Strategy Analysis of Fresh Agricultural Enterprises in a Competitive Circumstance: The Impact of Blockchain and Consumer Traceability Preferences
Yuling Sun, Xiaomei Song, Yihao Jiang, Jian Guo
Abstract
Blockchain technology allows fresh agricultural enterprises to share records stored on the chain, and the technology can benefit information management systems, such as decentralization and transparency. This study uses game theory to examine a blockchain introduction strategy for fresh agricultural enterprises in a competitive environment, considering consumer traceability preferences. We establish a pricing decision model in traditional and blockchain traceability modes and identify optimal solutions. Additionally, we analyze the impact of the blockchain introduction strategy, consumer preferences, and blockchain influence factor on optimal pricing decisions. The results indicate that the introduction of blockchain could improve the profits of enterprises under certain conditions. Moreover, consumer traceability preferences and the blockchain influence factor could significantly affect the blockchain introduction strategy. We also discover that when the blockchain influence factor meets a certain range, introducing blockchain technique in the traceability system could shift demand from traditional enterprises to blockchain enterprises. The total market demand for blockchain enterprises under the blockchain traceability mode will increase, whereas that of traditional enterprises under the blockchain traceability mode will decrease. Both consumer traceability preferences and the blockchain influence factor could significantly affect optimal pricing. Finally, some management suggestions are provided for the traceability of fresh agricultural enterprises based on the research conclusions.