Supply Chain with Disruption Risks, Strategic Players, and Disobeying Players

We consider three problems in supply chain management. First one is a single period problem where a retailer sources from a supplier, whose reliability is private information and whose efforts to improve reliability is unobservable (hidden action). Second one is a problem of a retailer who orders from competing strategic suppliers subject to independent or correlated disruptions, and responds by setting the retail price upon delivery, called responsive pricing. The suppliers set their wholesale prices in a Nash game. Finally, we develop a model where firms decide to disobey some regulating rules by considering economic, moral, as well as behavioral factors in their decisions.