Strategies of wholesale price contract in transnational supply chain under emergencies

In this paper, the optimal strategy of transnational supply chain is analyzed when the demand distribution and market exchange rate are fluctuated by emergencies. The optimal order quantity of assembly transnational corporations and the trade price of parts supplier are changed under the market demand changed larger or less. The conclusions show that the supplier will adjust his production plan properly when the demand scale and market exchange rate are changed larger. This paper also reveals that the wholesale price will increase as market demand increases and the wholesale price will decrease as market demand decreases. An interesting economic insight is that the production plan is not usually adjusted.