Game—FloraPark (the Flower Game): A Supply Chain Contract and Collaboration Simulation

Author:

Zhao Yao1ORCID,Park Arim2ORCID,Rudna Olena3ORCID,Song Ju Myung4ORCID

Affiliation:

1. Department of Supply Chain Management, Rutgers Business School, Newark, New Jersey 07102;

2. Department of Marketing and Supply Chain Management, North Carolina Agricultural and Technical State University, Greensboro, North Carolina 27411;

3. Martin Tuchman School of Management, New Jersey Institute of Technology, Newark, New Jersey 07102;

4. Department of Operations & Information Systems, Manning School of Business, University of Massachusetts Lowell, Lowell, Massachusetts 01854

Abstract

Intensive competition among supply chains often forces trading partners to collaborate despite their conflict of interests. Supply chain contracts and collaboration theory is well established in the academic literature to align the interests but much less conveyed to students and industry professionals for a practical impact. Although the Beer Game captures the bullwhip effect and the value of information sharing, it ignores the conflict of interests, that is, price and quantity bargaining, among the trading partners. We describe a new online teaching game, the FloraPark simulation (“the flower game” at https://flower.gamespots.net/ ), based on real-life events in the international fresh-cut flower supply chains, for students to learn supply chain collaboration via contracts in a setting of multiple supply chains competing in the same market. Students play trading partners in the flower supply chains and experiment with the push, pull, and advanced purchasing discount contracts by negotiating wholesale prices and quantities to achieve the conflicting objectives of (1) collaboration to beat other supply chains, and (2) bargaining to protect their own interests from their trading partners. Supplemental Material: The e-companion is available at https://doi.org/10.1287/ited.2022.0035 .

Publisher

Institute for Operations Research and the Management Sciences (INFORMS)

Subject

Management Science and Operations Research,Education,Management Information Systems

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