Impact of coronavirus pandemic on sharing mode of manufacturer

Service platform has developed rapidly in car-sharing, consumers often buy or own cars but not fully utilize and share them. Since the coronavirus pandemic has affected sales and people’s attitudes towards car-sharing, which brought both opportunities and challenges to the platform and changed the operating mode of manufacturers, some traditional manufacturers have motivated to cooperate with third-party platform. In this paper, we develop an analytical framework to examine the pricing decisions and optimal mode selection of manufacturer under the COVID-19 epidemic. Considering the supply chain consists of a manufacturer and a third-party sharing platform. We analyze three scenarios including no sharing, customers-to-customers, and mixed sharing, then employ a game theoretic approach to get equilibrium solutions and analytically derive the optimal mode choice. Our analysis shows that when the operation and maintenance cost is low, manufacturer will join the third-party platform, and the sharing price increase in operation and maintenance cost, while the selling price decrease in operation and maintenance cost. When the value perception factor less than the threshold, the manufacturer will retain sales channel, and the selling demand decrease in value perception factor in the growing market, the sharing demand has the same trend, vice versa. Furthermore, we find that if the operation and maintenance cost is low and value perception factor is high, mixed sharing is the best choice for the manufacturer, while the manufacturer will choose no car-sharing when the value perception factor is relatively low.