Pricing strategy on supply chain and its algorithm

The manufacturer and retailers of the supply chain will pursue maximization of profits in product pricing, which tend to show relations of game in which stackelberg game is a typical one. The pricing decisions of supply chain model with one manufacture and multiple retailers is established through multi-layer planning model in this paper. And the optimal solutions of this model is obtained through an improved genetic algorithm that adjust the searching range by the outstanding individuals which searched during the operation of genetic algorithm. According to numerical examples, the interest of each member can be guaranteed to maximize in the supply chain of distribution control type although the total profits of the best may not be achieved.