Purpose Reducing carbon emissions in fresh agricultural product distribution is crucial for sustainable development. This study examines optimal sales channel strategies by considering the carbon-reduction advantage of online channels and the freshness advantage of offline channels. Design/methodology/approach The study builds a game theoretic model to compare six prevalent sales modes, such as the traditional offline, the manufacturer dual-channel, the retailer dual-channel, and the omni-channel sales modes. The optimal pricing strategies and resulting payoffs under each mode are analyzed and compared. Findings Findings indicate that, first, when the online channel's carbon-reduction advantage is pronounced, the omni-channel mode, which integrates manufacturer online direct sales with retailer offline and online sales, becomes most advantageous. It leads to the lowest prices both online and offline. This benefits consumers while boosting manufacturer and retailer revenue through increased sales, creating a win-win-win outcome.This mode also achieves the highest online sales volume and carbon reduction. Second, when the carbon-reduction benefit is low, the manufacturer prefers traditional offline sales, whereas the retailer favors manufacturer-led dual channel sales. Finally, government subsidies for online sales can effectively promote manufacturer's shift to online sales channels. Originality/value The study provides insights into how online channels' carbon-reduction advantages reshape channel selection and coordination for fresh agricultural products.
Zheng et al. (Tue,) studied this question.