The Returns Contract Of Supply Chain Coordination In E-commerce

Since global manufacture was appeared and developed in 1990s, competition in market among enterprises became more and more fierce. Customers' demand became individuation, diversification and instantaneous. The environment of economy and society is worked a unprecedented change. On the other hand, for the information technology is advanced rapidly, companies can integrate their core-competence through cooperation. Thus, the management thoughts—lateral integration is used as a chief means of promote enterprises competition. With the development of information technology, supply chain is continuously growing. The revolution in formation technology caused by e-commerce improves supply chain management greatly.This paper involves the theory of supply chain coordination and e-commerce. In the paper, it shows how the supply chain returns contract in which there is a manufacturer providing a retailer with a single product will be improved for adding the factor of e-commerce. According to the new returns policy framework, the improved returns contract will be modeled. With the new returns contract and quantity discount, manufacturer and retailer can get win-win. And then the model is simulation and analyzed. Finally, it presents the paper's conclusion and the future research.The main work of this paper:(1) Review of supply chain coordination and returns contract;(2) Modifying the returns contract and modeling the new contract, analyzing and optimizing the model to achieve manufacturer and retailer win-win;(3) Simulating the returns contract in e-commerce using Particles Swarm Optimization, and then analyzing the results.