文献类型： 外文期刊

作者： Chen, Frank Youhua ¹ ; Yano, Candace Arai ² ;

作者机构： 1.Chinese Univ Hong Kong, Dept Syst Engn & Engn Management, Shatin, Hong Kong, Peoples R China

2.Univ Calif Berkeley, Haas Sch Business & Ind Engn, Berkeley, CA 94720 USA

3.Univ Calif Berkeley, Dept Operat Res, Berkeley, CA 94720 USA

关键词： Supply chain coordination;Weather derivatives;Weather risk;Weather-linked rebate

期刊名称：MANAGEMENT SCIENCE （ 影响因子：4.883； 五年影响因子：6.619 ）

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收录情况： SCI

摘要： We consider a manufacturer-retailer supply chain for a seasonal product whose demand is weather sensitive. The retailer orders from the manufacturer (supplier) prior to the selling season and then sells to the market. We examine how a manufacturer can structure a weather-linked rebate to improve his expected profit. The proposed class of rebate contracts offers several advantages over many other contract structures, including no required verification of leftover inventory and/or markdown amounts, and no adverse effect on sales effort by the retailer. We provide a thorough analysis of the manufacturer's and retailer's decisions in this context. We show that the weather-linked rebate can take many different forms, and this flexibility allows the supplier to design contracts that are Pareto improving and/or limit his risk in offering the contract and the retailer's risk in accepting it. For weather rebates with certain characteristics, the manufacturer can fully hedge his risks of offering a weather rebate by paying a risk premium; we show how this can be accomplished. We also show that the basic structural results extend to settings in which the two parties would like to limit their risk.