Year
2025
Authors
EL OUARDIGHI Fouad, BENSOUSSAN Alain, PASIN Federico, QAISARI HASAN ABADI Moein
Abstract
We assess the impact of inventory holding in a supply chain both in terms of social welfare and environmental footprint under vertical and horizontal competition. As key components of the problem, the players’ inventory and the pollution levels are stock variables that change over time and are determined by the players' decisions. Due to the cumulative nature of players’ inventory and pollution, we adopt a differential game of finite duration. The suggested model is shown to have the state-separability property (Dockner et al.,1985), which implies that the second stage of the game admits a unique Markov-perfect equilibrium.
BENSOUSSAN, A., EL OUARDIGHI, F., PASIN, F. et QAISARI HASAN ABADI, M. (2025). Welfare and environmental impacts of inventory holding in a supply chain under vertical and horizontal competition. Dans: 2025 Optimization Days. Montreal.