This paper concentrates on the primary theme of For the buy-back contract, the retail DC selects the ordering quantity depending on the buy-back price. Set the manufacturer`s selling price to (cellB9) $80. Plot the retail DC`s expected profit, manufacturer`s profit, and the total supply chain profit as in which you have to explain and evaluate its intricate aspects in detail. In addition to this, this paper has been reviewed and purchased by most of the students hence; it has been rated 4.8 points on the scale of 5 points. Besides, the price of this paper starts from £ 79. For more details and full access to the paper, please refer to the site.
4. Use the spreadsheet provided in the textbook`s CD-ROM to answer the following questions on supply chain coordination. We say a supply chain is coordinated if it achieves the global optimal solution.
a) For the buy-back contract, the retail DC selects the ordering quantity depending on the buy-back price. Set the manufacturer`s selling price to (cellB9) $80. Plot the retail DC`s expected profit, manufacturer`s profit, and the total supply chain profit as a function of the buy-back price (cell B11). Find, if it exists, a buy-back price that would coordinate this supply chain, and compare profits of the manufacturer and the distributor. If it does not exist, briefly explain.
b) Set the manufacturer`s selling price to $70, and repeat the question.
c) For the revenue-sharing contract, the retail DC selects the ordering quantity depending on the wholesale price and revenue-sharing percentage. Find, if exists, a pair of a wholesale price (cell B9) and revenue-sharing percentage (cell B11)that would coordinate this supply chain. Can you find another pair?
Please see attachment for the spreadsheet.