Application of multidivisional bi-level programming to coordinate pricing and inventory decisions in a multiproduct competitive supply chain

Mokhlesian, Maryam; Zegordi, Seyed Hessameddin

doi:10.1007/s00170-013-5601-x

Cited by 26 publications

(17 citation statements)

References 36 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…In the proposed model, the buyer is assumed the leader (i.e., the upper level decision maker) and the suppliers are assumed as independent followers (i.e., lower level decision makers). Mokhlesian and Zegordi (2014) adopted BLDPP to model a multiproduct twostage supply chain composed of one manufacturer and a set of rival retailers. The manufacturer as leader decision maker determines pricing and production value while retailers as followers make purchasing decisions.…”

Section: Survey On Client and Contractors Interactionsmentioning

confidence: 99%

A fuzzy leader-follower game approach to interaction of project client and multiple contractors in time/cost trade-off problem

Hafezalkotob¹,

Hafezalkotob²

2018

10.5267/j.jpm

View full text Add to dashboard Cite

In recent years, clients often employ multiple contractors to implement different activities of the projects. Each contractor manages and implements a subset of activities according to the determined schedule and payments. In this situation, time/cost trade-off problem becomes a distributed decision making problem in which the client, as leader, and the contractors, as followers, pursue their own objectives. We establish a multi-objective, bi-level distributed programming model based on fuzzy mathematical programming for this time/cost trade-off problem. The model is then developed for three common behaviors of client i.e. profit seeking, minimization of project time, as well as combination of profit seeking and minimization of project time behaviors. As the solution approaches, we propose transformation method based on Karush-KuhnTucker conditions projects to transform bi-level programming problem to a single level one. Numerical results reveal that the client's behaviors have measurable impact on time and cost of activities performed by contractors. Moreover, we found that when the client does not have complete information about the contractors' financial situations, the client should make tradeoff between his confidence level and his profit.

show abstract

Section: Survey On Client and Contractors Interactionsmentioning

confidence: 99%

A fuzzy leader-follower game approach to interaction of project client and multiple contractors in time/cost trade-off problem

Hafezalkotob¹,

Hafezalkotob²

2018

10.5267/j.jpm

View full text Add to dashboard Cite

show abstract

“…Yugang et al [24] study the decisions associated with pricing and ordering interval in a supply chain consisting of a distributor and a number of retailers. Mokhlesian and Zegordi [25] applied bilevel programming to coordinate pricing and inventory decisions in a two-stage supply chain consisting of one manufacturer and multiple retailers. A hybrid of genetic algorithm and local search method has been proposed to tackle the non-linear bi-level programming model.…”

Section: Literature Reviewmentioning

confidence: 99%

“…From the last column of Table 1, we can recognize that BI is applied for the Stackelberg problems with no, or very few, constraints and limited number of decision variables while BLPP is applied in more complicated problems such as [25,26]. This is the main reason for applying BLPP in the current research.…”

Section: Literature Reviewmentioning

confidence: 99%

A bi-level programming model for decentralized manufacturer-distributer supply chain considering cooperative advertising

2017

View full text Add to dashboard Cite

Abstract. This paper studies a bi-level decentralized supply chain consisting of one manufacturer and one distributor. Along with global advertising, the manufacturer participates in part of local advertising expenditure incurred by the distributor. Bi-level programming is applied to model the relationship between the manufacturer and distributer under two power scenarios of Stackelberg game framework. In the rst scenario, we consider the manufacturer as the leader and in the latter, we allow the distributer to act as the dominant member of the supply chain. In order to tackle bi-level programming models, a meta-heuristic genetic algorithm with hierarchical structure is developed for each scenario and optimal policies for the members in terms of pricing, advertising, inventory, and demand allocation are determined. Finally, several computational experiments are conducted on the data obtained from an automotive spare parts supply chain to demonstrate the validity of the developed models and compare the bene ts of members as well as of the entire system.

show abstract

“…Zhang et al, [20] proposed a dynamic cooperative advertising model for a manufacturerretailer supply chain and analyzed how the reference price effect would influence the decisions of all the channel members. Mokhlesian and Zegordi [21] considered coordination of pricing and inventory decisions in a two-echelon supply chain consisting of several competitive retailers and one manufacturing who produces some substitutable products. Chintapalli [22] combined pricing and inventory control for the perishable goods, when demand is uncertain and price-sensitive.…”

Section: Literature Reviewmentioning

confidence: 99%

Pricing and advertising decisions in a dominant-retailer supply chain: A multi-follower bi-level programming approach

Mokhlesian

Zegordi

2017

Scientia Iranica

Self Cite

View full text Add to dashboard Cite

Pricing and advertising is one of the most important decisions in each supply chain especially in the competitive environment. In the previous studies, this is as a centralized decision. However, if each channel member makes its decision independently, the utility of all members is optimized. In such decentralized situations, the channel members may have different market power that they influence on the other members' decisions. These issues can modeled through leader-follower Stackelberg game or bi-level programming. This study investigates coordination of pricing and cooperative advertising in a two-stage supply chain consisting of one dominant-retailer and multiple competitive manufactures which produce several perishable and substitutable products. This paper aims to determine pricing and cooperative advertising decisions expenditure as well as the amount of manufacturers' production or retailer's purchase such that utility of all members is met. Hence, the problem is modeled as a multifollower bi-level programming problem. Since it is proved that the model is NP-hard, the proposed model is solved

show abstract

Application of multidivisional bi-level programming to coordinate pricing and inventory decisions in a multiproduct competitive supply chain

Cited by 26 publications

References 36 publications

A fuzzy leader-follower game approach to interaction of project client and multiple contractors in time/cost trade-off problem

A fuzzy leader-follower game approach to interaction of project client and multiple contractors in time/cost trade-off problem

A bi-level programming model for decentralized manufacturer-distributer supply chain considering cooperative advertising

Pricing and advertising decisions in a dominant-retailer supply chain: A multi-follower bi-level programming approach

Contact Info

Product

Resources

About