The Study Of Price Ripple Effect In The Consumer Goods Industry Chain And Its Correspondent Management

All the important events—from the SARS in 2003 to the Wenchuan Earthquake in the first half of 2008 to the financial crisis beginning from the United States in the second half of 2008—influenced on the long-term price equalization system of consumer goods to some extent and made a strong ripple effect on the related industrial chains.The price ripple effect of consumer goods chain actually consists of two elements. One is the transmission process of price ripple effect. Prices vary between nodes in the chain. Due to the fixed cost adjustment, price shocks in size and symptoms at the beginning may be different and is non-linear. The other is the effect of price transmission process on the chain as well as other related industrial chains.The dissertation first took consumer electronics and consumer agricultural products as the main subjects of study, analyzed the phenomenon of asymmetric price transmission and its causes in depth, and then made an innovative and exploratory research on the price ripple effect in the consumer goods industry chain and its response management. The main contents are:1. A detailed study on the quantitative models of the price ripple effects in the consumer agricultural industry chain. The dissertation took pig industry chain in Shanghai for example to build a vertical single-variable three-node, analyzed long-term equilibrium situation based on the consistent threshold model and explored the short-term characteristics based on the error correction model from the positive and negative transfer directions, the dissertation discussed the economic implications of the threshold from the view of economy and management and the causes why prices give birth to ripple effect in the industry chain.2. A detailed study on the quantitative models of the price ripple effects in the consumer electronics industry chain. It was both vertical and horizontal. The vertical study is to explore the applicability of the basic model in the consumer electronics industry chain and further expand the field of study. Horizontal research mainly focused on the price ripple effect among the supply chains of different consumer electronic products. It discussed the characteristics of price transfer of finished products with illustration of LCD TV supply chain and acquired evidence of price asymmetric transfer in important components.3. Study on the common causes of price ripple effect. Market power, adjustment and panel costs, administrative intervention, asymmetric information and inventory management are important factors in the price ripple effect. The causes of horizontal ripple effects also include the arbitrage of management, logistics costs and market barriers and so on. The primary causes point to environment of market and influence of the unconventionallity condition.4. A detailed study of the positive and negative impact on the price ripple effect in the consumer goods industry train. The vector error correction model (VECM) and the historical decomposition map (HDG) are used to analyze the dynamic effects of price adjustment as well as the cause-effect relationship along the industrial chain. Firstly, the price ripple effect in the consumer goods industry chain caused by negative impact was discussed through the analysis of the negative impact of the Wenchuan Earthquake on pork industry chain in the disaster area of Sichuan. And then the price ripple effect in the consumer electronic goods industry chain was discussed through the analysis of the positive impact of the "home appliances to the countryside" policy on the consumer electronic goods industry chain.5. A detailed study on the objectives, strategies and methods of response management about price ripple effect in the consumer goods industrial chain under information condition. Firstly, they can effectively use modern information technology under certain conditions according to the characteristics of consumer goods so that they can make their own in a favorable position in the chain. Secondly, in order to change the unfair environment of buyer-centric market to producers, studied the supply chain coordination of the seller-centric B2B e-commerce platform and designed framework of a service-oriented. Thirdly, the ripple effect in the consumer goods industry chain caused by price distortions mainly lied in insufficient inventory in the short term. Therefore, emergency management approach was presented by risk analysis. The unrestricted market economy can't restrict itselves; the important guarantee is effective administrative interference of the government.