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To choose third party logistics providers, lots of methods are developed, most of them focus on cost, time limit or quality uniquely, and none can take them all into consideration. This paper develops a game-theoretic model that studies the contract design problem. The model, in which the quality and cost of the providers are private information, involves a third party logistics buyer and many providers...
In bid invitation, the project owner is interested in deploying the contract mechanism that will secure reliable service at the cheapest cost and best quality. On the other hand, the contractor bidding for the project is interested in winning the contract at a price that assures him a reasonable profit margin. This paper develops a game-theoretic model which studies the contract design problem of...
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