Ruiliang Yan, Zixia Cao, Zhi Pei
Journal of Business Research,Vol. 69, Issue 2, Pages: 709-717.
We assume a manufacturer-retailer supply chain where the manufacturer opens an online channel and provides a monetary support to the retailer to implement a local advertising campaign. Both the manufacturer and the retailer have their own information about the state of market demand. We thus examine the value of manufacturer’s cooperative advertising and its strategic influence on information sharing of the manufacturer and the retailer. Our results show that the manufacturer’s cooperative advertising coordinates the …