The Impact of Blockchain on Fresh Product Supply Chain——A Model Based on Profit Maximization

Abstract

To investigate whether blockchain can bring more benefits to fresh product supply chain, this paper builds a mathematical model based on profit maximization, discusses the relationship among the introducing cost of blockchain, marginal transaction cost caused by traditional platforms, and consumer willingness to pay (WTP). The following conclusions have been drawn. First, for suppliers and retailers, the party responsible for maintaining trading platform will bear more costs, and whether to introduce blockchain depends mainly on whether the profits from the blockchain can cover the cost of introducing it. Second, for consumers, the introduction of blockchain technology will always increase their utility.