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The Study Of Co-opetition Between Private Brand Retailers And Brand Manufacturers

Posted on:2013-02-16Degree:MasterType:Thesis
Country:ChinaCandidate:W Y YangFull Text:PDF
GTID:2249330392950381Subject:Business management
Abstract/Summary:PDF Full Text Request
International retail giants, Wal-Mart, Tesco and Carrefour, have introduced theprivate brand through their extensive sales network and excellent distribution system.And the proportion of their private brands within the shopping centers was increasing.In the end of the last century, some domestic large retailers followed the foreignmajor retailers to develop its private brand, mainly for some daily necessities andlower-value products. Afterwards, develop private brands for retailers became aninevitable trend in the international market. Facing this trend, many manufacturerscould do nothing, and some of them even produce the private brand for large retailersto charge OEM charges. The rights of terminal market continuously accumulate in thehands of retailers, which cause the power of bargaining weakened to the second andthird tier manufacturers. The market interests to manufacturers, who ultimately facedwith the situation of being eliminated, continue to decline. For the special relationshipbetween retailers and manufacturers, they possess many complementary resources,such as market information, product technology, production capacity, sales network,R&D capacity. These resources allows the parties to obtain the respective required,and to gain new competitive advantages and more revenue.Therefore, it analyzed the complex relationship between retailers andmanufacturers, used of evolutionary game approach to build the model of the game,and explored the cooperation strategy equilibrium. In the end, it gave a condition forcooperation between retailers and manufacturers. The results show that retailers, whoproduce the Private brand by imitating the manufacturer’s brand blindly, can’t alwaysgain a competitive advantage. They need innovation to their Private brand, when theimitation was to a certain extent. And if manufacturer, who hope to restrict retailers,could ensure the relevant conditions meets, the cooperation can become evolutionstable strategy. Under a certain conditions, the growing profit of the system couldbring the cooperation to long-term evolution stable.
Keywords/Search Tags:Retailers, Private Brand, Brand manufacturersCo-petitions, Evolutionary game
PDF Full Text Request
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