Comparison Study on the Influence of Different Market Strategies on Supply Chain Decision Under Delay in Payments

Delay in payment models have been analyzed under the assumption of profit maximum. The paper analyzes the effects of the two different marketing strategies (profit maximum and revenue maximum) under the delay in payments on the optimal decisions of the supplier and the retailer. The results indicate that different marketing strategies have great impact on the optimal delay in payment decision. The supplier tends to lengthen trade period of delay in payment under the assumption of revenue maximum, compared to profit maximum. And the supply chain which the leader is the revenue maximizer excel that of the profit maximizing leader.