Please use this identifier to cite or link to this item: http://hdl.handle.net/10397/17085
Title: Competition and cooperation in a single-retailer two-supplier supply chain with supply disruption
Authors: Li, J
Wang, S
Cheng, TCE 
Keywords: Cooperation game
Non-cooperation game
Supply chain coordination
Supply disruption
Issue Date: 2010
Source: International journal of production economics, 2010, v. 124, no. 1, p. 137-150 How to cite?
Journal: International Journal of Production Economics 
Abstract: Many retailers diversify their supply disruption risk by sourcing from multiple suppliers. While a retailer's sourcing strategy impacts the profit of the supply chain, the pricing strategies of suppliers influence all aspects of the supply chain. In this paper we investigate the sourcing strategy of a retailer and the pricing strategies of two suppliers in a supply chain under an environment of supply disruption. We characterize the sourcing strategies of the retailer in a centralized and a decentralized system. We derive a sufficient condition for the existence of an equilibrium price in the decentralized system when the suppliers are competitive. Based on the assumption of a uniform demand distribution, we obtain an explicit form of the solutions when the suppliers are competitive. Finally we devise a coordination mechanism to maximize the profits of both suppliers.
URI: http://hdl.handle.net/10397/17085
ISSN: 0925-5273
DOI: 10.1016/j.ijpe.2009.10.017
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