首页|An exploration of ripple effects of advertising among major suppliers in a supply chain network

An exploration of ripple effects of advertising among major suppliers in a supply chain network

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© 2023 Elsevier Inc.In this research, we explore a new phenomenon where advertising expenditure is found to oscillate between supply partners of a supply chain network (SCN) in a predictable manner. We refer to this oscillation as the ripple effect of advertising in supply chain networks. These oscillations are similar to the bullwhip and reverse bullwhip effects and are expected to impose similar operational inefficiencies in supply networks. Using the ripple effects and bullwhip effects literature as its underlying theoretical foundation, this paper uses longitudinal data from the apparel industry to analyze the advertising differences among the major suppliers of a supply chain (SC) system holistically using a bilinear mixed model. The results support the presence of the ripple effect of advertising and suggest that advertising should be better coordinated across supply chain members to reduce operational and financial inefficiencies.

AdvertisingBilinear Mixed ModelingMajor SuppliersRipple EffectsSupply Chain Networks

Dass M.、Reshadi M.、Li Y.

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James L. Johnson Chair in Business Administration Rawls College of Business Texas Tech University

Assistant Professor of Marketing College of Business and Economics California State University

Assistant Professor of Marketing H. Wayne Huizenga College of Business and Entrepreneurship Nova Southeastern University

2023

Journal of business research

Journal of business research

ISSN:0148-2963
年,卷(期):2023.169(Dec.)
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