A note on equilibria for two‐tier supply chains with a single manufacturer and multiple retailers

A note on equilibria for two‐tier supply chains with a single manufacturer and multiple retailers

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Article ID: iaor201111220
Volume: 39
Issue: 6
Start Page Number: 471
End Page Number: 474
Publication Date: Nov 2011
Journal: Operations Research Letters
Authors: ,
Keywords: Nash equilibrium
Abstract:

A well‐studied problem in the supply chain management literature considers a two‐tier supply chain for a homogeneous product with a single manufacturer, multiple retailers and a general inverse demand function. The problem has been analyzed in the literature without a formal mathematical treatment of the existence/uniqueness of equilibria. Furthermore, the existence/uniqueness results derived for related models are not extendable to our model. The objective of this paper is to derive sufficient conditions for the existence/uniqueness of Stackelberg–Nash–Cournot equilibria for the two‐tier problem.

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