Open AccessStudy on the Decision of Supply Chain Considering Asymmetric Information and Quality Competition
Author(s) -
Chao Zhao,
Jing Zhao,
Gang Wu,
Fan Zhang
Publication year - 2019
Publication title -
journal of physics. conference series
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.21
H-Index - 85
eISSN - 1742-6596
pISSN - 1742-6588
DOI - 10.1088/1742-6596/1345/4/042074
Subject(s) - supply chain , quality (philosophy) , competition (biology) , stackelberg competition , information asymmetry , industrial organization , information quality , business , product (mathematics) , payment , microeconomics , risk analysis (engineering) , economics , marketing , information system , engineering , ecology , philosophy , geometry , mathematics , epistemology , finance , electrical engineering , biology
Product quality is a fundamental factor for supply chain to obtain a competitive advantage. This paper studies the decisions of supply chain under asymmetry information of quality effort cost, considering the quality competition of manufacturers. Transfer payment contract is introduced by comparing the Stackelberg model between symmetry information and asymmetry information. At the same time, this paper analyzes the impact of quality competition and false information strategy on supply chain quality decision. The research shows that the quality competition can improves products quality, and manufacturers tend to choose strategy of false information. Moreover, after the introduction of contract, the manufacturers will convey the true quality information and reduce the competition to optimize their own profits.