Revenue Sharing Contract in a Multi-Echelon Supply Chain with Fuzzy Demand and Asymmetric Information

AbstractIn this paper, we consider the revenue sharing contract between supply chain actors in a multi-echelon supply chain, where the demand of the customers and retail price are fuzzy variables. The centralized decision making system and a coordinating contract, namely, the revenue sharing contract with fuzzy demand and asymmetric information are proposed. To derive the optimal solutions, the fuzzy set theory is applied for solving these models. Finally, the optimal results of proposed models are illustrated with three numerical experiments. The effects of the fuzziness of retail price and demand, different contract parameters on the optimal strategies for supply chain actors are also analyzed.

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