The Effect of Manufacturer Advertisement on the Vertical Competition between Channel Members
In the product channel, retailers have more and more monopoly power, while the majority literatures about channel problems are still focused on the manufacturer leading channel. Based on the monopolistic power of the retailers, after bringing the advertising variable we inspect the problem in the product channel structure formed by single manufacturer and single retailer. According to the comparison, we find that manufacturer advertising bring benefit to its members and the whole channels, and the increasing margin in profit of the retailers is greater than the manufactures. In this condition, the retailers and advertisers manufacturers should establish cooperation mechanisms to enhance mutual win-win situation, which makes cooperative advertising program possible.
manufacturer advertising channels effect
Fangxu Ren Fangjun Ren
School of Economics and Management Zhong Yuan University of Technology Zhengzhou, China Department of Modern Management Zhengzhou Technical College Zhengzhou, China
国际会议
成都
英文
637-641
2010-07-09（万方平台首次上网日期，不代表论文的发表时间）