Optimizing Reserve Decisions in Relief Supply Chains with a Blockchain-Supported Second-Hand E-Commerce Platform

Abstract

This paper develops a novel government reserve strategy, employing a blockchain-supported second-hand E-commerce platform, specifically designed to mitigate the depreciation and expiration of disaster relief supplies. Utilizing the newsvendor model and convex optimization techniques, this study evaluates the efficacy of a rotational strategy for optimal pre-positioning of supplies, considering the dynamic conditions of supply chain performance. Additionally, the paper demonstrates how blockchain technology significantly enhances the traceability of supplies, which is crucial for effective supply management. Empirical data analysis reveals that exceeding a critical price threshold on the platform not only augments the government’s optimal reserve levels but also substantially decreases operational costs. In scenarios where the supply chain is well coordinated, optimal reserve quantities are affected by variables such as the likelihood of disaster events, the success rate of sales, and a supply traceability index. This research extends the application of blockchain and E-commerce technologies within disaster management supply chains and offers new insights and practical approaches for improving E-commerce practices in this context.

Keywords

• optimizing reserve decision
• second-hand E-commerce platform
• blockchain technology
• relief supply chain
• supply chain collaboration