Study On Inventory Model Considering Fairness Concerns Under Permissible Delay In Payments

DOI

10.2991/jimec-17.2017.71How to use a DOI?

Keywords

fairness concerns; Stackelberg games; the delay of payment

Abstract

Optimal retailer's pricing and replenishment policies and supplier's delay-in-payments policy considering fairness concerns under permissible delay in payments is studied in this paper. A model of Stackelberg game between the fairness neutral supplier and the fairness concerned retailer is developed. A numerical example is given to verify the validity of the proposed model and conduct sensitivity analysis on parameters. The results show that, with the increase of the retailer's fairness concerns, the retailer should lower the price, increase the order quantity, and the supplier's optimal delay-in-payments should be shortened; when the fairness concerns coefficient satisfies certain conditions, the utility of the retailer and supplier is higher than without fairness concerns.

Copyright

© 2017, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Wang Dao-ping
AU  - Zhang Bo-qing
PY  - 2017/10
DA  - 2017/10
TI  - Study On Inventory Model Considering Fairness Concerns Under Permissible Delay In Payments
BT  - Proceedings of the 2017 2nd Joint International Information Technology, Mechanical and Electronic Engineering Conference (JIMEC 2017)
PB  - Atlantis Press
SP  - 320
EP  - 324
SN  - 2352-538X
UR  - https://doi.org/10.2991/jimec-17.2017.71
DO  - 10.2991/jimec-17.2017.71
ID  - Dao-ping2017/10
ER  -