An economic analysis of on-demand food delivery platforms: Impacts of regulations and integration with ride-sourcing platforms

Liu, Yang; Li, Sen

doi:10.1016/j.tre.2023.103019

Cited by 19 publications

(7 citation statements)

References 32 publications

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“…Our work is also relevant to the emerging literature stream of ondemand delivery platforms. On-demand delivery platforms provide a wide range of delivery services, including grocery delivery (He et al, 2020), meal delivery (Chen et al, 2022;Li & Wang, 2020;Liu & Li, 2023;Mao et al, 2022), and last-mile delivery (Castillo et al, 2022).…”

Section: Literature Reviewmentioning

confidence: 99%

“…Our work is also relevant to the emerging literature stream of on‐demand delivery platforms. On‐demand delivery platforms provide a wide range of delivery services, including grocery delivery (He et al, 2020), meal delivery (Chen et al, 2022; Li & Wang, 2020; Liu & Li, 2023; Mao et al, 2022), and last‐mile delivery (Castillo et al, 2022). In this paper, we do not refer specifically to the service area of on‐demand delivery platforms; instead, we focus on whether the retailer should introduce an on‐demand delivery platform.…”

Section: Literature Reviewmentioning

confidence: 99%

“…Chen et al (2022) show that both one‐way and two‐way revenue‐sharing contracts could coordinate restaurants and food delivery platforms. Liu and Li (2023) assume that the food delivery platform adopts agency selling and they study the impact of the commission rate charged by the platform. They show that restaurants can benefit from a cap on the commission rate.…”

Section: Literature Reviewmentioning

confidence: 99%

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The role of on‐demand delivery platform in competition between manufacturer and retailer

Cheng,

Duan,

Huo

2024

Manage Decis Econ

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Traditional retailers can now partner with on‐demand delivery platforms to fulfill consumers' online orders to fight against manufacturers' direct channels. However, it is hard to say whether traditional retailers benefit from cooperating with such platforms due to market encroachment and high commission fees. We build a game‐theoretic model where the manufacturer could decide whether to introduce its direct channel, and the retailer could decide whether to cooperate with the on‐demand delivery platform. We show that when the platform adopts a reasonable pricing and service policy, the retailer can earn more profit when cooperating with the platform. When consumer acceptance of the manufacturer's direct channel is high, the manufacturer should strategically introduce its direct channel even when there are no sales. We also find that the introduction of the platform lowers the retail price at the offline channel, increasing the market's total demand, consumer surplus, and social welfare. The reason lies in the effect of intensifying downstream competition and satisfying the consumer's demand in more market segments.

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Section: Literature Reviewmentioning

confidence: 99%

Section: Literature Reviewmentioning

confidence: 99%

Section: Literature Reviewmentioning

confidence: 99%

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The role of on‐demand delivery platform in competition between manufacturer and retailer

Cheng,

Duan,

Huo

2024

Manage Decis Econ

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“…The implementation of this model indicated a potential reduction in costs by 3.4% and an improvement in delivery speed by 42%, which is particularly significant in urban dispatching scenarios. The intersection of regulations and the economic integration of ride-sourcing with on-demand food delivery platforms was analyzed by the study [11]. Additionally, the Analytic Hierarchy Process (AHP) method was employed by the study [12] to evaluate crowd logistics solutions from various stakeholder perspectives, resulting in a benchmarking list of optimal solutions.…”

Section: Figure 1 Digital Workers Categorizationmentioning

confidence: 99%

Human Resource Dynamics in Urban Crowd Logistics: A Comprehensive Analysis

Andrejić,

Pajić,

Stanković

2023

JUDM

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The advent of Information and Communication Technologies (ICT) has significantly revolutionized urban logistics, particularly through the emergence of crowd-sourced platforms. This evolution has engendered substantial benefits, including cost-effectiveness, enhanced delivery speeds, and environmentally sustainable practices. Yet, the unregulated nature of such platforms poses considerable challenges, especially in Human Resource Management (HRM) within crowd distribution networks. This study, in a groundbreaking exploration, examines the complexities inherent in HRM in the context of urban crowd logistics. It primarily focuses on employment dilemmas, training intricacies, and the intricacies of salary computation, thereby illuminating areas hitherto unexplored in existing literature. It is identified that both crowd workers and pldatform operators encounter significant challenges in effective human resource administration, marking a critical area of concern. The study further discerns the regulatory lacunae prevalent in this sector, proffering prospective remedial measures and advanced HRM strategies. Such insights are pivotal in augmenting the understanding of the interplay between human resources and crowd logistics, laying a foundation for both academic research and practical application. The paper, therefore, not only contributes to scholarly discourse but also offers pragmatic guidance for optimizing HRM in crowd logistics. This comprehensive analysis serves as a crucial resource for policymakers, industry stakeholders, and academics, charting a course for future inquiry and refinement in crowd logistics HRM.

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“…Unnikrishnan and Figliozzi [23] discussed the home delivery purchases and expenditures on the impact of the COVID-19 pandemic. Yang Liu and Sen Li [24] presented an economic analysis for home delivery platforms with two types of interdependent markets: (1) the food delivery market and (2) the ride-sourcing market. Pinyi Yao et al [25] attempted to compare the differences between to-shop and to-home consumers for online-to-offline commerce.…”

Section: Literature Reviewmentioning

confidence: 99%

An Optimization of Home Delivery Services in a Stochastic Modeling with Self and Compulsory Vacation Interruption

et al. 2023

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This study presents and discusses the home delivery services in stochastic queuing-inventory modeling (SQIM). This system consists of two servers: one server manages the inventory sales processes, and the other server provides home delivery services at the doorstep of customers. Based on the Bernoulli schedule, a customer served by the first server may opt for a home delivery service. If any customer chooses the home delivery option, he hands over the purchased item for home delivery and leaves the system immediately. Otherwise, he carries the purchased item and leaves the system. When the delivery server returns to the system after the last home delivery service and finds that there are no items available for delivery, he goes on vacation. Such a vacation of a delivery server is to be interrupted compulsorily or voluntarily, according to the prefixed threshold level. The replenishment process is executed due to the (s,Q) reordering policy. The unique solution of the stationary probability vector to the finite generator matrix is found using recursive substitution and the normalizing condition. The necessary and sufficient system performance measures and the expected total cost of the system are computed. The optimal expected total cost is obtained numerically for all the parameters and shown graphically. The influence of parameters on the expected number of items that need to be delivered, the probability that the delivery server is busy, and the expected rate at which the delivery server’s self and compulsory vacation interruptions are also discussed.

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An economic analysis of on-demand food delivery platforms: Impacts of regulations and integration with ride-sourcing platforms

Cited by 19 publications

References 32 publications

The role of on‐demand delivery platform in competition between manufacturer and retailer

The role of on‐demand delivery platform in competition between manufacturer and retailer

Human Resource Dynamics in Urban Crowd Logistics: A Comprehensive Analysis

An Optimization of Home Delivery Services in a Stochastic Modeling with Self and Compulsory Vacation Interruption

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