Competitive Analysis Of Extension Model Of Online Procurement Management

Procurement management is an important part of the business activities, directly affecting the operation of the enterprise funds and the level of customer service. The main function of procurement management is to establish a buffer zone between the supply and the demand, easing the contradiction between customer demand and production capacity. However, as the external environment is changing continuously, procurement costs take up a growing proportion of the corporate cost, and inventory management has more and more uncertainties:demand uncertainty, purchase price uncertainty, as well as the time of the interference, etc. These uncertainties make procurement management decisions face new challenges and new management issues. This thesis is under the above background to study uncertain stock price model.This paper mainly considers the uncertain price of the supply chain procurement management decisions, using competitive analysis theory to solve the uncertainty decision-making in the procurement problem. Considering the actual situation of future price changes, on the basis of previous studies,consider new expectation and get the best procurement strategy. This chapter have two cases:the price is continuous and discrete, giving the best online procurement strategy, solve its competitive rate, and finally use the actual values to check and demonstrate.We find the best competitive rate have a big improvement and find the main parameters affecting the competitive rate.In the real economic activity inventory cost and commission cost accounts for a large part of the enterprise management costs, the procurement process affects the inventory cost and commission cost. So, on the basis of previous studies, in this paper, online procurement management model is extended by introducing inventory cost and commission cost. No matter what is the procurement price, the online player is promised to get a procurement cost about certain proportion c to the offline optimal procurement cost by committing the procurement policy proposed in the paper, and c is the same with the original model. But after the introduction of inventory cost and commission cost the amount of purchasing will change every day. The original model get purchase quantity and the best competitive ratio every day without considering the inventory cost and commission cost. If considering inventory cost and commission cost that cannot be ignored in real economic activity, we will not get the best competive ratio if still in accordance with the original model to determine the daily procurement. So this paper considering the transaction cost and holding cost, get a different purchase quantity every day to the original model, and find out the best competitive ratio c.