Revenue sharing contracts (RSCs) have gained considerable popularity over the past two decades-particularly among prominent platform distributors such as the Apple App Store, Google Play, and Amazon- ...and have therefore attracted a great deal of research attention in the domain of supply-chain management. This study is the first to review the literature dealing with RSCs, a literature in which the number of articles has been growing consistently over the years. Specifically, we aim to provide a comprehensive overview of the state of the art of the research field, and to identify potentially fruitful areas for further exploration. To this end, we have carried out a content analysis of 148 carefully selected papers that address various aspects of RSCs in the domains of operations research and operations management. Our survey classifies and discusses the reviewed papers along numerous dimensions of interest, including the types of contract they incorporate and the research questions they address. We provide mathematical formulations of the two RSC structures that are most prevalent in research and in practice: (i) a wholesale-price contract that incorporates an added revenue-sharing mechanism; and (ii) a consignment contract with revenue sharing.
•Proposed an analytical model for the two- and three-echelon reverse supply chain.•Defined the PC recycling supply chain as foundation for generating the analytical model.•Analyzed the model behavior ...and profit implications by the applicability of a numerical example.
Products that are not recycled at the end of their life increasingly damage the environment. In a collection – remanufacturing scheme, these end-of-life products can generate new profits. Designed on the personal computers industry, this study defines an analytical model used to explore the implications of recycling on the reverse supply chain from an efficiency perspective for all participants in the process. The cases considered for analysis are the two- and three-echelon supply chains, where we first look at the decentralized reverse setting followed by the coordinated setting through implementation of revenue sharing contract. We define customer willingness to return obsolete units as a function of the discount offered by the retailer in exchange for recycling devices with a remanufacturing value. The results show that performance measures and total supply chain profits improve through coordination with revenue sharing contracts on both two- and three-echelon reverse supply chains.
In 2008, British Columbia implemented the first comprehensive and substantial carbon tax in North America. By 2012, the tax had reached a level of C$30/t CO2, and it covers about three-quarters of ...all greenhouse gas emissions in the province. This paper reviews existing evidence on the effect of the tax on greenhouse emissions, the economy, and the distribution of income, and provides new evidence on public perceptions of the tax. Empirical and simulation models suggest that the tax has reduced emissions in the province by between 5% and 15% since being implemented. At the same time, models show that the tax has had negligible effects on the aggregate economy, despite some evidence that certain emissions-intensive sectors face challenges. Studies differ on the effects of the policy on the distribution of income, however all studies agree that the effects are relatively small in this dimension. Finally, polling data shows that the tax was initially opposed by the majority of the public, but that three years post-implementation, the public generally supported the carbon tax.
•We review the experience with the carbon tax in British Columbia.•The carbon tax has reduced greenhouse gas emissions by 5–15%.•The carbon tax has a negligible impact on overall economic activity.•Public support for the carbon tax increased over time.
We study robust formulations of assortment optimization problems under the multinomial logit choice model. The novel aspect of our formulations is that the true parameters of the logit model are ...assumed to be unknown, and we represent the set of likely parameter values by a compact uncertainty set. The objective is to find an assortment that maximizes the worst-case expected revenue over all parameter values in the uncertainty set. We consider both static and dynamic settings. The static setting ignores inventory consideration, whereas in the dynamic setting, there is a limited initial inventory that must be allocated over time. We give a complete characterization of the optimal policy in both settings, show that it can be computed efficiently, and derive operational insights. We also propose a family of uncertainty sets that enables the decision maker to control the trade-off between increasing the average revenue and protecting against the worst-case scenario. Numerical experiments show that our robust approach, combined with our proposed family of uncertainty sets, is especially beneficial when there is significant uncertainty in the parameter values. When compared to other methods, our robust approach yields over 10% improvement in the worst-case performance, but it can also maintain comparable average revenue if average revenue is the performance measure of interest.
•Employs improved data on the composition of government revenue to implement improved tests of the political resource curse.•Evidence of a political resource curse across a wide range of econometric ...estimators, with large magnitude.•Evidence that the political resource curse is driven by changes in government revenues rather than resource income.•Evidence that natural resource wealth is anti-democratic, rather than stabilizing, in both autocracies and democracies.•Evidence that the political resource curse is best understood as a long-term relationship.
A large body of econometric research has generated growing support for the existence of a political resource curse, but has nonetheless continued to be regularly punctuated by research contesting those conclusions. This continuing disagreement can be explained in significant part by problems associated with low-quality government revenue data: it has undermined the robustness of many existing findings, while leading other researchers to rely on alternative measures of resource income as their primary explanatory variable – a highly imperfect measures of the underlying relationship of interest. We re-examine the relationship between taxation, non-tax revenue and democracy by employing dramatically improved data developed specifically for this research. We find the strongest evidence to date of a political resource curse, and provide evidence about the specific details of the underlying relationship: (i) natural resource wealth is anti-democratic, rather than merely stabilizing; (ii) it is driven primarily by changes in the composition of government revenue; (iii) it is best understood as a long-term relationship, rather than short-term changes in resource wealth being quickly translated into major political changes; and (iv) it is driven primarily by oil wealth, rather than mineral wealth, because governments are comparatively effective at translating oil wealth into the government revenues that drive the political resource curse.
Choice models today are ubiquitous across a range of applications in operations and marketing. Real-world implementations of many of these models face the formidable stumbling block of simply ...identifying the "right" model of choice to use. Because models of choice are inherently high-dimensional objects, the typical approach to dealing with this problem is positing, a priori, a parametric model that one believes adequately captures choice behavior. This approach can be substantially suboptimal in scenarios where one cares about using the choice model learned to make fine-grained predictions; one must contend with the risks of mis-specification and overfitting/underfitting. Thus motivated, we visit the following problem: For a "generic" model of consumer choice (namely, distributions over preference lists) and a limited amount of data on how consumers actually make decisions (such as marginal information about these distributions), how may one predict revenues from offering a particular assortment of choices? An outcome of our investigation is a
nonparametric
approach in which the data automatically select the right choice model for revenue predictions. The approach is practical. Using a data set consisting of automobile sales transaction data from a major U.S. automaker, our method demonstrates a 20% improvement in prediction accuracy over state-of-the-art benchmark models; this improvement can translate into a 10% increase in revenues from optimizing the offer set. We also address a number of theoretical issues, among them a qualitative examination of the choice models implicitly learned by the approach. We believe that this paper takes a step toward "automating" the crucial task of choice model selection.
This paper was accepted by Yossi Aviv, operations management.
Nontax revenues make up a substantial amount of government revenue around the world, though scholars usually focus on individual sources of such revenue (for example, foreign aid and state-owned oil ...companies). Using a theory of regime change that builds on recent models of the redistributional foundations of dictatorships and democracies, I generate hypotheses regarding all nontax revenue and regime stability. I argue that an increase in nontax revenue should be associated with less taxation of elites in democracies, more social spending in dictatorships, and more stability for both regime types. I find support for all three of these hypotheses in a cross-sectional time-series analysis, covering all countries and years for which the necessary data are available. Significantly, I show that the particular source of nontax revenue does not make a difference: they all act similarly with regard to regime stability and the causal mechanisms.
After consideration of a supply chain consisting of a manufacturer and a retailer, this paper uses a two-stage Stackelberg game to explore the production decision as well as the government cap ...setting with wholesale price and revenue sharing contracts under cap-and-trade regulation. We also compare the total carbon emission and social welfare with the two contracts. We list some main conclusions. Firstly, we find that the government's over-allocated carbon credits may damage the manufacturer's profit with wholesale price or revenue sharing contract, which can increase the difficulty of implementing cap-and-trade regulation. Secondly, we detect that the optimal cap under the two contracts is decreasing or constant in the environmental concern parameter, which means that the government should keep the optimal cap unchanged under the low or high environmental concern parameter, and decrease the cap when the middle environmental concern parameter increases. Thirdly, we show that using green technology may increase the total carbon emission. Finally, we discover that the social welfare with wholesale price contract is less (larger) than that with revenue sharing contract under low (high) value of the environmental concern parameter, and the social welfare with the two contracts is equal to each other under middle value of the environmental concern parameter.
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