Analysis on the quantity effect of electronic secondary market on the perishable goods supply chain

The advance of business-to-business commerce has resulted in the establishment of many types of electronic marketplaces. This paper focuses on a market exchange as the ¿secondary market¿ for perishable goods-that is, for the resellers to dispose and acquire excessive perishable goods inventory. This research investigates the quantity effect of the electronic secondary market on the perishable goods supply chain, which dictates the influence on the sizes of the retailers¿ initial orders at the beginning of sale seasons. It was also found that the existence of secondary markets will expand the impact of the overestimate of the mean demand with given conditions.