Cannibalization and competition effects on a manufacturer's retail channel strategies: Implications on an omni-channel business model

被引:79
|
作者
Kim, Jae-Cheol [1 ]
Chun, Se-Hak [2 ]
机构
[1] Korea Adv Inst Sci & Technol, Grad Sch Management, Daejeon, South Korea
[2] Seoul Natl Univ Sci & Technol, Seoul, South Korea
关键词
Channel conflict; Channel management strategies; Intra-cannibalization; Inter-competition; Omni-channel model; Pricing strategies; Supply chain; SUPPLY-CHAIN; PRICING STRATEGIES; ONLINE CHANNEL; SPECIAL-ISSUE; COORDINATION; COMMERCE; ASSORTMENT; CONFLICT; PROFITS; BRICKS;
D O I
10.1016/j.dss.2018.01.007
中图分类号
TP18 [人工智能理论];
学科分类号
081104 ; 0812 ; 0835 ; 1405 ;
摘要
This paper analyzes two effects caused by "channel conflict", which occurs when firms newly add a direct online channel via the Internet or a mobile device. The first is an "intra-cannibalization effect" between the firms' existing retail channel and the new online channel, and the second is the "inter-competition effect" between manufacturers and retailers in the supply chain. In particular, this paper investigates a manufacturer's retailing channel strategy considering the relative market power between a manufacturer and a retailer in the supply chain, which has been rarely considered in previous studies. This paper shows the manufacturer's channel strategies: (i) if customers are very heterogeneous with regard to their receptiveness to online shopping, the manufacturer may use a multi-channel strategy. (ii) if the customer sector becomes homogeneous, the manufacturer will become more willing to adopt an omni-channel strategy. (iii) if customers are neither similar nor very different, the manufacturer uses a brick-and-mortar strategy. This paper also shows results on the issue of channel conflict in terms of market power: (i) the retailer may voluntarily limit its market power and thus, self-created competition in the retail market alleviates the problem of double-markup to some extent. (ii) the manufacturer can use an online channel when inter-competition effect becomes severe. (C) 2018 Elsevier B.V. All rights reserved.
引用
收藏
页码:5 / 14
页数:10
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