Research On Pricing And Coordination Strategies Of Manufacturers And E-tailers In Omni-channel

With the change of lifestyle and shopping mode,the traditional single marketing channel cannot meet the growing demands of consumers.Omni-channel marketing emerges as the times require,the essence of which is to integrate online and offline channels to provide consumers with more choices.For enterprises,the basic dual-channel which is the combination of traditional physical stores and online stores,has been unable to cope with the increasingly complex market environment,and needs to be expanded through different ways.Therefore,this paper discusses the game between manufacturers and e-tailers.We establish a linear demand model mainly considering the influence of consumer preferences and price competitions in the market,and introduce Stackelberg game theory to formulate the optimal pricing strategies for manufacturers and e-tailers under equilibrium situations.In order to propose effective management advice,we analyze the market demands and profits by comparing multiple different models.The study finds that consumers' channel preferences affect the implementation of channel expansion strategies.When consumers prefer online channel,manufacturers are supposed to expand online direct channel by setting up an official website mall.While consumers prefer offline shopping,e-tailers should open physical stores.In the dual-channel and three-channel structures,non-equivalent pricing strategy is adopted.Manufacturers' direct sales channel price is always lower than e-tailers' distribution channel price.As the Stackelberg leader,manufacturers can take advantage of price to obtain more market demands,and ultimately make higher profits than e-tailers.However,in the omni-channel model,consumers have no obvious channel preferences.When both sides expand channels simultaneously,price is the main way of competition.Take consumers' price-matching behavior into account,we propose an equivalent pricing strategy.To be more specific,online and offline channels set the same retail price to avoid high-priced channels being eliminated by consumers.However,manufacturers' pricing decision is not precisely the same as etailers' pricing decision,and manufacturer still set lower prices to maintain advantage.With the increase of consumers' cross-price sensitivities,the market price differences are reduced and channel pricing will tend to be consistent.