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Title Pricing and Service Effort Decisions of Book Dual-Channel Supply Chains with Showrooming Effect Based on Cost-Sharing Contracts
ID_Doc 76405
Authors Chen, YW; Liu, XJ; Huang, KQ; Tang, HJ
Title Pricing and Service Effort Decisions of Book Dual-Channel Supply Chains with Showrooming Effect Based on Cost-Sharing Contracts
Year 2022
Published Sustainability, 14, 18
DOI 10.3390/su141811278
Abstract It is becoming increasingly difficult to ignore circular and sustainable economies. A traditional chain transits to a dual-channel supply chain, extending its online channel for more customers, and keeping its offline channel so as to reduce resource utilization for sustainable business. However, there exists some conflict between offline and online channels, such as the showrooming effect (i.e., customers visit an offline store to experience products but then buy them online with a lower price). This work studies a three-echelon book dual-channel supply chain involving an author, an online publisher and an offline retailer. Based on Stackelberg game theory, it investigates the optimal pricing solutions and the optimal retailer's service effort level with two copyright models and considers the showrooming effect based on either decentralized or centralized decision-making. Afterwards, it develops a cost-sharing contract to make them achieve Pareto optimality. Furthermore, this research studies the influence of the showrooming effect on the optimal decisions and the profits of each member through theoretical and numerical analyses. The findings show that a well-designed contract can lead dual-channel members to cut down the negative impact of the showrooming effect and realize the win-win situation. Finally, it proposes some managerial insights and possible directions for the future.
Author Keywords pricing; coordination; dual channel; sustainable supply chain; service effort; showrooming effect
Index Keywords Index Keywords
Document Type Other
Open Access Open Access
Source Science Citation Index Expanded (SCI-EXPANDED); Social Science Citation Index (SSCI)
EID WOS:000859597800001
WoS Category Green & Sustainable Science & Technology; Environmental Sciences; Environmental Studies
Research Area Science & Technology - Other Topics; Environmental Sciences & Ecology
PDF https://www.mdpi.com/2071-1050/14/18/11278/pdf?version=1662710936
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