Abstract: This paper investigates the issue of dual-channel supply chain coordination,between tradition channel and electronic direct channel and between upriver and downriver companies,under the price-sensitive demand condition.By the analysis of the characteristic of dual-channel supply chain,firstly,the manufacturer gives the retailer a fraction of the revenue generated by the electronic direct channel Secondly,the retailer pays a wholesale price to the manufacturer per unit,and the manufacturer gets a fraction of the revenue generated by the retailer channel.Thus,a new revenue-sharing contract model can achieve dualchannel supply chain coordination,and the calculation formula of the range of contract parameters are given.Furthermore,this paper discusses the condition of perfect and win-win coordination in dual-channel supply chain Finally,a numerical example is used to verify the results and effectiveness of dual-channel coordination which is designed by revenue-sharing contract.

Key words: Dual-channel Supply chain, revenue-sharing contract, coordination