Review Product Distribution Through Different Channels

This study aims to investigate the literature in product distribution and channel competition. In this study, past work related to the product distribution through different channels is extensively reviewed. Based on the channel differentiation, channel competition is also reviewed. Finally, the study proposes that the future research may focus on helping the producer make a decision whether to sell the product through its own direct channel (online) through a physical channel or both based on the difference between these two channels.

Competing Sales Channels with Captive Consumers

We study strategic interactions in markets in which firms sell to consumers both directly and via a competitive channel (CC), such as a price comparison website or marketplace, where multiple sellers’ offers are visible at once. We ask how a CC’s size influences market outcomes when some consumers have limited price information. A bigger CC means more consumers compare prices, increasing within-channel competition. However, we show such seemingly pro-competitive developments can raise prices and harm consumers by weakening between-channel competition.

The effect of capacity constraint on pricing decision and coordination contract in recycling channels

Considering the capacity constraints of reverse channels, this paper explores the influences of channel competition and collection choice on the optimal strategies and profits of closed-loop supply chain (CLSC), in which consists of a manufacturer and two symmetric retailers. Based on the game theory, we design four different scenarios: Neither retailer collects (NN), only a retailer collects (CN/NC) and both retailers collect (CC). On this basis, we find that the higher saving cost and lower competition intensity are incentive to the retailer to recycle. Further, if both the retailers are with constrained capcaities , the same strategies can bring the significant profit improvement; nevertheless, when the strategies are inconsistent, they may suffer a loss of profits. In addition, we try to coordinate the supply chain through two-part tariff contract to achieve Pareto improvement.

An E-Tailer’s Operational Strategy under Different Supply Chain Structures

Motivated by the enormous business success of E-tailers and their distinct business strategies, this paper analyzes the characteristics of dual online channel competition and the fundamental willingness of an E-tailer to open its marketplace to other retailers while at the same time competing with them. We build game theory models to study the dual-channel competition between an incumbent E-tailer and other online retailers under different supply chain structures. Either the manufacturer or authorized third-party retailers can start an online store in the E-tailer’s marketplace. The results show that the transaction fee charged by the platform and the service level provided to customers play significant roles in deciding the marketplace business strategy—the E-tailer faces complicated issues when these two factors fluctuate. A pure strategy of raising the transaction fee may not always be beneficial and a competitor’s superior service level may help to enhance a rival’s sales price. In the expanded research, dual online channel competition with an unauthorized third-party retailer, which is common in the online marketplace, is also examined.