We have studied a Multi-level, Multi-Objective Stackelberg game and applied
the model to a three echelon supply chain. So, we could make the following
assumptions:
1) We have a three echelon supply chain which includes multiple heterogeneous
retailers, one manufacturer and multiple suppliers.
2) Suppliers,manufacturer and retailers procure and make one type of products with
a fixed production rate.
3) The retailers are independent from each other in separate markets.
4) The retailers facing the customer demands which can be produced by
manufacturer with different raw materials purchased from the suppliers.
5) Each supplier provides one type of raw material to the manufacturer and the
manufacturer purchases one type of raw material from only one supplier
6) Demand at each retailer side is decreasing and convex function changes with
respect to its own retail price.
7) All entities in the chain are making profit.
All input parameters and variables in our model are stated as follows: