Eevenue Sharing And Cost-sharing Contract Decision In The Supply Chain Based On The Retailer Promotion

With the product homogeneity and consumer demand diversification,the competition between the supply chains gradually replaced the competition between the individual enterprises.Due to the lack of communication between the supply chain members,the supply chain is becoming worse and worse,so the coordination of the supply chain has become vital important.The homogeneity of product led to more and more enterprises have considered the promotional activities before the product sale.And it will get a better image to stimulate consumer desire to buy something.Most of the research on supply chain contracts is based on the price only and established the coordination mechanism.However the conditions of non-price factors has few considered.In these circumstances the traditional contract cannot achieve perfect coordination.In recent years,the study of the impact of non-price factors has attracted the attention of scholars.Considering the non-price factors,the Decision-makers in the pursuit of maximization of benefits could achieve coordination of supply chain through the combination or improvement of the contract.This provides a new direction for researchThe first part of the paper research the one-to-one supply chain structure which the retailer is leaders.Considering the promotion and non-promotion two situations.This part assumes the impact of the promotion on the demand and the cost of the promotion are a fixed value.First,considering the retailer does not consider the promotion,and as long as the revenue sharing contract set in a certain range,the supply chain can be coordinated.And then consider the retailer promotion case,In this case,the combination contract can achieve the total profit of the supply chain is better than the revenue sharing contract when the combination of contract parameters set the scope.Finally,through a specific example to verify the previous conclusions.The second part of the paper research one-to-two slightly complex supply chain structures.Considering the problem of supply chain coordination when the retailer choses to weather provider the promotions or not.On the basis of the first part,the second part considers the promotion as the variable value,and the influence of the promotion on the demand is related to the promotion effort.In this case,the two retailers have price competition.The manufacturer and the dominant retailer set the combined contract and to toll the follower retailer a fixed fee.And calculate the range of parameters.Finally,through a specific example to verify the previous conclusions.This paper will consider the promotion of the situation and the combination or improvement of the contract together,and the supply chain structure from one to one to expand the situation of one to many,enrich and improve the traditional supply chain contract theory.