Pricing Decisions of Supply Chain under Different Fairness Concern
LIN Qiang
QIN Yanhong
Abstract:In order to compare the pricing strategies and profits in a two-level supply chain based on abso-lute fairness concern and relative fairness concern of the retailer, the Stackelberg game model is estab-lished.Then, the optimal pricing strategies and profits are obtained through the converse solution method. The results show that the retailer' s fairness concern does not affect his pricing strategy, but will weaken the manufacturer' s wholesale price under two fairness concern situations.Therefore, the retailer gets more profit of supply chain than in fairness neutral situation.In addition,influenced by the retailer' s fairness concern level, the manufacturer ' s wholesale price and the members ' profits show obvious segmented differences under two fairness concern situations.
Keywords:fairness concernsupply chainpricing-decisionStackelberg game
Publication Date:2016-01-01
Online Publishing Date:2025-08-15(First online date of this platform, not the publication date of the document)
Pages:6( 33-37,94 )
Industrial Engineering Journal

Industrial Engineering Journal

PKUISTIC
ISSN:1007-7375
Year, Vol.(Issue):2016,19(2)