Coordination of Supply Chains with Stochastic Demand through Option Contract
This paper develops a model to study channel coordination and risk sharing in a supply chain with stochastic demand.We investigate a coordinating contract based on an option with two parameters.The option price and the exercise price are determined by the supplier.Based on the decision models which are set up for different members,the suppliers optimal pricing and capacity policy are discussed,as well as the retailers ordering strategy.According to the analysis of option mechanism,we prove that such a contract brings benefit to each party.
channel coordination supply chain stochastic demand option contract
Shizhen Bai Lihua Jiang
School of Logistics Harbin University of CommerceHarbin,China School of Logistics Harbin University of Commerce Harbin,China
国际会议
北京
英文
2008-10-12（万方平台首次上网日期，不代表论文的发表时间）