search query: @indexterm incentives / total: 682
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| Author: | Ernst, R. Powell, S. |
| Title: | Manufacturer incentives to improve retail service levels |
| Journal: | European Journal of Operational Research
1998 : FEB 1, VOL. 104:3, p. 437-450 |
| Index terms: | OPERATIONAL RESEARCH RETAILING INCENTIVES |
| Language: | eng |
| Abstract: | In this paper, the authors provide a solution to the problem of how a manufacturer can provide an incentive to a separately-owned retailer to raise its service level above the level it would choose on its own. The authors analyze the effects the manufacturer's incentive has on the individual profits of the retailer and manufacturer, as well as their joint profits. This work is an application of game theory in which the authors tackle the problem posed by separate ownership of the two firms and the resulting conflict over the gains from cooperation. |
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