Online retailing provides alternative shopping channels, where the retail platform can either let manufacturers directly sell to consumers or open a self-operated channel, or even both. Regardless of sales channels, consumers often pay attention to the income gap between themselves and enterprises (named consumer’s fairness concern). In this work, we explore how consumers’ fairness concerns affect the optimal decisions of both manufacturer and retail platform under different retail channel modes (single-channel mode and mixed-channel mode). The results show that consumer’s fairness concern has a negative impact on the retail price under low production cost in single-channel mode, while the retail prices in mix-channel mode are jointly determined by consumer’s fairness concern and revenue sharing ratio. Besides, if the market channel mode has not yet formed, the retail platform can choose either a self-operated channel or manufacturer consignment channel, depending on the consumer’s fairness concern level and revenue sharing ratio. By contrast, if the market channel mode has already been formed, the retail platform should make effort to reduce consumer’s fairness concern if only the self-operated channel exists, while maintain consumer’s fairness concern and revenue sharing ratio at a moderate level if there exist mixed channels.
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DOI : 10.1051/ro/2021171
Keywords: Consumer’s fairness concern, single-channel-mode, mixed-channels-mode, Stackelberg game
@article{RO_2022__56_1_23_0,
author = {Huang, Mengli and Zhang, Yulin and Fan, Haowen},
title = {Research on retail channel decisions considering consumer{\textquoteright}s fairness concern},
journal = {RAIRO. Operations Research},
pages = {23--47},
year = {2022},
publisher = {EDP-Sciences},
volume = {56},
number = {1},
doi = {10.1051/ro/2021171},
mrnumber = {4376280},
zbl = {1483.91094},
language = {en},
url = {https://www.numdam.org/articles/10.1051/ro/2021171/}
}
TY - JOUR AU - Huang, Mengli AU - Zhang, Yulin AU - Fan, Haowen TI - Research on retail channel decisions considering consumer’s fairness concern JO - RAIRO. Operations Research PY - 2022 SP - 23 EP - 47 VL - 56 IS - 1 PB - EDP-Sciences UR - https://www.numdam.org/articles/10.1051/ro/2021171/ DO - 10.1051/ro/2021171 LA - en ID - RO_2022__56_1_23_0 ER -
%0 Journal Article %A Huang, Mengli %A Zhang, Yulin %A Fan, Haowen %T Research on retail channel decisions considering consumer’s fairness concern %J RAIRO. Operations Research %D 2022 %P 23-47 %V 56 %N 1 %I EDP-Sciences %U https://www.numdam.org/articles/10.1051/ro/2021171/ %R 10.1051/ro/2021171 %G en %F RO_2022__56_1_23_0
Huang, Mengli; Zhang, Yulin; Fan, Haowen. Research on retail channel decisions considering consumer’s fairness concern. RAIRO. Operations Research, Tome 56 (2022) no. 1, pp. 23-47. doi: 10.1051/ro/2021171
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