Supply contracts with credit sale

This article proposes a non-cooperation game model to operate the two-agents supply chain with credit sale under stochastic demand function in retailer market and under the retailer´s budget constraint. We consider two types of contracts: the traditional wholesale price contract and its variation that is offered by the producer to the retailer. Equilibrium solutions are given for both contracts. And we propose method to operate supply chain profitably through selecting appropriate controllable parameters when the other non-controllable parameters are given.