Search results

Product counterfeiting has been ubiquitously observed in various segments of the supply chain. The intrinsic values of brands create more opportunities for counterfeiting. The damaging reputation of such brands leaves them to deal with the fallouts of counterfeits. Hence, such companies address them mainly through legal action, price and quality strategy. However, consumer characteristics and the random distribution of counterfeit products to the consumer types affect the effectiveness of a counter strategy. This paper aims to generate insights on how to leverage digital technology to curb counterfeit entities with consideration of consumer characteristics and the random distribution of counterfeits to them.

The authors used game theory and vertical differentiation model to understand and encounter deceptive counterfeiting of brand products. The study understands the economic relationship between a brand product manufacturer and consumer types based on their awareness. Further, the authors have considered different cases in the model to gain useful insights.

The results reveal that when the consumers are proactive, informed and value-conscious brand product manufacturers take digital technology counterstrategy to earn the maximum revenue. Hence, this analysis highlights that the effectiveness of a counterstrategy critically depends on the consumer characteristics, whether they are proactive, informed or unaware.

The study outlines that brand product manufacturers must emphasize on the digital supply chain, product redesign and product tracking facility to empower informed and value-conscious and proactive consumers. Moreover, the government should take steps to create awareness among uninformed consumers via information campaigns.

This paper incorporates the role of consumers and brand product manufacturers to understand and address the deceptive counterfeiting issue.

Currently, digital technology has been proposed as a new archetype for developing an effective traceability system in the perishable food supply chain (FSC). Implementation of such a system needs significant investment and the burden lies with the members of the supply chain. The purpose of this paper is to examine the impact on the profit of the supply chain members due to the implementation of an effective traceability system with such a large investment. The study also tries to explore the impact of the implementation of such a system by coordination among the members through a cost-sharing mechanism.

A two-level supply chain that comprises a supplier and retailer is analyzed using a game-theoretic approach. The mathematical models are developed considering the scenario for an individual, centralized and both members invest using a cost-sharing mechanism. For each of the models, the impact of product selling price, information sensing price and quality improvement level on profit is analyzed through numerical analysis.

The study reveals that consumer involvement can be a strong motivation for the supply chain members to initiate investment in the traceability system. Further, from an investment perspective cost-sharing model is beneficial compared to the individual investment-bearing model. This mechanism can coordinate as well as benefit the FSC members. However, the model is less beneficial to the centralized model from profit and quality improvement levels.

Food wastage can be less from supplier and retailer perspectives. Moreover, consumers can purchase food items only after verifying their shipping conditions. Consequently the food safety scandals can be reduced remarkably.

Digital technology adoption in the perishable FSC is still considered emerging. The present study helps organizations to implement a traceability system in the perishable FSC through consumer involvement and a cost-sharing mechanism.