Assessing the Impact of Prices Fluctuation on Demand Distortion Within a Multi-Echelon Supply Chain

Companies commonly use the practice of price fluctuation to stimulate demand. It is also a primary cause of the bullwhip effect. The authors analyze, through a supply chain management dynamic model, how the fluctuations impact the availability of orders placed along a traditional multilevel supply chain. The authors assume a staggered step demand pattern that has an elastic response to retail price fluctuation. A forecasting model will be proposed through the obtained results so that potential order variability placed by each echelon on the basis of the pattern used to be calculated. Finally, the authors propose a predictive model making quantification of order distortion generated by each level possible under the hypothesis of collaborative environments between different members of the chain.

  • Availability:
  • Authors:
    • Bolarin, Francisco Campuzano
    • Frutos, Antonio Guillamon
    • Lisec, Andrej
  • Publication Date: 2011

Language

  • English

Media Info

Subject/Index Terms

Filing Info

  • Accession Number: 01342360
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Jun 21 2011 12:00PM