Research On Cross-border Bidirectional Supply Chain Decisions Considering The Impact Of Government Subsidies Under Different Trade Models

The representative market of the globalized economy is no longer limited to a single country or region.Cross country and regional trade activities have become increasingly frequent and have become an important component of China’s economic development.Although China’s import and export trade has made great progress,according to the statistical data of the “GENERAL ADMINISTRATION OF CUSTOMS.P.R.CHINA”,there is an imbalance between import and export in China’s cross-border trade,with more exports and less imports.When conducting foreign trade activities,if there is a logistics channel connecting two trading entities,it will greatly reduce logistics costs and improve the efficiency of trade activities.In China’s trade with countries and regions along the “the Belt and Road”,the “CHINA RAILWAY Express” has become an important logistics channel.However,due to such realistic factors as China’s exports are greater than imports,the CHINA RAILWAY Express still has problems such as insufficient return freight sources and unbalanced return freight.Based on this,this paper constructs a multinational two-way supply chain model,which consists of suppliers,retailers,and third-party logistics service integrators.Select two typical trade models,FCA and DPU,and under each model,conduct research on supply chain decision-making under the conditions of freight subsidy for logistics fees and incentive subsidy for third-party logistics service integrators.Then,compare and analyze the supply chain decision-making and supply chain profits under the two trade models,and analyze which trade model is the better choice for the supply chain.Based on the model solution and numerical analysis,it can be concluded that under the two modes of FCA and DPU,in the case of incentive subsidies for third-party logistics service integrators,freight subsidies can have a greater incentive effect on the supply chain;Under the incentive subsidy scenario,the transportation balance subsidy can effectively reduce the transportation volume difference between the two supply chains,but has no positive incentive effect on the total transportation volume.The total transportation subsidy can increase the total transportation volume of the two supply chains,but will increase the transportation imbalance phenomenon.When formulating incentive measures,it is necessary to comprehensively consider the transportation balance and total transportation volume,and select an appropriate interval to maximize the incentive effect of the subsidy policy on the supply chain.In the case of incentive subsidies,the DPU model will achieve greater supply chain profits and greater supply chain carrying capacity than the FCA model,but the imbalance in supply chain traffic will also be greater.