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Incorporating social media observations and bounded rationality into fashion quick response supply chains in the big data era

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  • Choi, Tsan-Ming

Abstract

In this paper, we study the fashion quick response program with social media observations, demand forecast updating, and a boundedly rational retailer. We analytically find that the likelihood of having good social media comments on the product plays a critical role in affecting the value of quick response, and its impact is mediated by the fashion retailer’s prior attitude towards the market demand. We then demonstrate how a Pareto improving situation can be achieved under quick response, and uncover that manipulating social media comments can benefit the manufacturer under the surplus sharing contract, but not under the two-part tariff contract.

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  • Choi, Tsan-Ming, 2018. "Incorporating social media observations and bounded rationality into fashion quick response supply chains in the big data era," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 114(C), pages 386-397.
    • Handle: RePEc:eee:transe:v:114:y:2018:i:c:p:386-397
    DOI: 10.1016/j.tre.2016.11.006
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    5. Song, Malin & Fisher, Ron & Kwoh, Yusen, 2019. "Technological challenges of green innovation and sustainable resource management with large scale data," Technological Forecasting and Social Change, Elsevier, vol. 144(C), pages 361-368.
    6. Govindan, Kannan & Rajeev, A. & Padhi, Sidhartha S. & Pati, Rupesh K., 2020. "Supply chain sustainability and performance of firms: A meta-analysis of the literature," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 137(C).
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    20. Xu, Jinou & Pero, Margherita & Fabbri, Margherita, 2023. "Unfolding the link between big data analytics and supply chain planning," Technological Forecasting and Social Change, Elsevier, vol. 196(C).
    21. Gurinder Kaur & Ronald Kander, 2023. "Supply Chain Simulation of Manufacturing Shirts Using System Dynamics for Sustainability," Sustainability, MDPI, vol. 15(21), pages 1-24, October.
    22. Luo, Suyuan & Lin, Xudong & Zheng, Zunxin, 2019. "A novel CNN-DDPG based AI-trader: Performance and roles in business operations," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 131(C), pages 68-79.

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