Delay In Payment With Credit Level Of Sellers

Delay in payment as an important promotional tool has been widely existed in the commodity economy activities. The money from selling the goods during the credit period can be paid to suppliers, which also can be used in other investments in order to ease the financial pressure and gain higher revenue. Suppliers expand market share and profits through the establishment and implementation of the strategy of delay in payment. A good strategy of delay in payment can be effective in promoting the coordination and cooperation of the parties of supply chain.The paper's contents and conclusions include:(1) Rating the seller's credit. First of all, with the objective and subjective information integration, dynamic comprehensive evaluation methods, the credit evaluation model is built, and then the seller's credit is rated basing on the model of credit evaluation.(2) The manufacturer's strategies of delay in payment and quantity discount based on the order quantity are made, and then the seller's order model is built, which can be used to solve the seller alliance's optimum order volume, sale price, the period of delay in payment, the discount rate and discount period. By comparing the situation of sellers ordering together in alliance and the situation of sellers ordering separately, the value of the ordering alliance is verified.(3) Based on part (2), the supplier's strategy of delay in payment considering the seller's credit level and order quantity is made, and then the seller's order model is built.