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Pre-sale Pricing Strategy for Fresh Agricultural Products Under O2O

  • Wenjing Wu
  • Chunxiang GuoEmail author
Conference paper
Part of the Advances in Intelligent Systems and Computing book series (AISC, volume 1002)

Abstract

Fresh agricultural products are indispensable necessities in daily life. The imbalance between supply and demand leads to large price fluctuations in normal state, thus torturing producers and consumers. When fresh agricultural products are pre-sold online, we discuss the optimal pricing strategies of suppliers and retailers in different periods based on dual-channel business model. Demand uncertainty is reduced to maximize supply chain profit. Research shows that the retailer has lower optimal price under centralized strategy than that under decentralized strategy. However, the supplier has the same optimal price under the two strategies. In official and discount sales periods, the optimal pricing is closely related to online market share. Suppliers and retailers adjust market shares to achieve optimal profit of supply chain. The optimal profit of supply chain increases first, and then decreases with the increase of consumer price elasticity index. Therefore, the suppliers and retailers can adjust sales strategy to affect consumer price elasticity index, thus achieving an optimal profit of supply chain.

Keywords

O2O Fresh agricultural products Pre-sale Pricing 

Notes

Acknowledgements

Many people have made invaluable contributions, both directly and indirectly to my research. I would like to express my warmest gratitude to Chunxiang Guo, my supervisor, for her instructive suggestions and valuable comments on the writing of this thesis. Without her invaluable help and generous encouragement, the present thesis would not have been accomplished. Besides, I wish to thank my colleague at Sichuan University, who helped me search for reference. My heart swells with gratitude to all the people who helped me.

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Copyright information

© Springer Nature Switzerland AG 2020

Authors and Affiliations

  1. 1.School of BusinessSichuan UniversityChengduPeople’s Republic of China

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