Coordinating ordering and pricing decisions in a two-stage distribution system with price-sensitive demand through short-term discounting

European Journal of Operational Research

Volumn 207, Issue 1, 2010, Pages 142-151

  Hsieh, Chung Chi ^a   Liu, Yu Te ^a   Wang, Wei Ming ^a  

^a NATIONAL CHENG KUNG UNIVERSITY   (Taiwan)

Author keywords

Coordination; Price discount; Short term discounting; Supply chain

Indexed keywords

COORDINATION; DEMAND RATES; DISCOUNTED PRICE; DISTRIBUTION SYSTEMS; ELASTICITY DEMAND; INVENTORY HOLDING; NON-COOPERATIVE; NUMERICAL STUDIES; POSITIVE EFFECTS; PRICE DISCOUNT; PRICE ELASTICITY; PRICE-SENSITIVE DEMAND; PRICING DECISION; PROFIT IMPROVEMENTS; REPLENISHMENT CYCLE; TWO STAGE;

ELASTICITY; PROFITABILITY; SALES; SUPPLY CHAIN MANAGEMENT; SUPPLY CHAINS;

COSTS;

EID: 77953869606     PISSN: 03772217     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.ejor.2010.03.035     Document Type: Article

References (31)

1. Ardalan A. A comparative analysis of approaches for determining optimal price and order quantity when a sale increases demand. European Journal of Operational Research 84 2 (1995) 416-430
2. Chen F., Federgruen A., and Zheng Y.S. Coordination mechanisms for a distribution system with one supplier and multiple retailers. Management Science 47 5 (2001) 693-708
3. Chiadamrong N., and Prasertwattana K. A comparative study of supply chain models under the traditional centralized and coordinating policies with incentive schemes. Computers & Industrial Engineering 50 4 (2006) 367-384
4. Dolan R.J. Quantity discounts: Managerial issues and research opportunities. Marketing Science 6 1 (1987) 1-22
5. Feng Y., and Viswanathan S. Impact of demand uncertainty on coordinating supply chain inventories through common replenishment epochs. Journal of the Operational Research Society 58 7 (2007) 964-971
6. Klastorin T.D., Moinzadeh K., and Son J. Coordinating orders in supply chains through price discounts. IIE Transactions 34 8 (2002) 679-689
7. Kunnumkal S., and Topaloglu H. Price discounts in exchange for reduced customer demand variability and applications to advance demand information acquisition. International Journal of Production Economics 111 2 (2008) 543-561
8. Lal R., and Staelin R. An approach for developing an optimal discount pricing policy. Management Science 30 12 (1984) 1524-1539
9. Lau A.H.L., Lau H.S., and Zhou Y.W. Quantity discount and handling-charge reduction schemes for a manufacturer supplying numerous heterogeneous retailers. International Journal of Production Economics 113 1 (2008) 425-445
10. Li S.X., Huang Z.M., and Ashley A. Inventory, channel coordination and bargaining in a manufacturer-retailer system. Annals of Operations Research 68 1 (1996) 47-60
11. Li X.H., and Wang Q. Coordination mechanisms of supply chain systems. European Journal of Operational Research 179 1 (2007) 1-16
12. Monahan J.P. A quantity discount pricing model to increase vendor profits. Management Science 30 6 (1984) 720-726
13. Munson C.L., and Rosenblatt M.J. Coordinating a three-level supply chain with quantity discounts. IIE Transactions 33 5 (2001) 371-384
14. Parlar M., and Wang Q. Discounting decisions in a supplier-buyer relationship with a linear buyer's demand. IIE Transactions 26 2 (1994) 34-41
15. Petruzzi N.C., and Dada M. Pricing and the newsvendor problem: A review with extensions. Operations Research 47 2 (1999) 183-194
16. Ray S., Gerchak Y., and Jewkes E.M. Joint pricing and inventory policies for make-to-stock products with deterministic price-sensitive demand. International Journal of Production Economics 97 2 (2005) 143-158
17. Schwind G.F. A systems approach to docks and cross docking. Material Handling Engineering 51 2 (1996) 59-62
18. Shin H.J., and Benton W.C. A quantity discount approach to supply chain coordination. European Journal of Operational Research 180 2 (2007) 601-616
19. Stalk G., Evans P., and Shulman L.E. Competing on capabilities: The new rules of corporate strategy. Harvard Business Review 70 2 (1992) 57-69
20. Urban T.L., and Baker R.C. Optimal ordering and pricing policies in a single-period environment with multivariate demand and markdowns. European Journal of Operational Research 103 3 (1997) 573-583
21. Vis I.F.A., and Roodbergen K.J. Positioning of goods in a cross-docking environment. Computers & Industrial Engineering 54 3 (2008) 677-689
22. Viswanathan S., and Wang Q. Discount pricing decisions in distribution channels with price-sensitive demand. European Journal of Operational Research 149 3 (2003) 571-587
23. Waller M.A., Cassady C.R., and Ozment J. Impact of cross-docking on inventory in a decentralized retail supply chain. Transportation Research Part E-Logistics and Transportation Review 42 5 (2006) 359-382
24. Wang Q. Coordinating independent buyers with integer-ratio time coordination and quantity discounts. Naval Research Logistics 51 3 (2004) 316-331
25. Wang Q. Discount pricing policies and the coordination of decentralized distribution systems. Decision Sciences 36 4 (2005) 627-646
26. Wang Q., and Wang R. Quantity discount pricing policies for heterogeneous retailers with price sensitive demand. Naval Research Logistics 52 7 (2005) 645-658
27. Wang Q., and Wu Z. Improving a supplier's quantity discount gain from many different buyers. IIE Transactions 32 11 (2000) 1071-1079
28. Weng Z.K. Channel coordination and quantity discounts. Management Science 41 9 (1995) 509-1522
29. Weng Z.K. Modeling quantity discounts under general price-sensitive demand functions: Optimal policies and relationships. European Journal of Operational Research 86 2 (1995) 300-314
30. Weng Z.K. The power of coordinated decisions for short-life-cycle products in a manufacturing and distribution supply chain. IIE Transactions 31 11 (1999) 1037-1049
31. Weng Z.K., and Wong R.T. General models for the supplier's all-unit quantity discount policy. Naval Research Logistics 40 7 (1993) 971-991