Abstract: The structure of the supply chain network consisted of multiple suppliers and multiple retailers can be changed. At first, the supply chain network competition performance is analyzed in six scenarios: all suppliers (coordinated scenario) or part of suppliers (hybrid scenario) or none of suppliers (uncoordinated scenario) adopted coordination policy with two competitive manners between retailers. There are competitions with order quantity and retail price. It is shown that when competing between retailers with order quantity, return policy is a dominant strategy for each retailer and supply chain that used. True cost of changing suppliers by retailers will affect the vendors’ income and the enthusiasm of adopting the coordinated strategy. When retailer competing with retail price, return policy can stimulate the retailers to increase its order volume to some extent, and it is able to improve supply chain channels’ performance and increase the earnings stability to some extent.

Key words: supply chain network, competitive manner, return policy, competition performance, computational experiments