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Coordination between firms and supply organization

Coordination between firms and supply organization

Cahiers d' Economie et Sociologie Rurales 57: 95-125

In this paper, we analyse the inventory and ordering policies of two firms, when (1) each firm has its own supplier and market but, (2) the first firm may act as a second supplier of the second firm. This allows for the study of improving horizontal coordination between producers in order to minimize shortages or overstocking phenomena due to demand hazards. Such producer-to-producer relationships are more developed in numerous agro-food chains (like fruit chains).

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