Research On Coordination Of Supply Chain With Price-dependent Demand Under Disruption

As an important aspect of supply chain management, the investigation of supply chain coordination is valuable to lower the total cost of the whole supply chain. In fact, the supply chain may be impacted by various uncertain events such as disruptions, which cannot coordinate with supply chain perfectly. Therefore, research on supply chain coordination under disruption will be practical and valuable.At present, some scholars have already studied on supply chain coordination model under disruption. But, there are some limitations in their researches. On the basis of former research, the supply chain coordination by contracts under disruption for single node in supply chain between one retailer and one supplier was studied systematically and deeply in this paper on condition that random demand. In this paper, we use contract theory, differential theory, game theory Etc, and the methods of theory analysis and normative analysis.Firstly, supply chain coordination by contracts was researched in detail in this paper, and the research status of supply chain by the wholesale price contract and buy-back contract was summarized amply in this paper. The necessity of the supply chain coordination under disruptions was analyzed, in the case of the market demand disturbed seriously by the increasing number of unpredictable events currently.Secondly, the standard 'Newsvendor Problem' model was expanded to the model that the retailers have their own marketing strategy (assuming that the retailers' strategy is multiple price discounts). On the assumption that the relationship between the market demand and the retail price is in line with addition principle, the impaction of the retailer's multiple price discounts on supply chain coordination by contracts was analyzed, the supply chain contract integrated with sale rebates and buy back which could coordinate supply chain model was proposed, and the strategy of how to adjust the contract parameters which could coordinate supply chain was given.Finally, disruption was considered in the above-mentioned model. The disruption which occurred before or after ordering goods was discussed respectively. The paper proved that existing contract parameters cannot coordinate the new supply chain model any longer. The contract parameter which could coordinate supply chain under disruption along with its definite method was given respectively while disruption occurred before or after ordering goods.