Cooperative Game In Supply Chain Considering Strategic Customer

In recent years,many companies have adopted cooperative strategies to improve their supply chain efficiency,they reduce supply chain costs through alliances and collaborative logistics,at the same time,there are a large number of strategic consumers in real life,they may not immediately buy at full price when they are faced with their desired products,but go to buy at discounted prices when the products are on sale.Strategic consumers have a negative impact on sellers,resulting in lower revenue for them.Many studies and experiments have shown that ignoring strategic consumer behavior can have a serious negative impact on the seller's revenue.Therefore,sellers need to consider the impact of strategic consumer behavior when making decisions.At the same time,as customer expectations are getting higher and higher,in order to improve their supply chain efficiency,many companies adopt cooperative strategies to reduce supply chain costs through collaborative logistics.This paper investigates the impact of strategic consumer behavior on ordering and pricing strategies,alliance formation,and allocation mechanisms that sellers also need to consider when cooperating.Can the cooperative strategy achieve more profitability for the seller when considering strategic consumer behavior? If so,what alliances are needed between sellers to increase profitability? How would ordering and pricing strategies need to be developed? What is the distribution of profits within the alliance?Can a cooperative strategy reduce the impact of strategic consumer behavior? Therefore,the main points of this paper include.(1)First,this paper presents the horizontal cooperative game problem of supply chain facing strategic consumers by building a model and giving the ordering and pricing strategies.This paper shows that when sellers face strategic consumers,adopting cooperative strategies to jointly develop ordering and pricing strategies can bring more benefits to sellers.The paper shows that compared to the individual decision of considering strategy consumer behavior,the seller's cooperative decision reduces the inventory and increases the selling price,while the availability of the consumer to purchase the product during the discount period decreases,thus inducing the consumer to purchase the product during the full price period.(2)This paper further investigates the issue of price and order quantity setting by two sellers using a combination of cooperative strategy and price commitment strategy considering strategic consumer behavior to explore the effect of combining cooperative decision and price compensation strategy to mitigate strategic consumer behavior.This paper shows that when faced with a strategic consumer's adoption of a cooperative strategy,the simultaneous adoption of a price commitment strategy can lead to more revenue,higher sales prices,and further mitigate the effects of strategic consumer behavior.When consumers do not expect price reductions and sellers do not have clearance price reductions,the use of price commitment strategies can also reduce inventory levels.(3)This paper constructs a secondary orderable newsboy model from a behavioral perspective that considers strategic consumer behavior.The traditional newsboy model assumes that there are only myopic consumers in the market and that consumers cannot anticipate the seller's inventory and pricing strategy and will decide to buy or not to buy based only on the current price of the product.The traditional newsboy model assumes that there is only one order opportunity for the seller,but in reality,the seller usually has a second order opportunity.(4)This paper also analyzes the effect of the limited supply strategy on mitigating strategic consumer behavior by building a model when the seller adopts the limited supply strategy and comparing it with the results of the previously analyzed model without this strategy to analyze whether(and under what conditions)the limited supply strategy can mitigate the negative effects of strategic consumer behavior on the seller's profits and to obtain the operability and applicability conditions.Possible innovations of this paper include.(1)Horizontal cooperation game model of supply chain facing strategic consumers.This paper focuses on the cooperative decision of two sellers when considering the behavior of strategic consumers.The single-cycle cooperative pricing and inventory decision problem of two sellers considering strategic consumer behavior.Two sellers order the same product from the same manufacturer for sale,and each seller faces its own market demand,which is independent of each other.The two sellers use a cooperative strategy to set prices and order quantities to maximize revenue.The study shows that the cooperative strategy mitigates the effects of strategic consumer behavior and that the use of the cooperative strategy reduces the selling price and reduces the seller's inventory only if the seller's clearance loss is much smaller than the utility of discounted consumer purchases;otherwise,the cooperative strategy increases the seller's inventory.The study also found that the purchase rate of purchasers buying the product at a discount decreases when the seller chooses cooperative decision such that consumers buy the product when it is not discounted.(2)Cooperative decision making combined with price compensation strategy mitigation strategy consumer behavior model.There have been many studies proposing the effect of price compensation strategy to mitigate strategic consumer behavior,but there has been no study on the effect of sellers' simultaneous adoption of cooperative strategy policy combined with price compensation strategy to mitigate strategic consumer behavior.This paper analyzes two sellers' use of a combination of cooperative and price commitment strategies to set prices and order quantities.It is found that when consumers expect no price reduction and the sellers do not clear prices,the simultaneous use of the price commitment strategy when faced with strategic consumers using the cooperative strategy can reduce inventory levels,increase sales prices,and bring more revenue,further mitigating the impact of strategic consumer behavior;when consumers expect price reduction and the sellers clear prices,the simultaneous use of the price commitment strategy when faced with strategic consumers using the cooperative strategy can bring more revenue,further mitigating the impact of strategic consumer behavior;when consumers expect price reduction and the sellers clear prices,the simultaneous use of the price commitment strategy can bring more revenue,increase the sales price,and further mitigate the impact of strategic consumer behavior.(3)A behavioral model of sellers' rapid response,inventory,and pricing strategies is studied.This paper studies the situation when sellers choose a quick response strategy,and also compares it with the situation when they do not choose a quick response strategy to explore the effect of strategic consumer behavior on the value of quick response;traditional quick response research basically assumes that only myopic consumers exist in the market,this paper studies the value of quick response in the strategic consumer environment,and proposes and further explores the effect of quick response strategy on strategic consumer The paper investigates the value of rapid response in the strategic consumer environment,and proposes and further investigates the effect of rapid response strategy on the reduction of strategic consumer behavior;it also considers three factors: consumer risk preference,diminishing valuation and heterogeneity,and extends the study to examine the inventory and pricing decisions of sellers in the heterogeneous strategic consumer environment when adopting rapid response strategy,as well as the effect of consumer heterogeneity on the value of rapid response.(4)Limited supply strategy on mitigating strategic consumer behavior model.Limited supply strategies are widely used in practical situations,but few scholars now study whether supply strategies are truly effective in reducing strategic consumer behavior.In this paper,we study the effect of supply strategy on mitigating strategic consumer behavior and obtain the conditions under which limited supply strategy can mitigate strategic consumer behavior.It is found that in industries with many strategic consumer behaviors,limited supply strategies can help sellers reduce the profit loss from strategic consumer behaviors.At the same time,the limited supply strategy is not able to completely remove the strategic consumer behavior,which means that the optimal profit of the traditional newsboy model will not be obtained.When the seller chooses the limited supply strategy,the seller's optimal profit also decreases according to the increase in strategic consumer valuation and decreases with the increase in strategic consumer risk preferences.When there is a surplus demand in the market,the seller will not supply a limited amount for the sake of profit therefore the limited supply strategy requires certain mechanisms to be maintained to be implemented effectively.