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Competitive food supply chain networks with application to fresh produce

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  • Yu, Min
  • Nagurney, Anna
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    Abstract

    In this paper, we develop a network-based food supply chain model under oligopolistic competition and perishability, with a focus on fresh produce. The model incorporates food deterioration through the introduction of arc multipliers, with the inclusion of the discarding costs associated with the disposal of the spoiled food products. We allow for product differentiation due to product freshness and food safety concerns, as well as the evaluation of alternative technologies associated with various supply chain activities. We then propose an algorithm with elegant features for computation. A case study focused on the cantaloupe market is investigated within this modeling and computational framework, in which we analyze different scenarios prior/during/after a foodborne disease outbreak.

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    Bibliographic Info

    Article provided by Elsevier in its journal European Journal of Operational Research.

    Volume (Year): 224 (2013)
    Issue (Month): 2 ()
    Pages: 273-282

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    Handle: RePEc:eee:ejores:v:224:y:2013:i:2:p:273-282

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    Web page: http://www.elsevier.com/locate/eor

    Related research

    Keywords: Food supply chains; Fresh produce; Oligopolistic competition; Food deterioration; Product differentiation; Supply chain management;

    References

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    1. Jayson L. Lusk & Darren Hudson, 2004. "Willingness-to-Pay Estimates and Their Relevance to Agribusiness Decision Making," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 26(2), pages 152-169.
    2. Tijskens, L. M. M. & Polderdijk, J. J., 1996. "A generic model for keeping quality of vegetable produce during storage and distribution," Agricultural Systems, Elsevier, vol. 51(4), pages 431-452, August.
    3. Widodo, K.H. & Nagasawa, H. & Morizawa, K. & Ota, M., 2006. "A periodical flowering-harvesting model for delivering agricultural fresh products," European Journal of Operational Research, Elsevier, vol. 170(1), pages 24-43, April.
    4. Kopanos, Georgios M. & Puigjaner, Luis & Georgiadis, Michael C., 2012. "Simultaneous production and logistics operations planning in semicontinuous food industries," Omega, Elsevier, vol. 40(5), pages 634-650.
    5. Ahumada, Omar & Villalobos, J. Rene, 2009. "Application of planning models in the agri-food supply chain: A review," European Journal of Operational Research, Elsevier, vol. 196(1), pages 1-20, July.
    6. Timothy J. Lowe & Paul V. Preckel, 2004. "Decision Technologies for Agribusiness Problems: A Brief Review of Selected Literature and a Call for Research," Manufacturing & Service Operations Management, INFORMS, vol. 6(3), pages 201-208.
    7. Rong, Aiying & Akkerman, Renzo & Grunow, Martin, 2011. "An optimization approach for managing fresh food quality throughout the supply chain," International Journal of Production Economics, Elsevier, vol. 131(1), pages 421-429, May.
    8. Nagurney, Anna & Dupuis, Paul & Zhang, Ding, 1994. "A Dynamical Systems Approach for Network Oligopolies and Variational Inequalities," The Annals of Regional Science, Springer, vol. 28(3), pages 263-83, September.
    9. Nagurney, Anna & Yu, Min, 2012. "Sustainable fashion supply chain management under oligopolistic competition and brand differentiation," International Journal of Production Economics, Elsevier, vol. 135(2), pages 532-540.
    10. Nagurney, Anna, 2010. "Supply chain network design under profit maximization and oligopolistic competition," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 46(3), pages 281-294, May.
    11. Trienekens, Jacques & Zuurbier, Peter, 2008. "Quality and safety standards in the food industry, developments and challenges," International Journal of Production Economics, Elsevier, vol. 113(1), pages 107-122, May.
    12. Masoumi, Amir H. & Yu, Min & Nagurney, Anna, 2012. "A supply chain generalized network oligopoly model for pharmaceuticals under brand differentiation and perishability," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 48(4), pages 762-780.
    13. Michael Boehlje, 1999. "Structural Changes in the Agricultural Industries: How Do We Measure, Analyze and Understand Them?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 81(5), pages 1028-1041.
    14. Anna Nagurney & Amir Masoumi & Min Yu, 2012. "Supply chain network operations management of a blood banking system with cost and risk minimization," Computational Management Science, Springer, vol. 9(2), pages 205-231, May.
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    Cited by:
    1. Toyasaki, Fuminori & Daniele, Patrizia & Wakolbinger, Tina, 2014. "A variational inequality formulation of equilibrium models for end-of-life products with nonlinear constraints," European Journal of Operational Research, Elsevier, vol. 236(1), pages 340-350.
    2. Agustina, Dwi & Lee, C.K.M. & Piplani, Rajesh, 2014. "Vehicle scheduling and routing at a cross docking center for food supply chains," International Journal of Production Economics, Elsevier, vol. 152(C), pages 29-41.

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