Synergistic Evolution in the Digital Transformation of the Whole Rural E-Commerce Industry Chain: A Game Analysis Using Prospect Theory

In the big data era, global business competition focuses on industrial chain coordination. The whole rural e-commerce industry chain, as an advanced system characterized by digital transformation, is experiencing rapid growth. This paper aims to explore the evolutionary mechanism of collaborative behavior in the digital transformation of platform enterprises and participating enterprises across the whole rural e-commerce industry chain. To achieve this, this paper combines prospect theory and evolutionary game theory, introduces the value function and decision weight of prospect theory, and constructs a two-party game model between platform enterprises and participating enterprises. Based on the demonstration of the impact of individual changes in major objective factors, such as the cooperative innovation benefit coefficient, as well as major behavioral characteristic factors, such as decision-makers’ risk attitude coefficients, on enterprises’ strategic choices, we further reveal the influence of the interaction of key factors on the evolutionary results through case simulations. The findings indicate that when the behavior characteristics of the players are introduced, the threshold interval of the cost–benefit ratio of the two sides to reach the optimal state of decision-making is obviously reduced. Under moderate risk attitudes and degrees of loss sensitivity, enhancing the resource absorption capacity of enterprises in the chain and reducing the potential risk loss of platform enterprises to alleviate the influence of subjective behavior characteristics on cooperation willingness are effective measures. Improving innovation ability is the key factor in alleviating the negative impact of uncertainty on the decision-making of both parties. This paper is one of the few studies to integrate prospect theory with evolutionary game analysis in examining the collaborative behaviors between platform enterprises and participating enterprises. Effective strategies are proposed to promote enterprises achieving synergy.

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Publication Details

Journal
Systems
Published
2025-02-12
DOI
https://doi.org/10.3390/systems13020117
Citations
3
Primary Topic
ICT Impact and Policies
Type
article
Field-Weighted Citation Impact
3.41

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article

Synergistic Evolution in the Digital Transformation of the Whole Rural E-Commerce Industry Chain: A Game Analysis Using Prospect Theory

Junqian Xu, Yanling Wang
3 citations
Systems
ICT Impact and Policies
3.41
article

Synergistic Evolution in the Digital Transformation of the Whole Rural E-Commerce Industry Chain: A Game Analysis Using Prospect Theory

Junqian Xu, Yanling Wang
article en
3 citations

Abstract

In the big data era, global business competition focuses on industrial chain coordination. The whole rural e-commerce industry chain, as an advanced system characterized by digital transformation, is experiencing rapid growth. This paper aims to explore the evolutionary mechanism of collaborative behavior in the digital transformation of platform enterprises and participating enterprises across the whole rural e-commerce industry chain. To achieve this, this paper combines prospect theory and evolutionary game theory, introduces the value function and decision weight of prospect theory, and constructs a two-party game model between platform enterprises and participating enterprises. Based on the demonstration of the impact of individual changes in major objective factors, such as the cooperative innovation benefit coefficient, as well as major behavioral characteristic factors, such as decision-makers’ risk attitude coefficients, on enterprises’ strategic choices, we further reveal the influence of the interaction of key factors on the evolutionary results through case simulations. The findings indicate that when the behavior characteristics of the players are introduced, the threshold interval of the cost–benefit ratio of the two sides to reach the optimal state of decision-making is obviously reduced. Under moderate risk attitudes and degrees of loss sensitivity, enhancing the resource absorption capacity of enterprises in the chain and reducing the potential risk loss of platform enterprises to alleviate the influence of subjective behavior characteristics on cooperation willingness are effective measures. Improving innovation ability is the key factor in alleviating the negative impact of uncertainty on the decision-making of both parties. This paper is one of the few studies to integrate prospect theory with evolutionary game analysis in examining the collaborative behaviors between platform enterprises and participating enterprises. Effective strategies are proposed to promote enterprises achieving synergy.

SystemsVol. 13(2)
Shandong Management University (CN), Wuxi Taihu Hospital (CN), Capital University of Economics and Business (CN)
National Social Science Fund of China, Social Science Planning Project of Shandong Province
Openalex Percentile: Top 8%
ICT Impact and Policies
3.41
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