Contract Coordination Of Single And Dual-channel Supply Chain Under Stochastic Demand

Along with business management and operation under supply chain mode becomemore and more popular, research on supply chain coordination has attracted wideattention of the academic and business recently. Designing the new form of supplychain contracts, and studying the coordination efect of them on the diferent typesof supply chain system have become the mainstream subject in the feld.Based on the review of related literatures on supply chain coordination both inhome and overseas, applying the theory and approach of probability theory, supplychain management, operations research, game theory and economics, etc. the thesiswill develop the coordination model of single channel supply chain with both stochas-tic demands and supply disruption under the two circumstances of both wholesaleprice contract and buy-back contract, respectively, and demonstrate existence of boththe maximum proft of member enterprises and the optimum order quality of the sys-tem. The research results will indicate that the buy-back contract can efectivelycoordinate single channel supply chain. Then, the thesis will build the coordina-tion model of dual channel supply chain with both stochastic demands and saleservices under the four circumstances of wholesale price contract, buy-back contract,revenue-sharing contract and APDC contract, respectively, and obtain the optimalorder quality of retailer under every contract. By comparing the conclusion of thecase of centralized decision-making and the case of every contract, this thesis willilluminate that the APDC can maximize the integrated proft of the system while itcan fairly divide the risk of inventory between manufacturer and retailer.