Title :
Analysis of Double Marginalization Based on Supply Chain Service Level
Author :
Li, Xiu-Sen ; Cheng, Jun-Mo ; He, Jing
Author_Institution :
Sch. of Math. & Inf. Sci., Shandong Univ. of Technol., Zibo
Abstract :
In supply chain of perishable product with quantity flexibility and buy-back contract, cycle service level of retailer´s local decision, whole supply chain´s decision, and supplier-retailer´s joint decision are defined and optimized respectively. Double marginalization based on service level is also analyzed by model making and simulative examples. The conclusion is that join decision has important effect on double marginalization of service level. Rational cost allocation of sales surplus can decrease the impact of double marginalization on supply chain profitability through joint decision of service level optimizing
Keywords :
industrial economics; optimisation; profitability; retailing; supply chains; buy-back contract; double marginalization; rational cost allocation; retailer local decision; supplier-retailer joint decision; supply chain service level; Contracts; Costs; Cybernetics; Helium; Information analysis; Information science; Machine learning; Marketing and sales; Mathematics; Profitability; Supply chain management; Supply chains; Technology management; Supply Chain; cycle service level; double marginalization; first-best solution; sales surplus;
Conference_Titel :
Machine Learning and Cybernetics, 2006 International Conference on
Conference_Location :
Dalian, China
Print_ISBN :
1-4244-0061-9
DOI :
10.1109/ICMLC.2006.258919
