Information Sharing and Channel Construction of Supply Chain under Asymmetric Demand Information

Information sharing and marketing channel building have become an important problem of supply chain management theory and practice. The research of information sharing focused on traditional channel of supply chain between upstream and downstream enterprises; however, the research ignores the behavi...

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Main Authors: Guangdong Wu, Qingshan Kong, Jian-gang Shi, Hamid Reza Karimi, Wei Zhang
Format: Article
Language:English
Published: Wiley 2014-01-01
Series:Journal of Applied Mathematics
Online Access:http://dx.doi.org/10.1155/2014/107589
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author Guangdong Wu
Qingshan Kong
Jian-gang Shi
Hamid Reza Karimi
Wei Zhang
author_facet Guangdong Wu
Qingshan Kong
Jian-gang Shi
Hamid Reza Karimi
Wei Zhang
author_sort Guangdong Wu
collection DOAJ
description Information sharing and marketing channel building have become an important problem of supply chain management theory and practice. The research of information sharing focused on traditional channel of supply chain between upstream and downstream enterprises; however, the research ignores the behavior of information sharing with potential entrants and composite structure characteristics about traditional marketing channel with the direct channel. This paper uses the model to research the effects brought about sharing demand information with potential entrants and building marketing channel, which reveals information sharing and channel building mechanism in the supply chain. The study found that the five-force model of Porter regards potential entrants only as a threat that is one-sided. When the channel competitiveness meets certain conditions, manufacturer and retailer will share demand information with potential entrants. Building composite marketing channel is the manufacturer's absolute dominant strategy. Channel construction will increase the entry barriers for potential entrants and weaken the effect of double marginalization; meanwhile, the performance of supply chain will be augmented.
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institution Kabale University
issn 1110-757X
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language English
publishDate 2014-01-01
publisher Wiley
record_format Article
series Journal of Applied Mathematics
spelling doaj-art-15f5ed32ade84f08aa9012372cb8cef02025-02-03T06:11:29ZengWileyJournal of Applied Mathematics1110-757X1687-00422014-01-01201410.1155/2014/107589107589Information Sharing and Channel Construction of Supply Chain under Asymmetric Demand InformationGuangdong Wu0Qingshan Kong1Jian-gang Shi2Hamid Reza Karimi3Wei Zhang4School of Tourism and Urban Management, Jiangxi University of Finance & Economics, Nanchang 330013, ChinaSchool of Economics and Management, Tongji University, Shanghai 20009, ChinaSchool of Economics and Management, Tongji University, Shanghai 20009, ChinaDepartment of Engineering, Faculty of Engineering and Science, University of Agder, 4898 Grimstad, NorwaySchool of Management, Harbin Institute of Technology, Harbin, 150001, ChinaInformation sharing and marketing channel building have become an important problem of supply chain management theory and practice. The research of information sharing focused on traditional channel of supply chain between upstream and downstream enterprises; however, the research ignores the behavior of information sharing with potential entrants and composite structure characteristics about traditional marketing channel with the direct channel. This paper uses the model to research the effects brought about sharing demand information with potential entrants and building marketing channel, which reveals information sharing and channel building mechanism in the supply chain. The study found that the five-force model of Porter regards potential entrants only as a threat that is one-sided. When the channel competitiveness meets certain conditions, manufacturer and retailer will share demand information with potential entrants. Building composite marketing channel is the manufacturer's absolute dominant strategy. Channel construction will increase the entry barriers for potential entrants and weaken the effect of double marginalization; meanwhile, the performance of supply chain will be augmented.http://dx.doi.org/10.1155/2014/107589
spellingShingle Guangdong Wu
Qingshan Kong
Jian-gang Shi
Hamid Reza Karimi
Wei Zhang
Information Sharing and Channel Construction of Supply Chain under Asymmetric Demand Information
Journal of Applied Mathematics
title Information Sharing and Channel Construction of Supply Chain under Asymmetric Demand Information
title_full Information Sharing and Channel Construction of Supply Chain under Asymmetric Demand Information
title_fullStr Information Sharing and Channel Construction of Supply Chain under Asymmetric Demand Information
title_full_unstemmed Information Sharing and Channel Construction of Supply Chain under Asymmetric Demand Information
title_short Information Sharing and Channel Construction of Supply Chain under Asymmetric Demand Information
title_sort information sharing and channel construction of supply chain under asymmetric demand information
url http://dx.doi.org/10.1155/2014/107589
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AT qingshankong informationsharingandchannelconstructionofsupplychainunderasymmetricdemandinformation
AT jiangangshi informationsharingandchannelconstructionofsupplychainunderasymmetricdemandinformation
AT hamidrezakarimi informationsharingandchannelconstructionofsupplychainunderasymmetricdemandinformation
AT weizhang informationsharingandchannelconstructionofsupplychainunderasymmetricdemandinformation