contract can achieve coordination and Pareto improvement. Finally the Nash bargaining game suggests that scenic spot obtains a larger share of the profit growth due to its higher bargaining power.

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