Research on the Procurement-Pricing Model of Emergency Material Based on Option Contract

Existing government emergency material supply repositories often consume many human and material resources. In addition， supplies that are expired also lead to great waste and loss. Therefore， the government and suppliers can sign the procurement reserve agreement， which stimulates that enterprises store emergency supplies. By analyzing the changes of supplier profits and government costs， the paper aims at the establishment of emergency supplier procurement pricing model by referring to the genetic algorithms. The case study shows that the pricing strategy can help the government and enterprises to achieve a win-win situation.