Study Of Supply Chain Non-Cooperation Based On Returns Policies And Multi-Discount Policies

The supply chain enterprises are cooperative and competitive. Enterprises not only have to guarantee itself interest, but also have to realize the best performance of supply chain, which make the decision of enterprises very complicated. This article focus on the analysis of cooperation in supply chain.The difficulties of selling fashion goods include highly demand uncertainty, long manufacturing lead times, and short selling season. This paper deals with fashion goods that is sold through a channel consists of manufacturers and retailers. The manufacturers use returns policy to encourage retailers to stock and price items more aggressively. On the other hand, the retailers overcome the highly demand uncertainty by using progressive multiple discounting strategy to increase the sells during the finite selling horizon. This paper focuses on the effect that such strategies have on both a retailer's and a manufacturer's profits. Based on Stackelberg game theory, the manufacturers build-up the optimal returns policy in response to the retailers'ordering quantity as well as discounting strategy.The first chapter introduces the Research motive and purpose of the studyThe second chapter describes basic knowledge of Related literature including the concept of newsboy, return policies and the basic concepts of game theory and equilibrium used in this article.Chapter III and IV are the main body of the thesis. In chapter III, this article describes repeatedly discount inventory model under returns policy ,provide a specific solution process In Chapter IV, we have a numerical analysis based on the model of the third chapter.In chapter V, the whole thesis is summarized and further works are pointed out.