Coordination and Optimization of Supply Chain Considering the Double Fresh-keeping Effort of Supplier and 3PL

Abstract

This paper takes a three-echelon supply chain consisting of a domestic supplier, an overseas retailer, and an overseas warehouse as the research object, and studies the decision-making and coordination problems of a single-channel three-echelon supply chain dominated by a cross-border e-commerce platform based on the dual preservation effort level of the supplier and the overseas warehouse, and also analyzes and compares the optimal decisions and profits of each member of the supply chain under the decentralized decision-making model and the centralized decision-making model. After exploring the infeasibility of wholesale price contract and wholesale price + cost-sharing contract, a wholesale price + cost sharing + revenue sharing hybrid contract is designed to optimize the coordination of the supply chain and finally examined and verified through arithmetic analysis. It is found that it is difficult to judge the overall utility of consumers under centralized decision-making, and the decisions made under decentralized decision-making are not optimal. Under the decentralized decision-making model, the wholesale price contract, and the wholesale price + cost-sharing contract can achieve supply chain coordination, but the contract will not be accepted because the former hurts the members' interests, and the latter reduces the overall profit. Therefore, a hybrid "wholesale price + cost sharing + revenue sharing" contract is designed to introduce profit redistribution and is shown to achieve perfect supply chain coordination.