Bilateral coordination strategy of supply chain with bidirectional option contracts under inflation
type: Item
instance of: scholarly article
title: Bilateral coordination strategy of supply chain with bidirectional option contracts under inflation
zbMATH Open document ID: 1394.90133
DOI: 10.1155/2015/369132
author: Nana Wan
author: Xu Chen
published in: Mathematical Problems in Engineering
publication date: 2018-08-27T00:00:00Z
review text: Summary: As far as the price increase and the demand contraction caused by inflation are concerned, we establish a Stackelberg game model that incorporates bidirectional option contracts and the effect of inflation and derive the optimal ordering and production policies on a one-period two-stage supply chain composed of one supplier and one retailer. Through using the model of wholesale price contracts as the benchmark, we find that the introduction of bidirectional option contracts can benefit both the supplier and the retailer under inflation scenarios. Based on the conclusions drawn above, we design the bilateral coordination mechanism from the different perspective of two members involved and discuss how bidirectional option contracts should be set to achieve channel coordination under inflation scenarios. Through the sensitivity analysis, we illustrate the effect of inflation on the optimal decision variables and the optimal expected profits of the two parties with bidirectional option contracts.
Mathematics Subject Classification ID: 90B06
Mathematics Subject Classification ID: 91G80
zbMATH DE Number: 6926169
Wikidata QID: Q59118188
MaRDI profile type: Publication
full work available at URL: https://doi.org/10.1155/2015/369132
OpenAlex ID: W2025625397
cites work: Coordination of supply chains with bidirectional option contracts
cites work: Two storage inventory problem with dynamic demand and interval valued lead-time over finite time horizon under inflation and time-value of money
cites work: Retailer's ordering policy for deteriorating items with inflation-induced demand under trade credit policy
cites work: An inventory model for imperfect items under inflationary conditions with considering inspection errors
cites work: Inventory policy for an item with inflation induced purchasing price, selling price and demand with immediate part payment
cites work: Inflation and the optimal inventory replenishment schedule within a finite planning horizon
cites work: Coordination of supply chains by option contracts: a cooperative game theory approach
cites work: Channel coordination through a revenue sharing contract in a two-period newsboy problem
cites work: Quick Response in Manufacturer-Retailer Channels
cites work: Approximations for the time spent in a dynamic job shop with applications to due-date assignment
cites work: Q3410593
cites work: Loss-averse retailer's optimal ordering policies for perishable products with customer returns
description: scientific article; zbMATH DE number 6926169