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Cooperative Advertising and Pricing Strategy in Omni-Channel Supply Chain |
HU Jiao,LI Li,ZHANG Hua,ZHU Xingzhen |
Nanjing University of Science and Technology, Nanjing, China |
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Abstract To study the advertising cooperation and pricing strategy in the omni-channel supply chain, the omni-channel supply chain system composed of one manufacturer and one retailer was considered, including offline, pure online and BOPS channels. Based on the three channel combinations formed by consumer channel preference and market segmentation, we develop the optimal pricing and advertising cooperation decision-making models of the omni-channel supply chain. Compared with non-cooperative advertising strategy, we analyze the influence of advertising cooperation on the omni-channel supply chain. The results show that: in the omni-channel system of offline, pure online and BOPS, the higher the BOPS channel commission level, the higher the manufacturer and retailer’s pricing. Advertising cooperation strategies will promote the manufacturer and retailer to improve advertising levels, increase market demand in most cases. But advertising cooperation in the omni-channel mode does not always increase the profit of the retailer.
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Received: 29 October 2020
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