Research on the Integration of Buyback Contract and Revenue Sharing Contract

Abstract

With the acceleration of economic progress, the management method developed, the supply chain management (SCM) have been gradually accepted by the manager, and the supply chain contract have become one of the most important management method. Meanwhile, e-business has been the main platform of business, which reduce the distance between the upstream member and the downstream member of the supply chain, and the electronic supply chain (E-SC) become the hot spot of the SCM research. The paper will discuss the integration between the buyback contract which is always used in the traditional supply chain and the revenue sharing contract which is much more used in the e-supply chain based on the research of the supply chain’s expected profit, analysis the relevance of the two contracts on the supply chain coordination effect, and find the conditions under which the two contracts will make the same effect on supply chain coordination, and integrate the two contracts.