DocumentCode
3302946
Title
Research on Price and Differentiation Game between Private Label and Manufacturer Brand
Author
Ren, Fangxu
Author_Institution
Sch. of Econ. & Manage., ZhongYuan Univ. of Technol., Zhengzhou, China
fYear
2011
fDate
19-21 May 2011
Firstpage
1
Lastpage
4
Abstract
The literatures related to the price competition between private label (PL) and manufacturer brand are extremely fewer. Based on the Hotelling differentiation model, in the channel structure of the same manufacturer providing products for PL retailer and another retailer selling brand manufacturer, we established the price game model among two retailers and a manufacturer, discussed equilibrium problem of Cournot competition and Stackelberg competition between private label and manufacturer brand, and by comparing the two situations, we got a number of new conclusions: Stackelberg game situation is better than Cournot game for two products. However, at this time consumer´s interests are greatly damaged. The differentiation between private label and manufacturer brand would be useful to retailers and manufacturers.Because of retailers regarding PL as one of their differentiation strategies, this explained the reason that retailer develop own PL.
Keywords
game theory; marketing; pricing; Cournot competition; Hotelling differentiation model; Stackelberg competition; differentiation game; differentiation strategy; manufacturer brand; price game model; private label; Barium; Correlation; Decision making; Games; Marketing and sales; Pricing; Production;
fLanguage
English
Publisher
ieee
Conference_Titel
Computer and Management (CAMAN), 2011 International Conference on
Conference_Location
Wuhan
Print_ISBN
978-1-4244-9282-4
Type
conf
DOI
10.1109/CAMAN.2011.5778826
Filename
5778826
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