Supplier pricing when the buyer’s annual requirements are fixed

Supplier pricing when the buyer’s annual requirements are fixed

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Article ID: iaor19941301
Country: United Kingdom
Volume: 21
Issue: 2
Start Page Number: 155
End Page Number: 167
Publication Date: Feb 1994
Journal: Computers and Operations Research
Authors:
Keywords: pricing
Abstract:

A new model of supplier-buyer co-ordination is presented for the case when the buyer’s requirements are fixed. The model allows for multiple lot strategy by the supplier. The problem of supplier pricing is viewed as a two-person fixed threat bargaining game and Pareto efficient solutions are characterized. A pricing scheme is designed for a supplier who is supplying to a population of buyers.

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