Abstract
This paper investigated how to design contract models under asymmetric information to manage supplier quality and achieve supply chain coordination. We employed game theory to design contract models: optimal contracts in centralized control situation, profit margin contract and profit sharing contract in decentralized control situation. Under asymmetric information, the manufacturer designed optimal contract to manage supplier quality and to achieve coordination. The numerical analyses show that profit sharing contract is an optimal decision and coordination mechanism in decentralized control situation.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callMore From: DEStech Transactions on Social Science, Education and Human Science
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
