Coordination of dual-channel supply chain considering differential pricing and loss-aversion based on quality control

This paper investigates the coordination of dual-channel supply chain under quality control with a loss-averse manufacturer and retailer. Facing various uncertain factors, members tend to show loss aversion, which makes their actual decision deviate from optimal without considering aversion. Therefore, aversion effect function is applied characterize members. Besides, control, utility model constructed centralized decentralized decision, decisions are solved according principle maximization. Further, by analyzing comparing strategies two typical structures, wholesale price cost-sharing contract designed coordinate chain, proved be valid. Finally, impacts parameters change on level order presented through sensitivity analysis. It found that strategy degree affect setting chain. Moreover, conducive improving product reducing difference between channels.