DocumentCode
2742499
Title
Optimization of a Two-echelon Distribution System under Retailers_ Different Competitive Behaviors
Author
Zhao, Na ; Sun, Guang-qi
Author_Institution
Dalian Maritime Univ., Dalian
fYear
2007
fDate
5-7 Sept. 2007
Firstpage
569
Lastpage
569
Abstract
This paper considers the pricing and quantity decisions of a two-echelon system consisting of one manufacturer and two retailers under their different competitive behavior-independence and Stackelberg. The uncertainty of the market demand and the sensitivity of the retail quantity to the difference of sale prices between retailers are fully considered. We also develop a novel retailers´ profit model Then we provide a simple algorithm to find the optimal sale prices and associated retail quantities under the retailers´ different competitive behavior. Finally, we simulate the system and exploit several numerical experiments to test our algorithm. The experimental results show that our algorithm can wonderfully analyze the two-echelon distribution system.
Keywords
distribution strategy; market opportunities; optimisation; profitability; retailing; associated retail quantities; distribution system; market demand; optimal sale prices; optimization; retailers profit; Costs; Educational institutions; Logistics; Manufacturing processes; Marketing and sales; Pulp manufacturing; Stochastic processes; Sun; Transportation; Uncertainty;
fLanguage
English
Publisher
ieee
Conference_Titel
Innovative Computing, Information and Control, 2007. ICICIC '07. Second International Conference on
Conference_Location
Kumamoto
Print_ISBN
0-7695-2882-1
Type
conf
DOI
10.1109/ICICIC.2007.433
Filename
4428211
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