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Incorporating Consumers’ Low-Carbon and Freshness Preferences in Dual-Channel Agri-Foods Supply Chains: An Analysis of Decision-Making Behavior

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  • Jing Xu

    (Jiangsu Modern Logistics Research Base of Business School, Yangzhou University, Yangzhou 225127, China
    Engineering Research Center of High-Efficiency and Energy-Saving Large Axial Flow Pumping Station, Jiangsu Province, Yangzhou University, Yangzhou 225009, China)

  • Shihao Xiong

    (Jiangsu Modern Logistics Research Base of Business School, Yangzhou University, Yangzhou 225127, China)

  • Tingyu Cui

    (School of Politics and Public Administration, Soochow University, Suzhou 215123, China)

  • Dongmei Zhang

    (Grand Canal Research Institute, Yangzhou University, Yangzhou 225127, China)

  • Zhibin Li

    (Jiangsu Modern Logistics Research Base of Business School, Yangzhou University, Yangzhou 225127, China)

Abstract

The purchasing decisions of consumers increasingly incorporate considerations of freshness and the carbon footprint of agri-foods. This study aims to investigate the impact of consumer preferences on decision-making behavior within dual-channel supply chains. Specifically, it classifies the structure of the supply chain channels into two types: producer-led and seller-led online channels, and examines two distinct decision-making scenarios: centralized and decentralized decision-making. The study applies the game theory modeling method to analyze the differences in the selling prices, freshness, low carbon levels, and profits of agri-foods in these scenarios. The findings indicate that as consumer preference for the online channel grows, it becomes more challenging to sell homogeneous agri-foods at higher prices through physical (entity) channels. Moreover, the introduction of online channels by sellers leads to higher selling prices for agri-foods in the supply chain under decentralized decision-making compared to centralized decision-making, and the freshness and low carbon level of agri-foods primarily depend on the cost structure of the supply chain. From the perspective of enhancing produce quality, promoting low carbon development, and attaining high-quality products at a reasonable price, centralized decision-making within the supply chain and seller-led online channels are more advantageous. However, it is important to note that pursuing these benefits may result in a certain amount of sacrifice in terms of supply chain profit.

Suggested Citation

  • Jing Xu & Shihao Xiong & Tingyu Cui & Dongmei Zhang & Zhibin Li, 2023. "Incorporating Consumers’ Low-Carbon and Freshness Preferences in Dual-Channel Agri-Foods Supply Chains: An Analysis of Decision-Making Behavior," Agriculture, MDPI, vol. 13(9), pages 1-19, August.
  • Handle: RePEc:gam:jagris:v:13:y:2023:i:9:p:1647-:d:1222119
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    References listed on IDEAS

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