The Effects of Fairness Preference on Supply Chain Pricing and Performance
This paper studies the influences of retailer's fairness preference on the pricing of the supply chain members,and on the marketing behavior.Assuming the retailer exerts the marketing efforts,we investigate the following two cases,i.e.,the retailer has the advantageous inequity aversion and the disadvantageous inequity aversion.Then,we compare the results under the inequity aversion cases with the case that the retailer is risk neutral-and there's no inequity aversion.The results show that the retailer's fairness preference has a great influence on the wholesale price,the retail price and the marketing effort level.To some extent,the retailer's disadvantageous inequity aversion behavior increases the bargaining power of the retailer.As the inequity aversion degree increases,the profits ratios of the retailer and the manufacturer increase.However,the advantageous inequity aversion behavior has the opposite effect.A numerical example is given in the end,and we derive some managerial implications.
NETL
NSTL
万方数据
维普
