2018
DOI: 10.1007/s10696-018-9318-x
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Price and location competition in supply chain with horizontal altruistic retailers

Abstract: We consider a supply chain model with one manufacturer and two altruistic retailers, where the manufacturer first chooses the wholesale price, then the retailers determine the location and retail price simultaneously. We analyze each firm's strategies and the consequences for market demand, profit and consumer surplus. We find that the altruistic preferences play a key role in equilibrium outcomes. Specially, altruistic preferences could improve the profits of firms under certain conditions. Furthermore, we sh… Show more

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Cited by 11 publications
(15 citation statements)
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“…Liu et al [44] show that altruistic preferences favor the profits of decision-makers only if the coefficient of altruistic preferences is within a certain range. Lin [45] examine the effect of altruistic preferences on integrated channel decisions and refine the revenue-sharing mechanism to achieve system coordination. Huang et al [46] discover that the greenness of products under manufacturer's altruistic preference is higher than that without altruistic preference.…”
Section: Mindsmentioning
confidence: 99%
“…Liu et al [44] show that altruistic preferences favor the profits of decision-makers only if the coefficient of altruistic preferences is within a certain range. Lin [45] examine the effect of altruistic preferences on integrated channel decisions and refine the revenue-sharing mechanism to achieve system coordination. Huang et al [46] discover that the greenness of products under manufacturer's altruistic preference is higher than that without altruistic preference.…”
Section: Mindsmentioning
confidence: 99%
“…Loch and Wu [17] first introduce altruistic preference into operational decisions and reveal that it systematically influences the behavior in the supply chain with two members depending on game models and experimental studies. Based on a supply chain with one manufacturer and two altruistic retailers, Lin [44] further illustrates that altruistic preference can improve the profits of the supply chain under certain conditions. Assuming both the logistics service integrator and functional logistics service provider have altruistic preferences, Liu et al [18] identify the optimal investment decisions in the logistics service supply chain.…”
Section: The Operational Decisions With Altruistic Preferencementioning
confidence: 99%
“…Xu and Wang (2018) established a strategic model of competition and cooperation based on online and offline retail channels under altruistic reciprocity, which can improve the supply chain channel efficiency. Liu et al (2018), Lin (2019) proved that altruistic reciprocity could increase profits of all supply chain members under certain condition. (3) Agricultural products supply chain under social preference.…”
Section: Literature Reviewmentioning
confidence: 99%