Study Of Margin Issues In Procurement Execution Operations Under Multiple Scenarios

The margin for procurement execution operations is collected to guarantee the transaction on the one hand,and to reduce the losses caused by the customer’s default on the other.If the margin ratio is high,the customer will be under certain cash pressure,and if it is too low,the cost of default will be reduced,which will increase the loss of the lead company,so the study of the margin ratio is crucial for both the lead company and the customer.In this paper,we study the margin ratio in different ways in the scenarios of cold chain commodities and bulk commodities from the perspective of GLP’s procurement execution business,in order to provide a decision reference for the margin setting of procurement execution business.Firstly,we analyze the impact of market demand disturbance on margin ratio setting in the scenario of cold chain commodities,consider the change of customer default price under the influence of demand disturbance,and solve for the margin ratio by establishing the mathematical model of single cooperation and multiple cooperation in the case of profit maximization of the dominant enterprise.In the empirical analysis,the probability density function is obtained by substituting the transaction data of frozen commodities Sea Oyster and fitting it.Substituted into the model,solved to get the relationship between demand disturbance and margin;secondly,analyzed the scenario of commodities,considering the risk of price volatility,using financial risk forecasting methods to predict the risk of price volatility,established Va R-GARCH(1,1)-GED and ES-GARCH(1,1)-GED models to measure the risk,and obtained the impact of price volatility,different margin ratios for the financing period,and in the empirical analysis,the margin ratio setting is developed by trading prices of spot aluminum.The main findings of this paper are as follows:(1)In the scenario of cold chain commodities,the demand disturbance affects the margin ratio by affecting the default price of customers,and the larger the demand disturbance,the higher the default price of retailers and the higher the margin ratio.When the demand disturbance of frozen commodities varies between 0 and 1,the margin ratio is 18.4%-19% under single cooperation,and 15%-18% under multiple cooperation;the revenue of the dominant company does not increase with the margin ratio,but stops increasing when the margin ratio reaches a certain value.(2)In the scenario of commodities,considering the influence of price fluctuations,it is concluded that the longer the financing period in the procurement execution business process,the higher the margin ratio is,and the margin ratio is 16.8% when the financing period is two months,and 23.97% when the financing period becomes three months;the study finds that the margin ratio obtained under the ES-GARCH(1,1)-GED model can better cope with the risk.