Research on restrictive buy-back contract of supply chain based on the strategy of adding price

The paper points out the supply chain with one manufacturer and two markets. The strategies of adding price and discriminate price are adopted for manufacturer in order to make the profit maximize. Compared to the normal price strategy, the maximum profit is obtained for manufacturer which the two price strategies are adopted for the two markets at the same time. Finally, a numerical example is given to illustrate the effectiveness of price strategy for promoting and profit of supply chain.