Supply chain analysis with export tax rebate policy

摘要

With transnational trade becoming an important part of economic development, the related tax issue raises more concerns about multinational corporations. In recent years, tax-effective supply chain management (TESCM) is becoming an increasingly important aspect when some multinational corporations design their corporate strategies. This paper modifies the newsvendor model for two different patterns (centralized and decentralized) to investigate supply chain decisions for Chinese enterprises under China's value-added tax policies and export-oriented tax policies. We find that the optimal order quantity and the profit allocation in the two patterns are both affected by the export tax rebate policy. One important observation is that the decentralized supply chain can perform better than the centralized one under certain conditions, which is different from conventional wisdom.