Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5110398 | Transportation Research Part E: Logistics and Transportation Review | 2017 | 20 Pages |
Abstract
We address a novel decentralized supply chain with one supplier and multiple independent retailers based on the practice of several supply chains in the real world. Coordination of such a supply chain has rarely been studied. Despite overcoming the well-known double marginalization, the supplier's route selection can obstruct supply chain coordination. We present a wholesale-price-and-carpooling contract to coordinate such a supply chain. We demonstrate supply chain coordination under such a contract and show that the profit along the supply chain can be arbitrarily allocated. We show that the popular revenue-sharing contract may lose flexibility in profit allocations.
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Authors
Ilkyeong Moon, Xuehao Feng,