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The effect of slotting allowance on channel competition¡GAn application of two-stage game

Slotting allowance is a kind of additional charge that manufacturers pay to retailers in order to obtain shelf space. As the retailers¡¦ market power becomes greater, the slotting allowance has become more and more common in the retail grocery industry in recent years.
This thesis constructs a channel which consists of two competing manufacturers and a common dealing retailer. The retailer is modeled as the leader, and the manufacturers are modeled as the followers. We use a two-stage game theory to analyze the economics effects of slotting allowance and charging slotting allowance with price discount promotion on channel competition.
Under certain assumptions we find out that the valorem slotting allowance is beneficial to market price efficiency and consumers¡¦welfare. And charging slotting allowance with price discount promotion has had no impact.

Identiferoai:union.ndltd.org:NSYSU/oai:NSYSU:etd-0627106-143011
Date27 June 2006
CreatorsWang, Cheng-chia
Contributorsnone, none, none
PublisherNSYSU
Source SetsNSYSU Electronic Thesis and Dissertation Archive
LanguageCholon
Detected LanguageEnglish
Typetext
Formatapplication/pdf
Sourcehttp://etd.lib.nsysu.edu.tw/ETD-db/ETD-search/view_etd?URN=etd-0627106-143011
Rightsnot_available, Copyright information available at source archive

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