search query: @author Li, L. / total: 18
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| Author: | Li, L. |
| Title: | Information Sharing in a Supply Chain with Horizontal Competition |
| Journal: | Management Science
2002 : SEP, VOL. 48:9, p. 1196-1212 |
| Index terms: | INFORMATION SUPPLY CHAIN MANAGEMENT COMPETITION MANAGEMENT |
| Language: | eng |
| Abstract: | This paper examines the incentives for firms to share information vertically in a two-level supply chain in which there are an upstream firm and many downstream firms. The retailers are engaged in a Cournot competition and are endowed with some private information. Vertical information sharing has two effects: "direct effect" due to the changes in strategy by the parties involved in sharing the information and "indirect effect" due to the changes in strategy by other competing firms. Both changes would affect the profitability of the firms. The authors show that the leakage effect discourages the retailers from sharing their demand information with the manufacturer while encouraging them to share their cost information. |
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