Buyer–supplier collaborative cost sharing and the performance of fresh agricultural produce cold chains: a retailer fairness concern perspective

Abstract

Purpose This study explores how collaborative cost sharing between the buyer and the supplier in cold chain equipment and marketing and advertising affects the performance of a fresh agricultural produce supply chain (FAP-SC). Design/methodology/approach We use a contingency approach to modeling different scenarios and analyzing how fairness perception, interplaying with corporative–retailer cost sharing., influences the performance of fresh agricultural produce cold chains. Findings The findings of the research highlight the crucial role of the retailer's fairness concern. When the retailer's fairness concern is absent, cost sharing (in cold chain equipment and marketing and advertising) is found to help boost demand and enhance the profits of members of the supply chain; bilateral cost sharing is found to have a more significant impact than unilateral cost sharing. When the retailer's fairness concern is taken into account, however, cost sharing is found to reduce demand at a lower level of fairness coefficient but increases demand at a higher level of fairness coefficient; bilateral cost sharing boosts both demand and profit of the supply chain when the retailer is in a “high concern, high anger” state. Originality/value The findings of the research highlight the important role of the buyer's farness perception when supply chain partners adopt collaborative cost sharing programs. This study contributes significantly to research and practice in supply chain collaboration and agricultural cold chain performance.

Impact of carbon emission difference on the dual-channel fresh produce supply chain with capital constraints

“…Therefore, suppliers and retailers should adjust their decisions appropriately in response to carbon emissions difference and consumers' environmental awareness. Existing studies have found that the decision making of the supplier and retailer is influenced by cost, consumer channel preference, and shipping time (Zi et al, 2021;Yadav et al, 2021;Lejarza et al, 2021). This study further finds that the decision making of the supplier and retailer is also affected by factors such as carbon emissions differences and consumers' environmental awareness.…”

Short lifetime product supply chain coordination and social benefit considering cannibalization effect and market segmentation

“…In the literature on the SLPSC coordination models, various coordination contracts such as quantity discount [56], two-part tariff [13,51], wholesale price discount [4], revenue-and/or-cost-sharing [25,36,47,49,50,53,55,57], and call option contracts [45] have been proposed to motivate the SC members to participate in the coordinated structure. In the real world, for some types of short lifetime products (e.g., pasteurized dairy, packed fresh meat, and seafood), the supplier may offer a buyback contract to decrease the overstocking risk that retailers face [23,27].…”