Manufacturer rebate strategy under chain to chain competition
研究了在两条供应链竞争时,制造商如何制定返利策略,发现返利在成本效益高或低的环境中都可能被采用,且当竞争激烈时更倾向使用高效益返利。
This article builds an analytical framework for manufacturers developing rebate strategies under the chain to chain competition. We demonstrate that rebates are likely to be implemented by manufacturers in both more cost-effective and less cost-effective business environments. We show that manufacturers are more likely to use more cost-effective rebates than less cost-effective rebates when the price competition between two chains is intensified. Rebate can be a dominant strategy for both manufacturers and retailers under two conditions: the market with a small percentage of the rebate-sensitive segment, plus (1) fierce competition and more cost-effective rebates, or plus (2) less cost-effective rebates. Our research provides a reference frame to design price discrimination mechanisms and some management insights for manufacturers.