2017 The 5th International Symposium on Project Management (ISPM 2017)

94 / 2017-05-06 16:19:52

Equilibrium problem of last mile delivery service choice with heterogeneous customers

13874

To analyze the law of choice behavior of heterogeneous customers when facing last mile delivery services including pickup and home delivery service, bounded rational customers were introduced into equilibrium problem of delivery service choice. Queuing system was used to describe the congestion effect of delivery services. Then the utility functions of different delivery services were constructed. Based on quantal response equilibrium (QRE), the choice equilibrium model with heterogeneous customers was constructed. The bounded rationality was captured in which Customers chose delivery service with equilibrium probability.The existence and convergence of QRE were proved. Numerical experiments reveal heterogeneous customers choice preference for delivery services depends on the rationality level of customers, pickup point capacity and home delivery service capacity. And enterprise should focus on the pickup point capacity in the design of the last mile delivery service.