How to make the individual get the reasonable and practical profit among the fourth party logistics supply chain coalition system is still a question for further study. Considering the characteristics of the fourth party logistics supply chain coalition, this paper combines Shapley Value with Distribution according to Contribution, two methods in the application, and then adjusts the profit allocated to each member reasonably based on the actual coalition situation named improved weighted Shapley Value model. In this paper, we first analyze the fourth party logistics supply chain coalition profit allocation models, the classical Shapley value method. Then, we analyze the weight of individual enterprise in the coalition by the analytic hierarchy process. To each enterprise, the weight is determined by the investment risks, information divulging risks, and failure risks. Finally, the numerical study shows that the profit allocation method improved weighted Shapley value model is relatively rational and practical. Thus, the proposed combined model is a useful profit allocation mechanism for the fourth party logistics supply chain coalition that the contribution and risks are fully considered. 1. Introduction “The fourth party logistics (4PL) [1] is Supply Chain Integrated Provider, which integrate and manage the different resources, abilities and technologies belonging to the company’s complementary service provider, and provide the overall solution to the supply chain with the customers.” [2]. In this paper the fourth party logistics [3] particularly refers to the logistics and supply chain operation mode. The fourth party logistics delivers supply chain service outsourcing to the fourth party, makes programs about the solutions to the supply chain management, and is responsible for the feedback of the supervision and management of solutions to supply chain management. Supply chain begins with the procurement of raw materials, and then, it produces intermediate products and final products and finally delivers products to consumers by sales system. It is the functional chain structure model consisting of manufacturers, distributors, retailers, and consumers. The fourth party logistics supply chain refers to that the fourth party logistics service providers integrate and coordinate different types of resources, capabilities, and technologies belonging to competitive and complementary enterprises as shown in Figure 1. Its purpose is to integrate and optimize all the resources, technologies, and abilities of the enterprises in the coalition of the supply
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