Research On The Pricing Coordination Of Two Stage Supply Chain In Which A Company Participates

Under the circumstance of globalization, mercerization, informatization, the competition between enterprises have become the competition between supply chains. There are more and more theoretical researches of supply chain which have made great progress. But in different industries, the development of research on supply chain is imbalance. The related research of supply chain about advanced building material’s supermarket which first rose in European and American countries has only just begun.The paper’s research object is two stage supply chain which A company participate in. Through the analysis of A company’s overall social and building materials market environment, we learn that A company uses cost-plus pricing method to make product retail price and its product suppliers uses cost-plus pricing method to make product transfer price. The traditional pricing method causes high retail price. High retail price and weak market environment have made serious influence to the sustainable development of A company. So the product pricing is the key factor for A company development, the paper considers this problem from the perspective of supply chain management.Now the market is buyer’s market. A company directly contacted with customers and knows more about market than its product suppliers, so it can make the right decisions about product pricing. On the basis of learning predecessors’ research and the premise of linear demand and information symmetry, the paper established pricing model of supply chain by retailers leading. By comparing decentralized pricing method and joint pricing method, we know joint pricing method makes more profits than decentralized pricing method. The paper puts forward two simple methods to share benefit. In the end, on the basis of A company’s actual data, the paper compared cost-plus pricing, decentralized pricing and joint pricing. The results concluded that joint pricing from the angle of supply chain can achieve a win-win.Joint pricing from the angle of supply chain can alleviate the price pressure of business and strengthen the relationship between A company and its suppliers. According the research results, A company should implement strategic cooperation with its product suppliers to improve competitiveness. In the end, the paper puts forward some suggestions for A company’s development in the future.On the basis of previous research, The paper improves the pricing model and gets on a empirical Research. The paper expected to improve and perfect predecessors’ research, especially hoped to replenish the shortage of practice supply chain research. The results can play a guiding role for similar enterprises.