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Articles

The Impact of Consumer Network on the“Business-Platform”Cooperation Mechanism of Trial Products

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  • School of Management, Xi'an Jiaotong University, Xi'an 710049, China

Received date: 2013-10-23

  Revised date: 2014-03-15

  Online published: 2016-02-25

Abstract

The free Trial is the new online business model which combines e-commerce and online social networks together, the impact of consumer network on the "business-platform" cooperation mechanism of trial products is researched. Suggestions are made based on the model construction and experimental analysis:Supply chain coordination is achieved in cost-sharing contract, cost-sharing percentage equals to the proportion of commissions deducted revenue divide by commissions in the officially selling period.Businesses profit is higherin cost-sharing contract than in decentralized contract, businesses profit gap become smaller between this two contracts with the decline in product quality. With the increase of effort degree, businesses profit increase slowly in the beginning and dropping in the later, and the cost-sharing is better than the decentralized contract. With the increase of network scale, the quality and effort degree is being more and more important. Theoretical and suggestions are provided for "business-platform" cooperation and marketing practical driven by consumer network.

Cite this article

SHAO Peng . The Impact of Consumer Network on the“Business-Platform”Cooperation Mechanism of Trial Products[J]. Chinese Journal of Management Science, 2016 , 24(2) : 76 -83 . DOI: 10.16381/j.cnki.issn1003-207x.2016.02.010

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