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Optimization Model of Close Supply Chain of Green Agricultural Products

Author

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  • Wang, Duo-hong
  • Li, Yu
  • Zhao, Hong-xia
  • Zhang, Jiang-quan

Abstract

Close supply chain of green agricultural products is defined, consisting of the supplier, manufacturer, distributor, retailer and consumer (customer). Cost structure of distributor is analyzed, mainly including the order activity-based cost, the inventory cost and the supply transportation cost of agricultural products in upstream and downstream enterprises. Based on this, conceptual model of the close supply chain of green agricultural products is established. According to the idea of dynamic planning, optimization model of close supply chain of green agricultural products at four stages is also set up. In other words, under the constraint condition of supply chain and the uncertainty of sales volume, optimization of the sum of inventory cost, supply transportation cost and order activity-based cost in supply chain at retailer, distributor, manufacturer and suppliers stages is studied, which provides references for the analysis and decision-making of supply chain management.

Suggested Citation

  • Wang, Duo-hong & Li, Yu & Zhao, Hong-xia & Zhang, Jiang-quan, 2009. "Optimization Model of Close Supply Chain of Green Agricultural Products," Asian Agricultural Research, USA-China Science and Culture Media Corporation, vol. 1(09), pages 1-4, September.
    • Handle: RePEc:ags:asagre:56289
    DOI: 10.22004/ag.econ.56289
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    Keywords

    Industrial Organization; Marketing;

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