Sale effort competition in dual-channel supply chain based on a weakest online manufacturer

Abstract

Sale effort competition in dual channel supply chain happens among two manufacturers and one traditional retailer in e-commerce age. Being a channel leader the first manufacturer's role becomes complicated. That is, being the weaker traditional retailer's supplier and competing with the second weakest manufacturer on the internet at the same time. Focusing on sales effort, the paper finds out their optimal decisions, and conditions in which supply chain coordinates. After that, it analyses how manufacturers 1' channel sales effort effect affects three enterprises' optimal revenues, optimal prices, etc. Besides, some managerial inspiration could be find out.