{"status":"ok","message-type":"work","message-version":"1.0.0","message":{"indexed":{"date-parts":[[2026,1,5]],"date-time":"2026-01-05T22:06:41Z","timestamp":1767650801298,"version":"3.41.2"},"reference-count":61,"publisher":"Emerald","issue":"7","license":[{"start":{"date-parts":[[2024,3,11]],"date-time":"2024-03-11T00:00:00Z","timestamp":1710115200000},"content-version":"tdm","delay-in-days":0,"URL":"https:\/\/www.emerald.com\/insight\/site-policies"}],"content-domain":{"domain":[],"crossmark-restriction":false},"short-container-title":["K"],"published-print":{"date-parts":[[2025,4,29]]},"abstract":"<jats:sec><jats:title content-type=\"abstract-subheading\">Purpose<\/jats:title><jats:p>In this paper, the authors study the entry and outsourcing strategies of manufacturer while considering the brand spillover effect resulting from outsourcing. The supply chain comprises two manufacturers: one being the entrant with a strong brand, and the other as the incumbent with a weak brand. The entrant decides whether and how to enter the market.<\/jats:p><\/jats:sec><jats:sec><jats:title content-type=\"abstract-subheading\">Design\/methodology\/approach<\/jats:title><jats:p>Stackelberg game is applied to study the optimal strategies for the manufacturers. This paper conducts a comparative analysis on four situations, yielding conclusions and managerial insights.<\/jats:p><\/jats:sec><jats:sec><jats:title content-type=\"abstract-subheading\">Findings<\/jats:title><jats:p>The results show that, for the entrant, there is no need to worry about the brand spillover effect in the outsourcing process, which is very interesting and counterintuitive. To get further, the authors find the reason: The spillover effect causes the entrant\u2019s equilibrium retail price to grow faster than the wholesale price. They also prove that a stronger brand effect empowers the entrant to challenge industry barriers, while the impact of the brand spillover effect is the opposite. For the incumbent who acts as the weak party in this issue, it is demonstrated that the optimal choice is to continue selling when facing the encroachment and outsourcing call from the entrant.<\/jats:p><\/jats:sec><jats:sec><jats:title content-type=\"abstract-subheading\">Originality\/value<\/jats:title><jats:p>Differing from previous studies, the authors notice the brand spillover effect caused by outsourcing when studying company\u2019s entry strategy. They further divide the brand effect into two parts, one of which does not exhibit a spillover.<\/jats:p><\/jats:sec>","DOI":"10.1108\/k-10-2023-2225","type":"journal-article","created":{"date-parts":[[2024,3,7]],"date-time":"2024-03-07T21:19:45Z","timestamp":1709846385000},"page":"3808-3832","source":"Crossref","is-referenced-by-count":2,"title":["Outsourcing or not? OEM's entry decision considering brand spillover effect"],"prefix":"10.1108","volume":"54","author":[{"ORCID":"https:\/\/orcid.org\/0000-0001-7206-1994","authenticated-orcid":false,"given":"Hua","family":"Ke","sequence":"first","affiliation":[]},{"ORCID":"https:\/\/orcid.org\/0000-0003-1510-9810","authenticated-orcid":false,"given":"Yaqin","family":"Zhou","sequence":"additional","affiliation":[]}],"member":"140","published-online":{"date-parts":[[2024,3,11]]},"reference":[{"key":"key2025042803095991200_ref001","first-page":"207","article-title":"The effect of deceptive brand image on consumer purchase intention: empirical evidence from iraqi market","volume":"9","year":"2022","journal-title":"The Journal of Asian Finance, Economics and Business"},{"issue":"7","key":"key2025042803095991200_ref002","doi-asserted-by":"publisher","first-page":"662","DOI":"10.1002\/mar.20350","article-title":"The differential roles of brand credibility and brand prestige in consumer brand choice","volume":"27","year":"2010","journal-title":"Psychology and Marketing"},{"issue":"9","key":"key2025042803095991200_ref003","doi-asserted-by":"publisher","first-page":"5418","DOI":"10.1287\/mnsc.2022.4608","article-title":"Brand building to deter entry and its impact on brand value","volume":"69","year":"2023","journal-title":"Management Science"},{"issue":"4","key":"key2025042803095991200_ref004","doi-asserted-by":"publisher","first-page":"460","DOI":"10.1287\/mksc.1060.0253","article-title":"The influence of product variety on brand perception and choice","volume":"26","year":"2007","journal-title":"Marketing Science"},{"issue":"11","key":"key2025042803095991200_ref005","doi-asserted-by":"publisher","first-page":"3327","DOI":"10.1287\/mnsc.2015.2303","article-title":"The role of brand image and product characteristics on firms\u2019 entry and OEM decisions","volume":"62","year":"2016","journal-title":"Management Science"},{"key":"key2025042803095991200_ref006","doi-asserted-by":"publisher","first-page":"1","DOI":"10.1016\/j.jretconser.2015.04.005","article-title":"Entry mode selection and its impact on an incumbent supply chain coordination","volume":"26","year":"2015","journal-title":"Journal of Retailing and Consumer Services"},{"issue":"3","key":"key2025042803095991200_ref007","doi-asserted-by":"publisher","first-page":"489","DOI":"10.1111\/1468-5973.12454","article-title":"Moving beyond negative spillover: the positive consequences of an innocent brand\u2019s responses to another brand\u2019s crisis","volume":"31","year":"2023","journal-title":"Journal of Contingencies and Crisis Management"},{"issue":"6","key":"key2025042803095991200_ref008","doi-asserted-by":"publisher","first-page":"3661","DOI":"10.1051\/ro\/2021168","article-title":"Price negotiation and coordination in outsourcing supply chain under yield and demand uncertainties","volume":"55","year":"2021","journal-title":"RAIRO-operations Research"},{"key":"key2025042803095991200_ref009","doi-asserted-by":"publisher","first-page":"260","DOI":"10.1016\/j.ijpe.2017.03.002","article-title":"Optimal decisions in a retailer stackelberg supply chain","volume":"187","year":"2017","journal-title":"International Journal of Production Economics"},{"key":"key2025042803095991200_ref010","doi-asserted-by":"publisher","first-page":"73","DOI":"10.1016\/j.ijpe.2018.05.003","article-title":"Factory encroachment and channel selection in an outsourced supply chain","volume":"215","year":"2019","journal-title":"International Journal of Production Economics"},{"issue":"6","key":"key2025042803095991200_ref011","doi-asserted-by":"publisher","first-page":"1720","DOI":"10.1080\/00207543.2022.2045376","article-title":"In-house versus outsourcing collection in a closed-loop supply chain with remanufacturing technology development","volume":"61","year":"2023","journal-title":"International Journal of Production Research"},{"issue":"5","key":"key2025042803095991200_ref012","doi-asserted-by":"publisher","first-page":"1188","DOI":"10.1002\/cb.2200","article-title":"Cross-category revenue spillover in brand extensions: the role of within-category experience","volume":"22","year":"2023","journal-title":"Journal of Consumer Behaviour"},{"issue":"9","key":"key2025042803095991200_ref013","doi-asserted-by":"publisher","first-page":"2382","DOI":"10.1108\/ejm-01-2022-0044","article-title":"The spillover effects of positive and negative buzz on brand attitudes","volume":"57","year":"2023","journal-title":"European Journal of Marketing"},{"issue":"2","key":"key2025042803095991200_ref014","doi-asserted-by":"publisher","first-page":"407","DOI":"10.1016\/j.ejor.2019.06.004","article-title":"Quality investment, and the contract manufacturer\u2019s encroachment","volume":"279","year":"2019","journal-title":"European Journal of Operational Research"},{"issue":"3","key":"key2025042803095991200_ref015","doi-asserted-by":"publisher","first-page":"568","DOI":"10.1016\/j.ejor.2011.05.008","article-title":"Equilibrium analysis of supply chain structures under power imbalance","volume":"214","year":"2011","journal-title":"European Journal of Operational Research"},{"key":"key2025042803095991200_ref016","doi-asserted-by":"publisher","DOI":"10.1016\/j.cie.2022.108973","article-title":"The choice of remanufacturing strategy for the OEM with third-party remanufacturers\u2019 advantages","volume":"176","year":"2023","journal-title":"Computers and Industrial Engineering"},{"issue":"4","key":"key2025042803095991200_ref017","doi-asserted-by":"publisher","first-page":"594","DOI":"10.1111\/deci.12235","article-title":"The impact of the potential entry of copycats: entry conditions, consumer welfare, and social welfare","volume":"48","year":"2017","journal-title":"Decision Sciences"},{"issue":"9","key":"key2025042803095991200_ref018","doi-asserted-by":"publisher","first-page":"3292","DOI":"10.1108\/k-09-2021-0931","article-title":"Generating destination brand awareness and image through the firm\u2019s social media","volume":"52","year":"2022","journal-title":"Kybernetes"},{"issue":"7","key":"key2025042803095991200_ref019","doi-asserted-by":"publisher","first-page":"715","DOI":"10.1016\/j.jbusres.2007.05.009","article-title":"Perceived quality and image: when all is not \u2018rosy\u2019","volume":"61","year":"2008","journal-title":"Journal of Business Research"},{"issue":"2","key":"key2025042803095991200_ref020","doi-asserted-by":"publisher","first-page":"174","DOI":"10.1007\/s11518-021-5511-7","article-title":"Contract manufacturer\u2019s market entry and its impact under asymmetric customer loyalty","volume":"31","year":"2022","journal-title":"Journal of Systems Science and Systems Engineering"},{"issue":"8","key":"key2025042803095991200_ref021","doi-asserted-by":"publisher","first-page":"3198","DOI":"10.1111\/poms.13746","article-title":"Horizontal outsourcing and price competition: the role of sole sourcing commitment","volume":"31","year":"2022","journal-title":"Production and Operations Management"},{"key":"key2025042803095991200_ref022","doi-asserted-by":"publisher","DOI":"10.1016\/j.tre.2020.102157","article-title":"Cross-market selling channel strategies in an international luxury brand\u2019s supply chain with gray markets","volume":"144","year":"2020","journal-title":"Transportation Research Part E: Logistics and Transportation Review"},{"key":"key2025042803095991200_ref023","doi-asserted-by":"publisher","DOI":"10.1016\/j.compchemeng.2023.108481","article-title":"Designing a sustainable disruption-oriented supply chain under joint pricing and resiliency considerations: a case study","volume":"180","year":"2024","journal-title":"Computers and Chemical Engineering"},{"key":"key2025042803095991200_ref024","doi-asserted-by":"publisher","DOI":"10.1016\/j.ijpe.2022.108589","article-title":"Insourcing versus outsourcing decision under environmental considerations and different contract arrangements","volume":"253","year":"2022","journal-title":"International Journal of Production Economics"},{"issue":"3","key":"key2025042803095991200_ref025","doi-asserted-by":"publisher","first-page":"2103","DOI":"10.1007\/s00500-020-05281-0","article-title":"Equilibrium analysis of marketing strategies in supply chain with marketing efforts induced demand considering free riding","volume":"25","year":"2021","journal-title":"Soft Computing"},{"key":"key2025042803095991200_ref026","doi-asserted-by":"publisher","DOI":"10.1007\/s11747-023-00957-z","article-title":"Avengers, assemble! a network-based contingency analysis of spillover effects in multi-brand alliances","year":"2023","journal-title":"Journal of the Academy of Marketing Science"},{"issue":"5","key":"key2025042803095991200_ref027","doi-asserted-by":"publisher","first-page":"1110","DOI":"10.1111\/deci.12413","article-title":"Sourcing strategy of original equipment manufacturer with quality competition","volume":"51","year":"2020","journal-title":"Decision Sciences"},{"key":"key2025042803095991200_ref028","doi-asserted-by":"publisher","DOI":"10.1016\/j.cie.2022.108472","article-title":"Manufacture\u2019s entry and green strategies with carbon trading policy","volume":"171","year":"2022","journal-title":"Computers and Industrial Engineering"},{"issue":"3","key":"key2025042803095991200_ref029","doi-asserted-by":"publisher","first-page":"1791","DOI":"10.1111\/itor.13225","article-title":"Sourcing strategies of manufacturers with customer returns and product design efforts","volume":"31","year":"2022","journal-title":"International Transactions in Operational Research"},{"issue":"4","key":"key2025042803095991200_ref030","doi-asserted-by":"publisher","first-page":"1283","DOI":"10.1109\/tem.2020.3007209","article-title":"Production sourcing strategy for an apparel original brand manufacturer in the presence of technology spillover","volume":"70","year":"2023","journal-title":"IEEE Transactions on Engineering Management"},{"issue":"1","key":"key2025042803095991200_ref031","doi-asserted-by":"publisher","first-page":"118","DOI":"10.1111\/poms.13084","article-title":"Optimizing store-brand quality: impact of choice of producer and channel price leadership","volume":"29","year":"2020","journal-title":"Production and Operations Management"},{"key":"key2025042803095991200_ref032","doi-asserted-by":"publisher","DOI":"10.1016\/j.omega.2021.102426","article-title":"Effects of in-house production on channel structures in a co-opetitive supply chain under supply uncertainty","volume":"103","year":"2021","journal-title":"Omega"},{"issue":"1","key":"key2025042803095991200_ref033","doi-asserted-by":"publisher","first-page":"240","DOI":"10.1016\/j.ejor.2022.05.054","article-title":"Technology investments into a supplier with upstream entry","volume":"305","year":"2023","journal-title":"European Journal of Operational Research"},{"key":"key2025042803095991200_ref034","doi-asserted-by":"publisher","DOI":"10.1016\/j.tre.2023.103270","article-title":"Does free brand spillover benefit online retailers? Roles of logistics service selection","volume":"178","year":"2023","journal-title":"Transportation Research Part E: Logistics and Transportation Review"},{"issue":"6","key":"key2025042803095991200_ref035","doi-asserted-by":"publisher","first-page":"908","DOI":"10.1108\/jpbm-07-2021-3569","article-title":"When brands behave badly: signaling and spillover effects of unethical behavior in the context of triple bottom line sustainability","volume":"32","year":"2023","journal-title":"Journal of Product and Brand Management"},{"issue":"3","key":"key2025042803095991200_ref036","doi-asserted-by":"publisher","first-page":"570","DOI":"10.1111\/poms.12938","article-title":"Strategic analysis of dual sourcing and dual channel with an unreliable alternative supplier","volume":"28","year":"2019","journal-title":"Production and Operations Management"},{"issue":"4","key":"key2025042803095991200_ref037","doi-asserted-by":"publisher","first-page":"1917","DOI":"10.1111\/itor.12904","article-title":"\u2018Production+ procurement\u2019 outsourcing with competitive contract manufacturer\u2019s partial learning and supplier\u2019s price discrimination","volume":"28","year":"2021","journal-title":"International Transactions in Operational Research"},{"issue":"3","key":"key2025042803095991200_ref038","doi-asserted-by":"publisher","first-page":"989","DOI":"10.1016\/j.ejor.2023.06.009","article-title":"One step further for procurement cooperation: will the industry leader benefit from its competitive manufacturer\u2019s joint determination of consumption quality?","volume":"311","year":"2023","journal-title":"European Journal of Operational Research"},{"issue":"2","key":"key2025042803095991200_ref039","doi-asserted-by":"publisher","first-page":"584","DOI":"10.1108\/ejm-02-2021-0073","article-title":"Co-branding research: where we are and where we could go from here","volume":"56","year":"2022","journal-title":"European Journal of Marketing"},{"key":"key2025042803095991200_ref052","doi-asserted-by":"publisher","DOI":"10.1016\/j.jbusres.2023.113704","article-title":"Co-branding as a masstige strategy for luxury brands: desirable or not?","volume":"158","year":"2023","journal-title":"Journal of Business Research"},{"key":"key2025042803095991200_ref040","doi-asserted-by":"publisher","DOI":"10.1108\/K-08-2022-1172","article-title":"Outsourcing or in-house manufacturing in hi-tech industry: supply chain process with delphi-ahp approach","year":"2023","journal-title":"Kybernetes"},{"key":"key2025042803095991200_ref041","doi-asserted-by":"publisher","first-page":"37","DOI":"10.1016\/j.jretconser.2018.01.010","article-title":"The effect of information exposure of contract manufacturing practice on consumers\u2019 perceived risk, perceived quality, and intention to purchase private label brand","volume":"42","year":"2018","journal-title":"Journal of Retailing and Consumer Services"},{"issue":"5","key":"key2025042803095991200_ref042","doi-asserted-by":"publisher","first-page":"2827","DOI":"10.1051\/ro\/2021123","article-title":"Designing a disruption-aware supply chain network considering precautionary and contingency strategies: a real-life case study","volume":"55","year":"2021","journal-title":"RAIRO-operations Research"},{"issue":"4","key":"key2025042803095991200_ref043","doi-asserted-by":"publisher","first-page":"305","DOI":"10.1016\/j.jretai.2004.10.006","article-title":"Using product sampling to augment the perceived quality of store brands","volume":"80","year":"2004","journal-title":"Journal of Retailing"},{"issue":"5","key":"key2025042803095991200_ref044","doi-asserted-by":"publisher","first-page":"679","DOI":"10.1287\/mksc.1060.0260","article-title":"Brand effects on choice and choice set formation under uncertainty","volume":"26","year":"2007","journal-title":"Marketing Science"},{"issue":"11","key":"key2025042803095991200_ref045","doi-asserted-by":"publisher","first-page":"3366","DOI":"10.1108\/k-11-2020-0800","article-title":"Carbon emission reduction and coordination in a closed-loop supply chain with outsourcing remanufacturing","volume":"51","year":"2022","journal-title":"Kybernetes"},{"key":"key2025042803095991200_ref046","doi-asserted-by":"publisher","DOI":"10.1016\/j.tre.2022.102951","article-title":"How does manufacturer\u2019s self-operating channel interact with platform retailer\u2019s e-commerce brand introduction?","volume":"168","year":"2022","journal-title":"Transportation Research Part E: Logistics and Transportation Review"},{"key":"key2025042803095991200_ref047","doi-asserted-by":"publisher","DOI":"10.1016\/j.tre.2022.102830","article-title":"Contingent channel strategies for combating brand spillover in a co-opetitive supply chain","volume":"164","year":"2022","journal-title":"Transportation Research Part E: Logistics and Transportation Review"},{"issue":"7","key":"key2025042803095991200_ref048","doi-asserted-by":"publisher","first-page":"5348","DOI":"10.1287\/mnsc.2021.4165","article-title":"Brand spillover as a marketing strategy","volume":"68","year":"2022","journal-title":"Management Science"},{"key":"key2025042803095991200_ref049","first-page":"2916","article-title":"Incentive contracts research of information security outsourcing for complementary firms in supply chain under double moral hazard","volume":"42","year":"2022","journal-title":"Systems Engineering-Theory and Practice"},{"issue":"2","key":"key2025042803095991200_ref050","doi-asserted-by":"publisher","first-page":"444","DOI":"10.1016\/j.ejor.2009.05.023","article-title":"Strategic wholesale pricing in a supply chain with a potential entrant","volume":"202","year":"2010","journal-title":"European Journal of Operational Research"},{"issue":"2","key":"key2025042803095991200_ref051","doi-asserted-by":"publisher","first-page":"1159","DOI":"10.1111\/itor.13035","article-title":"Pricing and entry strategies for competitive firms with optimistic entrant","volume":"29","year":"2022","journal-title":"International Transactions in Operational Research"},{"issue":"4","key":"key2025042803095991200_ref053","doi-asserted-by":"publisher","first-page":"4029","DOI":"10.1007\/s12351-021-00668-9","article-title":"Product design outsourcing in a supply chain: impact of the design and conformance quality trade-off","volume":"22","year":"2022","journal-title":"Operational Research"},{"issue":"2","key":"key2025042803095991200_ref054","doi-asserted-by":"publisher","first-page":"661","DOI":"10.1016\/j.ejor.2021.08.026","article-title":"Managing brand competition with consumer fairness concern via manufacturer incentive","volume":"300","year":"2022","journal-title":"European Journal of Operational Research"},{"key":"key2025042803095991200_ref055","doi-asserted-by":"publisher","DOI":"10.1016\/j.tre.2023.103188","article-title":"Manufacturer technology investment: a bane or boon to the store brand encroachment","volume":"176","year":"2023","journal-title":"Transportation Research Part E: Logistics and Transportation Review"},{"key":"key2025042803095991200_ref056","doi-asserted-by":"publisher","first-page":"4351","DOI":"10.1109\/TEM.2022.3230789","article-title":"Choice of cost reduction mode in a contract manufacturing supply chain with substitutable products","volume":"71","year":"2023","journal-title":"IEEE Transactions on Engineering Management"},{"issue":"3","key":"key2025042803095991200_ref057","doi-asserted-by":"publisher","first-page":"1018","DOI":"10.1016\/j.ejor.2022.01.027","article-title":"Information disclosure in a supply chain with copycat threat","volume":"302","year":"2022","journal-title":"European Journal of Operational Research"},{"issue":"6","key":"key2025042803095991200_ref058","doi-asserted-by":"publisher","first-page":"2899","DOI":"10.1111\/itor.12769","article-title":"Manufacturer warranty service outsourcing strategies in a dual-channel supply chain","volume":"27","year":"2020","journal-title":"International Transactions in Operational Research"},{"issue":"1","key":"key2025042803095991200_ref059","doi-asserted-by":"publisher","first-page":"211","DOI":"10.1016\/j.ejor.2014.11.004","article-title":"Pricing and alliance selection for a dominant retailer with an upstream entry","volume":"243","year":"2015","journal-title":"European Journal of Operational Research"},{"issue":"2","key":"key2025042803095991200_ref060","doi-asserted-by":"publisher","first-page":"848","DOI":"10.1002\/mde.3716","article-title":"Design of live broadcast service outsourcing contract considering risk aversion and financial constraints","volume":"44","year":"2023","journal-title":"Managerial and Decision Economics"},{"issue":"2","key":"key2025042803095991200_ref061","doi-asserted-by":"publisher","first-page":"125","DOI":"10.1177\/002224299205600211","article-title":"Book review: managing brand equity: capitalizing on the value of a brand name","volume":"56","year":"1992","journal-title":"Journal of Marketing"}],"container-title":["Kybernetes"],"original-title":[],"language":"en","link":[{"URL":"https:\/\/www.emerald.com\/insight\/content\/doi\/10.1108\/K-10-2023-2225\/full\/xml","content-type":"application\/xml","content-version":"vor","intended-application":"text-mining"},{"URL":"https:\/\/www.emerald.com\/insight\/content\/doi\/10.1108\/K-10-2023-2225\/full\/html","content-type":"unspecified","content-version":"vor","intended-application":"similarity-checking"}],"deposited":{"date-parts":[[2025,7,24]],"date-time":"2025-07-24T21:50:51Z","timestamp":1753393851000},"score":1,"resource":{"primary":{"URL":"http:\/\/www.emerald.com\/k\/article\/54\/7\/3808-3832\/1247418"}},"subtitle":[],"short-title":[],"issued":{"date-parts":[[2024,3,11]]},"references-count":61,"journal-issue":{"issue":"7","published-online":{"date-parts":[[2024,3,11]]},"published-print":{"date-parts":[[2025,4,29]]}},"alternative-id":["10.1108\/K-10-2023-2225"],"URL":"https:\/\/doi.org\/10.1108\/k-10-2023-2225","relation":{},"ISSN":["0368-492X"],"issn-type":[{"type":"print","value":"0368-492X"}],"subject":[],"published":{"date-parts":[[2024,3,11]]}}}