Individual And Collective Pricing Strategies For A Multi-Layer, Multi-Channel Supply Chain With Suggested Selling Price By Manufacturer

Abstract

This article analyses a pricing policy and coordination among members of a three-layer, multi-channel and multi-echelon supply chain,consisting of manufacturers, distributors and retailers. The demand is considered a linear declining function of time and selling price at the retailer’s end for a single item. The maximum profit function per unit of time is earned for each supply chain member subjected to the expenditures.