Flexible and Risk-Sharing Supply Contracts Under Price Uncertainty
Management Science
Mathematical Optimization and Economic Theory
Mathematical Optimization and Economic Theory
Coordination and Flexibility in Supply Contracts with Options
Manufacturing & Service Operations Management
The Impact of the Secondary Market on the Supply Chain
Management Science
Models for Supply Chains in E-Business
Management Science
Measuring Imputed Cost in the Semiconductor Equipment Supply Chain
Management Science
The role of e-marketplaces in relationship-based supply chains: a survey
IBM Systems Journal
Optimal capacity expansion in the presence of capacity options
Decision Support Systems - Challenges of restructuring the power industry
Codifiability, Relationship-Specific Information Technology Investment, and Optimal Contracting
Journal of Management Information Systems
The role of e-marketplaces in relationship-based supply chains: a survey
IBM Systems Journal
Optimal capacity expansion in the presence of capacity options
Decision Support Systems - Challenges of restructuring the power industry
Supplier selection and order lot sizing modeling: A review
Computers and Operations Research
The Landscape of Electronic Market Design
Management Science
Buyer's Efficient E-Sourcing Structure: Centralize or Decentralize?
Journal of Management Information Systems
Advance selling and internet intermediary: travel distribution strategies in the e-commerce age
Proceedings of the ninth international conference on Electronic commerce
Extending electronic sourcing theory: An exploratory study of electronic reverse auction outcomes
Electronic Commerce Research and Applications
Using the analytic hierarchy process to rank foreign suppliers based on supply risks
Computers and Industrial Engineering
Information Systems Frontiers
Risk Management of Contract Portfolios in IT Services: The Profit-at-Risk Approach
Journal of Management Information Systems
The Complementary Effects of E-Markets on Existing Supplier-Buyer Relationships in a Supply Chain
Journal of Management Information Systems
Competition in the Supply Option Market
Operations Research
Contracting in Supply Chains: A Laboratory Investigation
Management Science
Optimal capacity expansion in the presence of capacity options
Decision Support Systems - Challenges of restructuring the power industry
Information Systems Research
A portfolio approach to multi-product newsboy problem with budget constraint
Computers and Industrial Engineering
Media Revenue Management with Audience Uncertainty: Balancing Upfront and Spot Market Sales
Manufacturing & Service Operations Management
Sourcing Flexibility, Spot Trading, and Procurement Contract Structure
Operations Research
Integrating Long-Term and Short-Term Contracting in Beef Supply Chains
Management Science
Modeling supply contracts in semiconductor supply chains
Proceedings of the Winter Simulation Conference
On the Equilibrium Behavior of a Supply Chain Market for Capacity
Manufacturing & Service Operations Management
Journal of Management Information Systems
Managing Storable Commodity Risks: The Role of Inventory and Financial Hedge
Manufacturing & Service Operations Management
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This paper develops a framework for analyzing business-to-business (B2B) transactions and supply chain management based on integrating contract procurement markets with spot markets using capacity options and forwards. The framework is motivated by the emergence of B2B exchanges in several industrial sectors to facilitate such integrated contract and spot procurement. In the framework developed, a buyer and multiple sellers may either contract for delivery in advance (the "contracting" option) or they may buy and sell some or all of their input/output in a spot market. Contract pricing involves both a reservation fee per unit of capacity and an execution fee per unit of output if capacity is called. The key question addressed is the structure of the optimal portfolios of contracting and spot market transactions for the buyer and these sellers, and the pricing thereof in market equilibrium. Existence and structure of market equilibria are characterized for the associated competitive game between sellers with heterogeneous technologies, under the assumption that they know the buyer's demand function. This allows an explicit characterization of the price of capacity options and the value of managerial flexibility, as well as providing conditions under which B2B exchanges are efficient and sustainable.