Quality differentiation and e‐tailer's choice between reselling and agency selling

Wang, Le; He, Zhen; He, Shiwei

doi:10.1002/mde.3893

Cited by 3 publications

(3 citation statements)

References 51 publications

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“…Additionally, our study makes a noteworthy contribution to the existing literature on consumers' homogeneity and heterogeneity (Yenipazarli, 2019;Wang & Hou, 2020;Zhang et al, 2023;Wang et al, 2023). For example, with consumers' heterogenous brand preferences, Yenipazarli (2019) explores the motivations of firms to invest in reducing the environmental costs of their production processes.…”

Section: Literature Reviewmentioning

confidence: 98%

Quality disclosure strategy in a competitive environment with consumers' homogeneity and heterogeneity

Tan,

Wang,

Zhou

et al. 2024

Manage Decis Econ

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This study examines the optimal pricing and disclosure strategies of sellers who possess private quality information. We consider two market structures, namely, monopoly market and duopoly market; under each market structure, we further consider two characteristics of consumer preferences for the same product: homogeneity and heterogeneity. How competition and whether consumers are heterogeneous affects sellers' disclosure strategies, and profitability is the focus of our attention. Interestingly, we show that the monopolistic seller's profit is likely to increase as the disclosure cost, which is not possible in a competitive environment. We indicate that when consumers are homogeneous, sellers can obtain higher returns and are more likely to engage in quality disclosure. Finally, we show that when the market is filled with homogeneous consumers, competition always increases the motivation for sellers to engage in quality disclosure. However, when the market is filled with heterogeneous consumers, competition actually hinders sellers from engaging in quality disclosure when the cost of disclosure is low. Our results help company managers in making better disclosure and pricing strategies.

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Section: Literature Reviewmentioning

confidence: 98%

Quality disclosure strategy in a competitive environment with consumers' homogeneity and heterogeneity

Tan,

Wang,

Zhou

et al. 2024

Manage Decis Econ

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“…Several scholars have recently examined manufacturers' quality decisions and distribution contract choices when selling through platforms (Feng et al, 2020;Luo et al, 2022;Wang et al, 2023). Besides, Zhang et al (2022) and Zhang and Ma (2023) internalized quality decisions and investigated the interaction between product suppliers' quality differentiation strategies and online retailers' choice of sales formats.…”

Section: Literature Reviewmentioning

confidence: 99%

Impact of copycatting on the luxury manufacturer's distribution contracts in the e‐commerce era

Teng,

Hou,

Xie

et al. 2024

Manage Decis Econ

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Although many luxury manufacturers have cooperated with e‐commerce platforms in reality, few studies have focused on the distribution contract options (retail or agency contracts) of luxury manufacturers in the presence of copycats. This paper demonstrates the effectiveness of different distribution contracts to prevent the entry of copycats and provides decision support for luxury manufacturers' anti‐copycat strategy. In particular, the e‐commerce platform can reduce the commission rate slightly to make the agency contract more effective in deterring copycats from entering the market. Finally, we find some results about consumer surplus and social welfare.

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“…In green supply chains, consumer surplus is an important indicator for evaluating corporate social responsibility and sustainable development. Consumer surplus represents the residual utility of consumers after purchasing a product, and is usually calculated through the maximum product sales price acceptable to consumers and the actual sales price [ 60 , 61 ].…”

Section: Consumer Surplusmentioning

confidence: 99%

Remanufacturing and channel strategies in e-commerce closed-loop supply chain

Shi,

Ma,

Yang

2024

PLoS ONE

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This paper studies the recycling and remanufacturing mode and sales channel issues in the closed-loop supply chain. Specifically, this study establishes an e-commerce closed-loop supply chain consisting of a manufacturer and an e-commerce platform, and divides the recycling model into recycling by the manufacturer or recycling by the platform. Considering two common sales models in e-commerce platforms: the resale model and agency model, combined with the recycling model, four different research scenarios are formed. We use backward induction to solve the Stackelberg game problem and explore the remanufacturing and channel strategies of the manufacturer and the e-commerce platform. The research results show that for the manufacturer, under the same recycling model, when consumers’ preference for remanufactured products and the sensitivity of recycling volume to recycling prices are low, he will prefer the resale model. Under the same sales model, the manufacturer always prefers the recycling model in which he is responsible for recycling. However, the choice of platform is contrary to that of the manufacturer. In the resale model, both the manufacturer and the platform will choose to recycle by themselves, which cannot achieve a win-win situation. Under the agency model, when consumers’ preference for remanufactured products is high and the sensitivity coefficient of recycling volume to recycling price is low, supply chain members can achieve a win-win situation, and the scope of the win-win situation decreases as the unit production cost of new products increases. In addition, rising consumer preference for remanufactured products will lead to lower consumer surplus.

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Quality differentiation and e‐tailer's choice between reselling and agency selling

Cited by 3 publications

References 51 publications

Quality disclosure strategy in a competitive environment with consumers' homogeneity and heterogeneity

Quality disclosure strategy in a competitive environment with consumers' homogeneity and heterogeneity

Impact of copycatting on the luxury manufacturer's distribution contracts in the e‐commerce era

Remanufacturing and channel strategies in e-commerce closed-loop supply chain

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