Original design manufacturer's warranty strategy when considering retailers' brand power under different power structures

Lou, Yaqi; He, Zhen; Feng, Lipan; Cai, Keyuan; He, Shiwei

doi:10.1111/itor.12795

Cited by 14 publications

(7 citation statements)

References 47 publications

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“…Shi et al (2020) investigate the effect of a company's organizational structure on direct or indirect sales of these new and remanufactured products. Lou et al (2020) are interested in multichannel cooperation between the original manufacturer and two competing retailers. When bundling products and warranties with alternative sales, it is observed that product substitutability and supply chain power structures do not influence product pricing and warranty decisions.…”

Section: Sales Of New and Remanufactured Productsmentioning

confidence: 99%

The bundling sales pricing strategy of the closed-loop supply chain under patent protection

Cao,

Zhang,

Liu

et al. 2024

MSCRA

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PurposeThe purpose of this article is based on the unit patent license fee model in the closed-loop supply chain.Design/methodology/approachThis paper analyzes the impact of the bundling strategy of the retailer selling new products and remanufactured products on the closed-loop supply chain under the condition that the original manufacturer produces new products and the remanufacturer produces remanufacturing products.FindingsThe results show that alternative products can be bundled, and in many cases, the bundling of remanufactured products and new products is better than selling alone.Originality/valueIf the retailer chooses bundling, for the remanufacturer, when certain conditions are met, the benefits of bundling are greater than the separate sales at that time; for the original manufacturer, when the recycling price sensitivity coefficient is high, the bundling is better than separate sales.

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Section: Sales Of New and Remanufactured Productsmentioning

confidence: 99%

The bundling sales pricing strategy of the closed-loop supply chain under patent protection

Cao,

Zhang,

Liu

et al. 2024

MSCRA

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“…Considering the fact that some manufacturers are small firms or factories that are not specialized in the retail business, the giant retailers who have rich experience in retail have a better position in the operation of the entire supply chain (Luo et al., 2022; Chai et al., 2021). Examples of retailers as leaders in the supply chain are also common in reality, such as Walmart, Costco, and Amazon.…”

Section: Extensionsmentioning

confidence: 99%

Probabilistic selling and manufacturer encroachment in retail markets with vertical‐differentiated products

Wang

2022

Int Trans Operational Res

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This study investigates the adoption of a probabilistic selling strategy in a vertical‐differentiated marketing channel. We build a styled model in a retail market in which a manufacturer sells two vertical‐differentiated products solely through a retailer, and the manufacturer can encroach on the end market by selling probabilistic products or continue to sell them through the retailer. Our findings indicate that the manufacturer can benefit from the probabilistic selling strategy only when the expenditure of building the direct‐selling channel is low, but the retailer is always worse off. Furthermore, when the quality of the low‐end product is relatively low, the manufacturer prefers to choose the traditional selling format. Finally, the consumer surplus is higher when the retailer adopts the probabilistic selling strategy.

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“…In Sect. 4 , we provide an analysis of different pricing decision sequences in which either the e-tailer or the seller acts as leader (e.g., Lou et al 2020 ; Hu et al 2021 ). The seller can choose not to use the e-tailer’s platform by setting a high price for his product so that demand for it does not exist.…”

Section: Modelmentioning

confidence: 99%

What type of contract should e-tailers offer sellers when facing internal competition

Perlman‬‏

2022

Cent Eur J Oper Res

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This paper investigates whether an e-tailer should act as a platform and offer customers the product of a seller who can reach customers only through the e-tailer, and if so, what type of contract to offer the seller: a proportional commission based on revenue or a fixed fee per unit sold. The e-tailer also chooses the product line design: offer only her own product, offer only the outside seller’s product, or offer both her own product and the seller’s product. Intuitively, when the e-tailer’s product outperforms the seller’s product in terms of value-to-cost ratio, the e-tailer should not offer the seller’s product. However, non-intuitively, we also identify conditions in which the e-tailer remains better off not opening her platform to the seller even though the seller’s value-to-cost ratio is higher than the e-tailer’s and show how these conditions depends also on the consumers valuations. Regarding the type of contract to offer the seller, we find that most of the time, a proportional commission based on revenue is the best contract, guaranteeing the highest e-tailer profit. However, this is not always the case since there are situations when a fixed fee contract reduces the potential of internal competition.

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Original design manufacturer's warranty strategy when considering retailers' brand power under different power structures

Cited by 14 publications

References 47 publications

The bundling sales pricing strategy of the closed-loop supply chain under patent protection

The bundling sales pricing strategy of the closed-loop supply chain under patent protection

Probabilistic selling and manufacturer encroachment in retail markets with vertical‐differentiated products

What type of contract should e-tailers offer sellers when facing internal competition

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