Farming-enterprise Supply Chain Coordination Based On The Option Contract

With the rise and development of rural cooperative society, a variety ofagricultural trade came into being, which farming-enterprise supply chain is the mostrepresentative one. Coordinated agriculture-enterprise supply chain will bring ruralcooperative society and enterprise many benefits; however, the level ofindustrialization of agriculture is still relatively low. rural cooperative community inthe supply chain is often in a weak position and a variety of mechanisms areinadequate, so rational allocation of interests is difficult to achieve and coordinatedout of the question, therefore, to establish a rational allocation of the option contractmechanism enables the agricultural cooperatives and business interests in order toachieve agriculture-enterprise supply chain coordination is of great significance.This paper first describes the background and significance of the study, researchstatus of home and abroad and existing problems. This study based on agriculture-enterprise supply chain concept, model, features and the concept of enterprise supplychain coordination, and describes supply chain contract coordination theory. Second,uncertainty demand and certainty demand of two kinds of conditions, considering theproduction cost and the surplus product processing costs of agricultural cooperatives,out of loss and surplus product processing costs of retail enterprise and other factors,the supply chain model is established for the one agricultural cooperatives and oneretail business, and compared with no option contract coordination of agricultural-enterprise supply chain model and option contract coordination of agricultural-enterprise supply chain is divided centralized decision and decentralized decisionmaking is studied, once again, in order to a rural cooperative society with two retailenterprise supply chain as an example, the above derivation verified. Finally,according to the factors that affect farmers-enterprise supply chain coordinationproposes the solution countermeasure.