Pricing and Service Quality Decisions of Software Service Supply Chain Considering Fairness Concerns
This study examines an information product and service supply chain(IPSSC),comprising a software developer and a service provider.Aiming at the problem that the pre-sale services such as consultation and demand analysis of service provider will affect the sales of software products,and software developer is concerned about the fairness of benefit distribution in the supply chain,the profit model and decision-making model without fairness concerns and fairness concerns are constructed to analyze and compare the game equilibrium of supply chain members,the demand for products and extended warranty service,the profit of supply chain members and the overall performance of supply chain.Based on the study,we draw the following results.Firstly,fairness concerns have a dual effect on the demand for products and services:Fairness concerns can encourage software developer to reduce the product guidance price and the price of extended warranty services,which is conducive to expanding the demand for products and extended warranty services.However,fairness concerns can lead service providers to reduce the quality of pre-sales services,affecting the sales of software product seriously.Secondly,when the price sensitivity of the customer enterprise is relatively small,the sale price of the product with fairness concerns is lower than that without fairness concerns;and when the price sensitivity of the customer enterprise is higher,the sale price of the product in the case of fairness concerns is greater than that in the case of no fairness concerns.Lastly,the positive effect of expanding the demand for products and extended warranty services arising from the reduction of product guidance price and extended warranty service price by software developers due to fairness concerns is less than the negative effect of reducing the market demand for products caused by the reduction of the service provider's pre-sale service quality due to fairness concerns,resulting in the shrinking of the product and service market.The profit of supply chain members and the overall performance are lower than the corresponding member profit and total profit without fairness concerns.
IT supply chainfairness concernspre-sale serviceextended warranty service
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