Collaborative Pricing and Service Level for a Supply Chain

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Abstract:

This study aims at dealing with the collaborative pricing and service level joint decision problem for a supply chain with one supplier and one buyer in a multi-period finite horizon. The study derives analytic solutions under wholesale-price-only and consignment agreements for the decentralized supply chain with shortages allowed and completely backlogged. The analysis shows that the consignment agreement can significantly achieve higher channel-wide profit and service level than the wholesale-price-only agreement.

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920-923

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December 2012

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© 2013 Trans Tech Publications Ltd. All Rights Reserved

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