Abstract
ABSTRACTWe consider a decentralized supply chain that a manufacturer wholesales a product to a retailer who sells the product on a price-and-time dependent market with a two-stage strategy over the selling period, including a retail store in the first stage and a retail store and an online store in the second stage. We assume the manufacturer follows a producing curve to manufacture the product and set the two stages’ wholesale prices. Demand leakage from the retail store to the online store is considered. Our supply chain is developed to explore how a volatile online market will impact the chain’s performances. Numerical examples are conducted to identify the double marginalization effect that both members will never agree on the same timing to practice the second stage, which seriously undermines the manufacturer’s profit; especially in a high price- or time-sensitive online market.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
