Construction and analysis of contract feasible set under quantity-discount contract

摘要

Purpose - The purpose of this paper is to look at how, in order to fit the practical environment, the scopes of the order-quantity of a quantity discount contract are enlarged. Design/methodology/approach - The contract feasible set (CFS) is discussed to extend the order quantity from a single point to an interval. Findings - The application of the CFS can enlarge the scope of the contracts of the supply chain. The CFS can be used in the practice. Research limitations/implications - The CFS of the quantity-discount contract only is discussed. The other contracts do not be involved. Practical implications - A very useful advice for construction the parameters of the contracts. Originality/value - The concept of the CFS is defined. The new approach that extend the parameters of the contracts from a single point to an interval is provided.