Preprint Article Version 1 Preserved in Portico This version is not peer-reviewed

Production -Marketing Coordination under Demand and Lead -Time Uncertainty

Version 1 : Received: 4 August 2020 / Approved: 6 August 2020 / Online: 6 August 2020 (08:56:04 CEST)

How to cite: Ran, C.; He, W. Production -Marketing Coordination under Demand and Lead -Time Uncertainty. Preprints 2020, 2020080140 (doi: 10.20944/preprints202008.0140.v1). Ran, C.; He, W. Production -Marketing Coordination under Demand and Lead -Time Uncertainty. Preprints 2020, 2020080140 (doi: 10.20944/preprints202008.0140.v1).

Abstract

In this paper, we consider a make-to-order supply chain which satisfies demand that is dependent on both price and quoted lead -time. The manufacturer chooses the lead -time and the order quantity, and the retailer sets the revenue shares. The interactions between the manufacturer and the retailer are modelled as a Nash Game, and the existence and uniqueness of pure strategy equilibrium are demonstrated. A mechanism that enables the supply chain to coordinate the decisions of the members is developed. Lastly, we also analyze how the supply chain system parameters impact the optimal supply chain decisions and the supply chain performance.

Subject Areas

leadtime; demand uncertainty; revenue -sharing contract; production -marketing coordination

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