Mitigating Supply Uncertainty: The Interplay Between Diversification and Pricing
Mitigating Supply Uncertainty: The Interplay Between Diversification and Pricing
复制标题
缓解供应不确定性:多元化与定价之间的相互作用
DOI:
10.1111/poms.12656
复制
发表时间:
2014-09
影响因子:
5
通讯作者:
Zhang Jun
中科院分区:
文献类型:
--
作者:
Li Tao;Sethi Suresh P.;Zhang Jun
We consider a firm's sourcing problem from one reliable supplier and one unreliable supplier in two price-setting scenarios. In the committed pricing scenario, the firm makes the pricing decision before the supply uncertainty is resolved. In the responsive pricing scenario, the firm ' s pricing decision is made after the supply uncertainty is resolved. For the committed pricing scenario, we develop a condition on supply uncertainty that guarantees the unimodality of the firm's objective function. By comparing the firm ' s optimal diversification decisions in the two pricing scenarios, we examine the interplay of supply diversification strategy and responsive pricing strategy in mitigating supply uncertainty. While both strategies are effective in mitigating supply uncertainty, we show that they are not necessarily substitutes. The relationship between these two strategies depends on two adverse effects caused by supply uncertainty: the lost-revenue effect and the lost-goodwill effect. More specifically, when the lost-revenue effect dominates the lost-goodwill effect, these two strategies are complements; otherwise, they are substitutes. Furthermore, we examine the impact of market size, price sensitivity, supplier reliability, and failure rebate on the interplay between these two strategies, and discuss the implications of our results. Finally, we extend our analysis to the case of two unreliable suppliers and show that the insights regarding the interplay between diversification and pricing continue to hold.
登录
查看更多内容
影响因子:
6.4
作者:
M. Parlar;Dan Wang
通讯作者:
M. Parlar;Dan Wang
影响因子:
2.3
作者:
Erdem, AS;Fadiloglu, MM;Özekici, S
通讯作者:
Özekici, S
DOI:
10.1287/opre.1080.0667
发表时间:
2009-11
期刊:
Oper. Res.
影响因子:
--
作者:
A. Federgruen;N. Yang
通讯作者:
A. Federgruen;N. Yang
DOI:
10.1002/9781118115800.ch4
发表时间:
2011-10
期刊:
--
影响因子:
--
作者:
Brian Tomlin;Yimin Wang
通讯作者:
Brian Tomlin;Yimin Wang
影响因子:
5
作者:
N. Agrawal;S. Nahmias
通讯作者:
N. Agrawal;S. Nahmias