Abstract
Nowadays, companies are searching for some ways to improve their competition by more suitable cooperation, more reasonable contract, etc. The concepts to form a supply chain alliance are framed by many companies that want to gain more advantage. The main purpose of forming a supply chain alliance is to lower product cost, to improve quality and to reduce the amount of time to bring the product to the customers.The purpose of this thesis is to build a two-stage decision model for a broker to select his partners on both the strategic level planning and the tactical level planning. The broker acts as an agent or a decision maker or a company with the core competence. The conclusion is that the two-stage model is useful when choosing the partners, and that we can select our partners properly by setting the proper connecting cost for each candidates. Besides, we find out the difference between the two information flows (one-way flow of information and two way flow of information), and the two-way flow takes advantage in the “Connection time” and the ”Response time for order”.