A Research on Supply Chain Coordination Model Based on Options Trading under Random Demand
Deng Shao-ling
Abstract:As a supply chain contract , option contracts can make a supply chain coordinated .Based on re-tailer ordering mode , by introducing the transaction of the call options and comparing the retailer's optimal order quantity and options with that of the whole supply chain , it is found that, the profit obtained when the supply chain achieves optimal ordering is always greater than that obtained when retailers achieve opti -mal ordering.Finally, it concludes that, by adjusting the parameters of contract option , the supplier can make the retailer initiatively adjust the optimal order quantity to the order quantity level that is achieved when the supply chain is coordinated .
Keywords:options tradingsupply chain coordinationrandom demand
Publication Date:2014-01-01
Online Publishing Date:2025-08-15(First online date of this platform, not the publication date of the document)
Pages:5( 51-55 )
