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Abstract Competition policies can be used to influence the evolution of distribution channel and improve its efficiency. This paper studies the intrinsic mechanism of double-dimension co-competition and the path of impact of external factors, by analyzing the evolution of home-appliances distribution channel in Japan as a case, using a framework based on dynamic game and contract theory. It is found that 1) the vertical relation in a distribution channel is heavily dependent on transaction contract, but manufacturers and sellers cooperation and contract renewal may lead to conflicts; 2) the horizontal market structure can affect the costs and gains of the decisions made by channel members who are in a dynamic game, and then exert an influence on the vertical relation directly; 3) The external factors, such as technology, consumption and policies, can change the channel players’ choices directly or indirectly, thus leading to evolution of the distribution channel. Based on the above mechanism,
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Received: 05 June 2012
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Corresponding Authors:
ZHANG Hao
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2012, Vol. 1 
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