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Dynamic Cooperation Design Of Supply Chain Based On Reputation

In: Challenges In Information Technology Management

Author

Listed:
  • GUIQING QI

    (Business Administration, Northeastern University, No. 11, Lance 3, Wenhua Road, Heping District Shenyang, Liaoning Province, 110004, China)

  • XIHUAI YANG

    (Business Administration, Northeastern University, No. 11, Lance 3, Wenhua Road, Heping Disrict Shenyang, Liaoning Province, 110004, China)

Abstract

Reputation can impel and restrict players' behavior, based on which, the paper regards reputation as the information reflecting the historic records and characteristics of players, and describe the dynamic mechanism to cooperate in the supply chain between the upstream and the downstream enterprises. Pursuant to the mechanism herein, agents' reputation are updated in accordance with Bayes' Law, therefore, the paper further establishes task distribution model and cooperation return rate model, through which, such problems as adverse selection and moral hazard can be effectively overcome before or after signing agreement.

Suggested Citation

  • Guiqing Qi & Xihuai Yang, 2008. "Dynamic Cooperation Design Of Supply Chain Based On Reputation," World Scientific Book Chapters, in: Man-Chung Chan & Ronnie Cheung & James N K Liu (ed.), Challenges In Information Technology Management, chapter 20, pages 131-136, World Scientific Publishing Co. Pte. Ltd..
    • Handle: RePEc:wsi:wschap:9789812819079_0020
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