Extended Warranty Service Strategies Of E-Commerce Platform With Manufacturer Behavior Influence

The e-commerce model has developed rapidly and maturely.Consumers’ demand for value-added services of products is increasing.The increasingly fierce competition on e-commerce platforms,as well as the demand for cost and profit,gave birth to the extended warranty service.Extended warranty services have become an effective tool to alleviate consumers’ quality concerns,improve the profit level and coordinate supply chain relations.In the process of deciding extended warranty strategies,the impact of manufacturers’ behavior is increasingly apparent.Wholesale and consignment cooperation between manufacturers and e-commerce platforms,reverse recycling of second-hand products and fairness concern have complicated interactions with ecommerce platform’s strategies,which have become important influencing factors that need to be considered urgently in decision-making.Therefore,it is of great significance to explore the e-commerce platform’s decision-making response to manufacturers’ behavior factors in the supply chain with extended warranty services.In this thesis,the research object is the supply chain with e-commerce platform’s extended warranty services.Based on the analysis of the impact of manufacturer’s behavior,game models with rational participation of all parties are constructed to analyze the influencing factors of e-commerce platform’s extended warranty decisionmaking by comprehensively using the theoretical methods of data analysis,modeling,utility analysis,simulation.The main research content of this thesis is as follows:1.Price and duration of extended warranty decisions on e-commerce platform under the wholesale mode and consignment mode.Based on the wholesale and consignment relationship between the manufacturer and the e-commerce platform,considering consumers’ preference for base warranty and extended warranty,two Stackelberg game models are constructed.The optimal decision under the two models is given,and the differences and influencing factors of the extended warranty service decision under the two models are compared and analyzed.The research shows that there is usually a linear relationship between the price and the length of the extended warranty service,and it is related to the demand.The e-commerce platform extended warranty service increases its own profit and damages the manufacturer’s profit.The platform should adopt different extended warranty service strategies for the same commodity with different models when making extended warranty service decisions.2.Price and duration of extended warranty decisions on e-commerce platform consider the manufacturer’s product recycling behavior.Game models are established with forward sales channel and reverse product recycling channel.Segment consumers through extended warranty service and product recycling.This paper compares and analyzes three product recycling pricing models: low recycling price,high recycling price and discriminatory recycling price.The extended warranty service duration and price strategies under three kinds of recycling pricing are studied.The research shows that when using the discriminatory recycling price strategy,the manufacturer needs to maintain a low recycling price for the non-warranty consumers and appropriately increase the recycling price with extended warranty services.High recycling prices have higher recoveries,and low recycling prices save manufacturer’ costs but reduce recoveries.Discriminatory pricing strategies attract the largest number of consumer recoveries,but are not applicable when the base warranty is longer.The price recycling strategy does not affect the sales of the extended warranty services,but can reduce the price of products in the forward channel and increase the market demand.3.Price and duration of extended warranty decisions on e-commerce platform considering manufacturer’s fairness concerns.Analyze manufacturer’s fairness concerns about the profits generated from the extended warranty services.Comparing the three situations of not providing extended warranty services,manufacturer not having fairness concerns and having fairness concerns,this section studies the countermeasures of extended warranty services for the e-commerce platform.The research shows that manufacturer’s fairness concerns raise wholesale prices and reduce supply chain efficiency.The extended warranty service duration and price are not affected.There is a fairness concern threshold to maintain manufacturer’s rational decisions at low levels of fairness concern.When the cost of extended warranty services increases,the platform’s profit is impaired,the manufacturer’s net profit remains unchanged but fairness concerns utility increase.The e-commerce platform improves the technical level of extended warranty services to reduce costs,which helps to maintain profits and restrain manufacturer’s irrational fairness concerns.