We propose a numerical approach to compute stationary Markov perfect Nash equilibrium advertising strategies of the Lanchester model. The algorithm can be implemented using a standard mathematical package, and, importantly, it does not require that the players discount their future earnings at a...

The paper investigates the impact of retailer's myopic behavior on the strategies and outcomes of channel members. Myopia means that the retailer disregards the evolution of the state of the system when optimizing her payoff. The channel is formed of a single manufacturer selling her product...

The effects of price competition and advertising spillover on franchisees' decision to cooperate and on franchisor's contractual preferences are investigated. We show that the franchisees' decision to cooperate or not depends on the type of franchise contracts. Under exclusive territory...

In this paper we study a dynamic two-player channel where the manufacturer controls the wholesale price and the investment in quality and the retailer chooses the retail price. We consider that the retail price affects both the demand and the perceived quality of the brand and that its...