The wide adoption of the third generation (3G) network has provided ample opportunities for the development of mobile commerce(MC). An increasing number of firms are considering developing applications on the MC platforms to expand their market. The paper considers a supply chain which consists of one retailer and one platform service provider. The retailer seeks to exploit additional market that would otherwise be missed through the MC platforms owned by the service provider. Suppose the commission charged by the service provider is in proportional to the selling quantity,and the service provider needs to determine his/her marketing effort by considering the potential service revenue from the induced market depending on the platform network externality.Based on a Stackelberg game,we investigate the optimal commission decision for the retailer and the optimal marketing effort decision for the service provider are investigated, characterize the structure of the optimal decisions,and develop a piecewise commission contract to coordinate the supply chain. Numerical experiments show that the coordination between the retailer and service provider has great potential in improving the performance of the entire supply chain. Our research provides useful managerial insights for online retailers to conduct new business models on MC platforms in the information age
XIAO Yong-bo, CHEN Bing-yao, RONG Li-song
. Supply Chain Optimization and Coordination Based on the Mobile Commerce Platform[J]. Chinese Journal of Management Science, 2015
, 23(11)
: 70
-79
.
DOI: 10.16381/j.cnki.issn1003-207x.2015.11.009
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