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In this paper, we study how a retailer can benefit from acquiring consumer taste information in the presence of competition between the retailers store brand (SB) and a manufacturers national brand (NB). In our model, there is ex-ante uncertainty about consumer preferences for distinct product...
Persistent link: https://www.econbiz.de/10011775701
We introduce a supply chain network equilibrium model with differentiated products, in which firms compete on product quantities and quality. We then extend the model to include a strict quota or tariff. We establish the equivalence between the model with a strict quota and that with a tariff,...
Persistent link: https://www.econbiz.de/10012866185
We study a supply chain where the supplier sells a family of vertically differentiated products with varying quality levels through a network of distributors to end consumers who have heterogeneous valuations for quality. With traditional wholesale pricing, it has been shown that the supplier...
Persistent link: https://www.econbiz.de/10012948802
In this paper, we develop a supply chain network game theory model with product differentiation, possible outsourcing of production and distribution, and quality and price competition. The original firms compete with one another in terms of in-house quality levels and product flows, whereas the...
Persistent link: https://www.econbiz.de/10014037953
Contractual inefficiencies within supply chains increase an input price above its marginal cost, therefore they are considered detrimental to consumer surplus. We argue that such inefficiencies may be beneficial to consumers in quality-differentiated markets where the "finiteness property"...
Persistent link: https://www.econbiz.de/10013091101
In the European Union, medicines are regulated products subject to both single market (e.g., regional exhaustion of property rights) and country specific health care regulations (e.g., medicines pricing). This gives rise to parallel trade (PT), a phenomenon that takes place when a patented...
Persistent link: https://www.econbiz.de/10010477153
The optimal design of two-part tariffs is investigated in a dynamic model where two firms belonging to the same supply chain invest in R&D activities to increase the quality of the final product. It is shown that the replication of the vertically integrated monopolist's performance can be...
Persistent link: https://www.econbiz.de/10011705637
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Persistent link: https://www.econbiz.de/10011546161
Private sugar processors in Andhra Pradesh, India use an unusual form of vertical coordination. They issue 'permits' to selected cane growers a few weeks before harvest. These permits specify the amount of cane to be delivered during a narrow time period. This article investigates why processors...
Persistent link: https://www.econbiz.de/10011396256