Research On Dynamic Quality And Pricing Decisions Of Dual-channel Supply Chain With Reference Quality Effect

With the rapid development of modern Internet technology and e-commerce,many traditional manufactures built dual-channel supply chains.In addition,many new enterprises sell products directly through the online store,and have no offline channel.As the substitutability of similar products,there are channel competition and brand competition between dual-channel supply chain and Internet supply chain.The current literatures haven't consider reference quality effect in the dual-channel supply chains.So,research on optimal decisions of dual-channel supply chain with reference quality effect in different dual-channel supply chains has become a problem that is worth studying.This paper builds the dynamic quality and pricing model based on differential game with reference quality effect,and discussed in three conditions.The optimal equilibrium of price and product quality can be acquired from the model,then to investigate the impact of reference quality effect on the manufacture and retailers' optimal decisions.Specific innovation as follows:Firstly,building the dynamic quality and pricing model with reference quality effect in different situations of dual-channel supply chains,consider that in the direct channel and the traditional retail channel,consumers have different reference quality effect.Reference quality effect is always beneficial to retailer in different situations.To manufacturer,with the increase of reference quality effect,the profit is decreasing in the situations of channel competition and brand competition.Then,through solving differential equation to acquire the optimal path of quality.The result shows that the optimal path of quality is affected by initial reference quality,when initial reference quality is more than the steady-state quality,the product quality will increase until the steady-state level.Otherwise,the product quality will decrease to the steady-state level.Finally,consider reference quality effect in the dual-channel supply chain with channel competition and brand competition,channel and brand cross price elasticity coefficients have positive influence on the manufacturer and retailers' optimal decisions,the channel competition is more significant than the brand competition.But the network goods brand has a huge impact to the loss of customers of the dual-channel supply chain.