Combined Contract Of Global Supply Chain With Quantity Discounts And Return Under Time-varying Condition

With the establishment of the world market and the promotion of the economic globalization, the market competition is becoming increasingly fierce,transnational business trends are becoming increasingly significant, the consumer’s requirements on product quality, price, response time, service continuously improve.Through the globalization horizons and themodeminformation technology, the global supply chain achieves integration and rapid response. Compared with the traditional supply chain, in addition to considering the procurement, product, storage, and transportation costs,the global supply chainmust be taken into account exchange rates, tariffs, and many other external financial factors.The response time as a key element in the global supply chain, is a huge uncertainty. Starting from the characteristics and run mode of the global supply chain, the paper optimize the supply chain by establishing of the contract.Considering the change in the product sales price and the exchange rate with the response time,I researched the global supply chain coordination. Main content of the paper are as follows:1. A review of research status about the global supply chain, quantity discount contract and returncontract.2. The paper research the coordination of the global supply chain on the time-varying condition and certain demand, establish quantity discount contract by introducing time-varying concepts and external financial factors such as exchange rates, tariffs, optimize the retailer’s ordering decisions and increase retailers and suppliers the expected profits.3. The paper research the coordination of the global supply chain on the time-varying condition and uncertain demand in a perfectly competitive market environment, reduce theriskofaretailer’sorder, increase the order quantityand flexibility allocate oftheprofitsbetweenretailers and suppliers by establishing the combined contract. In addition, analysis of the impact of the response time, exchange rates, tariffs, transportation cost sharing ratio for the retailers, suppliers and the entire supply chain profit.4. The paper research the coordination of the global supply chain on the time-varying condition and price dependenton demand, In the condition of price dependent on demand and the exchange rate time-varying, givestheoptimal price, theoptimal order quantity, quantitydiscount factorandreturnsfactor by establishing the combined contract.In addition, analysis of the impact of the response time, exchange rates, tariffs, transportation cost sharing ratio for the retailers, suppliers and the entire supply chain profit.This article research coordination of the global supply chain on the time-varying condition provides decision support for retailers ordering, suppliers arranging productand distribution.