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Group buying decisions of competing retailers with emergency procurement

Author

Listed:
  • Rong Zhang

    (Shanghai Maritime University)

  • Bin Liu

    (Shanghai Maritime University)

Abstract

Group buying has been in vogue for many years, particularly for short-life-cycle products. This paper investigates the effects of pricing and ordering in group buying, and considers the joint decision on pricing and ordering of short-life-cycle products in competing markets if retailers could provide the emergency procurement to meet all stochastic demands. It is shown that retailers always prefer to launch group buying in a single channel, which is also observed in a dual channel for competing retailers due to emergency procurement. These findings differ from those presented in the related literatures.

Suggested Citation

  • Rong Zhang & Bin Liu, 2017. "Group buying decisions of competing retailers with emergency procurement," Annals of Operations Research, Springer, vol. 257(1), pages 317-333, October.
    • Handle: RePEc:spr:annopr:v:257:y:2017:i:1:d:10.1007_s10479-016-2108-5
    DOI: 10.1007/s10479-016-2108-5
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    References listed on IDEAS

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    Cited by:

    1. Oktay Karabağ & Barış Tan, 2018. "Analysis of a group purchasing organization under demand and price uncertainty," Flexible Services and Manufacturing Journal, Springer, vol. 30(4), pages 844-883, December.
    2. Lang Xiong & Tingting Xiao & Fuhai Nie, 2022. "Group Buying of Competing Retailers with Strategic Inventory," Sustainability, MDPI, vol. 14(20), pages 1-18, October.
    3. Jian Feng & Bin Liu, 2018. "Dynamic Impact of Online Word-of-Mouth and Advertising on Supply Chain Performance," IJERPH, MDPI, vol. 15(1), pages 1-16, January.
    4. Han Yu & Rong Zhang & Bin Liu, 2018. "Analysis on Consumers’ Purchase and Shopping Well-Being in Online Shopping Carnivals with Two Motivational Dimensions," Sustainability, MDPI, vol. 10(12), pages 1-18, December.
    5. Wang, Jian & Zhu, Wenbo, 2023. "Analyzing the development of competition and cooperation among ocean carriers considering the impact of carbon tax policy," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 175(C).

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