Optimized Demand Information Sharing Model of Dual-Channel Supply Chain in E-Commerce

Author:

Song Yiming1,Wu Shun2,Zhou Yang1,Pan Yiting3ORCID,Sudhir Kumar4ORCID

Affiliation:

1. Business School, Hohai University, Nanjing, China

2. College of Economics and Management, Shanghai Ocean University, Shanghai, China

3. Admission Office, Wenzhou Business College, Wenzhou, China

4. Patan College for Professional Studies (PCPS), Kathmandu, Nepal

Abstract

In the dual-channel supply chain, the relationship between the electronic direct selling channel and the traditional selling channel is situated in an antagonistic game. The present study used the master-slave game model to analyze the dual-channel supply chain structure, where the manufacturer is the leader of the game, and the seller is the follower of the game. Based on the game analysis theory, the game order of manufacturer and seller is analyzed in the state of demand information sharing. The decision model of each member in the dual-channel supply chain is constructed, and the optimal production decision and product price decision under the demand information sharing between the seller and the manufacturer are determined by the reverse induction method. The expected economic benefits of both are calculated, respectively. The experimental results showed that the economic benefit of the model is higher than that of the traditional demand information nonsharing model, which could enhance the economic benefit of the manufacturer and the seller at the same time and alleviate the contradiction between the electronic direct selling channel and the traditional selling channel.

Publisher

Hindawi Limited

Subject

General Engineering,General Mathematics

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