Although outsourcing input production has long been considered as an important approach to help downstream manufacturers enhance structural efficiency, we provide a theoretical explanation for why outsourcing may negatively affect downstream firms' profitability. We consider a duopoly model...

The dairy sector is among the most fundamentally affected by post-communist transition and EU integration of Bulgaria. This paper presents the dairy chain management in the country at current present stage of development. First, it analyses the state and forms of dairy value chain management...

Zaccour (2008) investigates the behaviour of a marketing channel where firms invest in advertising to increase brand equity, showing that an exogenous two-part tariff cannot be used to replicate the vertically integrated monopolist's performance. I revisit the same model proving the existence of...

We propose a model to assess the value of a distributor in a dynamic stochastic cooperative advertising supply chain in which a manufacturer wholesales its product to the distributor who in turn sells it to a retailer. Moreover and importantly, the distributor also intermediates the pricing and...

"Buy-one-get-one" (BOGO) promotions have become very popular among many retailers. With BOGO, the first unit of the product is sold for the regular price and if a consumer buys a second unit, then it is discounted by some percentage or it may be free. We analyze BOGO promotions in a...

Supply chains today routinely use third parties for many strategic activities, such as manufacturing, R&D, or software development. These activities often include relationship-specific investment on the part of the vendor, while final outcomes can be uncertain. Therefore, writing complete...

This study investigates the strategic effect of return policies in a dual-channel supply chain, in which a manufacturer can sell products directly to end customers and indirectly via an independent retailer. The manufacturer decides whether to implement a return policy in either the direct or...

This paper studies implications of the ratcheting effect arising in the supply chain relationship. The ratcheting effect occurs when the retailer modifies his investment in the present period to receive a favorable wholesale price in the future. In a simple model of multi-period supply chain...

In the last two decades, Supply Chain Management (SCM) continues to gain popularity among companies and has been broadly studied by academic researchers. However, with the development of the digital economy, a new paradigm has emerged in this arena: virtual supply chain management (e-SCM). Thus,...