Supply chains today routinely use third parties for many strategic activities, such as manufacturing, R&D, or software development. These activities often include relationship-specific investment on the part of the vendor, while final outcomes can be uncertain. Therefore, writing complete...

Channel coordination using contracts is a topic that commanded a great deal of attention in the supply chain management literature. Several recent studies that tested the performance of coordinating contracts in the laboratory found that they fail to coordinate channels, and a major reason for...

The behavioral literature has demonstrated that the format of supply chain contracts matters even when theoretically it should not and that contracts that in theory coordinate channels fail to do so in laboratory experiments. The existing body of experimental evidence uses an ultimatum...