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Online cooperation mechanism: game analysis between a restaurant and a third-party website

  • Jingmei Xu
  • Li HuEmail author
  • Xiaolong Guo
  • Xia Yan
Research Article
  • 4 Downloads

Abstract

Increasing numbers of restaurants pay a commission to seek a business relationship with a third-party website as an alternative distribution channel for traditional offline selling. Whether to build the cooperation and how to set the online marketing strategy are the major concern of these restaurants. In this paper, a Stackelberg game is established to study online pricing strategies of a restaurant, as well as the optimal service effort level of a third-party website. Two optimal cooperative strategies in different scenarios are obtained, which are comprehensively influenced by the restaurant’s retail price and the website’s user base.

Keywords

E-commerce Pricing Restaurant marketing Third-party website Game theory 

Notes

Acknowledgement

This work was supported by the National Natural Science Foundation of China (Nos. 71771072; 71801210; 71871207; 71801073) and China Postdoctoral Science Foundation Funded Project (Grant Nos. 2018M642544, 2018M642546).

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Copyright information

© Springer Nature Limited 2019

Authors and Affiliations

  1. 1.School of ManagementUniversity of Science and Technology of ChinaHefeiPeople’s Republic of China
  2. 2.School of Economics and ManagementSouthwest University of Science and TechnologyMianyangPeople’s Republic of China

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