Customized Product Design and Cybersecurity Under a Nash Game-Enabled Dual-Channel Supply Chain Network

Dual-channel retailing empowers the manufacturer to benefit from market opportunities by producing customized items that fulfill client requirements. The manufacturer and retailer sell customized products, which allow customers to express their chosen style to increase both the likelihood of customers making a purchase and their level of satisfaction with the product. This trend is demonstrated by the current study, in which customized consumer items are considered through online and offline channels. On the other hand, cybersecurity has become a crucial aspect of the digital era, ensuring the protection of sensitive data, networks, and systems from cyberattacks and unauthorized access. This study develops with a modern cybersecurity framework to protect against cyberattacks and increase customer trust. This model is based on customized product design, cybersecurity investment, advertisement investment, and increasing the green level of customized products. The model is solved using both centralized policy and vertical Nash policy. Numerical results indicate that centralized profit is 2.37% more than the decentralized profit. Without investing in customized products and cybersecurity, the profit of the supply chain decreases by 2.33% and 1.99% for the centralized method, 1.28% and 1.15% for the vertical Nash method for the retailer, and 1.85% and 1.38% for the vertical Nash method for the manufacturer.