Research on Dynamic Pricing of Supply Chain Considering Cost Reduction and Strategic Consumer Behavior
A supply chain consisting of a manufacturer and a retailer with technological advancement and production learning that dynamically sells to strategic consumers in two periods is considered.Technological advancement and production learning have led to lower unit costs for the manufacturer in the second phase.Therefore,the effects of technological advancement level,production learning level and strategic consumer behavior on the pricing and profit of the retailer and the manufacturer are studied.In addition,the effects of the level of technological advancement,production learning and consumer patience on the profits of the manufacturer,retailer and supply chain are compared with and without cost reduction.The results show that,firstly,technological advancement and production learning have a positive impact on the retailer's and the manufacturer's profits.In addition,when the technological advancement is higher than the critical value,strategic consumer behavior has a positive impact on the profits of the retailer and the manufacturer.Secondly,technological advancement or production learning has a positive value for the retailer,manufacturer and supply chain,and the higher the level of technological advancement or production learning,the greater the value of technological advancement or production learning.Finally,when production learning levels are low,strategic consumer behavior increases the value of cost reductions to the retailer,the manufacturer,and the supply chain,whereas when technological advancement is low and production learning is high,strategic consumer behavior decreases these values.
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