Supply chain coordination based on buy back contract with fuzzy demand

In this paper, we study buy back contract in a supply chain with fuzzy demand, where it is assumed that the supply chain includes one supplier and one retailer. Under such a contract, the supplier offers a wholesale price for each unit ordered and a buy back price for each unsold unit. We address the conditions of contract coordinating the supply chain in this situation and present the optimal order quantity for total supply chain. Finally, the model and the effectiveness of the presented contract are illustrated by a numerical example.