ADVERTISING DECISIONS IN A VERTICAL DISTRIBUTION CHANNEL

Bruno Viscolani ()
Additional contact information
Bruno Viscolani: Department of Pure and Applied Mathematics, University of Padua, Via Trieste 63, I-35121 Padua, Italy

International Game Theory Review (IGTR), 2009, vol. 11, issue 03, 273-284

Abstract: A manufacturer and a retailer are the members of a simple distribution channel for a particular product in a segmented market. The advertising efforts of the two agents have a joint effect on the goodwill of the different market segments and then on the demand. The channel members aim at maximizing their profits, by choosing suitable advertising media and efforts. We focus mainly on competition between manufacturer and retailer, obtaining Nash equilibrium strategies, in the contexts of linear and concave demand. We consider also the possibility of cooperation, obtaining the coordinated channel optimal decisions.

Keywords: Game theory; advertising; market segmentation; M37; M31; C72; C61; 90B60; 91A10; 91A12 (search for similar items in EconPapers)
JEL-codes: B4 C0 C6 C7 D5 D7 M2 (search for similar items in EconPapers)
Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.worldscientific.com/doi/abs/10.1142/S0219198909002315
Access to full text is restricted to subscribers

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wsi:igtrxx:v:11:y:2009:i:03:n:s0219198909002315

Ordering information: This journal article can be ordered from

DOI: 10.1142/S0219198909002315

Access Statistics for this article

International Game Theory Review (IGTR) is currently edited by David W K Yeung

More articles in International Game Theory Review (IGTR) from World Scientific Publishing Co. Pte. Ltd.
Bibliographic data for series maintained by Tai Tone Lim ().