Study On The Equilibrium Model And Coordination Of Supply Chain With Stackelberg Game Relationship

The supply chain with Stackelberg game belongs to the classical decentralized supply chain. There's competitive game relationship among the members. The supply chain system obtains an equilibrium state, which generally is not optimal for the whole system. So it's meaningful to study the equilibrium of supply chain and the model of coordination so that the members'revenue can be improved as much as possible. The paper systematically and comprehensively generalizes current status quo study of supply chain modeling throughout the world. We then analyze the basic characteristic of stackelberg game, the relationship between stackelberg game, Nash game and bilevel programming, and meanwhile present the basic characteristics of leader-follower decision in supply chain. Under the situation with deterministic demand, and allowing for the competition among retailers, the supply chain pricing equilibrium model is constructed by means of bilevel programming, and the chaos-search algorithm is given for solving this kind of problem. The model is confirmed by a specific numerical example. As to the situation with stochastic demand, the pricing and ordering decision model is constructed by means of stochastic bilevel programming. At last, the supply chain coordination mechanism—supply chain contract is investigated, and three supply chain contract models are presented. It's confirmed by a numerical example that price discount contract and revenue sharing contract can coordinate the supply chain. The study shows that the stackelberg game among the supply chain members can be simulated by means of bilevel programming. Supply chain contract can coordinate this kind of supply chain and make better of every supply chain member's revenue.