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Chinese Journal of Management Science ›› 2022, Vol. 30 ›› Issue (5): 226-235.doi: 10.16381/j.cnki.issn1003-207x.2019.0248

• Articles • Previous Articles    

Research on Bidirectional Demand Information Sharing in Supply Chain Considering Manufacturer Innovation

WANG Wen-long, YAO Rui, ZHANG Su-xian   

  1. School of Management, Xi’an University of Architecture and Technology, Xi’an 710055, China
  • Received:2019-02-25 Revised:2019-07-30 Published:2022-06-01
  • Contact: 张涑贤 E-mail:susanxxy@163.com

Abstract: Innovative activities by manufacturers are conducive to promote the overall development of the supply chain. From the existing literature, it is found that market demand information has a huge impact on the profit of the supply chain, and obtaining market demand information is also of great significance for manufacturers to carry out innovative activities. The manufacturer’s innovation is considered and the two-way demand information sharing problem of a two-tier supply chain consisting of one manufacturer and one retailer is studied. Both the manufacturer and the retailer have some demand information, and the manufacturer conducts cost reduction innovations. There are four information sharing arrangements, e.g., neither sharing, the manufacturer unilaterally sharing, the retailer unilaterally sharing, both sharing. The equilibrium decisions are analyzed, and ex ante profits of the manufacturer and the retailer are solved to explore the information sharing value. It is found that the innovation investment increments of the manufacturer in the four arrangements of demand information sharing are positively correlated with the acquired demand information, but negatively correlated with the innovation coefficient. The manufacturer’s demand information sharing value is always negative in the case of the manufacturer’s unilateral sharing and mutual sharing of demand information, and is always positive in the case of retailer unilateral sharing. The retailer’s two-way demand information sharing value is negative first and then positive as the manufacturer’s innovation capability increases. The manufacturer innovation is introduced in the research of supply chain two-way demand information sharing, and related research is expanded, which has certain theoretical value and practical significance.

Key words: demand information sharing;investment in innovation; equilibrium decision; information sharing value

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