Research On Car-hailing Platform Pricing Considering Fairness Concerns And Risk Aversion

With the development of Internet technology and the popularization of smart phones,the convenient car-hailing platform is deeply loved by the public.On the basis of realizing the freedom of travel,it can not only improve efficiency and reduce costs,but also provide new employment channels.However,in recent years,online car-hailing platforms have often been complained by passengers for disrupting the taxi market,secretly raising prices or “inflated”prices.So in order to alleviate conflicts with passengers and taxi companies,how exactly should the platform be priced becomes the primary question.Therefore,this paper introduces two factors: fairness concern and risk aversion.Under complex and volatile market conditions,platforms and companies will not only consider the proportion of their own profits,but also market risks and the attitude of decision makers to deal with risks while pursuing the maximization of their own utility,it provides a reference for the pricing decisions of online carhailing platforms,making them better accepted by the public.This paper first uses the relevant methods of game theory to construct a dual-channel supply chain model composed of online car-hailing platforms and taxi companies.Then,study the impact on pricing decisions and corporate profits when the platform and the company are completely rational decision makers or consider fairness concern behavior and risk aversion behavior respectively,and use Matlab to analyze the model with an example to verify the conclusions.Secondly,the equilibrium solutions under different models are compared and analyzed.Finally,combine the constructed model with H company to study how H company can price to maximize its benefits,and put forward some reference suggestions according to its current problems,which also provide ideas and suggestions for the operation of related companies.The conclusions of the study are as follows: service level is always positively correlated with pricing,that is,the more passengers pay,the higher the demand for service quality;the fairness concern coefficient and the risk aversion coefficient have different effects on the pricing and profits of online car-hailing platforms and taxi companies.As the degree of risk aversion increases,the pricing of online car-hailing platforms will decrease;as the level of fairness concerns increases,platform pricing increases first and then decreases in a certain range,and then decreases and then increases in another range.At the same time,it is found that the pricing of H company considering risk is lower than the pricing considering fairness,but the profit is relatively high.Therefore,considering fairness and risk pricing can not only make the price more reasonable,but also promote the stable and healthy development of the taxi market,but it is also necessary to analyze specific problems based on the actual situation.