A Platform Service Supply Chain: Interaction Between AI Strategy Adoption and Pricing Mechanism Selection

In the operation of service-sharing platforms, artificial intelligence (AI) strategy may or may not be adopted, alongside different pricing mechanism. The interaction between a platform’s decision to adopt the AI strategy and pricing mechanism selection is a valuable area for research. This paper ex...

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Main Authors: Xiaodong Wang, Zhao Zhu, Pengfei Ma
Format: Article
Language:English
Published: Wiley 2025-01-01
Series:Discrete Dynamics in Nature and Society
Online Access:http://dx.doi.org/10.1155/ddns/4433160
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author Xiaodong Wang
Zhao Zhu
Pengfei Ma
author_facet Xiaodong Wang
Zhao Zhu
Pengfei Ma
author_sort Xiaodong Wang
collection DOAJ
description In the operation of service-sharing platforms, artificial intelligence (AI) strategy may or may not be adopted, alongside different pricing mechanism. The interaction between a platform’s decision to adopt the AI strategy and pricing mechanism selection is a valuable area for research. This paper examines the implications of a platform adopting or not adopting the AI strategy, focusing on two mechanisms: service provider pricing and platform pricing. The findings indicate that when consumers have a high sensitivity to the level of intelligent services, the platform should adopt the AI strategy, which may negatively impact the profits of both service providers. Platform pricing is more beneficial for the platform and high-quality service providers, while it reduces the profits of the low-quality service provider. When consumers have a low sensitivity to the level of intelligent services, adopting the AI strategy is more advantageous for the high-quality service provider and the platform itself. In addition, when service providers determine the service prices and consumers have a high sensitivity to the level of intelligent service levels, the platform is inclined to adopt the AI strategy, which may adversely affect the profits of both service providers.
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issn 1607-887X
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publishDate 2025-01-01
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series Discrete Dynamics in Nature and Society
spelling doaj-art-8f1a10eb4e0a43019a7659826f6c96cb2025-08-20T03:47:49ZengWileyDiscrete Dynamics in Nature and Society1607-887X2025-01-01202510.1155/ddns/4433160A Platform Service Supply Chain: Interaction Between AI Strategy Adoption and Pricing Mechanism SelectionXiaodong Wang0Zhao Zhu1Pengfei Ma2Department of Management EngineeringCCTEG Shenyang Research InstituteProcurement CenterIn the operation of service-sharing platforms, artificial intelligence (AI) strategy may or may not be adopted, alongside different pricing mechanism. The interaction between a platform’s decision to adopt the AI strategy and pricing mechanism selection is a valuable area for research. This paper examines the implications of a platform adopting or not adopting the AI strategy, focusing on two mechanisms: service provider pricing and platform pricing. The findings indicate that when consumers have a high sensitivity to the level of intelligent services, the platform should adopt the AI strategy, which may negatively impact the profits of both service providers. Platform pricing is more beneficial for the platform and high-quality service providers, while it reduces the profits of the low-quality service provider. When consumers have a low sensitivity to the level of intelligent services, adopting the AI strategy is more advantageous for the high-quality service provider and the platform itself. In addition, when service providers determine the service prices and consumers have a high sensitivity to the level of intelligent service levels, the platform is inclined to adopt the AI strategy, which may adversely affect the profits of both service providers.http://dx.doi.org/10.1155/ddns/4433160
spellingShingle Xiaodong Wang
Zhao Zhu
Pengfei Ma
A Platform Service Supply Chain: Interaction Between AI Strategy Adoption and Pricing Mechanism Selection
Discrete Dynamics in Nature and Society
title A Platform Service Supply Chain: Interaction Between AI Strategy Adoption and Pricing Mechanism Selection
title_full A Platform Service Supply Chain: Interaction Between AI Strategy Adoption and Pricing Mechanism Selection
title_fullStr A Platform Service Supply Chain: Interaction Between AI Strategy Adoption and Pricing Mechanism Selection
title_full_unstemmed A Platform Service Supply Chain: Interaction Between AI Strategy Adoption and Pricing Mechanism Selection
title_short A Platform Service Supply Chain: Interaction Between AI Strategy Adoption and Pricing Mechanism Selection
title_sort platform service supply chain interaction between ai strategy adoption and pricing mechanism selection
url http://dx.doi.org/10.1155/ddns/4433160
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