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Article
Publication date: 23 May 2023

Yunmiao Gui, Huihui Zhai, Feng Dong and Zhi Liu

This paper aims to investigate how user expectations affect value-added service (VAS) investment and pricing decisions of two-sided platforms. It draws on the information…

Abstract

Purpose

This paper aims to investigate how user expectations affect value-added service (VAS) investment and pricing decisions of two-sided platforms. It draws on the information asymmetry theory and offers suggestions on how platform operators can manage user expectations.

Design/methodology/approach

According to the game theory, this study considers three user expectations (responsive, passive and wary). By framing the Hotelling duopoly model and comparing the VAS investment, price and platform profits, the optimal platform decision is analyzed and discussed.

Findings

The conclusions demonstrate that the monopolistic two-sided platform obtains more profits from the informed users with responsive expectations than uninformed users with passive or wary expectations. The marginal investment cost and cross-network externalities are two key factors that determine the platform's VAS investment and pricing strategies of passive or wary users. Furthermore, considering the expectation preferences, i.e. the uniformed users hold wary expectations with more information and hold passive expectations with less or no information, the results suggest that the proportion of wary users to all uninformed users increases the platform's VAS investment, profits and the price of informed users, and increase (decrease) the price of uninformed users when the cross-network externalities of informed users are relatively small (larger).

Practical implications

These results can provide insightful enlightenment into how platform operators utilize bilateral users' expectations and information level to guide their VAS investment and pricing decisions.

Originality/value

This paper is one of the first to explore the impact of three user expectations and the heterogeneity of preferences in informing users' passive or wary expectations, based on different levels of information on the decision-making of two-sided platforms regarding VAS.

Details

Kybernetes, vol. 53 no. 2
Type: Research Article
ISSN: 0368-492X

Keywords

Article
Publication date: 26 November 2019

Dang Luo, Manman Zhang and Huihui Zhang

The purpose of this paper is to establish a two-stage grey cloud clustering model to assess the drought risk level of 18 prefecture-level cities in Henan Province.

Abstract

Purpose

The purpose of this paper is to establish a two-stage grey cloud clustering model to assess the drought risk level of 18 prefecture-level cities in Henan Province.

Design/methodology/approach

The clustering process is divided into two stages. In the first stage, grey cloud clustering coefficient vectors are obtained by grey cloud clustering. In the second stage, with the help of the weight kernel clustering function, the general representation of the weight vector group of kernel clustering is given. And a new coefficient vector of kernel clustering that integrates the support factors of the adjacent components was obtained in this stage. The entropy resolution coefficient of grey cloud clustering coefficient vector is set as the demarcation line of the two stages, and a two-stage grey cloud clustering model, which combines grey and randomness, is proposed.

Findings

This paper demonstrates that 18 cities in Henan Province are divided into five categories, which are in accordance with five drought hazard levels. And the rationality and validity of this model is illustrated by comparing with other methods.

Practical implications

This paper provides a practical and effective new method for drought risk assessment and, then, provides theoretical support for the government and production departments to master drought information and formulate disaster prevention and mitigation measures.

Originality/value

The model in this paper not only solves the problem that the result and the rule of individual subjective judgment are always inconsistent owing to not fully considering the randomness of the possibility function, but also solves the problem that it’s difficult to ascertain the attribution of decision objects, when several components of grey clustering coefficient vector tend to be balanced. It provides a new idea for the development of the grey clustering model. The rationality and validity of the model are illustrated by taking 18 cities in Henan Province as examples.

Details

Grey Systems: Theory and Application, vol. 10 no. 1
Type: Research Article
ISSN: 2043-9377

Keywords

Article
Publication date: 6 November 2019

Dang Luo and Zhang Huihui

The purpose of this paper is to propose a grey clustering model based on kernel and information field to deal with the situation in which both the observation values and the…

Abstract

Purpose

The purpose of this paper is to propose a grey clustering model based on kernel and information field to deal with the situation in which both the observation values and the turning points of the whitenization weight function are interval grey numbers.

Design/methodology/approach

First, the “unreduced axiom of degree of greyness” was expanded to obtain the inference of “information field not-reducing”. Then, based on the theoretical basis of inference, the expression of whitenization weight function with interval grey number was provided. The grey clustering model and fuzzy clustering model were compared to analyse the relationship and difference between the two models. Finally, the paper model and the fuzzy clustering model were applied to the example analysis, and the interval grey number clustering model was established to analyse the influencing factors of regional drought disaster risk in Henan Province.

Findings

The example analysis results illustrate that although the two clustering methods have different theoretical basis, they are suitable for dealing with complex systems with uncertainty or grey characteristic, solving the problem of incomplete system information, which has certain feasibility and rationality. The clustering results of case study show that five influencing factors of regional drought disaster risk in Henan Province are divided into three classes, consistent with the actual situation, and they show the validity and practicability of the clustering model.

Originality/value

The paper proposes a new whitenization weight function with interval grey number that can transform interval grey number operations into real number operations. It not only simplifies the calculation steps, but it has a great significance for the “small data sets and poor information” grey system and has a universal applicability.

Details

Grey Systems: Theory and Application, vol. 10 no. 1
Type: Research Article
ISSN: 2043-9377

Keywords

Article
Publication date: 13 November 2020

Bingjun Li and Shuhua Zhang

The purpose of this study to provide a reference basis for effectively managing the risk of agrometeorological disasters in Henan Province, speeding up the establishment of a…

Abstract

Purpose

The purpose of this study to provide a reference basis for effectively managing the risk of agrometeorological disasters in Henan Province, speeding up the establishment of a scientific and reasonable system of agrometeorological disasters prevention and reduction and guaranteeing grain security.

Design/methodology/approach

Firstly, according to the statistical data of areas covered by natural disaster, areas affected by natural disaster, sown area of grain crops and output of grain crops from 1979 to 2018 in Henan Province, China. We have constructed an agrometeorological disaster risk assessment system for Henan province, China, which is composed of indicators such as rate covered by natural disaster, rate affected by natural disaster, disaster coefficient of variation and disaster vulnerability. The variation characteristics of agrometeorological disasters in Henan Province and their effects on agricultural production are analyzed. Secondly, the grey relational analysis method is used to analyze the relation degree between the main agrometeorological disaster factors and the output of grain crops of Henan Province. Based on the grey BP neural network, the rate covered by various natural disaster and the rate affected by various natural disaster are simulated and predicted.

Findings

The results show that: (1) the freeze injury in the study period has a greater contingency, the intensity of the disaster is also greater, followed by floods. Droughts, windstorm and hail are Henan Province normal disasters. (2) According to the degree of disaster vulnerability, the ability to resist agricultural disasters in Henan Province is weak. (3) During the study period, drought and flood are the key agrometeorological disasters affecting the grain output of Henan Province, China.

Practical implications

The systematic analysis and evaluation of agrometeorological disasters are conducive to the sustainable development of agriculture, and at the same time, it can provide appropriate and effective measures for the assessment and reduction of economic losses and risks.

Originality/value

By calculating and analyzing the rate covered by natural disaster, the rate affected by natural disaster, disaster coefficient of variation and disaster vulnerability of crops in Henan Province of China and using grey BP neural network simulation projections for the rate covered by various natural disaster and the rate affected by various natural disaster, the risk assessment system of agrometeorological disasters in Henan is constructed, which provides a scientific basis for systematic analysis and evaluation of agrometeorological disasters.

Details

Grey Systems: Theory and Application, vol. 11 no. 4
Type: Research Article
ISSN: 2043-9377

Keywords

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