Article ID: | iaor20081754 |
Country: | China |
Volume: | 20 |
Issue: | 1 |
Start Page Number: | 103 |
End Page Number: | 107 |
Publication Date: | Jun 2006 |
Journal: | Communication on Applied Mathematics and Computation |
Authors: | Wang Chuanxu |
Keywords: | discounts |
This paper develops price and inventory replenishment optimization models under three different scenarios (Manufacturer and retailer make decisions independently without quantity discount; Manufacturer and retailer make decisions jointly without quantity discount, Manufacturer and retailer make decisions jointly with quantity discount). A numerical example is given and shown that the total supply chain profit is highest if supply chain cooperation and quantity discount are considered simultaneously, and the change of profit allocation coefficient has no impact on the optimization results.