Optimal Strategy of Supply Chain considering Interruption Insurance

Table 1

Symbols and related descriptions.

Notations	Description
	Wholesale price of manufacturer
	Retail price
	Production cost of manufacturer
	Retailer’s order quantity
	Random market demand
	Probability density function of demand
	Cumulative distribution function of demand
	Probability of interruption
	Random supply factor
	Penalty cost per unit product
	Premium rate
	Premium sharing coefficient
	Insurance proceeds sharing coefficient
	The expected profit function of retailer
	The expected profit function of manufacturer