A TWO-ECHELON FUZZY GAME APPROACH TO OPTIMAL SUPPLY CHAIN DECISION IN SMALL OR MEDIUM ENTERPRISES
Abstract
In this paper, we will analyze the behaviors of enterprises and customers, and help them make best decision for geting optimal profits. Today small and medium enterprises play an important role in our economy. When enterprises are small or medium, they need to find an effective way to reach decisions. In the paper, we will employ game theory to analyze it. Also, as relationship of the manufacturer and retailers can be taken as Stackelberg behaviors, we will build models based on Stackelberg behaviors. In order to make optimal decisions for the chain members, we use crisp numbers and fuzzy numbers in expressing the market demand. After that, we will analyze which is more accurate to the real situation and which is better to gain more profit for the members on the supply chain. Finally, we can get conclusions for the members on the supply chain. We clarify the advantage and disadvantage about this model of supply chain taken by small and medium enterprises.