Abstract
We study a nonlinear complementarity formulation of the supply chainnetwork equilibrium problem, which is parallel to the variationalinequality model established by Dong et al. (2004). In this setting,we obtain weaker conditions to guarantee the existence anduniqueness of the equilibrium pattern for a supply chain. Asmoothing Newton method that exploits the network structure isproposed and convergence results are presented. Numerical examplesshow that the algorithm is more applicable than the modifiedprojection method presented by Dong et al. (2004).
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