Trade credit is often extended by suppliers to buyers who often have easier access to external financing. Moreover, many buyers also delay paying their suppliers beyond the agreed due day. Prior literature attributes this phenomenon to quality assurance or buyer's abuse of market power. In this...

Two innovative financing schemes have emerged in recent years to enable suppliers to obtain financing for production. The first, purchase order financing (POF), allows financial institutions to offer loans to suppliers by considering the value of purchase orders issued by reputable buyers. Under...

As an integrated part of a supply contract, trade credit has intrinsic connections with supply chain coordination and inventory management. Using a model that explicitly captures the interaction of firms' operations decisions, financial constraints, and multiple financing channels (bank loans...