January  2006, 2(1): 81-94. doi: 10.3934/jimo.2006.2.81

Supply chain inventory management via a Stackelberg equilibrium

1. 

Department of Information Management, Cheng Shiu University, No.840, Chengcing Rd., Niaosong Township, Kaohsiung County 833, Taiwan, R.O.C., Taiwan

2. 

A. G. Anderson Graduate School of Management, University of California, Riverside, CA 92521, United States

3. 

Department of Applied Mathematics, National Sun Yat-Sen University, Kaohsiung, Taiwan 80424, R.O.C., Taiwan

Received  August 2005 Revised  November 2005 Published  January 2006

In this paper we consider one-buyer, one-seller, finite horizon, multi-period inventory models in which the economic order quantity is integrated with the economic production quantity (EOQ-EPQ in short). We introduce the Stackelberg equilibrium framework in which the objective is to maximize the vendor's total benefit subject to the minimum total cost that the buyer is willing to incur. Some existence results, optimality conditions and the optimal replenishment policy under the Stackelberg equilibrium concept are obtained and a numerical algorithm and examples are presented to find the optimal replenishment policy in practice.
Citation: Yeong-Cheng Liou, Siegfried Schaible, Jen-Chih Yao. Supply chain inventory management via a Stackelberg equilibrium. Journal of Industrial & Management Optimization, 2006, 2 (1) : 81-94. doi: 10.3934/jimo.2006.2.81
[1]

Junichi Minagawa. On the uniqueness of Nash equilibrium in strategic-form games. Journal of Dynamics & Games, 2020, 7 (2) : 97-104. doi: 10.3934/jdg.2020006

[2]

Todd Hurst, Volker Rehbock. Optimizing micro-algae production in a raceway pond with variable depth. Journal of Industrial & Management Optimization, 2021  doi: 10.3934/jimo.2021027

[3]

Gaurav Nagpal, Udayan Chanda, Nitant Upasani. Inventory replenishment policies for two successive generations price-sensitive technology products. Journal of Industrial & Management Optimization, 2021  doi: 10.3934/jimo.2021036

[4]

Lars Grüne, Luca Mechelli, Simon Pirkelmann, Stefan Volkwein. Performance estimates for economic model predictive control and their application in proper orthogonal decomposition-based implementations. Mathematical Control & Related Fields, 2021  doi: 10.3934/mcrf.2021013

[5]

Enkhbat Rentsen, Battur Gompil. Generalized Nash equilibrium problem based on malfatti's problem. Numerical Algebra, Control & Optimization, 2021, 11 (2) : 209-220. doi: 10.3934/naco.2020022

[6]

Liangliang Ma. Stability of hydrostatic equilibrium to the 2D fractional Boussinesq equations. Discrete & Continuous Dynamical Systems - B, 2021  doi: 10.3934/dcdsb.2021068

[7]

Hong Yi, Chunlai Mu, Guangyu Xu, Pan Dai. A blow-up result for the chemotaxis system with nonlinear signal production and logistic source. Discrete & Continuous Dynamical Systems - B, 2021, 26 (5) : 2537-2559. doi: 10.3934/dcdsb.2020194

[8]

Caifang Wang, Tie Zhou. The order of convergence for Landweber Scheme with $\alpha,\beta$-rule. Inverse Problems & Imaging, 2012, 6 (1) : 133-146. doi: 10.3934/ipi.2012.6.133

[9]

Alexandre B. Simas, Fábio J. Valentim. $W$-Sobolev spaces: Higher order and regularity. Communications on Pure & Applied Analysis, 2015, 14 (2) : 597-607. doi: 10.3934/cpaa.2015.14.597

[10]

Anton Schiela, Julian Ortiz. Second order directional shape derivatives of integrals on submanifolds. Mathematical Control & Related Fields, 2021  doi: 10.3934/mcrf.2021017

[11]

Cicely K. Macnamara, Mark A. J. Chaplain. Spatio-temporal models of synthetic genetic oscillators. Mathematical Biosciences & Engineering, 2017, 14 (1) : 249-262. doi: 10.3934/mbe.2017016

[12]

Fernando P. da Costa, João T. Pinto, Rafael Sasportes. On the convergence to critical scaling profiles in submonolayer deposition models. Kinetic & Related Models, 2018, 11 (6) : 1359-1376. doi: 10.3934/krm.2018053

[13]

Jian Yang, Bendong Lou. Traveling wave solutions of competitive models with free boundaries. Discrete & Continuous Dynamical Systems - B, 2014, 19 (3) : 817-826. doi: 10.3934/dcdsb.2014.19.817

[14]

Qian Liu. The lower bounds on the second-order nonlinearity of three classes of Boolean functions. Advances in Mathematics of Communications, 2021  doi: 10.3934/amc.2020136

[15]

Pavel I. Naumkin, Isahi Sánchez-Suárez. Asymptotics for the higher-order derivative nonlinear Schrödinger equation. Communications on Pure & Applied Analysis, , () : -. doi: 10.3934/cpaa.2021028

[16]

Shanshan Chen, Junping Shi, Guohong Zhang. Spatial pattern formation in activator-inhibitor models with nonlocal dispersal. Discrete & Continuous Dynamical Systems - B, 2021, 26 (4) : 1843-1866. doi: 10.3934/dcdsb.2020042

[17]

Alina Chertock, Alexander Kurganov, Mária Lukáčová-Medvi${\rm{\check{d}}}$ová, Șeyma Nur Özcan. An asymptotic preserving scheme for kinetic chemotaxis models in two space dimensions. Kinetic & Related Models, 2019, 12 (1) : 195-216. doi: 10.3934/krm.2019009

[18]

Andrea Tosin, Mattia Zanella. Uncertainty damping in kinetic traffic models by driver-assist controls. Mathematical Control & Related Fields, 2021  doi: 10.3934/mcrf.2021018

[19]

A. Aghajani, S. F. Mottaghi. Regularity of extremal solutions of semilinaer fourth-order elliptic problems with general nonlinearities. Communications on Pure & Applied Analysis, 2018, 17 (3) : 887-898. doi: 10.3934/cpaa.2018044

[20]

Xiaoming Wang. Quasi-periodic solutions for a class of second order differential equations with a nonlinear damping term. Discrete & Continuous Dynamical Systems - S, 2017, 10 (3) : 543-556. doi: 10.3934/dcdss.2017027

2019 Impact Factor: 1.366

Metrics

  • PDF downloads (92)
  • HTML views (0)
  • Cited by (7)

[Back to Top]