On pricing and bundling decisions for stackelberg games in parallel channels of substitutable composites

نویسندگان

چکیده

The paper describes competition within a supply network with parallel distribution channels. Each chain in the is composed of manufacturer and retailer. Manufacturers sell two complementary products to retailers, who then deliver end consumers. All players can bundle or not their assuming that retail market presents mixed bundling setting. motivation this study mainly analyze impact cost reduction via manufacturers, on how whole will behave. We have modeled solved partly fully sequential game structures well known as Bertrand Stackelberg games, where preceding movers are considered more power. Mathematical numerical analyses reveal interesting propositions managerial insights for decision makers practicing cutting strategies. combination different ordinal led exact mathematical comparisons among 24 games. Results indicate both manufacturers retailers better off simultaneous pricing This promotes concept coordination through layer channels network. Cost compensation increases payoffs when applied by whose products’ manufacturing costs distanced. It also shown enjoy advantage one product at its best playing retailer leading

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ژورنال

عنوان ژورنال: Rairo-operations Research

سال: 2021

ISSN: ['1290-3868', '0399-0559']

DOI: https://doi.org/10.1051/ro/2020052