Analysis on Bi-level Programming Model in Supply Chain Distribution Problem

To minimize the logistics cost in upstream and downstream enterprises in supply chain, Bi-level Programming Method is innovatively used in this article to establish the optimization model of the supply chain network distribution. Solving methods for this model are discussed and then an efficient arithmetic combined with layered iterative method is proposed. The model is calculated by Lindo software to verify the feasibility, efficiency and superiority of this method. This study would help logistic enterprises improve their management and induce their delivery cost.