Research Article
Inventory and Ordering Decisions in Dual-Channel Supply Chains Involving Free Riding and Consumer Switching Behavior with Supply Chain Financing
| Superscripts | | Decentralized , centralized , partial buyback contract | Subscripts | | Retailer , supplier |
| Decision variables | | Ordering quantity , inventory level | | Sales effort level |
| Parameters | | Critical value of demand | | Channel sales price | | Consumer switching rate | | Cost factor of sales effort | | Free riding coefficient of the supplier | | Elasticity coefficient of market demand response to the retailer’s sales effort | | Production cost | | Initial funds of the retailer | | Financing amount of the retailer | | Residual value | | The supplier wholesale price | | Partial buyback ratio | | Interest rate of trade credit financing | | Profit under the decentralized system | | Profit under the centralized system | | Channel primary demands | | Channel total demand | | Density function of demand | | Cumulative density function of demand |
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