Healthcare Supply Chain Resilience Investment Strategy Analysis Based on Evolutionary Game

Author:

Li Chaoling1,Ke Youan1ORCID,Lu Lin1ORCID,Xu Ke2

Affiliation:

1. School of Economics and Management, Guangxi Normal University, Guilin 541000, China

2. Graduate School, José Rizal University, Mandaluyong 1552, Philippines

Abstract

Healthcare is considered one of the necessities for sustaining life. However, frequent emergencies raise the risk of supply chain disruption, seriously threatening people’s lives and health security. Therefore, building a resilient healthcare supply chain is an important initiative to manage the healthcare crisis effectively. Based on the secondary supply chain formed by medical supply manufacturers and retailers, this paper constructs an evolution game model of resilience investment decisions under the non-disruption and disruption symmetry scenarios of the supply chain and analyzes the stabilization strategies employed by both parties based on their asymmetry strategy choices. Subsequently, the numerical simulation is used to analyze the impact of various parameters on the evolutionary results and their evolutionary trends. The results of the study show that additional benefits from resilience investment, potential costs, disruption losses, market encroachment revenue, “free-rider” benefits, additional benefit increase coefficient, resilience investment reduction coefficient, disruption loss reduction coefficient, additional unit cost reduction coefficient, and market encroachment revenue coefficient all influence the resilience investment decisions. Finally, based on the simulation results, specific recommendations are formulated to improve the resilience of the healthcare supply chain.

Funder

Innovation Project of Guangxi Graduate Education

Guangxi Key R&D Plan

Research Fund Project of Development Institute of Zhujiang-Xijiang Economic Zone, Key Research Base of Humanities, Social Sciences in Guangxi Universities

Guangxi Philosophy and Social Science Research Project

Publisher

MDPI AG

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