Research On Dynamic Pricing And Coordination Of Fresh Produce Supply Chain Based On Differential Game

Due to increased health awareness and knowledge of consumer information,the freshness of produce has become a key driver in maintaining customer loyalty and sustaining traffic to retail stores.Therefore,each fresh produce supply chain member must take responsibility for maintaining product quality and freshness.Consumers consider color,odor,and texture as indicators of the overall quality and freshness of produce.The biggest drawback of fresh produce is its perishability,making it more challenging to operate a business pricing strategy,and thus has received attention from government,business,and academia.This paper combines operation management,marketing,optimal control theory,game theory,and other related theories and methods to study dynamic pricing and coordination of operating fresh agricultural products operating companies.First,a second-level supply chain is constructed to address the dynamic pricing and coordination problem of the fresh produce supply chain.Since fresh produce is perishable and perishable,the dynamic evolution of freshness is considered.It is assumed that market demand depends not only on price but also on freshness.The dynamic pricing and freshness input strategies and member and overall supply chain profits under both centralized and decentralized scenarios are analyzed and compared.The Two pricing contracts are used to coordinate the fresh produce supply chain.The results show that there are differences in the pricing strategies of the operating companies if the freshness varies;when the transfer price in the two-part pricing is a function of the freshness of the produce,this contract can satisfactorily coordinate the supply chain;the higher the freshness effectiveness,the better the fresh produce suppliers’ coordination ability,while the operational inefficiency plays the opposite role.Second,to address the dynamic pricing and coordination problem of the dual-channel fresh produce supply chain,a dual-channel supply chain and related game model is constructed to compare the equilibrium strategies and profits under the centralized and decentralized scenarios,and the cost-sharing + fixed subsidy cost contract and the wholesale price contract are used to coordinate the supply chain.The results show that the online pricing strategies are the same in the centralized and decentralized scenarios.The offline pricing strategies are very different;both contracts can coordinate the supply chain when the cost-sharing ratio + fixed subsidy fee and the wholesale price discount rate are taken within a specific range.Third,to address the dynamic pricing and coordination problem of competitive fresh produce supply chains,a competitive supply chain-related game model consisting of two fresh produce suppliers and one retailer,i.e.,competitive suppliers,or one fresh produce supplier and two retailers,i.e.,competitive retailers,is constructed to compare the equilibrium strategies and profits under the centralized versus the competitive supplier and competitive retailer decentralized scenarios,and to coordinate the supply chain using revenue sharing and product quantity discount contracts to coordinate the supply chain.The results show that: with different freshness,the operating firms have different pricing decisions in the competitive supply chain,and the price in the centralized scenario is not necessarily lower than that in the decentralized scenario,while the pricing decisions in the decentralized scenario are the same,but the prices are different;both contracts can coordinate the supply chain.Fourth,to address the dynamic pricing and coordination of the three-level supply chain of fresh produce,a three-level supply chain,and related game model are constructed,considering the reference price effect on market demand,comparing the equilibrium strategies and profits under two scenarios of centralization and decentralization,and using cost-sharing,revenue-sharing and "cost-sharing + revenue-sharing" to coordinate the three-level supply chain.Three types of contracts are used to coordinate the three-tier supply chain.The results show that the freshness effectiveness is affected by the freshness contribution rate and consumer reference price effect.The reference price effect affects not only the equilibrium strategy but also the coordination.The reference price effect affects the price and coordination differently with different reference price values;when the sharing ratio under the three contracts is within a specific range,all three contracts can coordinate the supply chain.