Risk model and insurance policy for international fishery logistics management

Fierce competition in global markets and the heightened expectations of consumers have forced business enterprises to invest in and focus attention on, the relationships with their customers and suppliers. Interest in supply chain management has also been growing in the fishery industry both in developed and developing countries. Along with the occurrence of several catastrophic events in fishery supply chains, fishery risk diversity and insurance problems become more and more important. However, participants in the supply chain are separate and independent economic entities, and only consider their own benefits. In this paper, the model and the policy problems of the fishery risk diversity and insurance are studied based on the fishery supply chain insurance contract and the behavior of each participant. In this paper, for lacking sufficient knowledge about the exact probability of the fishery supply chain contract signatory or insured accidents, in the fishery supply chain risk diversity and insurance process, the fishery supply chain risk insurer uses the information supplied by the fishery supply chain contract signatory or fishery supply chain insurants and the behavior performed by the fishery supply chain contract signatory or fishery supply chain insurants to establish the parameters of the fishery supply chain insurance contract.