Research On Supply Chain Profit Allocation Model For Short-Life-Cycle Products

Short-life-cycle products own characters of long production lead time,short sales cycle,and uncertain market demands.As a typical kind of short-life-cycle product,dairy products is quite nutrient-rich and popular,holding a significant position in national economy of china and also owning broad marketplace prospect.Especially,dairy products tend to deteriorate over time and hence require for dealers to cut prices to sell products,which has a significant impact on profit acquisition of dairy enterprises.All of these contribute realistic significance to studying on enterprise profit optimization and supply chain profit optimization and distribution.This paper contains three major parts.The first part mainly concentrates on the literature on inventory system and supply chain coordination of short-life-cycle products,current research status is reviewed and research practical significance of study on joint decision problem within a dairy enterprise and dairy supply chain contract optimization is put forward.In the second part,first establish a total profit per unit time model considering demands influenced by price and marketing investment,determine dynamic marketing investment policy for given selling price,replenishment cycle and preservation technology cost,and then design a three-dimensional search algorithm to find the optimal solutions.A numerical example is given to illustrate the effectiveness of models and further analyze the sensitivity of relevant parameters.Second raises a supply chain coordination model with two-period for sale and dynamic pricing,with dairy producers acting as the lead and retailers being the follower.Supply chain contract is introduced to achieve coordination and profit allocation and by comparing results of decentralized model and centralized model and conducting numerical analysis.The third part is about the conclusions of the paper: On one hand,result shows that the optimal preservation technology investment will increase while basic deterioration rate,marketing investment coefficient and replenishment cost grow.Also increased money resource constraint help improve total profit per unit time within a replenishment cycle.On another hand,it is concluded that only joint contract including markdown money and quantity-discount proves to truly achieve coordination and necessary conditions of contract parameters to satisfy the coordination are given.Also the effects of key parameters change on the optimal order quantities,profits of dairy producer,dairy retailer and supply chain are discussed,in which way further verify the effectiveness of using combined contracts.