Abstract: For a two-tier supply chain with a manufacturer and a retailer, this paper analyzes the impact of manufacturer preference for consumer surplus on the strategy of retailer private brand invasion, considering whether the business objectives of manufacturers take consumer surplus into account. The decisions and profits of supply chain members are compared between the different manufacturer business objectives of profit maximization and a hybrid of public welfare and profit. The findings reveal that the retailer invasion strategies can be classified into three types: ineffective, threatening, and mixed, according to the competitiveness of the private brand. Compared to profit maximization, the hybrid objective of manufacturers expands the region of the ineffective invasion strategy of retailers to hinder the private brand invasion; even in the case of a successful invasion, it can reduce potential profit losses. Regardless of whether the invasion occurs, manufacturer preference for consumer surplus weakens the double marginalization effect in the supply chain, reducing its own profit while improving the retailer profit, overall supply chain performance, and total consumer surplus.