In order to study retailers’ ordering behavior deviating from the standard theoretical optimal decision, which is caused by retailers’ information asymmetry, cognitive ability, insufficient computing ability, and other factors, we construct a bounded-rationality choice model with quantal response equilibrium. First, the existence and uniqueness of quantal response equilibrium of transshipment game have been proved with the transshipment price satisfying certain conditions. Then, the numerical example demonstrates that with the increase of bounded-rationality parameters, retailers’ quantal response equilibrium will converge to Nash equilibrium due to the learning effect, and their profits will converge to the profits predicted by standard theory. Finally, the results show that retailers are more averse to the explicit loss of shortage than to the implicit loss of inventory surplus caused by the increase of order quantity. Hence, retailers tend to overorder to avoid loss of shortage.
Except for a few stick insects that are economically valuable, most species be considered to be forest pests, so it is extremely important to obtain plant host-use information of more stick insects. In this paper, the plant hosts of three species of stick insects were recorded for the first time. We also discovered these stick insects can feed upon the flowers or leaves of plants. Lopaphus unidentatus (Chen & He, 1995) (Phasmida: Lonchodidae) attacked Hypericum choisianum Wall. ex N. Robson, 1973 (Hypericaceae), Leurophasma dolichocercum Bi, 1995 (Phasmida: Aschiphasmatidae) attacked Antenoron filiforme (Thunb.) Roberty & Vautier, 1964 (Polygonaceae) and Megalophasma granulatum Bi, 1995 (Phasmida: Lonchodidae) attacked Debregeasia orientalis C. J. Chen, 1991 (Urticaceae). Finally, we were lucky enough to also obtain photographs of them mating and feeding.
Despite the benefits of inventory transshipment, numerous behavioral experiments have revealed that retailers often deviate from the Nash-equilibrium ordering quantities, which in turn impacts the potential advantages. Motivated by this issue, we developed a behavioral model to analyze the deviation of ordering quantities among two independent retailers who engage in inventory transshipment from the perspective of analytical modeling. In our model, we incorporated bounded rationality with the quantal response equilibrium. Firstly, we established the existence of such a quantal response equilibrium and provided the conditions for its uniqueness. Secondly, we compared the quantal response equilibrium with the Nash equilibrium within a certain range of transshipment prices and observed that the limiting quantal response equilibrium is equivalent to the Nash equilibrium. Lastly, we design an iterative algorithm that incorporates the learning effects of the retailers to determine the quantal response equilibrium for the ordering quantity. The results indicate that the optimal ordering quantity and the nearby ordering quantities should be chosen with higher probabilities. Additionally, the retailer should gradually enhance their cognitive or computational abilities through repeated transshipment games to improve their decision-making process. Furthermore, to ensure a balanced inventory-sharing system, the evaluation of inventory strategies should consistently prioritize avoiding surplus instead of shortage.
No abstract
The retailer cannot often identify consumers’ preference for personalized and refined services. This poses a lower service than the consumer expects, which will lead to a decline in consumers’ satisfaction and loyalty. To cope with this problem, we consider a dual-channel supply chain composed of a manufacturer who has the online channel and an offline retailer and introduce the concept of underservice into the framework of pricing and service decision. The influence of consumers’ service expectations and the sensitive coefficient of consumers’ perceptive service on optimal decision-making were explored by optimization theory. First, the mathematical model of profit functions of the offline retailer and the manufacturer was developed by taking into account the service expectation respectively. Based on this, the Stackelberg game was adopted to prove that there is a linkage mechanism between the optimal retail price and the optimal service level under certain conditions. Second, we examined the conditions under which underservice occurs and the factors that influence them. Finally, we explored the stability condition under which the offline retailer’s optimal service level is against pricing. Results show that for newly launched products, the offline retailer will take the risk of increased service costs to adopt a strategy of high profit and good sales as a result of underservice. With regard to expiring products, it is impossible for the offline retailer to provide a lower-than-expected service level. Therefore, the offline retailer will adopt a strategy of small profits but quick turnover. In addition, the optimal service level of the offline retailer is stable against the optimal retail price, which greatly simplifies the service decision of the offline retailer, that is, the offline retailer does not need to consider the pricing strategy of the manufacturer and only needs to offer a level of service equal to the consumers’ service expectation.
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