Document Type

Article

Abstract

This paper is based on the model proposed by Viswanathan and continue to analyze the benefit of supply chain inventories through the use of common replenishment epochs. We studied a one-vendor, multi-buyer supply chain for a single product under uncertainty demand environment. The vendor specifies common replenishment periods and asks all buyers to replenish only at those time period and the price discount to be offered by the vendor are determined by the solution to a Stackelberg game. A numerical study is conducted to evaluate the benefit of the strategy by simulation.

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