Research On Contract And Coordination In Dual-Channel Supply Chain

With the rapid development of Internet technology and e-commerce,more and more manufacturing enterprises start to sell their products through a direct channel online as well as through the traditional retail channel.The supply chain with such a structure is called "Dual-channel supply chain." The supplier and retailer in a dual-channel supply chain collaborate and compete with each other.This kind of complex relationship between them highlights the conflicts and inconsistencies in the supply chain.At this point,coordination mechanisms such as supply chain contracts are necessary to ease channel conflicts.The research on supply chain management usually regards the members of the supply chain as rational men that only aim at their own profits.In fact,people tend to be influenced by psychological factors when they make decisions.A dual-channel supply chain consisted of a supplier and a retailer was constructed in this paper.Under the Nash equilibrium game,we obtained the optimal solutions of centralized model and decentralized model respectively.In decentralized model,the optimal direct selling price can be the same as the optimal direct selling price of the centralized model,while the retail price is higher than the centralized model.This causes the total profit of the decentralized supply chain to be lower than that of centralized supply chain,and the gap gradually decreases with the increase of 8.We analyzed the impact of consumer’s channel preferences on the decision of supply chain and found that the supply chain profit is a concave function of consumer’s acceptance on direct channel.There is a minimum point.On this basis,we combined the model of dual-channel supply chain with the fairness principle.We analyzed the influence of retailer’s fairness and supplier’s fainess on the profit of supply chain respectively.The fairness of retailer would lead to the increase of retail price and the decrease of wholesale price.This causes the decrease of supply chain profits.Finally,we coordinated the supply chain through the improvement of the traditional revenue sharing contract.The fairness of supplier would lead to the decrease of supply chain profits only when the coefficient of fairness of reference is large enough.And we coordinated the supply chain through the improvement of the traditional wholesale price contract.This paper has practical significance and application value.