Under quantity flexibility contract, the coordination of supply chain with a risk-neutral supplier and a loss-averse
retailer is discussed. The impact of contract parameter and retailer’s loss-averse characteristic on the optimal quantity is
revealed. It is found that the supply chain can achieve coordination with regulating the degree of flexibility. When the degree
of flexibility satisfies certain condition, changing wholesale price can also coordinate the supply chain. Finally, numerical
analysis verifies the effectiveness of quantity flexibility contract in supply chain coordination, and the reason is discussed.