Study on EOQ model of supply chain cooperative game

In the traditional economic order quantity model, the demander orders on a certain quantity to pursue his profit's maximization. It means non-optimization for the whole of supply chain. The thesis firstly analyzes the incomes of the supplier and demander under non-cooperation condition respectively, then establishes an economic order quantity model of supply chain cooperative game, the goal of which is to maximize the overall income of the supply chain. The cooperative benefit assignment mechanism and the question of triggering strategy among long-term repeated games are discussed finally.