Abstract:In order to find the supplier trade credit pricing strategies in two echelon supply chain it is reasonable to consider the default risk in decision making. The optimal decisions were investigated on two echelon centralized and decentralized supply chain. The realization of the coordination of supply chain was discussed by considering the pricing of the trade risk premium from the perspective of the supplier who is the leader in the supply chain. The result show that the pricing on trade credit for the coordination of supply chain and on the capital market complies with the same rule, that is, the higher risk corresponds with the higher profit as the capital asset pricing model indicates.
