The dynamic behaviors of a supply chain with stock-dependent demand considering competition and deteriorating items

Abstract

Purpose

The purpose of this paper is to explore the dynamics and stability of switched supply system considering the influence of the retailer competition and deteriorating items.

Design/methodology/approach

A discrete dynamic switched model is developed to analyze the evolution process of the switched supply chain. The existence and the local stability of the switched supply chain are analyzed using an analytical method and a parameter plot basin.

Findings

The author finds the switched supply chain will exhibit stable, periodic, and divergent behaviors with different parameters due to the system’s switching mechanism and the switched supply chain presents complex dynamics when the stable and unstable subsystem coexist.

Originality/value

The originality and value of the research rests on this paper considering the influence of the retailers’ competition and deteriorating items on the supply chain dynamics under stock-dependent demand. The obtained results provide the decision maker with some guidelines on how to make stable designs for the switched supply chain design according to the parameter values.

Citation

Li, Q. (2016), "The dynamic behaviors of a supply chain with stock-dependent demand considering competition and deteriorating items", Kybernetes, Vol. 45 No. 7, pp. 1109-1128. https://doi.org/10.1108/K-04-2015-0112