Skip to main content
SpringerLink
Log in

Supply Chain Financing Model with Data Analysis Under the Third-Party Partial Guarantee

  • Conference paper
  • First Online:
Advances in Neural Networks – ISNN 2020 (ISNN 2020)

Part of the book series: Lecture Notes in Computer Science ((LNTCS,volume 12557))

Included in the following conference series:

Abstract

With respect to a two-level supply chain which is comprised of a core retailer and a capital-constrained manufacturer under the background of digital economy, this paper use the Stackelberg game model and data simulation analysis to investigated the influence of the third-party partial guarantee on the decision-making of accounts receivable financing in the supply chain. With the consideration of retailer’s financing risk, this paper points out that the guarantee cost undertaken by the manufacturer can reduce the financing interest rate provided by the financial institution and improves the loan-to-value ratio of the financial institution. Meanwhile, retailer under-taken the guarantee cost will reduce the double marginalization effects to the supply chain financing operation, and then promoting the coordination of the supply chain. When the third-party guarantee company is introduced to the supply chain accounts receivable financing, the optimal decision is that the guarantee cost is undertaken by the retailer. Finally, the simulation analysis is conducted to verify the results of this research.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution
Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 39.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 54.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

References

  1. Bougheas, S., Mateut, S., Mizena, P.: Corporate trade credit and inventories: new evidence of a trade-off from accounts payable and receivable. J. Bank. Finance 3(2), 300–307 (2009)

    Article  Google Scholar 

  2. Yu, M.: Mode of operation and risk prevention of supply chain financing for SMEs. Adv. Appl. Econ. Finance 3(2), 532–536 (2012)

    Google Scholar 

  3. Koch, A.R.: Economic aspects of inventory and receivables financing. Law Contemp. Probl. 13(4), 566–578 (1948)

    Article  Google Scholar 

  4. Burman, R.W.: Practical aspects of inventory and receivables financing. Law Contemp. Probl. 13(4), 555–565 (1948)

    Article  Google Scholar 

  5. Dunham, A.: Inventory and accounts receivable financing. Harvard Law Rev. 62(4), 588–615 (1949)

    Article  Google Scholar 

  6. Poe, T.R.: Subjective judgments and the asset-based lender. J. Commer. Lend. Rev. 13(2), 67–70 (1998)

    Google Scholar 

  7. Czternasty, W., Mikołajczak, P.: Financing of SME using non-recourse factoring–legal, economic and tax aspects. Management 17(1), 358–370 (2013)

    Article  Google Scholar 

  8. Lu, Q.H., Gu, J., Huang, J.Z.: Supply chain finance with partial credit guarantee provided by a third-party or a supplier. Comput. Ind. Eng. 135, 440–455 (2019)

    Article  Google Scholar 

  9. Kouvelis, P., Zhao, W.H.: Who should finance the supply chain? Impact of credit ratings on supply chain decisions. Manuf. Serv. Oper. Manag. 20(1), 19–35 (2018)

    Article  Google Scholar 

  10. Cai, G.S., Chen, X.F., Xiao, Z.G.: The roles of bank and trade credits: theoretical analysis and empirical evidence. Prod. Oper. Manag. 23(4), 583–598 (2014)

    Article  Google Scholar 

  11. Kouvelis, P., Zhao, W.H.: Financing the newsvendor: supplier vs. bank, and the structure of optimal trade credit contracts. Oper. Res. 60(3), 566–580 (2012)

    Article  MathSciNet  Google Scholar 

  12. Jing, B., Chen, X.F., Cai, G.S.: Equilibrium financing in a distribution channel with capital constraint. Prod. Oper. Manag. 21(6), 1090–1101 (2012)

    Article  Google Scholar 

  13. Lu, X.Y., Wu, Z.Q.: How taxes impact bank and trade financing for Multinational Firms. Eur. J. Oper. Res. 286(1), 218–232 (2020)

    Article  MathSciNet  Google Scholar 

  14. Lai, V.S., Yu, M.T.: An accurate analysis of vulnerable loan guarantees. Res. Finance 17(3), 223–248 (1999)

    Google Scholar 

  15. Cossin, D., Hricko, T.: A structural analysis of credit risk with risky collateral: a methodology for haircut determination. Econ. Notes 32(2), 243–282 (2003)

    Article  Google Scholar 

  16. Gan, X.H., Sethi, S.P., Yan, H.M.: Channel coordination with a risk-neutral supplier and a downside-risk-averse retailer. Prod. Oper. Manag. 14(1), 80–89 (2005)

    Article  Google Scholar 

  17. Yan, N.N., Sun, B.W., Zhang, H., et al.: A partial credit guarantee contract in a capital-constrained supply chain: financing equilibrium and coordinating strategy. Int. J. Prod. Econ. 173, 122–133 (2016)

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

  1. School of Management Science and Engineering, Dongbei University of Finance and Economics, Dalian, 116025, China

    Shengying Zhao & Xiangyuan Lu

Authors
  1. Shengying Zhao
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Xiangyuan Lu
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Xiangyuan Lu .

Editor information

Editors and Affiliations

  1. Faculty of Electronic Information and Electrical Engineering, Dalian University of Technology, Dalian, China

    Min Han

  2. School of Science, Harbin Institute of Technology, Weihai, China

    Sitian Qin

  3. School of Engineering and Applied Sciences, University of the District of Columbia, Washington, DC, USA

    Nian Zhang

Rights and permissions

Reprints and permissions

Copyright information

© 2020 Springer Nature Switzerland AG

About this paper

Check for updates. Verify currency and authenticity via CrossMark

Cite this paper

Zhao, S., Lu, X. (2020). Supply Chain Financing Model with Data Analysis Under the Third-Party Partial Guarantee. In: Han, M., Qin, S., Zhang, N. (eds) Advances in Neural Networks – ISNN 2020. ISNN 2020. Lecture Notes in Computer Science(), vol 12557. Springer, Cham. https://doi.org/10.1007/978-3-030-64221-1_19

Download citation

  • DOI: https://doi.org/10.1007/978-3-030-64221-1_19

  • Published:

  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-030-64220-4

  • Online ISBN: 978-3-030-64221-1

  • eBook Packages: Computer ScienceComputer Science (R0)

Publish with us

Policies and ethics

Search

Navigation