Pricing and ordering decisions of two competing supply chains with different composite policies: a Stackelberg game-theoretic approachFootnote

^#The paper is equally contributed and author order is based on first and second author institution requirement.

References

• Ai, X., J. Chen, H. Zhao, and X. Tang. 2012. “Competition among Supply Chains: Implications of Full Returns Policy.” International Journal of Production Economics 139 (1): 257–265.10.1016/j.ijpe.2012.04.018
   Web of Science ®Google Scholar
• Atamer, B., İ. S. Bakal, and Z. P. Bayındır. 2013. “Optimal Pricing and Production Decisions in Utilizing Reusable Containers.” International Journal of Production Economics 143: 222–232.10.1016/j.ijpe.2011.08.007
   Web of Science ®Google Scholar
• Becerril-Arreola, R., M. Leng, and M. Parlar. 2013. “Online Retailers’ Promotional Pricing, Free-shipping Threshold, and Inventory Decisions: A Simulation-based Analysis.” European Journal of Operational Research 230 (2): 272–283.10.1016/j.ejor.2013.04.006
   Web of Science ®Google Scholar
• Cachon, G. P. 2003. “Supply Chain Coordination with Contracts.” In Handbooks in Operations Research and Management Science: Supply Chain Management, Design, Coordination and Operation, edited by S. Graves and A. Kok, 11, 229–339. Amsterdam: North Holland.
   Google Scholar
• Chen, J., and P. C. Bell. 2012. “Implementing Market Segmentation Using Full-refund and No-refund Customer Returns Policies in a Dual-channel Supply Chain Structure.” International Journal of Production Economics 136 (1): 56–66.10.1016/j.ijpe.2011.09.009
   Web of Science ®Google Scholar
• Chen, J., and R. Grewal. 2013. “Competing in a Supply Chain via Full-refund and No-refund Customer Returns Policies.” International Journal of Production Economics 146 (1): 246–258.10.1016/j.ijpe.2013.07.005
   Web of Science ®Google Scholar
• Chen, Y., S. Ray, and Y. Song. 2006. “Optimal Pricing and Inventory Control Policy in Periodic-review Systems with Fixed Ordering Cost and Lost Sales.” Naval Research Logistics 53: 117–136.10.1002/(ISSN)1520-6750
   Web of Science ®Google Scholar
• Esmaeili, M., M.-B. Aryanezhad, and P. Zeephongsekul. 2009. “A Game Theory Approach in Seller–Buyer Supply Chain.” European Journal of Operational Research 195 (2): 442–448.10.1016/j.ejor.2008.02.026
   Web of Science ®Google Scholar
• Fattahia, M., M. Mahootchia, K. Govindan, and S. M. M. Husseinia. 2015. “Dynamic Supply Chain Network Design with Capacity Planning and Multi-period Pricing.” Transportation Research Part E: Logistics and Transportation Review 81: 169–202.
   Web of Science ®Google Scholar
• Ghasemy Yaghin, R., S. M. T. Fatemi Ghomi, and S. A. Torabi. 2014. “Enhanced Joint Pricing and Lotsizing Problem in a Two-echelon Supply Chain with Logit Demand Function.” International Journal of Production Research 52 (17): 4967–4983.10.1080/00207543.2014.885665
   Web of Science ®Google Scholar
• Govindan, K., A. Diabat, and M. Nicoleta Popiuc. 2012. “Contract Analysis: A Performance Measures and Profit Evaluation within Two-echelon Supply Chains.” Computers & Industrial Engineering 63: 58–74.
   Web of Science ®Google Scholar
• Hong, K.-S., and C. Lee. 2013. “Optimal Time-based Consolidation Policy with Price Sensitive Demand.” International Journal of Production Economics 143: 275–284.10.1016/j.ijpe.2012.06.008
   Web of Science ®Google Scholar
• Hsieh, C.-C., C.-H. Wu, and Y.-J. Huang. 2008. “Ordering and Pricing Decisions in a Two-echelon Supply Chain with Asymmetric Demand Information.” European Journal of Operational Research 190 (2): 509–525.10.1016/j.ejor.2007.06.019
   Web of Science ®Google Scholar
• Hsieh, C.-C., Y.-T. Liu, and W.-M. Wang. 2010. “Coordinating Ordering and Pricing Decisions in a Two-stage Distribution System with Price-sensitive Demand through Short-term Discounting.” European Journal of Operational Research 207 (1): 142–151.10.1016/j.ejor.2010.03.035
   Web of Science ®Google Scholar
• Hsieh, C. C., Y.-L. Chang, and C.-H. Wu. 2014. “Competitive Pricing and Ordering Decisions in a Multiple-channel Supply Chain.” International Journal of Production Economics 154: 156–165.10.1016/j.ijpe.2014.04.024
   Web of Science ®Google Scholar
• Hua, G.-W., J. Li, X. Tian, and F.-M. Yang. 2010. “Optimal Order Strategy with Free Shipping Option.” Xitong Gongcheng Lilun Yu Shijian/System Engineering Theory and Practice 30: 506–512.
   Google Scholar
• Hua, G., S. Wang, and T. C. E. Cheng. 2012a. “Optimal Pricing and Order Quantity for the Newsvendor Problem with Free Shipping.” International Journal of Production Economics 135: 162–169.10.1016/j.ijpe.2010.11.019
   Web of Science ®Google Scholar
• Hua, G., S. Wang, and T. C. E. Cheng. 2012b. “Optimal Order Lot Sizing and Pricing with Free Shipping.” European Journal of Operational Research 218: 435–441.10.1016/j.ejor.2011.11.024
   Web of Science ®Google Scholar
• Huang, Y., G. Q. Huang, and X. Liu. 2012. “Cooperative Game-theoretic Approach for Supplier Selection, Pricing and Inventory Decisions in a Multi-level Supply Chain.” Lecture Notes in Engineering and Computer Science 2: 1402–1406.
   Google Scholar
• Jørgensen, S., and P. M. Kort. 2002. “Optimal Pricing and Inventory Policies: Centralized and Decentralized Decision Making.” European Journal of Operational Research 138 (3): 578–600.10.1016/S0377-2217(01)00170-9
   Web of Science ®Google Scholar
• Ke, G. Y., J. H. Bookbinder, and D. M. Kilgour. 2014. “Coordination of Transportation and Quantity Discount Decisions, with Coalition Formation.” International Journal of Production Research 52 (17): 5115–5130.10.1080/00207543.2014.899716
   Web of Science ®Google Scholar
• Kim, J., Y. Hong, and T. Kim. 2011. “Pricing and Ordering Policies for Price-dependent Demand in a Supply Chain of a Single Retailer and a Single Manufacturer.” International Journal of Systems Science 42 (1): 81–89.10.1080/00207720903470122
   Web of Science ®Google Scholar
• Kwon, K., and T. Cheong. 2014. “A Minimax Distribution-free Procedure for a Newsvendor Problem with Free Shipping.” European Journal of Operational Research 232 (1): 234–240.10.1016/j.ejor.2013.07.004
   Web of Science ®Google Scholar
• Lee, A. H. I., H.-Y. Kang, C.-M. Lai, and W.-Y. Hong. 2013. “An Integrated Model for Lot Sizing with Supplier Selection and Quantity Discounts.” Applied Mathematical Modelling 37: 4733–4746.10.1016/j.apm.2012.09.056
   Web of Science ®Google Scholar
• Leng, M., and R. Becerril-Arreola. 2010. “Joint Pricing and Contingent Free-shipping Decisions in B2C Transactions.” Production and Operations Management 19: 390–405.
   Web of Science ®Google Scholar
• Leng, M., and M. Parlar. 2005. “Free Shipping and Purchasing Decisions in B2B Transactions: A Game-theoretic Analysis.” IIE Transactions (Institute of Industrial Engineers) 37: 1119–1128.
   Web of Science ®Google Scholar
• Lewis, M. 2006. “The Effect of Shipping Fees on Customer Acquisition, Customer Retention, and Purchase Quantities.” Journal of Retailing 82: 13–23.10.1016/j.jretai.2005.11.005
   Web of Science ®Google Scholar
• Liu, J., B. Mantin, and H. Wang. 2014. “Supply Chain Coordination with Customer Returns and Refund-Dependent Demand.” International Journal of Production Economics 148: 81–89.10.1016/j.ijpe.2013.11.009
   Web of Science ®Google Scholar
• Mukhopadhyay, S. K., and R. Setaputra. 2011. “Return Policy in Product Reuse under Uncertainty.” International Journal of Production Research 49 (17): 5317–5332.10.1080/00207543.2010.523723
   Web of Science ®Google Scholar
• Øksendal, B., L. Sandal, and J. Ubøe. 2013. “Stochastic Stackelberg Equilibria with Applications to Time-dependent Newsvendor Models.” Journal of Economic Dynamics and Control 37: 1284–1299.10.1016/j.jedc.2013.02.010
   Web of Science ®Google Scholar
• Pal, B., S. S. Sana, and K. Chaudhuri. 2012. “Multi-item EOQ Model While Demand is Sales Price and Price Break Sensitive.” Economic Modelling 29: 2283–2288.10.1016/j.econmod.2012.06.039
   Web of Science ®Google Scholar
• Partha Sarathi, G., S. P. Sarmah, and M. Jenamani. 2014. “An Integrated Revenue Sharing and Quantity Discounts Contract for Coordinating a Supply Chain Dealing with Short Life-cycle Products.” Applied Mathematical Modelling 38 (15–16): 4120–4136.10.1016/j.apm.2014.02.003
   Web of Science ®Google Scholar
• Shao, H., Y. Li, and D. Zhao. 2011. “An Optimal Dicisional Model in Two-echelon Supply Chain.” Procedia Engineering 15: 4282–4286.10.1016/j.proeng.2011.08.803
   Google Scholar
• Sun, X., Y. Li, K. Govindan, and Y. Zhou. 2013. “Integrating Dynamic Acquisition Pricing and Remanufacturing Decisions under Random Price-sensitive Returns.” International Journal of advanced Manufacturing Technology 68 (4): 933–947.
   Web of Science ®Google Scholar
• Taleizadeh, A. A., and M. Noori-daryan. 2014. “Pricing, Manufacturing and Inventory Policies for Raw Material in a Three-level Supply Chain.” International Journal of Systems Science 47 (4): 919–931.
   Web of Science ®Google Scholar
• Taleizadeh, A. A., S. T. A. Niaki, M. B. Aryanezhad, and A. Tafti. 2010. “A Genetic Algorithm to Optimize Multiproduct Multiconstraint Inventory Control Systems with Stochastic Replenishment Intervals and Discount.” The International Journal of Advanced Manufacturing Technology 51 (1–4): 311–323.10.1007/s00170-010-2604-8
   Web of Science ®Google Scholar
• Taleizadeh, A. A., S. T. A. Niaki, and M. B. Aryanezhad. 2010. “Optimising Multi-product Multi-chance-constraint Inventory Control System with Stochastic Period Lengths and Total Discount under Fuzzy Purchasing Price and Holding Costs.” International Journal of Systems Science 41 (10): 1187–1200.10.1080/00207720903171761
   Web of Science ®Google Scholar
• Taleizadeh, A. A., F. Barzinpour, and H. M. Wee. 2011. “Meta-heuristic Algorithms for Solving a Fuzzy Single-period Problem.” Mathematical and Computer Modelling 54 (5–6): 1273–1285.10.1016/j.mcm.2011.03.038
   Google Scholar
• Taleizadeh, A. A., S. T. Niaki, M. B. Aryanezhad, and N. Shafii. 2013. “A Hybrid Method of Fuzzy Simulation and Genetic Algorithm to Optimize Constrained Inventory Control Systems with Stochastic Replenishments and Fuzzy Demand.” Information Sciences 220 (20): 425–441.10.1016/j.ins.2012.07.027
   Web of Science ®Google Scholar
• Taleizadeh, A. A., M. Noori-daryan, and L. E. Cárdenas-Barrón. 2015. “Joint Optimization of Price, Replenishment Frequency, Replenishment Cycle and Production Rate in Vendor Managed Inventory System with Deteriorating Items.” International Journal of Production Economics 159: 285–295.10.1016/j.ijpe.2014.09.009
   Web of Science ®Google Scholar
• Taleizadeh, A. A., M. Noori-daryan, and R. Tavakkoli-Moghaddam. 2015. “Pricing and Ordering Decisions in a Supply Chain with Imperfect Quality Items and Inspection under Buyback of Defective Items.” International Journal of Production Research 53 (15): 4553–4582.10.1080/00207543.2014.997399
   Web of Science ®Google Scholar
• Taleizadeh, A. A., H. Moghadasi, S. T. A. Niaki, and A. K. Eftekhari. 2009. “An EOQ-joint Replenishment Policy to Supply Expensive Imported Raw Materials with Payment in Advance.” Journal of Applied Science 8 (23): 4263–4273.
   Google Scholar
• Thangam, A. 2012. “Optimal Price Discounting and Lot-Sizing Policies for Perishable Items in a Supply Chain under Advance Payment Scheme and Two-echelon Trade Credits.” International Journal of Production Economics 139: 459–472.10.1016/j.ijpe.2012.03.030
   Web of Science ®Google Scholar
• Viswanathan, S., and Q. Wang. 2003. “Discount Pricing Decisions in Distribution Channels with Price-sensitive Demand.” European Journal of Operational Research 149 (3): 571–587.10.1016/S0377-2217(02)00469-1
   Web of Science ®Google Scholar
• Wei, J., and J. Zhao. 2015. “Pricing and Remanufacturing Decisions in Two Competing Supply Chains.” International Journal of Production Research 53 (1): 258–278.10.1080/00207543.2014.951088
   Web of Science ®Google Scholar
• Wei, Y., Q. Hu, and C. Xu. 2013. “Ordering, Pricing and Allocation in a Service Supply Chain.” International Journal of Production Economics 144 (2): 590–598.10.1016/j.ijpe.2013.04.022
   Web of Science ®Google Scholar
• Xie, J., and J. C. Wei. 2009. “Coordinating Advertising and Pricing in a Manufacturer–Retailer Channel.” European Journal of Operational Research 197 (2): 785–791.10.1016/j.ejor.2008.07.014
   Web of Science ®Google Scholar
• Xu, L., K. Govindan, X. Bu, and Y. Yin. 2015. “Pricing and Balancing of the Sea-cargo Service Chain with Empty Equipment Repositioning.” Computers & Operations Research 54: 286–294.
   Web of Science ®Google Scholar
• Yalabik, B., N. C. Petruzzi, and D. Chhajed. 2005. “An Integrated Product Returns Model with Logistics and Marketing Coordination.” European Journal of Operational Research 161 (1): 162–182.10.1016/j.ejor.2003.07.006
   Web of Science ®Google Scholar
• Yoo, S. H., D. S. Kim, and M.-S. Park. 2015. “Pricing and Return Policy under Various Supply Contracts in a Closed-loop Supply Chain.” International Journal of Production Research 53 (1): 106–126.10.1080/00207543.2014.932927
   Web of Science ®Google Scholar
• Yu, Y., and G. Q. Huang. 2010. “Nash Game Model for Optimizing Market Strategies, Configuration of Platform Products in a Vendor Managed Inventory (VMI) Supply Chain for a Product Family.” European Journal of Operational Research 206: 361–373.10.1016/j.ejor.2010.02.039
   Web of Science ®Google Scholar
• Yue, X., and S. Raghunathan. 2007. “The Impacts of the Full Returns Policy on a Supply Chain with Information Asymmetry.” European Journal of Operational Research 180 (2): 630–647.10.1016/j.ejor.2006.04.032
   Web of Science ®Google Scholar
• Zhou, Y.-W. 2007. “A Comparison of Different Quantity Discount Pricing Policies in a Two-echelon Channel with Stochastic and Asymmetric Demand Information.” European Journal of Operational Research 181 (2): 686–703.10.1016/j.ejor.2006.08.001
   Web of Science ®Google Scholar
• Zhou, Y., H. Yang, M. He, and B. Dong. 2012. “The Ordering Strategy of Retailers with Free Shipping in E-commerce.” Advances in Information Sciences and Service Sciences 4: 400–405.
   Google Scholar
• Zhu, S. X. 2012. “Joint Pricing and Inventory Replenishment Decisions with Returns and Expediting.” European Journal of Operational Research 216 (1): 105–112.10.1016/j.ejor.2011.07.024
   Web of Science ®Google Scholar