Purpose/SignificanceThe introduction of retailer's store brand has enhanced their competitive strength and changed the competition channel pattern. This paper discusses the impact of manufacturers' advertising on channel members before and after introducing store brand.

Method/ProcessThis paper builds channel demand function and Stackelberg game model based on consumer characteristics and product brands.

Result/ConclusionThe results show that: 1) While retailers introduce store brands to improve their profit, it may affect manufacturer's profit. 2) If retailers introduce store brands, the manufacturer's advertising investment will have a certain inhibitory effect on the quality of the retailer's store brand. 3) When the quality of retailers' own brand products is limited to a certain range, the introduction of advertisements by manufacturers can achieve a win-win situation.