Considering the existence of the secondhand market and the implementation of trade-in program,the competition models between two manufacturers who produce the same products at various qualities are developed by the Na...Considering the existence of the secondhand market and the implementation of trade-in program,the competition models between two manufacturers who produce the same products at various qualities are developed by the Nash game,and the impacts of the trade-in program from the perspectives of the demands,profits,marginal profits of manufacturers and the net costs of consumers are investigated.It finds that the trade-in program has different impacts when it is implemented by different manufacturers.When the low-quality manufacturer implements the program,it is always beneficial to himself and consumers but harmful to the high-quality manufacturer.However,when the program is implemented by the high-quality manufacturer,it can be beneficial to the low-quality manufacturer as well as to the implementer but harmful to consumers if the transaction cost of the consumer selling the used product in the secondhand market is low enough.Furthermore,with the increase in transaction cost,it also becomes harmful to the low-quality manufacturer and beneficial to consumers,which is the same as in the case that the low-quality manufacturer implements the trade-in program.The impacts of related parameters on the demands,marginal profits of manufacturers and the net costs of consumers are also analyzed.展开更多
Chauffeured car service(CCS) has developed rapidly in recent years. Although CCS brings convenience and effectiveness, it also triggers some new problems like vicious competition. This work studies the duopoly competi...Chauffeured car service(CCS) has developed rapidly in recent years. Although CCS brings convenience and effectiveness, it also triggers some new problems like vicious competition. This work studies the duopoly competition between CCS company and taxi company, in terms of different average cost and number of vehicles of two companies. To find the solutions like the pricing scheme to ease the vicious competition, Hotelling model is introduced. The Hotelling-type model is used to present passengers’ preferences to the companies. Besides, failing situation is taken into account in the Hotelling model to describe the situation where passenger’s demand is not satisfied in reality. This work theoretically analyzes the price scheme and equilibrium market segmentation based on the average cost and number of vehicles of each company. Furthermore, companies’ profits, passengers’ utility and social welfare in equilibrium are revealed based on the game theory. The study shows that both of companies can get optimal profits by setting effective price scheme. The company which has higher price, definitely gets less market share. In addition, moderate competition can lead to positive influence on social welfare.展开更多
Given consumers’trade-offs between conventional economic and environmental attributes of products,we provide a game-theoretic model to explore the role of GTA strategy in duopoly competition by incorporating two sali...Given consumers’trade-offs between conventional economic and environmental attributes of products,we provide a game-theoretic model to explore the role of GTA strategy in duopoly competition by incorporating two salient features:Two product types—The green product produced by a firm with GTA strategy and the ordinary product produced by a firm without GTA strategy,and two consumer segments,i.e.,the green consumers who are willing to pay for green products and the ordinary consumers who are willing to pay for ordinary products.Our analysis shows that GTA strategy may either increase or decrease the green firm’s quality provision.The subtle relationship between the green firm’s quality strategy and GTA strategy not only affects its own equilibrium performances but its rival’s.We also find that two consumer segments may be better off in the presence of a lower GTA intensity.Additionally,although the GTA strategy benefits the environment,the GTA investment is not the more the better.Finally,we find that GTA strategy would lead to higher social welfare only when the GTA efficiency is high enough.Our work not only provides an alternative economic explanation why some firms choose to implement GTA strategy and some do not in reality,but gives managerial insights for firms with different GTA strategies as well as policy insights for the social planner.展开更多
基金The National Natural Science Foundation of China(No.71871058,71531010)
文摘Considering the existence of the secondhand market and the implementation of trade-in program,the competition models between two manufacturers who produce the same products at various qualities are developed by the Nash game,and the impacts of the trade-in program from the perspectives of the demands,profits,marginal profits of manufacturers and the net costs of consumers are investigated.It finds that the trade-in program has different impacts when it is implemented by different manufacturers.When the low-quality manufacturer implements the program,it is always beneficial to himself and consumers but harmful to the high-quality manufacturer.However,when the program is implemented by the high-quality manufacturer,it can be beneficial to the low-quality manufacturer as well as to the implementer but harmful to consumers if the transaction cost of the consumer selling the used product in the secondhand market is low enough.Furthermore,with the increase in transaction cost,it also becomes harmful to the low-quality manufacturer and beneficial to consumers,which is the same as in the case that the low-quality manufacturer implements the trade-in program.The impacts of related parameters on the demands,marginal profits of manufacturers and the net costs of consumers are also analyzed.
基金Supported by the National Natural Science Foundation of China(71421001)
文摘Chauffeured car service(CCS) has developed rapidly in recent years. Although CCS brings convenience and effectiveness, it also triggers some new problems like vicious competition. This work studies the duopoly competition between CCS company and taxi company, in terms of different average cost and number of vehicles of two companies. To find the solutions like the pricing scheme to ease the vicious competition, Hotelling model is introduced. The Hotelling-type model is used to present passengers’ preferences to the companies. Besides, failing situation is taken into account in the Hotelling model to describe the situation where passenger’s demand is not satisfied in reality. This work theoretically analyzes the price scheme and equilibrium market segmentation based on the average cost and number of vehicles of each company. Furthermore, companies’ profits, passengers’ utility and social welfare in equilibrium are revealed based on the game theory. The study shows that both of companies can get optimal profits by setting effective price scheme. The company which has higher price, definitely gets less market share. In addition, moderate competition can lead to positive influence on social welfare.
基金the National Social Science Fund of China(16BGL079)。
文摘Given consumers’trade-offs between conventional economic and environmental attributes of products,we provide a game-theoretic model to explore the role of GTA strategy in duopoly competition by incorporating two salient features:Two product types—The green product produced by a firm with GTA strategy and the ordinary product produced by a firm without GTA strategy,and two consumer segments,i.e.,the green consumers who are willing to pay for green products and the ordinary consumers who are willing to pay for ordinary products.Our analysis shows that GTA strategy may either increase or decrease the green firm’s quality provision.The subtle relationship between the green firm’s quality strategy and GTA strategy not only affects its own equilibrium performances but its rival’s.We also find that two consumer segments may be better off in the presence of a lower GTA intensity.Additionally,although the GTA strategy benefits the environment,the GTA investment is not the more the better.Finally,we find that GTA strategy would lead to higher social welfare only when the GTA efficiency is high enough.Our work not only provides an alternative economic explanation why some firms choose to implement GTA strategy and some do not in reality,but gives managerial insights for firms with different GTA strategies as well as policy insights for the social planner.
