Optimal Decisions in a Single-Period Supply Chain with Price-Sensitive Random Demand under a Buy-Back Contract

Figure 3

The impact of buy-back price 𝑏 on the wholesale price 𝑤^∗_𝑆, the retail price 𝑝^∗_𝑅, and the order quantity 𝑞^∗_𝑅 under the scenario where 𝛽=2, 𝑐=4, 𝐷(𝑝,𝜖)=200𝑝⁻²⋅𝜖, 𝜖∼𝑈[0,100]. (a) The impact of buy-back price 𝑏 on the wholesale price 𝑤^∗_𝑆 when 𝛽=2. (b) The impact of buy-back price 𝑏 on the retail price 𝑝^∗_𝑅 when 𝛽=2. (c) The impact of buy-back price 𝑏 on the order quantity 𝑞^∗_𝑅 when 𝛽=2.

(a)

(b)

(c)