A Game Theoretic Approach for Analyzing the Pricing, Greening, and Advertising Strategies Considering the Competition Between National Brand and Green Store Brand

This study investigates the pricing competition between green store brands and non-green national brands within a dual supply chain channel. In this topology, one retailer introduces a green store brand, leveraging its degree of greenness to appeal to environmentally-conscious consumers. In contrast, the other retailer, which does not produce a store brand, uses advertising as a demand booster for its non-green national brand. The manufacturer acts as the market leader, while the retailers function as followers in a Stackelberg game framework, where hierarchical interactions shape pricing and advertising strategies. Additionally, A Nash equilibrium approach is used to model the competitive dynamics between the two retailers. This analysis aims to reveal optimal strategies under different market conditions, providing insights for balancing sustainability with economic profitability in competitive retail environments.

A Game Theoretic Approach for Analyzing the Pricing, Greening, and Advertising Strategies Considering the Competition Between National Brand and Green Store Brand Keywords:

Green Store Brand , Sustainability , Supply Chain , Game Theory , Retailing