Channel Structure,Competing Policy:a Strategic Analysis Of Dual-channel Supply Chain Operations

With the rapid development of e-commerce and improving logistics service,shopping online,as a new shopping method,is becoming more popular than before.In the trend of internet,many companies try to sell products online one after another.There are three typical dual-channel operation models in current market containing ‘physical store and manufacturer's online store',‘physical store and an independent e-retailer' and ‘physical store and an agency e-retailer'.Physical stores,manufacturers and e-retailers,however,are often puzzled with choosing suitable dual-channel supply chains.What actions will members take to improve their profits in a certain supply chain? How will physical stores and manufacturers take when facing strong e-retailers? There is a strong theoretical and practical significance for answering and analyzing those questions.At first,under the dual-channel supply chain,we construct a game model between manufacturer,retailer and e-retailer.Describe the change of price in three typical supply chain,proving members' profits affected by channel models.Then,we take physical store providing service into condition and analyze the price strategy,the level of service and members profits in three different models.To Compare with no service in supply chain,we prove the effect of service on total profit.Finally,we do research on effects of strong e-retailers on supply chain in ‘physical store and an agency e-retailer' condition.The results show that:(1)In different dual-channel supply chain,the price of physical store is consistent with the price of manufacturers' online store.Manufacturers can have a long-term cooperation mechanism with physical stores to defend pressure brought by strong e-retailers,which is proved good for maintaining fair transaction.Not only does high rents affect e-retailers' long-term earnings but also destroy the profits of manufacturers and physical stores.So,rational e-retailers had better make a suitable rent policy and cooperate nicely with manufacturers.(2)In different dual-channel supply chain with physical stores providing service,the level of service provided by physical store has negative correlation with operation costs,same correlation with the coefficient of service costs.Online channel price and demand has positive correlation with the coefficient of service costs,but opposite with operation costs.Compared with no service condition,the price of physical store and demand of brick-and-mortar store increase to maximum.However,the demand of online channel and profit of e-retailers decrease observably.Total demand in ‘physical store and manufacturer's online store' model stays the same,which is higher than ‘physical store and an agency e-retailer',but lower than‘physical store and an independent e-retailer'.(3)Physical store will increase price to apportion operation costs when platform rent is highly claimed by e-retailer.Besides,physical stores will also obtain more profits if the operation costs shared by manufacturers increase.On the other hand,online price stays the same trend with offline price.The operation costs of physical store drops observably when manufacturer shares more service costs.Physical store is willing to improve the level of service,which can ease competition pressures.In addition,physical store will improve thelevel of service to withstand strong e-retailer.There is an optimal level of service to maximize the benefits of the league.However,it doesn't mean the more proportion shared the more profits they obtain.There is an optimal sharing proportion to maximize the benefits of the manufacturers.Manufacturers should actively build network channels,also cooperate in ‘physical store and an independent e-retailer' or ‘physical store and an agency e-retailer',to maintain good relationships with channel members.The store should actively expand the sales model to create good shopping environment,providing high quality service experience.Physical stores can cooperate with manufacturers to protect their own welfare under strong e-retailers.The results show that: strong e-retailers can obtain excess income in short time.affected his own welfare in long term.E-retailers ought to pay attention to long-term interests,in low rents to cooperate with each other.