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How to cite this paper
APA: Li, H., Lu, J., Yan, N & Lai, K. (2025). Manufacturer encroachment with consumer digital privacy in dual-channel supply chains. International Journal of Industrial Engineering Computations, 16(4), 825-846.
Chicago/Turabian: Li, H., Lu, J., Yan, N & Lai, K. 2025. "Manufacturer encroachment with consumer digital privacy in dual-channel supply chains." International Journal of Industrial Engineering Computations 16, no. 4 (2025): 825-846.
AMA: Li, H., Lu, J., Yan, N & Lai, K. Manufacturer encroachment with consumer digital privacy in dual-channel supply chains. International Journal of Industrial Engineering Computations. 2025;16(4):825-846.
References
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Balasubramanian, S. (1998). Mail versus mall: A strategic snalysis of competition between direct marketers and conventional retailers. Marketing Science, 17(3), 181-195.
Cai, G.G. (2010). Channel selection and coordination in dual-channel supply chains. Journal of Retailing, 86(1), 22-36.
Cao, K., Xu, Y., Hua, Y., & Choi, T.-M. (2023). Supplier or co-optor: Optimal channel and logistics selection problems on retail platforms. European Journal of Operational Research, 311(3), 971–988.
Cattani, K., Gilland, W., Heese, H.S., & Swaminathan, J. (2006). Boiling frogs: Pricing strategies for a manufacturer adding a direct channel that competes with the traditional channel. Production and Operations Management, 15(1), 40-56.
Chiang, W.Y.K., Chhajed, D., & Hess, J.D. (2003). Direct marketing, indirect profits: A strategic analysis of dual-channel supply-chain design. Management Science, 49(1), 1-20.
Chen, K.Y., Kaya, M., & Özer, Ö. (2008). Dual sales channel management with service competition. Manufacturing & Service Operations Management, 10(4), 654-675.
Chen, Z. (2022). Privacy costs and consumer data acquisition: An economic analysis of data privacy regulation. Available at SSRN: https://ssrn.com/abstract=4085923.
Chen, Z., Choe, C., & Matsushima, N. (2020). Competitive personalized pricing. Management Science, 66(9), 4003–4023.
Cong, L.W., Xie, D., & Zhang, L. (2021). Knowledge accumulation, privacy, and growth in a data economy. Management Science, 67(10), 6480–6492.
Conitzer, V., Taylor, C.R., & Wagman, L. (2012). Hide and seek: Costly consumer privacy in a market with repeat purchases. Marketing Science, 31(2), 277–292.
Daft, R.L., & Lengel, R.H. (1986). Organizational information requirements, media richness and structural design. Management Science, 32(5), 554–571.
Dumrongsiri, A., Fan, M., Jain, A., & Moinzadeh, K. (2008). A supply chain model with direct and retail channels. European Journal of Operational Research, 187(3), 691-718.
Esposito, A. (2021). Could data privacy be retail’s new competitive differentiator? Retail TouchPoints. Retrieved on September 28, 2023, from https://www.retailtouchpoints.com/topics/security/data-security/could-data-privacy-be-retails-new-competitive-differentiator
Fainmesser, I.P., Galeotti, A., & Momot, R. (2023). Digital privacy. Management Science, 69(6), 3157–3173.
Galanz. (2024). VR kitchen. Retrieved on January 22, 2024, from https://www.720yun.com/t/dfvkcwdlzfq?scene id=67133062
Gal-Or, E., Gal-Or, R., & Penmetsa, N. (2018). The role of user privacy concerns in shaping competition among platforms. Information Systems Research, 29(3), 698–722.
Goh, K.-Y., Heng, C.-S., & Lin, Z. (2013). Social media brand community and consumer behavior: Quantifying the relative impact of user-and marketer-generated content. Information Systems Research, 24(1), 88–107.
Guan, H., Yang, Z., & Gurnani, H. (2023). Value of information with manufacturer encroachment. Production and Operations Management, 32(3), 780–793.
Guan, X., Liu, B., Chen, Y.-J., & Wang, H. (2020). Inducing supply chain transparency through supplier encroachment. Production and Operations Management, 29(3), 725–749.
Ha, A.Y., Luo, H., & Shang, W. (2022). Supplier encroachment, information sharing, and channel structure in online retail platforms. Production and Operations Management, 31(3), 1235–1251.
Hann, I.-H., Hui, K.-L., Lee, S.-Y.T., & Png, I.P. (2008). Consumer privacy and marketing avoidance: A static model. Management Science, 54(6), 1094–1103.
Hotkar, P., & Gilbert, S.M. (2021). Supplier encroachment in a nonexclusive reselling channel. Management Science, 67(9), 5821–5837.
Hou, P., Zhen, Z., & Li, B. (2021). Implications of the product quality differentiation on the platform’s distribution contracts. IEEE Transactions on Engineering Management, 70(11), 3826–3835.
Hu, M., Momot, R., & Wang, J. (2022). Privacy management in service systems. Management Science, 24(5), 2761–2779.
Huang, S., Guan, X., & Chen, Y.-J. (2018). Retailer information sharing with supplier encroachment. Production and Operations Management, 27(6), 1133–1147.
Kahai, S.S., & Cooper, R.B. (2003). Exploring the core concepts of media richness theory: The impact of cue multiplicity and feedback immediacy on decision quality. Journal of Management Information Systems, 20(1), 263–299.
Kovack, K. (2022). Amorepacific to close 80% of Innisfree stores in China. BeautyMatter. Retrieved on September 28, 2023, from https://beautymatter.com/articles/amorepacific-to-close-80-of-innisfree-stores-in-china
Lee, P., Conway, J.J., Corduneanu, R., & Raviprakash, S. (2021). Are data privacy concerns driving consumer behavior? Not yet. Deloitte. Retrieved on August 31, 2023, from https://www2.deloitte.com/us/en/insights/industry/technology/protecting-consumer-data.html
Li, Y., Liu, H., Lee, M., & Huang, Q. (2020). Information privacy concern and deception in online retailing: The moderating effect of online–offline information integration. Internet Research, 30(2), 511–537.
Li, Z., Gilbert, S.M., & Lai, G. (2014). Supplier encroachment under asymmetric information. Management Science, 60(2), 449–462.
Li, Z., Gilbert, S.M., & Lai, G. (2015). Supplier encroachment as an enhancement or a hindrance to nonlinear pricing. Production and Operations Management, 24(1), 89-109.
Lin, G. H., Zhang, J., & Zhang, Q. (2024). Strategic analysis of manufacturer encroachment in dual-channel supply chains with platform service. International Journal of Industrial Engineering Computations, 15(2), 519-540.
Lu, W., Jiang, Y., Xia, P., & Huang, Z. (2023). How retailer overconfidence affects supply chain transparency with manufacturer encroachment. Annals of Operations Research, 329(1), 1149–1174.
Maity, M., & Dass, M. (2014). Consumer decision-making across modern and traditional channels: E-commerce, m-commerce, in-store. Decision Support Systems, 61, 34–46.
Murad. (2023). Authorized retailers. Retrieved on August 31, 2023, from https://www.murad.com/authorized-retailers/?ga=2.72985875.1801609972.1686756172-1065975309.1686756000
Pavlou, P.A., Liang, H., & Xue, Y. (2007). Understanding and mitigating uncertainty in online exchange relationships: A principal-agent perspective. MIS Quarterly, 31(1), 105–136.
Portuguez, E. (2022). Everyone’s buzzing about telehealth, but is virtual healthcare for you? Two telemedicine experts/MDs reveal how to get the most out of online visits. Wellconnected. Retrieved on August 31, 2023, from https://wellconnected.murad.com/everyones-buzzing-about-telemedicine-but-is-virtual-healthcare-for-you-two-top-telehealth-experts-physicians-weigh-in-on-how-to-get-the-most-out-of-online-visits/
Redman, T.C., & Waitman, R.M. (2020). Do you care about privacy as much as your customers do? Harvard Business Review. Retrieved on June 17, 2024, from https://hbr.org/2020/01/do-you-care-about-privacy-as-much-as-your-customers-do
Rothschild, P., Boudet, J., & BenMark, G. (2019). Why personalization matters for consumer privacy. MIT Sloan Management Review. Retrieved on September 28, 2023, from https://sloanreview.mit.edu/article/why-personalization-matters-for-consumer-privacy/
Sánchez, M., & Urbano, A. (2022). Consumers’ privacy concerns and price setting in a multichannel monopoly. Available at SSRN: https://ssrn.com/abstract=4033329.
Shi, S., Wang, C., Cheng, T.E., & Liu, S. (2023). Manufacturer encroachment with an e-commerce division. Production and Operations Management, 32(6), 2002–2019.
Taleizadeh, A. A., Abedsoltan, H., & Soltani, M. R. (2025). Pricing decisions of digital goods in presence of piracy: Various supply agreements. International Journal of Systems Science: Operations & Logistics, 12(1), 2476610.
Tsay, A.A., & Agrawal, N. (2004). Channel conflict and coordination in the e‐commerce age. Production and Operations Management, 13(1), 93-110.
UGREEN. (2024). UGREEN’s initial public offering of shares and listing on the GEM prospectus. Retrieved on January 22, 2024, from http://static.cninfo.com.cn/finalpage/2022-08-29/1214444571.PDF
Valletti, T., & Wu, J. (2020). Consumer profiling with data requirements: Structure and policy implications. Production and Operations Management, 29(2), 309–329.
Vickery, S.K., Droge, C., Stank, T.P., Goldsby, T.J., & Markland, R.E. (2004). The performance implications of media richness in a business-to-business service environment: Direct versus indirect effects. Management Science, 50(8), 1106–1119.
Wang, M. (2019). From OEM to OBM, Chinese enterprises embark on the road of brand building. China Central Television. Retrieved on January 22, 2024, from https://news.cctv.com/2019/02/15/ARTI5vgSE7TPKNVhLJD6jerH190215.shtml
Wang, X., Chaolu, T., Gao, Y., Wen, Y., & Liu, P. (2023). Marketplace channel encroachment under private brand introduction of online platform. International Journal of Industrial Engineering Computations, 14, 403-414.
Wang, Z. (2020). Be & Cheery acquisition to heat up competition in snack market. China Daily. Retrieved on August 31, 2023, from https://global.chinadaily.com.cn/a/202006/04/WS5ed8de60a310a8b24115af58.html
Watson-Manheim, M.B., & Bélanger, F. (2007). Communication media repertoires: Dealing with the multiplicity of media choices. MIS Quarterly, 31(2), 267–293.
Xiong, Y., Yan, W., Fernandes, K., Xiong, Z.K., & Guo, N. (2012). “Bricks vs. clicks”: The impact of manufacturer encroachment with a dealer leasing and selling of durable goods. European Journal of Operational Research, 217(1), 75-83.
Xu, F., Wang, X., & Zhang, F. (2025). Consumer privacy in online retail supply chains. Management Science, Forthcoming.
Yoo, W.S., & Lee, E. (2011). Internet channel entry: A strategic analysis of mixed channel structures. Marketing Science, 30(1), 29-41.
Zhang, T., Choi, T.-M., & Cheng, T.-C.E. (2024). Competitive pricing and product strategies in the presence of consumers’ social comparisons. European Journal of Operational Research, 312(2), 573–586.
Zhao, C., Wang, X., Xiao, Y., & Sheng, J. (2022). Effects of online reviews and competition on quality and pricing strategies. Production and Operations Management, 31(10), 3840–3858.
Zhao, D., & Li, Z. (2018). The impact of manufacturer’s encroachment and nonlinear production cost on retailer’s information sharing decisions. Annals of Operations Research, 264, 499–539.
Zhong, J. (2020). Returning to offline, Be & Cheery recreates Be & Cheery? China Daily. Retrieved on August 31, 2023, from https://caijing.chinadaily.com.cn/a/202001/03/WS5e0efc28a31099ab995f53ae.html
Zhong, J. (2022). Warrior demonstrates a counterattack with sales on TikTok soaring 606%. China Daily. Retrieved on January 22, 2024, from https://cn.chinadaily.com.cn/a/202211/30/WS638734aaa3102ada8b224ad8.html
Zhou, S. (2021). Galanz: China’s intelligent manufacturing is developing globally. People’s Daily. Retrieved on January 22, 2024, from http://paper.people.com.cn/rmrbhwb/html/2021-12/03/content25891908.htm
Arya, A., Mittendorf, B., & Sappington, D.E. (2007). The bright side of supplier encroachment. Marketing Science, 26(5), 651-659.
Balasubramanian, S. (1998). Mail versus mall: A strategic snalysis of competition between direct marketers and conventional retailers. Marketing Science, 17(3), 181-195.
Cai, G.G. (2010). Channel selection and coordination in dual-channel supply chains. Journal of Retailing, 86(1), 22-36.
Cao, K., Xu, Y., Hua, Y., & Choi, T.-M. (2023). Supplier or co-optor: Optimal channel and logistics selection problems on retail platforms. European Journal of Operational Research, 311(3), 971–988.
Cattani, K., Gilland, W., Heese, H.S., & Swaminathan, J. (2006). Boiling frogs: Pricing strategies for a manufacturer adding a direct channel that competes with the traditional channel. Production and Operations Management, 15(1), 40-56.
Chiang, W.Y.K., Chhajed, D., & Hess, J.D. (2003). Direct marketing, indirect profits: A strategic analysis of dual-channel supply-chain design. Management Science, 49(1), 1-20.
Chen, K.Y., Kaya, M., & Özer, Ö. (2008). Dual sales channel management with service competition. Manufacturing & Service Operations Management, 10(4), 654-675.
Chen, Z. (2022). Privacy costs and consumer data acquisition: An economic analysis of data privacy regulation. Available at SSRN: https://ssrn.com/abstract=4085923.
Chen, Z., Choe, C., & Matsushima, N. (2020). Competitive personalized pricing. Management Science, 66(9), 4003–4023.
Cong, L.W., Xie, D., & Zhang, L. (2021). Knowledge accumulation, privacy, and growth in a data economy. Management Science, 67(10), 6480–6492.
Conitzer, V., Taylor, C.R., & Wagman, L. (2012). Hide and seek: Costly consumer privacy in a market with repeat purchases. Marketing Science, 31(2), 277–292.
Daft, R.L., & Lengel, R.H. (1986). Organizational information requirements, media richness and structural design. Management Science, 32(5), 554–571.
Dumrongsiri, A., Fan, M., Jain, A., & Moinzadeh, K. (2008). A supply chain model with direct and retail channels. European Journal of Operational Research, 187(3), 691-718.
Esposito, A. (2021). Could data privacy be retail’s new competitive differentiator? Retail TouchPoints. Retrieved on September 28, 2023, from https://www.retailtouchpoints.com/topics/security/data-security/could-data-privacy-be-retails-new-competitive-differentiator
Fainmesser, I.P., Galeotti, A., & Momot, R. (2023). Digital privacy. Management Science, 69(6), 3157–3173.
Galanz. (2024). VR kitchen. Retrieved on January 22, 2024, from https://www.720yun.com/t/dfvkcwdlzfq?scene id=67133062
Gal-Or, E., Gal-Or, R., & Penmetsa, N. (2018). The role of user privacy concerns in shaping competition among platforms. Information Systems Research, 29(3), 698–722.
Goh, K.-Y., Heng, C.-S., & Lin, Z. (2013). Social media brand community and consumer behavior: Quantifying the relative impact of user-and marketer-generated content. Information Systems Research, 24(1), 88–107.
Guan, H., Yang, Z., & Gurnani, H. (2023). Value of information with manufacturer encroachment. Production and Operations Management, 32(3), 780–793.
Guan, X., Liu, B., Chen, Y.-J., & Wang, H. (2020). Inducing supply chain transparency through supplier encroachment. Production and Operations Management, 29(3), 725–749.
Ha, A.Y., Luo, H., & Shang, W. (2022). Supplier encroachment, information sharing, and channel structure in online retail platforms. Production and Operations Management, 31(3), 1235–1251.
Hann, I.-H., Hui, K.-L., Lee, S.-Y.T., & Png, I.P. (2008). Consumer privacy and marketing avoidance: A static model. Management Science, 54(6), 1094–1103.
Hotkar, P., & Gilbert, S.M. (2021). Supplier encroachment in a nonexclusive reselling channel. Management Science, 67(9), 5821–5837.
Hou, P., Zhen, Z., & Li, B. (2021). Implications of the product quality differentiation on the platform’s distribution contracts. IEEE Transactions on Engineering Management, 70(11), 3826–3835.
Hu, M., Momot, R., & Wang, J. (2022). Privacy management in service systems. Management Science, 24(5), 2761–2779.
Huang, S., Guan, X., & Chen, Y.-J. (2018). Retailer information sharing with supplier encroachment. Production and Operations Management, 27(6), 1133–1147.
Kahai, S.S., & Cooper, R.B. (2003). Exploring the core concepts of media richness theory: The impact of cue multiplicity and feedback immediacy on decision quality. Journal of Management Information Systems, 20(1), 263–299.
Kovack, K. (2022). Amorepacific to close 80% of Innisfree stores in China. BeautyMatter. Retrieved on September 28, 2023, from https://beautymatter.com/articles/amorepacific-to-close-80-of-innisfree-stores-in-china
Lee, P., Conway, J.J., Corduneanu, R., & Raviprakash, S. (2021). Are data privacy concerns driving consumer behavior? Not yet. Deloitte. Retrieved on August 31, 2023, from https://www2.deloitte.com/us/en/insights/industry/technology/protecting-consumer-data.html
Li, Y., Liu, H., Lee, M., & Huang, Q. (2020). Information privacy concern and deception in online retailing: The moderating effect of online–offline information integration. Internet Research, 30(2), 511–537.
Li, Z., Gilbert, S.M., & Lai, G. (2014). Supplier encroachment under asymmetric information. Management Science, 60(2), 449–462.
Li, Z., Gilbert, S.M., & Lai, G. (2015). Supplier encroachment as an enhancement or a hindrance to nonlinear pricing. Production and Operations Management, 24(1), 89-109.
Lin, G. H., Zhang, J., & Zhang, Q. (2024). Strategic analysis of manufacturer encroachment in dual-channel supply chains with platform service. International Journal of Industrial Engineering Computations, 15(2), 519-540.
Lu, W., Jiang, Y., Xia, P., & Huang, Z. (2023). How retailer overconfidence affects supply chain transparency with manufacturer encroachment. Annals of Operations Research, 329(1), 1149–1174.
Maity, M., & Dass, M. (2014). Consumer decision-making across modern and traditional channels: E-commerce, m-commerce, in-store. Decision Support Systems, 61, 34–46.
Murad. (2023). Authorized retailers. Retrieved on August 31, 2023, from https://www.murad.com/authorized-retailers/?ga=2.72985875.1801609972.1686756172-1065975309.1686756000
Pavlou, P.A., Liang, H., & Xue, Y. (2007). Understanding and mitigating uncertainty in online exchange relationships: A principal-agent perspective. MIS Quarterly, 31(1), 105–136.
Portuguez, E. (2022). Everyone’s buzzing about telehealth, but is virtual healthcare for you? Two telemedicine experts/MDs reveal how to get the most out of online visits. Wellconnected. Retrieved on August 31, 2023, from https://wellconnected.murad.com/everyones-buzzing-about-telemedicine-but-is-virtual-healthcare-for-you-two-top-telehealth-experts-physicians-weigh-in-on-how-to-get-the-most-out-of-online-visits/
Redman, T.C., & Waitman, R.M. (2020). Do you care about privacy as much as your customers do? Harvard Business Review. Retrieved on June 17, 2024, from https://hbr.org/2020/01/do-you-care-about-privacy-as-much-as-your-customers-do
Rothschild, P., Boudet, J., & BenMark, G. (2019). Why personalization matters for consumer privacy. MIT Sloan Management Review. Retrieved on September 28, 2023, from https://sloanreview.mit.edu/article/why-personalization-matters-for-consumer-privacy/
Sánchez, M., & Urbano, A. (2022). Consumers’ privacy concerns and price setting in a multichannel monopoly. Available at SSRN: https://ssrn.com/abstract=4033329.
Shi, S., Wang, C., Cheng, T.E., & Liu, S. (2023). Manufacturer encroachment with an e-commerce division. Production and Operations Management, 32(6), 2002–2019.
Taleizadeh, A. A., Abedsoltan, H., & Soltani, M. R. (2025). Pricing decisions of digital goods in presence of piracy: Various supply agreements. International Journal of Systems Science: Operations & Logistics, 12(1), 2476610.
Tsay, A.A., & Agrawal, N. (2004). Channel conflict and coordination in the e‐commerce age. Production and Operations Management, 13(1), 93-110.
UGREEN. (2024). UGREEN’s initial public offering of shares and listing on the GEM prospectus. Retrieved on January 22, 2024, from http://static.cninfo.com.cn/finalpage/2022-08-29/1214444571.PDF
Valletti, T., & Wu, J. (2020). Consumer profiling with data requirements: Structure and policy implications. Production and Operations Management, 29(2), 309–329.
Vickery, S.K., Droge, C., Stank, T.P., Goldsby, T.J., & Markland, R.E. (2004). The performance implications of media richness in a business-to-business service environment: Direct versus indirect effects. Management Science, 50(8), 1106–1119.
Wang, M. (2019). From OEM to OBM, Chinese enterprises embark on the road of brand building. China Central Television. Retrieved on January 22, 2024, from https://news.cctv.com/2019/02/15/ARTI5vgSE7TPKNVhLJD6jerH190215.shtml
Wang, X., Chaolu, T., Gao, Y., Wen, Y., & Liu, P. (2023). Marketplace channel encroachment under private brand introduction of online platform. International Journal of Industrial Engineering Computations, 14, 403-414.
Wang, Z. (2020). Be & Cheery acquisition to heat up competition in snack market. China Daily. Retrieved on August 31, 2023, from https://global.chinadaily.com.cn/a/202006/04/WS5ed8de60a310a8b24115af58.html
Watson-Manheim, M.B., & Bélanger, F. (2007). Communication media repertoires: Dealing with the multiplicity of media choices. MIS Quarterly, 31(2), 267–293.
Xiong, Y., Yan, W., Fernandes, K., Xiong, Z.K., & Guo, N. (2012). “Bricks vs. clicks”: The impact of manufacturer encroachment with a dealer leasing and selling of durable goods. European Journal of Operational Research, 217(1), 75-83.
Xu, F., Wang, X., & Zhang, F. (2025). Consumer privacy in online retail supply chains. Management Science, Forthcoming.
Yoo, W.S., & Lee, E. (2011). Internet channel entry: A strategic analysis of mixed channel structures. Marketing Science, 30(1), 29-41.
Zhang, T., Choi, T.-M., & Cheng, T.-C.E. (2024). Competitive pricing and product strategies in the presence of consumers’ social comparisons. European Journal of Operational Research, 312(2), 573–586.
Zhao, C., Wang, X., Xiao, Y., & Sheng, J. (2022). Effects of online reviews and competition on quality and pricing strategies. Production and Operations Management, 31(10), 3840–3858.
Zhao, D., & Li, Z. (2018). The impact of manufacturer’s encroachment and nonlinear production cost on retailer’s information sharing decisions. Annals of Operations Research, 264, 499–539.
Zhong, J. (2020). Returning to offline, Be & Cheery recreates Be & Cheery? China Daily. Retrieved on August 31, 2023, from https://caijing.chinadaily.com.cn/a/202001/03/WS5e0efc28a31099ab995f53ae.html
Zhong, J. (2022). Warrior demonstrates a counterattack with sales on TikTok soaring 606%. China Daily. Retrieved on January 22, 2024, from https://cn.chinadaily.com.cn/a/202211/30/WS638734aaa3102ada8b224ad8.html
Zhou, S. (2021). Galanz: China’s intelligent manufacturing is developing globally. People’s Daily. Retrieved on January 22, 2024, from http://paper.people.com.cn/rmrbhwb/html/2021-12/03/content25891908.htm