Pricing Decisions of a Two-Echelon Supply Chain in Fuzzy Environment

Pricing decisions of a two-echelon supply chain with one manufacturer and duopolistic retailers in fuzzy environment are considered in this paper. The manufacturer produces a product and sells it to the two retailers, who in turn retail it to end customers. The fuzziness is associated with the custo...

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Main Authors: Jie Wei, Guoying Pang, Yongjun Liu, Qian Ma
Format: Article
Language:English
Published: Wiley 2013-01-01
Series:Discrete Dynamics in Nature and Society
Online Access:http://dx.doi.org/10.1155/2013/971504
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author Jie Wei
Guoying Pang
Yongjun Liu
Qian Ma
author_facet Jie Wei
Guoying Pang
Yongjun Liu
Qian Ma
author_sort Jie Wei
collection DOAJ
description Pricing decisions of a two-echelon supply chain with one manufacturer and duopolistic retailers in fuzzy environment are considered in this paper. The manufacturer produces a product and sells it to the two retailers, who in turn retail it to end customers. The fuzziness is associated with the customers’ demand and the manufacturing cost. The purpose of this paper is to analyze the effect of two retailers’ different pricing strategies on the optimal pricing decisions of the manufacturer and the two retailers themselves in MS Game scenario. As a reference model, the centralized decision scenario is also considered. The closed-form optimal pricing decisions of the manufacturer and the two retailers are derived in the above decision scenarios. Some insights into how pricing decisions vary with decision scenarios and the two retailers’ pricing strategies in fuzzy environment are also investigated, which can serve as the basis for empirical study in the future.
format Article
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institution Kabale University
issn 1026-0226
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language English
publishDate 2013-01-01
publisher Wiley
record_format Article
series Discrete Dynamics in Nature and Society
spelling doaj-art-936bd8803ec24ce5a8c020389ff726842025-02-03T06:08:25ZengWileyDiscrete Dynamics in Nature and Society1026-02261607-887X2013-01-01201310.1155/2013/971504971504Pricing Decisions of a Two-Echelon Supply Chain in Fuzzy EnvironmentJie Wei0Guoying Pang1Yongjun Liu2Qian Ma3General Courses Department, Military Transportation University, Tianjin 300161, ChinaGeneral Courses Department, Military Transportation University, Tianjin 300161, ChinaMilitary Logistics Department, Military Transportation University, Tianjin 300161, ChinaGeneral Courses Department, Military Transportation University, Tianjin 300161, ChinaPricing decisions of a two-echelon supply chain with one manufacturer and duopolistic retailers in fuzzy environment are considered in this paper. The manufacturer produces a product and sells it to the two retailers, who in turn retail it to end customers. The fuzziness is associated with the customers’ demand and the manufacturing cost. The purpose of this paper is to analyze the effect of two retailers’ different pricing strategies on the optimal pricing decisions of the manufacturer and the two retailers themselves in MS Game scenario. As a reference model, the centralized decision scenario is also considered. The closed-form optimal pricing decisions of the manufacturer and the two retailers are derived in the above decision scenarios. Some insights into how pricing decisions vary with decision scenarios and the two retailers’ pricing strategies in fuzzy environment are also investigated, which can serve as the basis for empirical study in the future.http://dx.doi.org/10.1155/2013/971504
spellingShingle Jie Wei
Guoying Pang
Yongjun Liu
Qian Ma
Pricing Decisions of a Two-Echelon Supply Chain in Fuzzy Environment
Discrete Dynamics in Nature and Society
title Pricing Decisions of a Two-Echelon Supply Chain in Fuzzy Environment
title_full Pricing Decisions of a Two-Echelon Supply Chain in Fuzzy Environment
title_fullStr Pricing Decisions of a Two-Echelon Supply Chain in Fuzzy Environment
title_full_unstemmed Pricing Decisions of a Two-Echelon Supply Chain in Fuzzy Environment
title_short Pricing Decisions of a Two-Echelon Supply Chain in Fuzzy Environment
title_sort pricing decisions of a two echelon supply chain in fuzzy environment
url http://dx.doi.org/10.1155/2013/971504
work_keys_str_mv AT jiewei pricingdecisionsofatwoechelonsupplychaininfuzzyenvironment
AT guoyingpang pricingdecisionsofatwoechelonsupplychaininfuzzyenvironment
AT yongjunliu pricingdecisionsofatwoechelonsupplychaininfuzzyenvironment
AT qianma pricingdecisionsofatwoechelonsupplychaininfuzzyenvironment