Highlights Consider a manufacturer-retailer channel under demand uncertainty. Manufacturer determines the wholesale price and trade promotion policy. Retailer determines the retail price and order quantity. Compare two common trade promotions with two emerging trade promotions. Results serve as a reference for business managers and administrators.

    Abstract This study considers a manufacturer-retailer supply chain in which the manufacturer provides trade promotions the retailer. We compare with four trade promotions (off-invoice, scan-back, unsold-discount and target rebate). Consider the linear price sensitive and uncertain demand, the results indicate that both manufacturer and retailer benefit from the unsold-discount policy; only manufacturer benefits from the target rebate policy. However, target rebate can benefit both manufacturer and retailer when the wholesale price is determined within the appropriate range of an agreement. Consider the price-elasticity and uncertain demand, both manufacturer and retailer can only benefit from the target rebate policy.


    Access

    Check access

    Check availability in my library

    Order at Subito €


    Export, share and cite



    Title :

    Trade promotion policies in manufacturer-retailer supply chains


    Contributors:


    Publication date :

    2016-09-30


    Size :

    20 pages




    Type of media :

    Article (Journal)


    Type of material :

    Electronic Resource


    Language :

    English