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| Choice of New Product Technology Innovation Models in Vertical Supply Chain |
| ZHANG Juan，WANG Ziyue，YU Feifei |
| Hohai University, Nanjing, China |
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Abstract For a supply chain consisting of a supplier with independent innovation ability and a manufacturer, this study discusses the R&D investment game between manufacturers and suppliers under two technology innovation models, gives the choice of the technological innovation mode when the supplier produces new products, and analyzes the role of independent innovation capabilities of suppliers in the game. Research shows that: ①When traditional product supply chains are very inefficient, supplierschoose to develop new products independently. At this time, the supplier’s R&D of new products stimulates manufacturers to increase investment in R&D through the role of “advertising signals”, thereby increasing sales of traditional products and parts. ②When the market acceptance of new products is very high, suppliers always choose to cooperate with manufacturers to develop new products, and can achieve a win-win situation under a certain profit distribution.③Suppliers’ independent R&D capabilities can always help them gain more benefits in the game with manufacturers.
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Received: 06 April 2020
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