Research Of Supply Chain Contract Selection With Time Value Of Capital

As an important mechanism to coordinate the supply chain, supply chain contract is always an important direction in the research of supply chain. The theoretical research on supply chain contract is of great significance to the specific operation of supply chain contract in practice. Due to the flowing feature of capital in supply chain, the thesis discusses its impact on supply chain contract from the perspective of time value of capital. Taking the centralized decision-making, wholesale price contract, buyback contract and revenue sharing contract as the research objects, the thesis builds a supply chain contract model considering time value of capital, makes a contrastive analysis on the equivalence condition between buyback contract and revenue sharing contract under two conditions on whether considering the time value of capital, and further analyzes the impact of time value of capital on supply chain contract selection for supplier, retailer, and the whole supply chain.The main content of this thesis includes four aspects as follows:First, the time point of capital payment is analyzed under different supply chain contracts. The thesis summarizes three typical supply chain contract existing the differences on time point of capital payment, namely wholesale price contract, buyback contract and revenue sharing contract.Second, in allusion to three typical supply chain contracts existing differences on time point of capital payment, the thesis builds a supply chain contract model considering time value of capital respectively, and analyzes the retailer’s optimal procurement decision and the impact of supply chain contract parameters on the profits of the two parties of supply chain and the whole supply chain.Third, the thesis compares the profits differences between buyback and revenue sharing contract from the perspective of the profits of supply chain members and the whole supply chain. The later research shows that the equivalence condition is affected by the time value of capital.Fourth, considering the common phenomenon of delay in capital payment of supply chain, a supply chain contract model considering delay payment risk of capital is built under the background of buyback contract and revenue sharing contract. Through the research on the impact of delay payment costs of capital on the profits of two parties of supply chain, the thesis shows that the proper setting of delay payment costs of capital can ease the negative effects of delay payment of capital. And the research also shows that the supplier prefers to select buyback contract, the retailer prefers to select revenue sharing contract when the delay payment costs of capital is lower. While the possibility of delay payment of capital is decreased when the delay payment costs is higher.Meanwhile, the main conclusions are illustrated by numerical examples in each section. The research shows that the time value of capital can affect the profits of the members of supply chain, and also lead to the selection preference of supply chain members to different supply chain contracts.