No-Cooperation Pricing Strategies of Global Supply Chain against Monopoly Suppliers

This paper discussed the max income of the manufacturers in global supply chain with monopolized supplier. Different from the past studies of regulations, we studied the global supply chain mode with single supplier aboard and 2 manufacturers in China. And the pricing decisions were made under the conditions of no-cooperation. And we got the income level of 6 strategies. We designed a revolution algorithm to find out the best strategy. The result showed that if there was a low share holding ratio between manufacuters, the strategy of vertical stock exchange was the best choice. If there was a middle share holding ratio between manufacuters, the strategy of vertical merger was the best choice. If there was a high shareholding ratio between manufacuters, the strategy of horizontal merger was the best choice.