Managing Supply Uncertainty with an Information Market

• Main Authors: GUO, Zhiling, FANG, Fang, WHINSTON, Andrew B.
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2009
• Subjects: Information market; Supply chain; Uncertainty; Game theory; Computer Sciences; Operations and Supply Chain Management
• Online Access: https://ink.library.smu.edu.sg/sis_research/1867; https://ink.library.smu.edu.sg/context/sis_research/article/2866/viewcontent/Managing_Supply_Uncertainty_with_an_Information_Market_afv.pdf
• Institution: Singapore Management University

We propose a market-based information aggregation mechanism to manage the supply side uncertainty in the supply chain. In our analytical model, a simple supply chain consists of a group of retailers who order a homogeneous product from two suppliers. The two suppliers differ in their ability to fulf...