Title: Research on the mechanism strategy of a revenue sharing contract under recall mode

Authors: Shun Zhang; Haiju Hu; Chen Zhao; Ying Wang; Qianwen Liu

Addresses: Zhonghuan Information College, Tianjin University of Technology, Tianjin 300380, China ' Research Center for Regional Economic Development, Yanshan University, Qinhuangdao Hebei 066004, China; Economics and Management School, Yanshan University, Qinhuangdao Hebei 066004, China ' Zhonghuan Information College, Tianjin University of Technology, Tianjin 300380, China ' Zhonghuan Information College, Tianjin University of Technology, Tianjin 300380, China ' Tianjin Electronic Information College, Tianjin 300350, China

Abstract: A revenue-sharing contract provides applicable strategy for supply chain cooperation and has been widely put into practice. Is it possible to integrate it into the supply chain system under recall mode? And how to ensure the overall benefit of the supply chain? These are spirited issues to be resolved. Under no preference consuming market, this paper mainly discusses the recalling supply chain system, consisted of a single supplier and a single retailer, with the application of benefit sharing contract. Considering the way in which the supplier entrusted the retailer to recall, analysed the entire process from sales to recall, this paper conducts research on the optimisation of revenue-sharing contract in the supply chain. Under different price situations, this paper focuses on the study of the effect of the proportion of supply chain division on the profit maximisation strategy of suppliers and retailers, and solves the problem of distribution of profits for decentralised decision making under non-consumer preference markets.

Keywords: recall supply chain; revenue optimisation; sharing contact.

DOI: 10.1504/IJIMS.2021.114544

International Journal of Internet Manufacturing and Services, 2021 Vol.8 No.1, pp.67 - 87

Received: 05 Jun 2018
Accepted: 02 Jul 2019

Published online: 20 Apr 2021 *

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