Author(s): |
Panpan Yu, School of Economic & Management, Changsha University of Science & Technology, Changsha, Hunan, 410114 Pengfei Liu, School of Economic & Management, Changsha University of Science & Technology, Changsha, Hunan, 410114 |
Abstract: |
when demand is influenced by retail price, this article analyzed the unite purchasing problem under the two circumstances: Quantity discount on wholesale price and no quantity discount on it. By comparing the results of numerical analysis, we concluded that whether there is some discount on wholesale price or not, as long as the number of alliance members is limited in some reasonable areas, alliance will bring Pareto improvement to the whole. Allianceis most likely to happen in those enterprises whose market scales are equal. To those small market scales, their enthusiasm for forming alliance are much higher while the motivation is relatively short to these with large market demands. The range number of purchasers that the alliance allowed in quantity discount on wholesale price is much wider than that in fixed wholesale price.
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