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| Author: | Cachon, G. P. Lariviere, M. A. |
| Title: | Contracting to assure supply: how to share demand forecasts in a supply chain |
| Journal: | Management Science
2001 : MAY, VOL. 47:5, p. 629-646 |
| Index terms: | ASYMMETRIC INFORMATION GAME THEORY SIGNALING SUPPLY CHAIN MANAGEMENT |
| Language: | eng |
| Abstract: | Forecast sharing is studied in a supply chain with a manufacturer that faces stochastic demand for a single product and a supplier that is the sole source for a critical component. The following sequence of events occurs: the manufacturer provides her initial forecast to the supplier along with a contract, the supplier constructs capacity ( if he accepts the contract), the manufacturer receives an updated forecast and submits a final order. Two contract compliance regimes are considered. |
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