Promotions are at the same time beloved and feared by both food retailers and branded goods manufacturers in today's retail environment. Beloved because they attract smart customers and generate an immediate effect on a brand's sale. Feared because there is uncertainty about the competitors' behavior and the actual customer demand leading to high forecast errors. For the retailer, this results in a doom loop of over- or understocking with high inventory costs in the supply chain. Collaboration between retailers and the manufacturer disentangles the doom loop. The thesis reveals the appropriate kind and timing of information and develops a so called Competition Index. Inventory in the supply chain is eliminated and the customer is served better at a lower price. Based on a joint inventory and pricing model and an empirical analysis, it shows that the supply chain efficiency gains from collaborative promotions result in a win for customers, retailers and the manufacturer.
| ISBN: | 9783642133923 |
| Publication date: | 18th September 2010 |
| Author: | Daniela Wiehenbrauk |
| Publisher: | Springer an imprint of Springer Berlin Heidelberg |
| Format: | Paperback |
| Pagination: | 153 pages |
| Series: | Lecture Notes in Economics and Mathematical Systems |
| Genres: |
Operational research Management decision making Management of specific areas Sales and marketing Probability and statistics Economic theory and philosophy |
Promotions are at the same time beloved and feared by both food retailers and branded goods manufacturers in today's retail environment. Beloved because they attract smart customers and generate an immediate effect on a brand's sale. Feared because there is uncertainty about the competitors' behavior and the actual customer demand leading to high forecast errors. For the retailer, this results in a doom loop of over- or understocking with high inventory costs in the supply chain. Collaboration between retailers and the manufacturer disentangles the doom loop. The thesis reveals the appropriate kind and timing of information and develops a so called Competition Index. Inventory in the supply chain is eliminated and the customer is served better at a lower price. Based on a joint inventory and pricing model and an empirical analysis, it shows that the supply chain efficiency gains from collaborative promotions result in a win for customers, retailers and the manufacturer.
Collaborative Promotions features in the following genres: Operational research, Management decision making, Management of specific areas, Sales and marketing, Probability and statistics, Economic theory and philosophy
Collaborative Promotions is available in Paperback
Collaborative Promotions was written by Daniela Wiehenbrauk and published by Springer an imprint of Springer Berlin Heidelberg
Collaborative Promotions has 153 pages
Yes it is part of Lecture Notes in Economics and Mathematical Systems series