Choice of cooperation strategy under demand updating and altruistic behavior

The integration of logistics service supply chains to improve the service quality of has become the choice of many logistics integrator. This paper considers two common cooperation modes, namely, enabling cooperation and merger cooperation. Meanwhile, this paper takes demand updating and integrator's altruistic behavior into account, establishes a Stackelberg game model and draws the following key conclusions. First, this paper determines the conditions of cooperation, when provider's profit distribution ratio is in the middle, the integrator and the provider cooperate successfully and adopt the merger strategy. Second, this paper finds that demand updating affects the scope of cooperation. When demand decreases (increases), the scope of cooperation between suppliers and integrator decreases (increases). Finally, when the demand reduction degree is small, the demand updating benefits the integrator's profit. In this situation, integrator has incentive to share updated demand information to provider.