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International Conference on Engineering and Business Management (EBM 2010 PAPERBACK)

Chengdu,China,China,3.24-3.26,2010

ISBN: 978-1-935068-05-1 Scientific Research Publishing, USA

Paperback 6066pp Pub. Date: March 2010

Category: Engineering

Price: $280

Title: Inventory coordination policy in supply chain under asymmetric information
Source: International Conference on Engineering and Business Management (EBM 2010 PAPERBACK) (pp 1320-1323)
Author(s): Huai-sheng Zhang, School of Business Administration, Jiangsu University, 212013, Zhenjiang, China
Lin Jiang, School of Business Administration, Jiangsu University, 212013, Zhenjiang, China
Fa-xin Cheng, School of Business Administration, Jiangsu University, 212013, Zhenjiang, China
Abstract: Abstract: The inventory coordination strategies in two-echelon supply chain which consisted of a supplier and a manufacturer are discussed in the paper. On the basis of analyzing the inventory cost in supply chain under decentralization strategy and under centralization strategy while taking the transportation expenses into consideration, the inventory coordination method based on transfer payment under symmetric information is put forward. Besides, the inventory coordination strategy under asymmetric information and its validity condition are derived. In the end, a numerical example illustrates transfer payment strategy can coordinate the benefits of members in effect.
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