Study on Coordinated and Un-coordinated Mechanism of Supply Chain

Abstract

This paper analyzed the concepts and the fundamentals of information coordinated and uncoordinated mechanism. The key roles of information-coordinated mechanism in supply chain were emphasized and information was pointed out as valuable resources for decision-making. Then the coordinated mechanism based on maximum profits was discussed. The structures of optimal solution for order quantity and sale price on various conditions were studied. Finally the effects of coordination and un-ordination on profit distribution were described.