scholarly journals Coordination Strategy for a New Retail Supply Chain Based on Combination Contract

Complexity ◽  
2021 ◽  
Vol 2021 ◽  
pp. 1-13
Author(s):  
Shuiwang Zhang ◽  
Yu Mei ◽  
Qiang Bao ◽  
Lingzhi Shao
Keyword(s):  
Supply Chain ◽  
Service Level ◽  
Delivery Time ◽  
Optimal Price ◽  
Product Price ◽  
Logistics Distribution ◽  
Coordination Strategy ◽  
Product Pricing ◽  
Coordination Contract ◽  
Decision Mode

The supply chain in the new retail context demands higher requirements on the price, service, and logistics level. It is very important to seek the coordination among the optimal price, service level, and logistics level. In this paper, we propose the coordination of pricing, the service level, and delivery time of a new retail supply chain composed of one product supplier, one platform service provider, and one logistics provider. Firstly, the profit function mode of product pricing, platform service level, and logistics distribution level that influence the consumers’ demand is constructed in two modes, namely, the centralized and decentralized decision mode. Then, we calculate and compare the optimal product price, the optimal platform service level, the optimal delivery time, and the profit of each member of the supply chain from both decision modes. We discovered that cooperation improves the service level, logistics level, and the income of each member of the new retail supply chain. Therefore, we propose a novel mode called the coordination mode as a strategy for the supply chain based on the combination contract. We performed a numerical analysis to demonstrate the feasibility and effectiveness of the coordination contract.

scholarly journals Optimal Guaranteed Service Time and Service Level Decision with Time and Service Level Sensitive Demand

2014 ◽  
Vol 2014 ◽  
pp. 1-7 ◽  
Author(s):  
Sangjun Park ◽  
Ki-sung Hong
Keyword(s):  
Supply Chain ◽  
Service Time ◽  
Service Level ◽  
Retail Price ◽  
Optimal Price ◽  
Optimal Capacity ◽  
Make To Order ◽  
Optimal Service ◽  
Proposed Model ◽  
Guaranteed Service

We consider a two-stage supply chain with one supplier and one retailer. The retailer sells a product to customer and the supplier provides a product in a make-to-order mode. In this case, the supplier’s decisions on service time and service level and the retailer’s decision on retail price have effects on customer demand. We develop optimization models to determine the optimal retail price, the optimal guaranteed service time, the optimal service level, and the optimal capacity to maximize the expected profit of the whole supply chain. The results of numerical experiments show that it is more profitable to determine the optimal price, the optimal guaranteed service time, and the optimal service level simultaneously and the proposed model is more profitable in service level sensitive market.

scholarly journals Coordination strategy for a dual-channel electricity supply chain with sustainability

2021 ◽  
Vol 0 (0) ◽  
pp. 0
Author(s):  
Wei Chen ◽  
Fuying Jing ◽  
Li Zhong
Keyword(s):  
Supply Chain ◽  
Energy Production ◽  
Electricity Supply ◽  
Supply Chain System ◽  
Demand And Supply ◽  
Coordination Strategy ◽  
Dual Channel ◽  
Coordination Contract ◽  
Retail Enterprise ◽  
Electricity Supply Chain

<p style='text-indent:20px;'>This paper describes the construction of a dual-channel electricity supply chain, with an electricity generation enterprise as the leader and an electricity retail enterprise as the follower, examining sustainability and price decision-making, and formulates a coordination contract to improve electricity supply chain performance. The main results are as follows. Firstly, sensitivity to electricity sustainability contributes to increased electricity sustainability, electricity price, electricity demand, and supply chain enterprises' profits. Secondly, a centralized model is conducive to investment in more sustainable energy production. Finally, electricity supply chain system coordination can be realized by combining revenue-sharing and cost-sharing in a fixed compensation contract.</p>

scholarly journals E-Commerce Supply Chain Models under Altruistic Preference

Mathematics ◽  
2021 ◽  
Vol 9 (6) ◽  
pp. 632
Author(s):  
Yuyan Wang ◽  
Zhaoqing Yu ◽  
Liang Shen ◽  
Wenquan Dong
Keyword(s):  
Supply Chain ◽  
Service Level ◽  
Third Party ◽  
Professional Service ◽  
Sales Price ◽  
Decentralized System ◽  
Optimal Decisions ◽  
Coordination Contract ◽  
Decentralized Model ◽  
Centralized Model

This paper reviews the decisions, coordination contract, and altruistic preference of an e-commerce supply chain (eSC) composed of a manufacturer and a third-party e-commerce platform (platform). The research derives optimal decisions in a decentralized model with altruistic preference; it is indicated that altruistic preference can help increase the sales price and sales service level. Although the platform’s altruistic preference is not beneficial to its own profits, it can help increase the manufacturer’s profits. Moreover, when the degree of altruistic preference is kept within a limit, the profit of the decentralized system is higher in a model with altruistic preferences, which indicates that altruistic preference can contribute toward maintaining a friendly, harmonious, and cooperative a relationship between the platform and manufacturers. Contrary to a traditional offline supply chain, where the sales price is the lowest in the centralized model, the sales price is highest in a centralized eSC model. In the proposed coordination contract, the platform with a certain degree of altruistic preference offers zero-commission sales service and charges a certain amount for a fixed professional service fee. The proposed contract is more applicable to products whose market demands are less affected by sales prices and more affected by the sales service level.

scholarly journals A Multi-Echelon Network Design in a Dual-Channel Reverse Supply Chain Considering Consumer Preference

2021 ◽  
Vol 18 (9) ◽  
pp. 4760
Author(s):  
Peng Li ◽  
Di Wu
Keyword(s):  
Supply Chain ◽  
Network Design ◽  
Environmental Sustainability ◽  
Rapid Development ◽  
Consumer Preference ◽  
Service Level ◽  
Mixed Integer ◽  
Reverse Supply Chain ◽  
Related Factors ◽  
Dual Channel

The rapid development of e-commerce technologies has encouraged collection centers to adopt online recycling channels in addition to their existing traditional (offline) recycling channels, such the idea of coexisting traditional and online recycling channels evolved a new concept of a dual-channel reverse supply chain (DRSC). The adoption of DRSC will make the system lose stability and fall into the trap of complexity. Further the consumer-related factors, such as consumer preference, service level, have also severely affected the system efficiency of DRSC. Therefore, it is necessary to help DRSCs to design their networks for maintaining competitiveness and profitability. This paper focuses on the issues of quantitative modelling for the network design of a general multi-echelon, dual-objective DRSC system. By incorporating consumer preference for the online recycling channel into the system, we investigate a mixed integer linear programming (MILP) model to design the DRSC network with uncertainty and the model is solved using the ε-constraint method to derive optimal Pareto solutions. Numerical results show that there exist positive correlations between consumer preference and total collective quantity, online recycling price and the system profits. The proposed model and solution method could assist recyclers in pricing and service decisions to achieve a balance solution for economic and environmental sustainability.

scholarly journals Joint Innovation Investment and Pricing Decisions in Retail Supply Chains with Customer Value

2021 ◽  
Vol 13 (3) ◽  
pp. 1309
Author(s):  
Jiali Qu ◽  
Benyong Hu ◽  
Chao Meng
Keyword(s):  
Supply Chain ◽  
Cooperative Game ◽  
Customer Value ◽  
Business Models ◽  
Value Added ◽  
Revenue Sharing ◽  
Nash Bargaining ◽  
Product Price ◽  
Pricing Decisions ◽  
Game Equilibrium

In the retail industry, customer value has become the key to maintaining competitive advantages. In the era of new retail, customer value is not only affected by the product price, but it is also closely related to innovations, such as value-added services and unique business models. In this paper, we study the joint innovation investment and pricing decisions in a retailer–supplier supply chain based on revenue sharing contracts and customer value. We first find that, in the non-cooperative game, equilibrium only exists in the supplier Stackelberg game. However, revenue sharing contracts cannot coordinate the supply chain in the non-cooperative game. By considering supply chain members’ bargaining power, we find that there exists a unique equilibrium for the Nash bargaining product. In addition, revenue sharing contracts can coordinate the supply chain and achieve the optimal consumer surplus. When the supply chain is coordinated, supply chain profit is allocated to the supply chain members based on their bargaining powers.

scholarly journals A Model of Waste Price in a Symbiotic Supply Chain Based on Stackelberg Algorithm

2021 ◽  
Vol 13 (4) ◽  
pp. 1740
Author(s):  
Cheng Che ◽  
Xiaoguang Zhang ◽  
Yi Chen ◽  
Liangyan Zhao ◽  
Zhihong Zhang
Keyword(s):  
Sensitivity Analysis ◽  
Supply Chain ◽  
Comparative Analysis ◽  
Power Structure ◽  
Income Level ◽  
Power Structures ◽  
Optimal Price ◽  
Supply Chain System ◽  
Chain System ◽  
Revenue Model

By establishing a two-level symbiotic supply chain system consisting of one supplier and one manufacturer, we use Stackelberg method to analyze the optimal price and revenue model of supplier and manufacturer in the symbiotic supply chain under two power structures in which the supplier and manufacturer are dominant respectively, and analyze the influence of the degree of symbiosis and power structure on the model. Through comparative analysis, we find that: There is a relationship between the income level and the degree of symbiosis in the symbiotic supply chain. The change of power structure will affect the relative benefits of suppliers and manufacturers in the symbiotic supply chain. The manufacturer’s expected unit product revenue will affect the supply chain revenue when the manufacturer is dominant. Finally, the sensitivity analysis of relevant parameters is carried out through an example analysis, and the validity of the conclusion is verified. This paper has a guiding significance for the behavior of enterprises in the cogeneration supply chain.

scholarly journals Supply Chain Coordination Contracts under Double Sided Disruptions Simultaneously

2015 ◽  
Vol 2015 ◽  
pp. 1-9 ◽  
Author(s):  
Huan Zhang ◽  
Yang Liu ◽  
Jingsi Huang
Keyword(s):  
Supply Chain ◽  
Supply Chain Coordination ◽  
Optimal Price ◽  
Supply Chain System ◽  
Pricing Policy ◽  
Product Cost ◽  
Numerical Examples ◽  
Supply Chain Contracts ◽  
Different Types ◽  
Key Factor

Supply chain coordination models are developed in a two-echelon supply chain with double sided disruptions. In a supply chain system, the supplier may suffer from the product cost disruption and the retailer suffers from the demand disruption simultaneously. The purpose of this study is to design proper supply chain contracts, under which the supply chain with double sided disruption can be coordinated. Firstly, the centralized decision-making models are applied to find the optimal price and quantity under three cases as the baseline. The different cases are divided by the different relationship between the product cost disruption and the demand disruption. Secondly, two different types of contracts are introduced to coordinate the whole supply chain. One is all-unit wholesale quantity discount policy (AQDP) contract, and the other one is capacitated linear pricing policy (CLPP) contract. And it is found out that the gap between the demand disruption and the product cost disruption is the key factor to influence the supply chain coordination. Some numerical examples and sensitivity analysis are given to illustrate the models. The AQDP contracts are listed out under different cases to show how to use it under double sided disruptions.

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