IDEAS home Printed from https://ideas.repec.org/a/inm/ormnsc/v25y1979i10p1014-1025.html
   My bibliography  Save this article

Channel Optimization in Complex Marketing Systems

Author

Listed:
  • Marcel Corstjens

    (INSEAD, France)

  • Peter Doyle

    (Bradford University, England)

Abstract

Channel optimization in multiple-channel systems is a basic problem in marketing and one which has not received much attention in the literature. A model is presented which simultaneously solves three distribution decisions--the manufacturer's choice of channels (channel strategy), the number of outlets to operate within each channel (channel intensity), and the pricing structure between channels (channel management). The general form of this model is not solvable by conventional programming techniques because it is intrinsically nonconvex. The paper shows how signomial geometric programming can provide a theoretically attractive and practical solution procedure. The model is estimated and solved on a real-life case study and the important managerial and theoretical implications are discussed.

Suggested Citation

  • Marcel Corstjens & Peter Doyle, 1979. "Channel Optimization in Complex Marketing Systems," Management Science, INFORMS, vol. 25(10), pages 1014-1025, October.
    • Handle: RePEc:inm:ormnsc:v:25:y:1979:i:10:p:1014-1025
    DOI: 10.1287/mnsc.25.10.1014
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.1287/mnsc.25.10.1014
    Download Restriction: no
    File URL: https://libkey.io/10.1287/mnsc.25.10.1014?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Khouja, Moutaz & Park, Sungjune & Cai, Gangshu (George), 2010. "Channel selection and pricing in the presence of retail-captive consumers," International Journal of Production Economics, Elsevier, vol. 125(1), pages 84-95, May.
    2. Cai, Gangshu (George) & Zhang, Zhe George & Zhang, Michael, 2009. "Game theoretical perspectives on dual-channel supply chain competition with price discounts and pricing schemes," International Journal of Production Economics, Elsevier, vol. 117(1), pages 80-96, January.
    3. He, Peng & He, Yong & Xu, Henry, 2019. "Channel structure and pricing in a dual-channel closed-loop supply chain with government subsidy," International Journal of Production Economics, Elsevier, vol. 213(C), pages 108-123.
    4. Musso, Fabio, 1999. "Relazioni di canale e strategie di acquisto delle imprese commerciali. Potere e stabilità nella grande distribuzione britannica [Channel Relationships and Buying Strategies of British Large Retaile," MPRA Paper 58508, University Library of Munich, Germany, revised 1999.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:inm:ormnsc:v:25:y:1979:i:10:p:1014-1025. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Asher (email available below). General contact details of provider: https://edirc.repec.org/data/inforea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.