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The Pricing Strategy of the Agricultural Product Supply Chain with Farmer Cooperatives as the Core Enterprise

Author

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  • Jiali Wang

    (College of Economics and Management Postdoctoral Station, Northeast Agricultural University, Harbin 150030, China
    College of Engineering, Northeast Agricultural University, Harbin 150030, China
    These authors contributed equally to this work.)

  • Yujia Huo

    (College of Economics and Management, Northeast Agricultural University, Harbin 150030, China
    These authors contributed equally to this work.)

  • Xiangyu Guo

    (College of Economics and Management, Northeast Agricultural University, Harbin 150030, China)

  • Yang Xu

    (College of Economics and Management, Northeast Agricultural University, Harbin 150030, China)

Abstract

The pricing strategy of agricultural products not only affects the product demand and purchasing behavior of consumers, but also the income distribution of node enterprises and the overall profit of the agricultural supply chain. This paper studies the pricing strategy of the agricultural product supply chain with farmer cooperatives as the core enterprise. Considering the heterogeneous demand of consumers, this paper introduces the degree of agricultural product characteristics and establishes a dynamic pricing model for agricultural products under decentralized decision-making and centralized decision-making and designs a revenue sharing coordination contract. The results indicate that the overall profit of the supply chain obtained by pricing agricultural products through a decentralized decision-making model is lower than that created under centralized decision-making. Improving the degree of agricultural product’s characteristics and adopting the revenue sharing contract is conducive to the Pareto improvement of supply members. The relevant recommendations provide a reference for the product pricing strategy of this type of agricultural product supply chain.

Suggested Citation

  • Jiali Wang & Yujia Huo & Xiangyu Guo & Yang Xu, 2022. "The Pricing Strategy of the Agricultural Product Supply Chain with Farmer Cooperatives as the Core Enterprise," Agriculture, MDPI, vol. 12(5), pages 1-17, May.
    • Handle: RePEc:gam:jagris:v:12:y:2022:i:5:p:732-:d:821268
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    3. Tingwei Zhao & Xiang Yu & Sishi Liu, 2024. "Research on the Co-Creation Mechanism of Geographical Indication Industry Value Based on Evolutionary Game Analysis," Sustainability, MDPI, vol. 16(5), pages 1-25, March.

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