Optimal Pricing For A Dual-channel Supply Chain Considering Two Sale Periods

With the wide application of information technology, Internet technology ande-commerce are getting rapid development. The consumer shopping behaviors have alsochanged. Opening network direct marketing channels is gradually becoming another choiceof sales function for the enterprise. Due to network marketing channel and the traditionalretail channels respectively has irreplaceable advantages. As a result, many enterprises openonline direct marketing channels and the traditional retail channels at the same time. Dualchannel supply chain management problem has become a focus of research scholars.Dual channel supply chain management refers to the model contains two sales channels:one is the network direct marketing channel and the other one is the traditional retailchannels. Many dual channel supply chain models analyze the supplier’s and the retailer’spricing decisions in different sale channels, the model is built on the basis of based on theproduction is the sale’s quantity, ti means that the products can be sold out in a period, noleft, no out of stock. In real situation, however, many products are not sold on only a salesperiod, mostly, there will contain two sales periods: the original sales period and discountsales period. Therefore, the article will take the two sales periods into consideration, respectto analyzing the optimal pricing decisions of manufacturers and retailers.Combined with the real situation, this article will take the customer’s acceptance ofdirect channel and the customer change rate evaluation of the product over time intoconsideration. By establishing corresponding mathematical decision model, analysis ofsupplier and retailer respectively in pricing under centralized decision-making anddecentralized decision making problem. Through the analysis of the model, this paper givesthe suppliers and retailers under the direct channel recognition of different optimal pricingdecisions. At the end of the paper through the parameter analysis, and combined with thenumerical example, analyzing the influence of various parameters on the profits, the studyfound that: with the traditional contains only a sales period compared to the dual channelsupply chain management issues, including two sales period of double channels of supply chain management in most cases is to improve the profit of suppliers and the whole supplychain; Can also be found between profit and cost is not simple negative relationship, insome cases, there is a critical costs, but its cost is greater than the critical value would makeits profit and cost presents positive correlation. At the same time, in this paper, thecentralized decision-making and decentralized decision making profit comparison, foundthat centralized decision-making, the supply chain profit than the decentralized decisionmaking is large, so this article consider analysis is introduced into the supply chaincoordination mechanism to increase the profits of manufacturers and retailers, thus reducingbecause of competition between manufacturers and retailers and the loss of profit.