Two-echelon Supply Chain Considering Multiple Retailers with Price and Promotional Effort Sensitive Non-linear Demand

Subject Areas : Executive Management

Elahe Mohagheghian ¹ , Morteza Rasti-Barzoki ² , Rashed Sahraeian ³

1 - MSc, Department of Industrial Engineering, Faculty of Engineering Shahed University, Tehran, Iran
2 - Assistant Professor, Department of Industrial and Systems Engineering, Isfahan University of Technology, Isfahan, Iran
3 - Department of Industrial Engineering, Faculty of engineering, Shahed University, Tehran, Iran

Received: 2017-08-16 Accepted : 2017-11-02 Published : 2018-07-01

Keywords:

References:

Chu, Y., & You, F. (2014). Integrated scheduling and dynamic optimization by stackelberg game: bilevel model formulation and efficient solution  algorithm. Industrial & Engineering Chemistry Research, 53(13), 5564-5581).

Chu, Y., You, F., Wassick, J. M., & Agarwal, A. (2015). Integrated planning and scheduling under productionuncertainties: Bi-level model formulation and hybrid solution method. Computers & Chemical Engineering, 72,255-272.

Colson, B., Marcotte, P., & Savard, G. (2007). An overview of bilevel optimization. Annals of operations research, 153(1), 235-256.

Esmaeili, M., & Zeephongsekul, P. (2010). Seller–buyer models of supply chain management with an asymmetricinformation structure. International Journal of Production Economics, 123(1), 146-154

Gao, J., Han, H., Hou, L., & Wang, H. (2016). Pricing and effort decisions in a closed-loop supply chain under different channel power structures. Journal of Cleaner Production, 112, 2043-2057.

Huang, S., Yang, C., & Zhang, X. (2012). Pricing and production decisions in dual-channel supply chains with demand disruptions. Computers & Industrial Engineering, 62, 70–83.

Krishnan, H., Kapuscinski, R., & Butz, D.A. (2004). Coordinating contracts for decentralized supply chains with retailer promotional effort. Management Science, 50(1), 48–63.

Lv, Y., Hu, T., Wang, G., & Wan, Z. (2007). A penalty function method based on Kuhn–Tucker condition for solving linear
bilevel programming. Applied Mathematics and Computation, 188(1), 808-813.

Pal, B., Sana, S. S., & Chaudhuri, K. (2015). Coordination contracts for competitive two-echelon supply chain with price and promotional effort sensitive non-linear demand. International Journal of Systems Science: Operations & Logistics, 2(2), 113-124.

Pan, Q., An, Z., & Qi, H. (2010). Exact penalty method for the nonlinear bilevel programming problem. Wuhan University Journal of Natural Sciences, 15(6), 471-475.

Panda, S. & Saha, S. (2010). Optimal production rate and production stopping time for perishable seasonal products with ramp-type time-dependent demand. International Journal of Mathematics in Operational Research, 2(6), 657-673.

Panda, S., Saha, S. & Basu, M. (2013). Optimal pricing and lotsizing for perishable inventory with price and time dependent ramp-type demand. International Journal of Systems Science, 44(1), 127-138.

Roy, T. and Chaudhuri, K.S. (2010) ‘Optimal pricing for a perishable item under timeprice dependent demand and time-value of money’, International Journal of Operational Research, Vol. 7, No. 2, pp.133–151.

Salvietti, L., Smith, N. R. & CardenasBarron, L. E. (2014). A stochastic profitmaximising economic lot scheduling problem with price optimisation, European Journal of Industrial Engineering, 8 ,193-221.

Sarkar, B., Saren, S. & Wee, H. M.(2013). An inventory model with variable demand, component cost and selling price for deteriorating items, Economic Modelling. 30, 306-310.

Shah, N. H. & Raykundaliya, N. (2010). Retailer’s pricing and ordering strategy for Weibull distribution deterioration under trade credit in declining market, Applied Mathematical Sciences . 4 (21), 1011-1020.

Tsao, Y. C., & Sheen, G. J. (2012). Effects of promotion cost sharing policy with the sales learning curve on supply chain coordination. Computers & Operations Research, 39(8), 1872-1878.

Von Stackelberg H, Bazin D, Hill R, Urch L. Market structure and equilibrium.New York: Springer; 2010.

Wu, C.H., Chen, C.W., & Hsieh, C.C. (2012). Competitive pricing decisions in a two-echelon supply chain with horizontal and vertical competition. International Journal of Production Economics, 135, 265–274.

Xie, J., & Neyret, A. (2009). Co-op advertising and pricing models in manufacturer–retailer supply chains. Computers & Industrial Engineering, 56(4), 1375-1385.