Coordinating a decentralized supply chain with capacity cost compensation

• Published in: R.A.I.R.O. Recherche opérationnelle Vol. 55; pp. S1789 - S1802
• Main Authors: Shan, Feifei, Dai, Xiaopei, Men, Jinqi, Yang, Feng
• Format: Journal Article
• Language: English
• Published: Paris EDP Sciences 2021
• Subjects: Compensation; Game theory; Revenue; Revenue sharing; Supply chains

Capacity planning, as a vital asset, is a challenge problem for firms in various industries, such as organic agriculture, apparels and high-tech industry. However, many manufacturers are conservative about their capacity investment for a variety of reasons. As a result, many retailers have the motiv...