Game strategy analysis on E-commerce platform supply chain with shared logistics service: A chaos perspective

Abstract

This study explores a distinctive scenario within the e-commerce platform supply chain. To assess the performance of these entities, we develop models for both centralized and decentralized decision-making frameworks. Furthermore, we investigate the stability and dynamic behavior of the system during prolonged decentralized model interactions. We found that centralized decision-making has a significant advantage in terms of retail prices and profits within this supply chain. Additionally, the dynamic complexity analysis underscores the challenges of managing an e-commerce supply chain under the decentralized model framework, where finding equilibrium points for decision variables proves complex and the stable ranges for these parameters are notably limited. Higher commission rates incentivize entities to adopt more aggressive strategies, with the most pronounced impact on logistics services and wholesale prices. This adjustment can lead to a substantial decrease in platform profit when the commission rate is raised.