Notice of RetractionThe effect of manufacturer advertisement on the vertical competition between channel members

Notice of Retraction

After careful and considered review of the content of this paper by a duly constituted expert committee, this paper has been found to be in violation of IEEE´s Publication Principles.

We hereby retract the content of this paper. Reasonable effort should be made to remove all past references to this paper.

The presenting author of this paper has the option to appeal this decision by contacting TPII@ieee.org.

In the product channel, retailers have more and more monopoly power, while the majority literatures about channel problems are still focused on the manufacturer leading channel. Based on the monopolistic power of the retailers, after bringing the advertising variable we inspect the problem in the product channel structure formed by single manufacturer and single retailer. According to the comparison, we find that manufacturer advertising bring benefit to its members and the whole channels, and the increasing margin in profit of the retailers is greater than the manufactures. In this condition, the retailers and advertisers manufacturers should establish cooperation mechanisms to enhance mutual win-win situation, which makes “cooperative advertising” program possible.