Research Of Welfare Effect Of Retailer’s Pricing Discrimination Base On The Theory Of Two-sided Markets

with the current scale of large retail become more and more large and small retails quitting, the concentration of the retail industry has increased, some manufacturers have significant market power in their markets. As the same time, the retail has unique characteristics as a platform enterprise for two-sided market. That retailers charge discriminatory slotting allowances is very common at home and aboard. Domestic and foreign scholars have researched slotting allowances very much, including the theoretical research and empirical research. This paper attempts to analyze how slotting allowances affect the benefits of consumers, suppliers and the platform itself by implementing discriminatory slotting allowances, and provides theoretical basis for relevant aspects of government regulation. This paper has certain practical significance for promoting the healthy development of China’s retail industry.The framework of this paper is this:the first two chapters make a simple introduction about related concept, including the research background, research significance, the concept and classification of price discrimination, the concept of two-sided market, and the domestic and foreign scholars’ research of two-sided market pricing. We can have a comprehensive understanding about pricing mechanism of two-sided market through these descriptions. Then is the core of this chapter, First, the third chapter introduces the simple "single-homing customers, single-homeing supplier" two-sided single-homing platform model, then analyzes "single-homing customers, multi-homing suppliers" model according with actual situation, making a summary about two-sided market pricing mechanism, concluding that the pricing of platform enterprise is affected by the degree of two-sided user network externalities and product differentiation. Suppliers will choose to enter the two platforms to sell their products. The fourth chapter uses the concept of slotting allowances to analyze the price discrimination of platform enterprise and how discriminatory slotting allowances affect the welfare of each stakeholder. Then this paper concludes platform enterprise charge slotting allowances not only damage supplier’ profit, even damage the consumer utility, but also tends to reduce the social welfare, just increase margins of platform enterprise. Then this paper gives abroad and domestic examples to illustrate how discriminatory slotting allowances affect the welfare of each stakeholder. Finally, this paper draws lessons from foreign government regulation about asymmetric pricing of platform enterprise, and makes relevant recommendations for asymmetric pricing of platform enterprise with above-mentioned conclusion.