The Revenue Share Allocation Decision for the Retailer under Consignment Contract with Revenue Sharing and Asymmetry of Manufacturing Cost
In a two-echelon supply chain under consignment contract with revenue sharing, firstly, the manufacturer reports his manufacturing cost to the retailer; secondly, for each item sold, the retailer deducts a percentage from the selling price and remits the balance to the supplier according to the manufacturers manufacturing cost reported; thirdly, the supplier decides on the retail price and delivery quantity for his product, and retains ownership of the goods. To maximize her own profit, the manufacturer will misreport his manufacturing cost for asymmetric information. In this paper, we show that there is a unique solution in equilibrium. Those elegant analytical results allowes us to know the revenue share allocation decision is determined by two system paratneters-the retailers cost share and the demand price-elasticity index. In our research, we know how the retailers revenue share changes with system parameters.
misreporting consignment contract revenue sharing supply chain management asymmetric information
Dan Li Jiafu Tang Dan Li
Key Laboratory of Integrated Automation of Process Industry,Department of Systems Engineering Northe School of Business Administration Shenyang University Shenyang,110041,China
国际会议
黄山
英文
117-120
2010-05-28（万方平台首次上网日期，不代表论文的发表时间）