Creating a win-win relationship by maximizing both manufacturer sales and retailer profits

Date of publication: March 13, 2005

Catalogue: Asia Pacific 2005

Abstract:

In today's business environment in Japan, manufacturers and retailers struggling against excessive price competition find themselves mired in profoundly strained relationships. This paper will bring into relief the peculiarity and uniqueness of the purchase behavior of Japan's consumers, then propose a prescription for the sophisticated utilization of retail panel data to transform into win-win relationships between manufacturers and retailers that take into account both manufacturer sales and retailer profits. The paper will introduce a simulator for the purpose of reaching price policy decisions on the basis of daily POS data.

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