Quality disclosure pattern options for competing refurbishers: blockchain vs online platform

Wenping Liu, Bangyi Li, Guoqing Zhang (), Zhe Wang and Yongbo Cheng
Additional contact information
Wenping Liu: Nanjing University of Aeronautics and Astronautics
Bangyi Li: Nanjing University of Aeronautics and Astronautics
Guoqing Zhang: University of Windsor
Zhe Wang: Nanjing Audit University
Yongbo Cheng: Nanjing University of Finance and Economics

Annals of Operations Research, 2025, vol. 344, issue 2, No 17, 1027-1056

Abstract: Abstract The study considers competing refurbishers to produce heterogeneous levels of quality and disclose quality through two patterns: online retailer sales or direct blockchain adoption. By developing a duopoly model, the study explores the implementation conditions of different quality disclosure patterns for refurbishers and equilibrium disclosure patterns in the competing market using a game theory. A novel finding is that the choice of disclosure pattern for low-quality refurbishers is only related to blockchain costs, while the choice for high-quality refurbishers sometimes also depends on the quality gap between two competing products. When the low-quality refurbisher invests directly in blockchain to disclose, if the quality gap is large enough, the high-quality refurbisher will opt for blockchain disclosure. Otherwise, it chooses blockchain disclosure only when the cost of blockchain is low. Refurbishers' willingness for different disclosure patterns varies with the counterparty’s pattern and the high-quality refurbisher is also influenced by the product quality gap.

Keywords: Refurbished products; Quality disclosure; Duopoly model; Blockchain (search for similar items in EconPapers)
Date: 2025
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://link.springer.com/10.1007/s10479-023-05622-w Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:annopr:v:344:y:2025:i:2:d:10.1007_s10479-023-05622-w

Ordering information: This journal article can be ordered from
http://www.springer.com/journal/10479

DOI: 10.1007/s10479-023-05622-w

Access Statistics for this article

Annals of Operations Research is currently edited by Endre Boros

More articles in Annals of Operations Research from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().