NEV’s Supply Chain Coordination with Financial Constraint and Demand Uncertainty

Xin Li and Yongjian Li
Additional contact information
Xin Li: Department of Decision Sciences, Macau University of Science and Technology, Macau, China
Yongjian Li: Department of Decision Sciences, Macau University of Science and Technology, Macau, China

Sustainability, 2022, vol. 14, issue 3, 1-16

Abstract: Sustainable development coordination can facilitate the new energy vehicles (NEV) supply chain. By a coordinating supply contract, the operating costs can be reduced and supply chain competitiveness can be improved. We designed a revenue-sharing and buy-back (RSBB) contract to coordinate the supply chain with the cash-strapped retailer or manufacturer and analyzed the impact of the acceptable bankruptcy risk and own fund on the optimal order quantity, supply chain profits, and coordinating factors, including revenue share and buy-back price. Interestingly, the revenue share decreases in the acceptable bankruptcy risk, but the buy-back price increases in the acceptable bankruptcy risk when the retailer has financial constraints. However, when the manufacturer has financial constraints, the revenue share increases in the acceptable bankruptcy risk, but the buy-back price decreases in the acceptable bankruptcy risk.

Keywords: supply chain finance; new energy vehicles (NEV); bankruptcy risk; revenue-sharing contract; buy-back contract (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://www.mdpi.com/2071-1050/14/3/1114/pdf (application/pdf)
https://www.mdpi.com/2071-1050/14/3/1114/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:14:y:2022:i:3:p:1114-:d:728147

Access Statistics for this article

Sustainability is currently edited by Ms. Alexandra Wu

More articles in Sustainability from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().