Quartermaster supplier's pricing problems in dual channel strategy of VMI & TPL mode

Under the background of civil-military integration, with the rapid development of electronic commerce, many military suppliers are trying to open a direct channel to change its traditional channel structure. The opening of electronic direct marketing channels has a vital role on preempting and expanding market share, and increasing military suppliers' bargaining power in the channel. Internet sales channel is becoming increasingly popular, relying solely on traditional retailers is not conducive to product promotion. This article is to consider in VMI & TPL model, quartermaster supplier to open a direct channel to market, and examine suppliers and retailers' pricing strategy from two angles-centralized decision and decentralized decision. (C) 2017 The Authors. Published by Elsevier B.V.