Supply Chain Network Equilibrium Model for Fresh Agricultural Products under Outsourcing
Under the background that governments encourages enterprises to participate in regional farmers'poverty alleviation,this paper takes both production and logistics outsourcings into account in a supply chain network of fresh agricultural products,and by introducing the average freshness to describe the demand of fresh agricultural products in demand markets,establishes ageneralized Nash equilibrium model with average freshness constraint by maximizing the profits of fresh enterprises.Then,by means of the Karush-Kuhn-Tucker conditions and some complementarity function,the generalized Nash equilibrium model is transformed into nonlinear equations.Furthermore some numerical experiments are carried out by using gams and sensitivity analysis for government subsidy rate,average freshness and network struc-ture of production outsourcing is also given.Preliminary numerical results reveal that increasing the gov-ernment subsidy rate is helpful to promote fresh enterprises to participate in regional farmers'poverty al-leviation,which may also improvefresh enterprises'profit;when the lower limit of average freshness ex-ceeds a threshold,fresh enterprises prefer internal production and transportation;the production out-sourcing is helpful in increasing market supplies,reducing market prices,and boosting fresh enterprises'profit so as to achieve a win-win situation for all parties.
production outsourcinglogistics outsourcinggovernment subsidyaverage freshnessgeneralized Nash equilibrium model