Research on Supply Chain Alliance Strategy Based on Product and Service Competition
Hongyuan Li, Zhen Chen, Die Hu
Available Online March 2017.
- https://doi.org/10.2991/msam-17.2017.42How to use a DOI?
- supply chain; product competition; alliance; decision making; model strategy
- This article introduces the product competition intensity factor for three levels of two competitive supply chains and builds a supply chain competing model based on product and service competition. On this basis, it studies the decision making of centralized and partial alliance strategies. And the impacts of competition intensity on decision-making and supply chain efficiency of the two alliance strategies are analyzed. Finally, the dominances of the two alliance strategies under the change of competition intensity are discussed. The results from the analysis show that the optimal market wholesale price and quality of service are affected by its own product cost and the competitor's product cost. Enterprise with cost advantage which uses the partial alliance strategy is in a dominant position compared to the competitor in overall profit. When the competition intensity is small, the centralized decision model brings the supply chain more on the profit than the partial alliance model, otherwise the opposite. When retailer's rate of return is set too high, it will lead to a decline in the supply chain's profit.
- Open Access
- This is an open access article distributed under the CC BY-NC license.
Cite this article
TY - CONF AU - Hongyuan Li AU - Zhen Chen AU - Die Hu PY - 2017/03 DA - 2017/03 TI - Research on Supply Chain Alliance Strategy Based on Product and Service Competition BT - 2017 2nd International Conference on Modelling, Simulation and Applied Mathematics (MSAM2017) PB - Atlantis Press SP - 185 EP - 192 SN - 1951-6851 UR - https://doi.org/10.2991/msam-17.2017.42 DO - https://doi.org/10.2991/msam-17.2017.42 ID - Li2017/03 ER -