Competing firms may engage in group buying to benefit from quantity discount from the common supplier. There are two prevailing power structures in industry practice: Nash group buying in which two competing firms possess similar powers, and Stackelberg group buying in which one firm serves as...

We consider manufacturer rebate competition in a supply chain with two competing manufacturers selling to a common retailer. We fully characterize the manufacturers' equilibrium rebate decisions and show how they depend on parameters such as the fixed cost of a rebate program, market size,...