scholarly journals The Impact of Fairness Concerns on the Formation of Retailers Alliance with Considersion of Transshipment

2019 ◽  
Vol 11 (3) ◽  
pp. 708
Author(s):  
Xiaohong Yu ◽  
Sujuan Wang ◽  
Xindong Zhang
Keyword(s):  
Strategic Alliances ◽  
Strategic Alliance ◽  
Implicit Function ◽  
Equilibrium Solutions ◽  
Numerical Examples ◽  
Fairness Concerns ◽  
Nash Equilibrium Solutions ◽  
Order Quantities ◽  
Alliance System ◽  
The Impact

This paper investigated the impact of fairness concerns on the formation of the inventory transshipment strategy alliance through its impact on the ordering decisions and profits of two retailers. The paper introduced reference point dependency to describe the retailer’s fairness concerns utility function, and modeled the strategic alliance system consisting of two retailers involved in transshipment. The conditions for the existence of Nash equilibrium solutions were given. The paper solved the impact of the fairness parameters on order quantities and profits by the implicit function theorem. Based on the theoretical analysis and numerical examples, this paper investigated the formation of a strategic alliance under asymmetric and symmetric fairness concerns. The results are as follows: (1) under asymmetric fairness concerns, when the transshipment price of the retailer with no fairness concerns is no more than the transshipment price of the retailer with fairness concerns, an inventory transshipment strategy alliance can be formed. Otherwise the retailer with no fairness concerns may need to pay the retailer with fairness concerns certain fees in order to form a strategic alliance; (2) under symmetric fairness concerns, two completely symmetric retailers can form strategic alliances.

Ordering Decision and Coordination of a Dual-Channel Supply Chain with Fairness Concerns Under an Online-to-Offline Model

2019 ◽  
Vol 36 (02) ◽  
pp. 1940004 ◽  
Author(s):  
Xiaohong Yu ◽  
Sujuan Wang ◽  
Xindong Zhang
Keyword(s):  
Supply Chain ◽  
Business Model ◽  
Channel Coordination ◽  
Equilibrium Solutions ◽  
Dual Channel ◽  
Supply Chain Efficiency ◽  
Fairness Concerns ◽  
Nash Equilibrium Solutions ◽  
Order Quantities ◽  
Dual Channel Supply Chain

We introduce reference dependence to describe the fairness utility functions of channel members and model a dual-channel supply chain (one manufacturer and one retailer) in three scenarios: only the manufacturer is concerned with fairness, only the retailer is concerned with fairness, and both parties are concerned with fairness. The ordering decisions and coordination of a dual-channel supply chain under the online-to-offline (O2O) business model are studied. Nash equilibrium solutions exist for the channel order quantities in all three scenarios, and the inventory transshipment strategy can be used to coordinate the dual-channel supply chain under the O2O business model. Numerical examples are used to analyze the effectiveness and feasibility of coordination. The inventory transshipment strategy can be used to directly coordinate the dual-channel supply chain when only the manufacturer is concerned with fairness. The retailer feels unfair in the other two scenarios, which affects cooperation. To maintain cooperation with the retailer and achieve optimal supply chain efficiency and channel coordination, the manufacturer must compensate the retailer or choose one with fewer expectations regarding its channel status or fewer fairness concerns.

The influence of behavioural and organisational characteristics on the success of international strategic alliances

2004 ◽  
Vol 21 (1) ◽  
pp. 17-52 ◽  
Author(s):  
Saleema Kauser ◽  
Vivienne Shaw
Keyword(s):  
Strategic Alliances ◽  
Strategic Alliance ◽  
Current Trend ◽  
Business Strategies ◽  
Control Mechanisms ◽  
Alliance Performance ◽  
Behavioural Characteristics ◽  
International Strategic Alliances ◽  
And Control ◽  
The Impact

With the current trend toward globalisation and the increasing competitive and technological challenges of today's environment the formation of international strategic alliances has become an important part of many firm's international business strategies. Experience with international strategic alliances has shown that they face a number of problems, which can often result in the termination of the alliance. This study, therefore, aims to assess the impact of both behavioural and organisational characteristics on the success of international strategic alliances. The results show that behavioural characteristics play a more significant role in explaining overall alliance performance compared to organisational characteristics. High levels of commitment, trust, coordination, interdependence and communication are found to be good predictors of international strategic alliance success. Conflict, meanwhile, is found to hamper good performance. By contrast organisational characteristics such as structure and control mechanisms are found not to strongly influence the success of international strategic alliances.

scholarly journals Exploring Critical Success Factors of Competence-Based Synergy in Strategic Alliances: The Renault–Nissan–Mitsubishi Strategic Alliance

2021 ◽  
Vol 14 (8) ◽  
pp. 385
Author(s):  
Andrejs Čirjevskis
Keyword(s):  
Strategic Alliances ◽  
Critical Success Factors ◽  
Success Factors ◽  
Strategic Alliance ◽  
The Arctic ◽  
Future Research ◽  
Alliance Formation ◽  
Quantitative Research Methods ◽  
Critical Success ◽  
The Impact

This paper aims to unbundle the antecedents of competence-based synergy in the strategic alliance formation process by employing the ARCTIC framework. The current research provides a new empirical application of the ARCTIC framework to reveal the success factors of reciprocal synergies of the Renault–Nissan–Mitsubishi strategic alliance in the automotive industry. By taking a resource-based view on the sources of competitive advantage, the current paper contributes to theoretical and practical issues of global strategic alliances as part of the existing literature on strategic management, international business, and corporate finance. By bridging qualitative and quantitative research methods, the paper provides validity to the ARCTIC framework with an application of the real option valuation. A conceptual model of research helps practitioners and scholars to explore critical success factors of alliance formation and to predict a competence-based synergy of strategic alliances. Future research may explore the institutional context of strategic alliances, specifically, exploring the impact of the French and Japanese governments on the Renault–Nissan–Mitsubishi alliance’s synergies.

scholarly journals Pricing Strategies in Dual-Channel Supply Chain with a Fair Caring Retailer

Complexity ◽  
2019 ◽  
Vol 2019 ◽  
pp. 1-23 ◽  
Author(s):  
Lufeng Dai ◽  
Xifu Wang ◽  
Xiaoguang Liu ◽  
Lai Wei
Keyword(s):  
Supply Chain ◽  
Stackelberg Game ◽  
Pricing Strategy ◽  
Pricing Strategies ◽  
Equilibrium Solutions ◽  
Channel Competition ◽  
Dual Channel ◽  
Fairness Concerns ◽  
Dual Channel Supply Chain ◽  
The Impact

Manufacturers add online direct channels that inevitably engage in channel competition with offline retail channels. Since price is an important factor in consumers' choice of purchasing channel, pricing strategy has become a popular topic for research on dual-channel competition and coordination. In contrast to previous research on pricing strategies based on the full rationality of members, we focus on the impact of retailers' fairness concerns on pricing strategies. In this study, the hybrid dual-channel supply chain consists of one manufacturer with a direct channel who acts as the leader and a retailer who acts as the follower. First, we use the Stackelberg game approach to determine the equilibrium pricing strategy for a fair caring retailer. Simultaneously, we consider a centralized dual-channel supply chain as the benchmark for a comparative analysis of the efficiency of a decentralized supply chain. Furthermore, we study pricing strategies when the retailer has fairness concerns and determine the complete equilibrium solutions for different ranges of the parameters representing cross-price sensitivity and fairness. Finally, through numerical experiments, the pricing strategies, the profit and utility of the manufacturer and retailer, and the channel efficiency of the supply chain are compared and analysed for two scenarios. We find that fairness concerns reduce the manufacturer's profits, while for the most part, the retailers’ profit can be improved; however, the supply chain cannot achieve complete coordination.

Role of Small-Business Strategic Alliances in the Perception of Benefits and Disadvantages of E-Commerce Adoption in SMEs

2011 ◽  
pp. 1-27 ◽  
Author(s):  
Robert MacGregor ◽  
Lejla Vrazalic
Keyword(s):  
Small Business ◽  
Strategic Alliances ◽  
Small Businesses ◽  
Strategic Alliance ◽  
The Impact ◽  
Alliance Structure

Despite the proclaimed advantages of small-business strategic alliances, little research has been carried out to determine whether these structures promote the benefits and/or “cushion” the disadvantages arising from e-commerce adoption for member businesses. There has also been a lack of research into comparing e-commerce use in those small businesses that are members of a strategic alliance to those that have opted to remain outside such arrangements. This chapter aims to correct the situation by presenting the findings of a study of 176 regional small businesses in Sweden that investigated the impact of strategic-alliance membership on the benefits and disadvantages associated with e-commerce adoption. The results of the study indicate that there are no significant differences between strategic-alliance members and nonmembers where benefits of e-commerce are concerned. In contrast, e-commerce disadvantages are often dissipated through a strategic-alliance structure more easily than through a single self-directed unit. The study also shows that correlations between e-commerce benefits exist and that the benefits can be grouped according to three distinct factors: costs, efficiency, and sales or inventory.

scholarly journals Contract Manufacturer’s Encroachment Strategy considering Fairness Concern in Supply Chain

2021 ◽  
Vol 2021 ◽  
pp. 1-24
Author(s):  
Jing Shi
Keyword(s):  
Supply Chain ◽  
Wholesale Price ◽  
Retail Price ◽  
Reservation Price ◽  
Numerical Examples ◽  
Fairness Concerns ◽  
Private Brand ◽  
Fairness Concern ◽  
The Impact ◽  
Positive Effect

More and more contract manufacturers have started to establish their own brands besides providing manufacturing service for retailers who operate exclusive well-known brands. This paper studies the encroachment strategy of a contract manufacturer in a supply chain and the impact of fairness concern. Four scenarios are investigated by building game models: no fairness concern, the retailer’s fairness concern, the contract manufacturer’s fairness concern, and both members’ fairness concern. The results show that when there is no fairness concern, the contract manufacturer always has motivation to encroach. However, when there exists fairness concern, only when the reservation price is sufficiently high, the contract manufacturer will encroach. Fairness concern has certain strength to stop the contract manufacturer’s encroachment. When the reservation price is sufficiently low, the encroachment of the contract manufacturer benefits the retailer, or else it will harm the benefit of the retailer. The effect of fairness concern on profit margin and wholesale price decisions is opposite under different encroachment strategies. However, the fairness concern has no impact on the retail price of the private brand. Under encroachment strategy, contract manufacturer’s or both members’ fairness concerns have positive effect on the retailer’s profit in certain conditions. However, the fairness concern always decreases the contract manufacturer’s profit no matter what the form it is. Numerical examples show that it is best for the supply chain that both members have fairness concern under no encroachment. However, when the contract manufacturer has a private brand, it is best for the supply chain that no one has fairness concern when the advantageous inequity concern parameter is sufficiently low. When the advantageous inequity concern parameter is sufficiently high, it is best for the supply chain that both members have fairness concern.

How cultural distance affects the formation of international strategic alliance – an explanation of the transaction costs theory

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ming Ning Xiong ◽  
Tao Wang ◽  
Peng Zhao
Keyword(s):  
Transaction Costs ◽  
Transaction Cost ◽  
Strategic Alliances ◽  
Strategic Alliance ◽  
Cultural Distance ◽  
Transaction Cost Theory ◽  
Alliance Formation ◽  
Content Type ◽  
Underlying Mechanisms ◽  
The Impact

Purpose Based on the transaction cost theory, this paper aims to investigate the impact of cultural distance on international strategic alliance formation and its underlying mechanisms. Design/methodology/approach This paper uses the investment of foreign firms in the Chinese Venture Capital market as an empirical background, Obtaining VC data from Zero2IPO Private Equity, CVsource Investment Database (2001–2015). This paper chooses the Logit regression method, according to Lind’s three-step method to test the inverted U-shaped relationship. Findings The empirical analysis of foreign venture capital firms invested in China revealed that there is an inverted U-shaped relationship between cultural distance and the possibility of international strategic alliances. This relationship is the result of two opposing mechanisms, which are the need and the feasibility of international strategic alliances. In addition, this study further examined the moderating effects of social embeddedness and social reputation, revealing the boundary effects on the complex relationship between cultural distance and possible international strategic alliance formation. Originality/value This study focuses on cultural difference, which is a key factor leading to a firm’s transaction costs. Based on the transaction cost theory, this paper investigates the impact of cultural distance on international strategic alliance formation and its underlying mechanisms.

The devil you know? A review of the literature on the impact of prior ties on strategic alliances

2015 ◽  
Vol 13 (3) ◽  
pp. 334-358 ◽  
Author(s):  
Ana Valdés-Llaneza ◽  
Esteban García-Canal
Keyword(s):  
Strategic Alliances ◽  
Strategic Alliance ◽  
Meta Analysis ◽  
Organizational Adaptation ◽  
Review Of The Literature ◽  
Content Type ◽  
Alliance Performance ◽  
Cooperative Relationships ◽  
Comprehensive View ◽  
The Impact

Purpose – This paper aims to provide a comprehensive view of the role of previous cooperative relationships between partners at the different stages of development of strategic alliances: formation, design and post-formation, as well as their effect on alliance performance. Design/methodology/approach – This paper is a comprehensive review of the literature. Findings – This paper shows that the relationship between prior ties and alliance outcomes is more complex than what it seems at first sight. The impact that prior ties have on alliance performance and organizational adaptation is not always positive. Research limitations/implications – The main implication of this paper for researchers and managers is to show the need to consider the risks of repeated relationships between partners. This research could be developed by conducting a meta-analysis. Originality/value – This paper provides a comprehensive view of the impact of prior ties between the partners in strategic alliance outcomes. This paper sheds light on some inconclusive results of previous research on this topic.

Working Together Locally-Performing Better Internationally: Alliance-FSAs-SME Internationalisation

2016 ◽  
Vol 5 (2) ◽  
Author(s):  
Tarun Kanti Bose ◽  
Jannatul Ferdous Bristy
Keyword(s):  
Strategic Alliances ◽  
Final Stage ◽  
Strategic Alliance ◽  
Stage Model ◽  
Global Performance ◽  
Working Together ◽  
The Impact

The present study directs towards investigating the impact of local alliance on global performance of SMEs. In order to explore such impact, a conceptual three stage model has been developed covering three main variables: strategic alliance, developing firm specific advantages (FSAs), and internationalization. Qualitative and explorative descriptive studies on fifty SMEs of Khulna city, Bangladesh were carried out to detect the key underlying variables exist in the context. From the data recorded and archived a total of ten variables covering various types of strategic alliances were developed, in the next stage a total of 20 FSAs were identified which can be obtained through such alliances and in final stage again ten variables were detected that describe different internationalization competencies which can be developed through building those FSAs. This study contributed toward developing a model for successful alliance FSAs internationalization framework from the observations of the respondents firms.

The drivers of profitability in the top 30 major airlines worldwide

2016 ◽  
Vol 20 (2) ◽  
pp. 26-37 ◽  
Author(s):  
Ilídio Tomás Lopes ◽  
Duarte Pitta Ferraz ◽  
Ana Maria Gomes Rodrigues
Keyword(s):  
Intellectual Capital ◽  
Strategic Alliances ◽  
Strategic Alliance ◽  
Content Type ◽  
Structural Capital ◽  
Test Of Hypotheses ◽  
Major Airlines ◽  
Capital Ownership ◽  
And Control ◽  
The Impact

Purpose The purpose of this study is to identify the impact of human and structural capital on profitability of major airlines and examine whether region, capital ownership and control and strategic alliance play a clustering effect on profitability. Design/methodology/approach Using information from the top 30 airlines worldwide, in particular human and structural capital proxies, a linear model is regressed. Test of hypotheses were performed towards the identification of the influence emerged from variables, such as region, capital ownership and control and strategic alliances, on intellectual capital drivers and profitability. Findings Turnover is driven by human and structural capital factors, namely: employee expenses and benefits; size of board of directors; intangible assets; codeshare agreements; and passenger traffic. Airlines profitability does not depend on region, capital ownership and control or strategic alliance in which the company is integrated. Research limitations/implications In spite of the limitations, we underline the range of time under analysis and the sample size. However, the current approach can be replicated over time and based in other rankings, structured on different metrics and approaches. Practical implications The empirical results provide both an understanding of how independent variables positively affect the performance of airlines and offer some explanation as to the relationship between key characteristics of firms and profitability. Originality/value The research adds value to the current literature by exploring the effects of new intellectual capital drivers on profitability of airlines firms. Focused on a sector that strongly contributes to improve the networking between nations, it provides a new and updated overview.

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