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Chinese Journal of Management Science ›› 2015, Vol. 23 ›› Issue (11): 138-144.doi: 10.16381/j.cnki.issn1003-207x.2015.11.017

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Fresh Agricultural Product's Optimal Procurement Decisions with Retailer's Once Ordering in Advance

ZHANG Wei, ZHOU Gen-gui   

  1. Zhejiang University of Technology, Hangzhou 310023, China
  • Received:2014-02-13 Revised:2015-01-03 Online:2015-11-20 Published:2015-12-01

Abstract: In this paper, supply chain consisting of one retailer and one supplier is focused on, investigating its order decisions in the presence of the intractable problem of entities wastage of fresh agricultural product. Once delivering and twice delivering model is constructed respectively on the basis of the retailer's once ordering in advance, and it's found that the optimal ordering quantity is greater with twice delivering than that with once delivering. Moreover, compared with once delivering, maximum profits of both members are greater under twice delivering. Case analysis is applied to demonstrate that both the retailer and the supplier share the channel risk due to the wastage of fresh agricultural product, and that setting appropriate wholesale price in the selling season proves to have a positive effect in enhancing the ability against loss risks. Our conclusions provide vital significance in depth practice of agriculture-supermarket jointing.

Key words: fresh agricultural product, entities wastage, optimal ordering quantity, maximum profit, agriculture-supermarket jointing

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