A Study on Transactional Strategies in the Supply Chain Based on Bilateral Optional Forward Contracts

The fluctuations of market price bring risks to supply chain enterprises, which sign some optional forward contracts in order to reduce these risks. As an effective instrument for risk management, optional forward contract has the character of flexibility and variety. This paper aims to formulate the price of the contract using the option pricing theory and obtain an optimal proportion of forward contracts and the influence factors through the risk evasion model and on the basis of the utility maximization principle.