Optimal pricing decisions for a global fresh product supply chain in the blockchain technology era

Abstract

ABSTRACT This paper considers a global fresh product supply chain consisting of an overseas supplier and a local cross-border e-commerce platform, in which the supplier sells fresh products to the platform and then the platform sells them to consumers at the local market. We develop an analytical model to explore the effects of the adoption of blockchain technology (BCT) on the pricing decisions and profits of the supply chain members. The results show that the wholesale price and the retail price may decrease or increase when the supplier adopts BCT, and the adoption of BCT is not always beneficial to both the supplier and the retailer. The supplier should adopt BCT if the real product freshness is at a relatively high level. Furthermore, compared with the supplier, the retailer is more likely to benefit from the adoption of BCT.