The dynamic pricing model with time-space network based on uncertain demands

The three layers network structure of dynamic supply chain composed of suppliers, manufacturers and purchasers is studied, in which the demand of purchasers is uncertain. The cost of the raw-material, production, the stock and the cost of executing order from downstream enterprise are considered, the unsatisfied demand and the lead time in delivering are taken into account either. The time-space network are introduced to describe this dynamic supply chain network, by which the mathematical model for dynamic pricing that make manufacturers get the biggest profit is established Finally, a numerical example is analyzed to prove the rationality of this model. The optimal price, output and stock from the numerical example can provide manufacturers with subsidiary decision-making to formulate reasonable production plan.