Supply Chain Coordination under Stock- and Price-Dependent Selling Rates under Declining Market

Subrata Saha, Sambhu Das and Manjusri Basu

Advances in Operations Research, 2012, vol. 2012, 1-14

Abstract:

We explore coordination issues of a two-echelon supply chain, consisting of a distributor and a retailer. The effect of revenue-sharing contract mechanism is examined under stock-time-price-sensitive demand rate. First, we investigate relationships between distributor and retailer under noncooperative distributor-Stackelberg games. Then we establish analytically that revenue sharing contact is able to coordinate the system and leads to the win-win outcomes. Finally, numerical examples are presented to compare results between the different models.

Date: 2012
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Persistent link: https://EconPapers.repec.org/RePEc:hin:jnlaor:375128

DOI: 10.1155/2012/375128

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