Research on the Manufacturer’s Strategies under Different Supply Interruption Risk Based on Supply Chain Resilience

Guojun Ji and Wen Hong ()
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Guojun Ji: School of Management, Xiamen University, Xiamen 361005, China
Wen Hong: School of Management, Xiamen University, Xiamen 361005, China

Sustainability, 2024, vol. 16, issue 2, 1-25

Abstract: In order to study the selection of coping strategies for the manufacturer facing different supply interruption risks, this paper constructs a supply chain consisting of one manufacturer and one supplier and uses no-taking coping strategies as the benchmark model to analyze the resilience of supply chain formed by the manufacturer’s adoption of penalty mechanism, emergency supplier mechanism, and strategic investment mechanism. The research shows that in the face of various levels of supply interruption risk, the manufacturer adopting a strategic investment mechanism will achieve high resilience, enabling the manufacturer and supplier to achieve mutual benefit and win-win results. In some cases of high interruption risk, the manufacturer adopting an emergency supplier mechanism can achieve higher chain resilience compared with not taking emergency measures, but its ability to improve supply chain resilience is weaker than that of a strategic investment mechanism. The penalty mechanism is applicable to situations where some interruption risk is characterized by low risk, and in such cases, both the penalty mechanism and the strategic investment mechanism can enhance the resilience of the supply chain.

Keywords: supply interruption; supply chain resilience; strategic investment; emergency strategy; supply resilience (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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