Optimal Return Policy in Direct Selling Supply Chain
Nowadays, various merchandises can be bought via Internet and mailing. Direct selling has become an important supply chain mode. Although it generates profit for manufacturers and provides convenience for customers, the difficulty of physically inspecting the product exists. Therefore, return policy is a key factor to influence a customers purchasing decision. There is a trade-off between cost due to more returned products and benefit due to more attractive refund policy. This paper develops a profit-maximization model and discusses e-tailers optimal p ric ing and return policies with respect to certain market reaction parameters in a competit ive e-business scenario. Furthermore, the impact of competing degree on e-tailers profit is illustrated with a numerical e xample . It is also exp lained that how to influence the responsive sensitivity of companys return policy in a way of using marketing and operational strategies so as to maximizing the e-ta ile rs profit. Finally, several future research directions are pointed out in the paper.
direct selling competition pr icing return policy optimal model
Wang Bei Zhao Chaihou
School of Management, Guangdong University of Technology, Guangzhou, P.R.China, 510520 School of Economics and Management, South China Normal University, Guangzhou, P.R.China, 510631
国际会议
4th International Conference on Productinnovation Management(第四届产品创新管理国际会议)
武汉
英文
1447-1451
2009-08-22（万方平台首次上网日期，不代表论文的发表时间）