Information sharing in a make-to-stock supply chain

This paper addresses how different coordination mechanisms affect theinformation sharing behavior in a supply chain. We study information sharingin a make-to-stock supply chain under wholesale contract and revenue sharingcontract. Under wholesale contract, we show that information sharing isalways beneficial to the supplier and identify the conditions ensuring that information sharing is beneficial to theretailer. Under revenue sharing contract, information sharing is beneficialto the supplier, the retailer and the supply chain. This research indicatesthat whether sharing the demand information is beneficial depends on thecoordination mechanism and parameters.