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Analysis of Revenue-Sharing Contract Model under Many-to-One and Retailer-Dominant Supply Chain Structure

Shuang Feng

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Abstract

Revenue-sharing contract model between two manufacturers and one retailer under this supply chain structure is analyzed.The problem of how to maximize the profits of the whole supply chain and both sides with revenue-sharing contract is discussed.With simulation and comparison , the profits of retailer , manufacturers and the whole supply chain under both contract model are analyzed.The research result shows that revenue-sharing contract can coordinate the supply chain profits effectively , and products'substitutability level has negative impacts on the supply chain performance.

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What this paper is about

Revenue-sharing contract model between two manufacturers and one retailer under this supply chain structure is analyzed.The problem of how to maximize the profits of the whole supply chain and both sides with revenue-sharing contract is discussed.With simulation and comparison , the profits of retailer , manufacturers and the whole supply chain under both contract model are analyzed.The research result shows that revenue-sharing contract can coordinate the supply chain profits effectively , and products'substitutability level has negative impacts on the supply chain performance.

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Available abstract

Revenue-sharing contract model between two manufacturers and one retailer under this supply chain structure is analyzed.The problem of how to maximize the profits of the whole supply chain and both sides with revenue-sharing contract is discussed.With simulation and comparison , the profits of retailer , manufacturers and the whole supply chain under both contract model are analyzed.The research result shows that revenue-sharing contract can coordinate the supply chain profits effectively , and products'substitutability level has negative impacts on the supply chain performance.

Key concepts: Revenue sharing, Supply chain, Business, Revenue, Industrial organization, Microeconomics, Contract management, Supply chain management

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Analysis of Revenue-Sharing Contract Model under Many-to-One and Retailer-Dominant Supply Chain Structure — Research Paper | ScholarLens