Price Competition Strategy And Pricing Research Of Dual Channel Retailer

At present, because of the online sales channel development, large retailers began to double sales of online marketing and offline sales, forming a double channel retail mode, and this way also gradually become the focus of attention of retail market. Online trading, produced from the market of electronic business has different operation form the traditional market, online transactions, because of its virtual nature, can`t be fully applicable to the traditional market operation mode and market rules, the two channels of dual channel retailer will inevitably conflict. The two channels of dual channel retailer will inevitably have conflicts, and the current retail pricing generally use uniform pricing strategy or the differential pricing strategy. With analysis of various trading strategies and pricing theory, the article summarizes the price competition strategy and pricing of the dual channel retailers. Through theoretical analysis, the article compare the dual channel retailer’s online pricing with pure Internet retailers and offline pricing with traditional retailers, and then the article analyze the pricing differences between dual channel retailers and other retailers and gives an conclusion about the optimal pricing of dual channel retailer and relevant results. In this paper, we analyze the pricing strategy and collaborative pricing through the analysis of Su Ningyun’s Limited by Share Ltd and GOME Electrical Appliances Holding Ltd. Furthermore, we summarize the formal price competition strategy and pricing for the dual channel retailer.