Coordination Research Of Markdown Money Contract Under Different Supply Chain Financing Modes

In recent years,our economy develops rapidly and people's living standard increases drastically so that their demand for electrical types and amount is bigger and bigger.The foreign and domestic enterprises such as Samsung?LG?Haier?Hisense,have launched products and expanded market for us.However,it is difficult for retailers to raise the required capital from the financing market because retails are small and lack of collateral.So financing market is concerned about the risk.Therefore,the financing difficult is one of the most prominent problems for these retailers.Supply chain finance is made to solve such problems.It evolves with development of the new type of supply chain management mode.Its service aims is based on supply chain and reduce the capital cost as much as possible.It has been recognized to solve the problem of financing difficulties for small enterprises.Whether the supply chain of capital constrains chooses financing and it will choose what kind of financing,how to coordinate the supply chain are the three problems that are content of study in this article.The essence of supply chain contract is a kind of incentive mechanism.It makes the supply chain achieve coordination state through changing the incentive structure.This paper is based on the supply chain that is made up of household electrical supplier,retailer and bank.Because the retailer is short of fund under demand effected by the efforts,there are three kinds of financing ways——direct loan?confirming storage finance and commercial credit.We build the model of supply chain,then use markdown money contract to coordinate.We conclude that in the mode of direct loan and confirming storage finance,the contract can't coordinate the supply chain.But in the mode of commercial credit,the contract can coordinate and the expected revenue of supply is too little.Then we introduce cost sharing contract,that is to use joint contract of markdown money contract and cost sharing contract to build model,the joint contract can coordinate the supply chain in the three kinds of financing mode.Three financing modes have their own advantages and disadvantages.From the perspective of the retailer,the best choice is confirming storage finance;From supplier's point of view,commercial credit financing model is best;From the point of view of bank,choosing direct loans financing mode is best.Due to finance,the performance of supply chain improves,the retailer will choose financing.Because the supplier is the leader in the supply chain,it will be more to consider its own interests,retailer will eventually choose the commercial credit financing mode.