We model a supply chain scenario in which the genuine manufacturer is uncertain whether a retailer sells counterfeits alongside authentic products. We evaluate the optimal strategies for players under wholesale price contracts and two-part tariff contracts and analyse the impact of the...

Supply chain contracting has been discussed usually under the two compliance regimes, forced and voluntary. Various contracts show different coordination characteristics in the two regimes. However, in practice, the enforcement of quantities in case of forced compliance is always an issue of...