2011 | OriginalPaper | Chapter
Research on Coordination Mechanism of Decentralized Assembly Furniture Supply Chain
Authors : Zhongwei Wang, Yixiong Kang
Published in: Advanced Research on Computer Science and Information Engineering
Publisher: Springer Berlin Heidelberg
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The coordination problem of a supply chain with
n
different furniture suppliers in upstream and one furniture retailer in downstream was analyzed. An optimal decision model was proposed under centralized decision setting. In decentralized decision setting, the conventional wholesale price contract can not reach the optimal profit of this furniture supply chain system, then a revenue sharing contract was presented in order to coordinate this supply chain system, specifically, we study and compare the wholesale price and revenue sharing contracts, and obtain optimal decisions and results respectively. Finally, we verify the contract models by adopting a numerical analysis.