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《Mathematics in Practice and Theory》 2013-01
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Study on Stackelberg Game of Supply Chain and Cooperation with Downside Risk Constraint

GUI Shou-ping,WANG Jian-long (School of Economics and Commerce,South China University of Technology,Guangzhou 510006,China)  
Considering a two-echelon supply chain consisting of a risk-neutral supplier and a downside-risk-averse retailer,a Stackelberg game model in which supplier is a leader is established with buyback contract,and the equilibrium solutions are gained.The influence of the retailer's downside-risk value on Stackelberg game decision is discussed.The study shows that when retailer's target profit is big,the buyback contract mechanism with downside-risk constrain is no longer effective,and the bigger the target profit is,the smaller supplier and retailer's profit is,the findings are illustrated by a numerical example.
【Fund】: 国家自然科学基金(71101054)
【CateGory Index】: F224.32;F274
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