A Dynamic Negotiation Mechanism for Collaboration Price in Collaborative Network through Price Elasticity

摘要

This research proposes a dynamic negotiation model (DNM) integrated with price elasticity when sharing demand and capacity among collaborative enterprises. Assuming that a set of enterprises forms a collaborative network (CN) to overcome the arbitrary nature of demand and capacity patterns, the aim of this research is to design an effective and more adaptive CN. In most CN research, decision making processes are developed by static protocols, which are defined by a set of rules coordinating how to interact and share information, resources, and responsibilities toward mutual benefits. However, the static protocols assume that prices and volumes can remain relatively predictable and consistent over time, which seems unrealistic. In this research, the DNM is proposed to adapt the CN based on existing price points for the amount of sharing demand or capacity. Experimental results show the performance of the proposed model regarding profit distribution, decision making structure, and enterprise collaboration preferences. The results show the optimal price of shared items among enterprises considering price elasticity of demand and capacity.