Supplier Encroachment And Coordination Mechanism Based On Asymmetric Information

With the rapid development of E-Commerce and TPL,more and more suppliers are encroaching on retail market through direct sales channel,and the introduction of new channel may cause channel conflict.This study selects a basic model consisting of a supplier and a traditional retailer as the research object with supplier encroachment problem and coordination mechanism of dual channel supply chain.Two research perspectives of supplier encroachment problem are presented.Firstly,take the retailer's loss aversion into account and research supplier encroachment problem when the attitude information is asymmetric.The result shows that supplier encroachment always worsens the retailer's utility.Whether the supplier's utility becomes better or worse depends on the cost of direct sales and the loss-averse coefficient.Supplier encroachment may cause supplier and retailer "win-loss" or "loss-loss".Secondly,take Bertrand competition into account and research supplier encroachment problem when the demand information is asymmetric.The result shows that Whether the supplier's and retailer's utility become better or worse depends on the cost of direct sales and substitution coefficient of product.Symmetric information enables supplier and retailer obtain more utility than asymmetric information in a certain range.Finally,discuss the coordination mechanism of dual channel supply chain in two ways:information sharing and introducting contract.The result shows that when the cost of direct sales and market share of traditional retail channel are low,information sharing can realize the coordination of dual channel supply chain only for a certain range of the loss-averse coefficient.Introducing two-way revenue sharing contract can achieve dual channel supply chain coordination effectively.