Supply chain coordination by revenue-sharing contract with fuzzy demand

Junyan Wang · Ruiqing Zhao · Wansheng Tang

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Supply Chain and Inventory Management Sustainable Supply Chain Management Collaboration in agile enterprises

Abstract

In this paper, we study revenue-sharing contract in a supply chain with fuzzy demand. Under such a contract, a retailer pays a supplier a wholesale price for each unit purchased, plus a percentage of the revenue generated by the retailer that is determined by retailer's purchase quantity and price. We address the contract under two kinds of fuzzy demands which depend on the retailer's selling price based on game theory. The effectiveness of the revenue-sharing contract under fuzzy demands is proved.

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References

1996Fuzzy sets 2003Supply Chain Coordination with Contracts 2005Supply Chain Coordination with Revenue-Sharing Contracts: Strengths and Limitations 1999Pricing and the Newsvendor Problem: A Review with Extensions 1999The Quantity Flexibility Contract and Supplier-Customer Incentives 2003Supply chain coordination by revenue sharing contracts 2005Decentralized Supply Chains with Competing Retailers Under Demand Uncertainty 1998Note. The Role of Returns Policies in Pricing and Inventory Decisions for Catalogue Goods

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