A general framework of supply chain contract models

Abstract

A supply chain is two or more parties linked by a flow of goods, information, and funds. When one or more parties of the supply chain try to optimize their own profits, system performance may be hurt. Supply chain contract is a coordination mechanism that provides incentives to all of its members so that the decentralized supply chain behaves nearly or exactly the same as the integrated one. We have seen a vast literature on supply chain contracts recently. However, little work has been done on the relationships of those supply chain contract models. In this paper, we provide a general framework that synthesizes existing results for a variety of supply chain contract forms.

Citation

Wang, C.X. (2002), "A general framework of supply chain contract models", Supply Chain Management, Vol. 7 No. 5, pp. 302-310. https://doi.org/10.1108/13598540210447746