Affected by complicated issues, such as regional conflicts, trade wars, and the COVID-19 pandemic, manufacturing firms face enormous challenges in reconstructing the global supply chain landscape to form new cooperative innovation mechanisms. This study investigates the relationship between...

Suppliers often make proactive investments in capacity to strategically position themselves to win a contract with a monopolist buyer. Such investments reduce the suppliers' variable costs of serving the buyer's demand. We show that an auction mechanism does not always benefit the...