An initial research for patterns of payment in supply chain contracts with options
AbstractSupply chain contracts with options can coordinate uncertainty and asymmetry of demands information between buyers and suppliers, by which buyers are given larger flexibility and performance of the whole supply chain are enhanced. The majority of the literature relating to option contracts focuses on theory model in operation aspect and neglects the financial side of the problem. In fact, traditional modes of payment are unfit for option contracts. In this article, based on theory of opt