Research Article

Joint Decision on Ordering and Pricing of Cruise Tourism Supply Chain with Competing Newsboy-Type Retailers

Table 1

Major notations.

The unit operating cost of the supplier
The total number of cruise tickets for the supplier
Market potential composed of the retailer
Cross price elastic coefficient
The cost per unit when the amount of cruise tickets ordered by a retailer less than the demand of consumers then to reorder from the other retailer
The unit wholesale ticket price of the supplier to retailer in the benchmark case
The unit wholesale ticket price of the supplier to retailer in the alliance case
The unit retail ticket price of the retailer in the benchmark case
The unit retail ticket price of the retailer in the alliance case
The retailer order quantity of cruise tickets in the benchmark case
The retailer order quantity of cruise tickets in the alliance case
Lagrange multiplier in the benchmark case
Lagrange multiplier in the alliance case
The random variable of retailer’s demand
The PDF(Probability Density Function) of random variable
The CDF(Cumulative Distribution Function) of random variable
The inverse Cumulative Distribution Function of random variable

Note: the subscripts “r” and “s” are added to the relative variables to represent the values of the retailer and supplier, respectively, the subscripts “1” and “2” are added to the relative variables to represent the values of the retailer r1 and r2 respectively, the subscript “T” is added to the relative variables to represent the values of the system, and the superscripts “” and “” are added to the relative variables to represent their corresponding optimal values and the corresponding values in the alliance case, respectively, and the expected profits in the benchmark case and the alliance case are denoted as , respectively.