Research On Multi-channel Price And Inventory Strategy Under B2C E-commerce

With development of Internet and E-Business, consumers' perspective and consuming manner are changing gradually. E-Business, as independent retailing channel and business mode, it made supply chain distribution channel start to change, such as emergence of E-Direct channel, Indirect channel, Hybrid channel etc, and all these new ways were widely implemented in corporations'practice. The emergence of E-Business expand the range of retailing channel, it offered consumers totally new consuming mode. It also flatted the structure of retailing channel, enhanced the channels' efficiency and lowered the cost of channel. This paper analyzed the new characteristics of channel structure's revolution which E-Business created. The paper presented new structure of channel structure's evolution in E-Business environment. It also studied multi-channel structure in B2C E-commerce. Meanwhile the paper also carried out study on price and inventory operation strategy in various channel structure. This research was presented in four main categories:(1)Research had comprehensive description on supply-chain multi-channel's distribution system in B2C E-Business environment. Description started from demand function in multi-channel environment. General description also covered multi-channel structure arrangement, price competition, coordination and conflict of multi-channel, and channel operation management etc. It pointed out characteristics of revolution and evolution which E-Business brought to traditional channel. The research also presented new channel mode which evolved from Supply-chain channel structure in E-Business environment.(2) The paper also studied hybrid channel equilibrium structure and price strategy that manufacturer implemented when they explored E-channel. It also set up certain model to analyze condition and internal reasons that caused channel conflict when manufacturer explored E-market. The paper presented manufacturers' optimum channel strategy is dual-channel hybrid strategy in E-Business Environment. Meanwhile it was found out that in certain conditions when manufacturers implement dual-channel, it may damage retailers' profit and cause channel conflict. Focusing on such conflict, the papar designed coordination system which based on transfer payment, and achieved coordination of dual-channel conflict. However this coordination mechanism exists theoretically, there're certain difficulties during implementation process. So with considering minimizing channel conflict in the article, manufacturers would take three various price strategies practically. After analyzing profit situation in various price strategies, manufacturers'optimum price strategy was achieved.(3) The problem of retailing channel structure equilibrium and price strategy based on E-market's is researched. By implementing GAME theory, model was set up to analyze market equilibrium structure and price competition problems that existent traditional retailers and E-Business retailers started to compete to each other when they entered E-market. Equilibrium result showed no matter existent retailers or E-Businessmen, they all could make profit by exploring E-market individually. The only market equilibrium of two parties' simultaneous competition is E-Businessmen enter E-market to compete with traditional retailers' channel, and achieve Nash equilibrium. On the other hand, examining equilibrium price and profit of traditional retailers and E-Businessmen under Bertrand and Stackelberg two various price competition, the paper provided proof for it by practical data. The result of data indicated that traditional retailers would choose pre-active price competition strategy of Stackelberg when they face competition from E-Businessmen. Such activity would achieve more profit.(4)Multi-channel inventory operation strategy in e-market environment is also studied. Considering E-market's three various inventory operation ways:manufacturers explored E-channel, manufacturers and retailers had different inventories in order to satisfy various channels' consumers' needs; only retailers had inventory, both channels' needs were satisfied by retailers' inventory; retailers explored E-channel, E-channel's orders were assigned by retailers. By using Newsboy model, a model was set up to analyze manufacturers' and retailers' optimum inventory strategy. Finally, the paper analyzed influence of demand's uncertainty level on manufacturers and retailers' optimum inventory by numeral exam. Meanwhile after considering random needs, manufacturers produce products, retailers were responsible to sell products and recycled products from consumers. It was exactly the multi-channel coordination problem which is forward sales and backward recycling as a whole. It presented a new coordination contract, which is revenue-cost sharing contract. It realized coordination problems of closed supply chain.Finally, the paper made a conclusion on research, and also presented further orientation of future research.