Abstract
The impacts of simultaneous disruption of demand and cost on pricing, production and coordination of a dual-channel supply chain with one manufacturer and one retailer are examined. First, coordination of the dual-channel supply chain without disruption is proposed, by using a revenue sharing contract. Furthermore, the effects of simultaneous disruption of demand and cost on pricing, production and profit are examined from the perspective of partners and the whole supply chain. Optimal prices and quantum of production in the event of disruptions occurring are derived. Suitable changes and improvements in revenue sharing contracts can help coordinate the dual-channel supply chain with disruptions. Finally, the proposed models are further analysed through numerical examples.
| Original language | English |
|---|---|
| Pages (from-to) | 4999-5016 |
| Journal | Applied Economics |
| Volume | 50 |
| Issue number | 46 |
| Online published | 30 Apr 2018 |
| DOIs | |
| Publication status | Published - 2018 |
Research Keywords
- coordination
- cost disruption
- price competition
- revenue sharing contract
- Supply chain management
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