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Coalitional Added Services in a Linear Neutral e-Marketplace: An Approach Based on the Shapley Value

Coalitional Added Services in a Linear Neutral e-Marketplace: An Approach Based on the Shapley Value
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Author(s): Paolo Renna (University of Basilicata, Italy)and Pierluigi Argoneto (University of Basilicata, Italy)
Copyright: 2011
Pages: 18
Source title: Supply Chain Optimization, Design, and Management: Advances and Intelligent Methods
Source Author(s)/Editor(s): Ioannis Minis (University of the Aegean, Greece), Vasileios Zeimpekis (University of the Aegean, Greece), Georgios Dounias (University of the Aegean, Greece)and Nicholas Ampazis (University of the Aegean, Greece)
DOI: 10.4018/978-1-61520-633-9.ch002

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Abstract

The increase of transactions by electronic commerce (e-commerce) in Business to Business applications has a constant trend during last years. Many research reports have focused on negotiation and auction mechanisms in this context, but a smaller number of related research attempts, has chosen to develop coalition approaches This research attempt tries to overcome this gap by an innovative coalition model for a private neutral linear e-marketplace that combines a full integration between customer’s request and supplier’s planning activity. The Shapley value approach is proposed to manage the profit sharing activity among the coalition participants. The Shapley value is an approach of game theory used to share a gain in coalition games. A proper simulation environment has been designed and modeled in order to measure the “stay-together economy” achievable within the proposed innovative e-marketplace. The simulation results highlight how the proposed approach increases the performance level of the e-marketplace: specifically the suppliers gain more benefits than the customers through the possibility of establishing coalitions.

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