Pricing and Ordering Strategies for Fresh Food Based on Quality Grading
Fresh food quality grading is the basis of fresh food marketization. On the one hand, it can effectively improve the market efficiency of fresh food and improve the earnings of retailers. On the other hand, it can alleviate the incompleteness of market information and help consumers better identify...
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| Main Authors: | , , , , |
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| Format: | Article |
| Language: | English |
| Published: |
Wiley
2021-01-01
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| Series: | Journal of Food Quality |
| Online Access: | http://dx.doi.org/10.1155/2021/5525691 |
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| _version_ | 1849305983889702912 |
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| author | Yong He Yongmei Xie Xiaoli Zhou Henry Xu Yanan Yu |
| author_facet | Yong He Yongmei Xie Xiaoli Zhou Henry Xu Yanan Yu |
| author_sort | Yong He |
| collection | DOAJ |
| description | Fresh food quality grading is the basis of fresh food marketization. On the one hand, it can effectively improve the market efficiency of fresh food and improve the earnings of retailers. On the other hand, it can alleviate the incompleteness of market information and help consumers better identify the quality characteristics of fresh food. To address the issue of quality grading for fresh food, this study constructs a retailer profit model for selling fresh food with two quality grades. Considering the quality level distribution of fresh food and based on the quality selection model, the retailer’s optimal grading, pricing, and ordering of fresh food are studied. Through numerical simulation and sensitivity analysis, some conclusions with managerial implications are drawn. We find that the retailer has the optimal quality grading strategy for fresh food, which is influenced by the minimum quality level and the unit cost of fresh food. Raising the quality standard at the lowest level or reducing the unit cost can help the retailer increase the profits. |
| format | Article |
| id | doaj-art-34055ccfb2eb4c21891d8ace5840249c |
| institution | Kabale University |
| issn | 0146-9428 1745-4557 |
| language | English |
| publishDate | 2021-01-01 |
| publisher | Wiley |
| record_format | Article |
| series | Journal of Food Quality |
| spelling | doaj-art-34055ccfb2eb4c21891d8ace5840249c2025-08-20T03:55:15ZengWileyJournal of Food Quality0146-94281745-45572021-01-01202110.1155/2021/55256915525691Pricing and Ordering Strategies for Fresh Food Based on Quality GradingYong He0Yongmei Xie1Xiaoli Zhou2Henry Xu3Yanan Yu4School of Economics and Management, Southeast University, Sipailou 2, Nanjing 210096, ChinaSchool of Economics and Management, Southeast University, Sipailou 2, Nanjing 210096, ChinaSchool of Economics and Management, Southeast University, Sipailou 2, Nanjing 210096, ChinaUQ Business School, The University of Queensland, Brisbane, Queensland (QLD) 4072, AustraliaSchool of Economics and Management, Southeast University, Sipailou 2, Nanjing 210096, ChinaFresh food quality grading is the basis of fresh food marketization. On the one hand, it can effectively improve the market efficiency of fresh food and improve the earnings of retailers. On the other hand, it can alleviate the incompleteness of market information and help consumers better identify the quality characteristics of fresh food. To address the issue of quality grading for fresh food, this study constructs a retailer profit model for selling fresh food with two quality grades. Considering the quality level distribution of fresh food and based on the quality selection model, the retailer’s optimal grading, pricing, and ordering of fresh food are studied. Through numerical simulation and sensitivity analysis, some conclusions with managerial implications are drawn. We find that the retailer has the optimal quality grading strategy for fresh food, which is influenced by the minimum quality level and the unit cost of fresh food. Raising the quality standard at the lowest level or reducing the unit cost can help the retailer increase the profits.http://dx.doi.org/10.1155/2021/5525691 |
| spellingShingle | Yong He Yongmei Xie Xiaoli Zhou Henry Xu Yanan Yu Pricing and Ordering Strategies for Fresh Food Based on Quality Grading Journal of Food Quality |
| title | Pricing and Ordering Strategies for Fresh Food Based on Quality Grading |
| title_full | Pricing and Ordering Strategies for Fresh Food Based on Quality Grading |
| title_fullStr | Pricing and Ordering Strategies for Fresh Food Based on Quality Grading |
| title_full_unstemmed | Pricing and Ordering Strategies for Fresh Food Based on Quality Grading |
| title_short | Pricing and Ordering Strategies for Fresh Food Based on Quality Grading |
| title_sort | pricing and ordering strategies for fresh food based on quality grading |
| url | http://dx.doi.org/10.1155/2021/5525691 |
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