Research On Online Bundling Pricing Strategy Of The Supply Chain For Sale And Installation

With the concept of “Internet +” and the rapid development of information and communication technology,the deep integration of the Internet and traditional industries has created a new “physical store + e-commerce” format,and more and more enterprises have opened online channels.At the same time,enterprises often bundle products and after-sales services to win differentiated competition and increase revenue.The original sales and installation mode is a convenient service for users to complete the delivery and installation at the same time.The new model of sales and installation separation separates retailers and service providers from physical sales and after-sales service,aim to improve the quality of after-sales service.Based on online sales of supply chain,this paper considers platform-leading and endogenous commission,under the different bundling strategies,namely,independent pricing,pure bundling pricing and mixed bundling pricing strategy.Respectively constructed by retailers and electric business platform of the sale of integrated supply chain operation model and by the electric business platform,product retailers and installation services constitute a new separation of supply chain operation model,the research of the supply chain members under different bundling strategy of optimal pricing decisions.In the integrated supply chain,the close relationship between products and aftersales service prompts retailers to consider whether to implement the bundling strategy to increase their own profits.This paper considers a single B2 C electric business platform and a single retailer in the supply chain system.It proposed under the different bundling pricing strategies,namely,independent pricing,pure bundling pricing and mixed bundling pricing strategy,build the platform leading,retailers to follow two sequential non-cooperative game model,the platform leading retailers to follow a Stackelberg model,verify the game equilibrium solution under different bundling strategy of the existence and uniqueness.When the system parameters meet certain conditions,the independent pricing strategy is the dominant strategy for the platform,while the hybrid pricing strategy is the dominant strategy.For retailers,the independent pricing strategy is the dominant strategy,and the hybrid pricing strategy is the dominant strategy.A numerical example is introduced to verify the conclusion.Therefore,in the model of integrated sales and installation,which pricing strategy should be adopted by combining the platform's effort cost coefficient and consumers' preference for product demand and other parameters,among the three bundled pricing strategies,the retailer and the platform reach an agreement on the strategy selection.Under the independent pricing strategy,the decision variables and profits of both sides will be optimized.In the separation supply chain,the after-sales service in the above integrated supply chain shall be separated and the after-sales service shall be undertaken by a separate installation service provider.The close relationship between products and after-sales service has prompted retailers and installers to rethink whether to use bundling to increase revenue.This paper considers single product retailers and supply chain system consisting of a single installation services,proposed under the different bundling pricing strategies,build a platform for leading,retailers and service providers to follow tripartite game model,three strategies is verified under the existence and uniqueness of game equilibrium.When the system parameters meet certain conditions,the independent pricing strategy is the dominant strategy for the platform,while the hybrid pricing strategy is the dominant strategy.For retailers,independent pricing strategy is better than pure pricing strategy.For the service provider,the pure bundle pricing strategy is the dominant decision.Therefore,in the model of sale and installation separation,the three parties have conflicts of interest due to the different preferences of each member of the supply chain for the selection of pricing strategy.The pricing strategy selected by each member of the selling-assembly separated supply chain is related to the cost coefficient of platform effort and consumers' preference for product demand.Platforms and retailers tend to choose independent pricing strategy,while service providers tend to choose pure bundled pricing strategy.By analyzing and solving the operation model of integrated supply chain and separate supply chain,in this paper,two optimal bundling strategies for products and services in the supply chain are obtained,so as to provide theoretical guidance for the strategy selection and pricing decision of each member of the supply chain.This paper not only enriches the research of supply chain perspective and the theory of bundling sales decision,but also extends the bundling problem from the perspective of marketing to supply chain operation management.This paper also provides reference for other traditional industries to make online sales decisions in combination with e-commerce.