摘要

The market-based adjustable contract for customized goods or services has emerged in outsourcing practices. Its objective is to minimize the operational risks inherent in today%26apos;s volatile environment of operations. Our research reveals several important properties of this contract through a continuous-time analytical approach. Specifically, we consider the determination of this contract between two risk-averse firms through a Nash bargaining process. We derive the optimal adjusting mechanism analytically and extensively analyze the application boundary of the market-based adjustable outsourcing contract. We conclude by discussing implications for practice and research.

  • 出版日期2013-2