Short-term financing in a cash-constrained supply chain
| Autor: | N. R. Srinivasa Raghavan, Vinit Kumar Mishra |
|---|---|
| Rok vydání: | 2011 |
| Předmět: |
Finance
Supply chain risk management Economics and Econometrics Supply chain management business.industry Supply chain media_common.quotation_subject Service management Management Science and Operations Research General Business Management and Accounting Industrial and Manufacturing Engineering Loan Order (exchange) Cash business Risk management media_common |
| Zdroj: | International Journal of Production Economics. 134:407-412 |
| ISSN: | 0925-5273 |
| DOI: | 10.1016/j.ijpe.2009.11.014 |
| Popis: | In this paper we consider a two-level supply chain with a single retailer and a manufacturer, where both the firms are facing financial constraints and can not produce/order their optimal quantity. Our work shows that a lender who finances the manufacturer has a motivation to finance the retailer as well. Motivated by this, we investigate lender's problem of financing both the firms by making a joint decision on the loan amount and comparing it with the case when lender makes independent decision on loan amount for both the firms. Our numerical study indicates that if one of the firms in the supply chain has sufficiently low cash, joint decision (we refer to it as supply chain financing) may be better not only for the lender but for the retailer and manufacturer as well. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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