Research on the supply chain revenue-sharing contract under different revenue-sharing ratios

Abstract

In this paper, it is studied that the profits of the retailer, the manufacturer and the supply chain under twice ordering policy with two different revenue-sharing contract ratios separately. Under such contract, the manufacturer decides two different revenue-sharing contract ratios and two different retailer's unit purchase prices. The retailer can only accept or refuse the contract. Once the retailer accepts the contract, the retailer will decides the first ordering quantity, and decides whether gives a re-ordering quantity and the number of the re-ordering quantity before the end of the sales period. The numerical calculation is done and the results show that the profits of the retailer, the manufacturer and the supply chain in the Revenue-sharing contract under two ordering policy are more than that of the retailer, the manufacturer and the supply chain under once ordering policy.