IDEAS home Printed from https://ideas.repec.org/a/ids/ijnvor/v14y2014i1-2p74-90.html
   My bibliography  Save this article

The model of making a price match based on automatic negotiated price for electronic commerce

Author

Listed:
  • Yong Zhang
  • Weijun Wang
  • Lihong Xu
  • Lulu Zheng

Abstract

The paper proposes a new sealed bargaining mechanism based on the electronic business negotiation model focusing on the opaqueness of information on demand and supply. With the supply and demand function to analyse the underlying rules of behaviours during the course of the price change, the paper proves a series of intersecting chord theorems concerning concave supply and demand function, upon which a transaction mechanism for price negotiating purposes meaning that manufacturers and distributors submit the supply and demand according to gradual node recursive algorithm after the first offer made at the e-commerce platform. Therefore, it proves the principle that negotiated price is converged to the equilibrium price of supply and demand. It is concluded that through simulating the process of negotiated pricing under the concave demand and supply functions, it is possible to settle on the equilibrium price of market after a few pricing negotiations, ultimately fulfilling the goal of optimal pricing in opacity market.

Suggested Citation

  • Yong Zhang & Weijun Wang & Lihong Xu & Lulu Zheng, 2014. "The model of making a price match based on automatic negotiated price for electronic commerce," International Journal of Networking and Virtual Organisations, Inderscience Enterprises Ltd, vol. 14(1/2), pages 74-90.
    • Handle: RePEc:ids:ijnvor:v:14:y:2014:i:1/2:p:74-90
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=65085
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ids:ijnvor:v:14:y:2014:i:1/2:p:74-90. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=22 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.