Research on Negotiation Game of Supply-Sale Contract of Agricultural Products Based on Bargaining Model

Farmers-market cooperation can effectively reduce the transaction costs of agricultural products, ensure the quality of agricultural products, and realize common benefits for the farmers, supermarket and consumers. It analyzes the negotiations process between the farmers and the markets, and builds the three stages bargaining negotiations game model, by using Rubinstein bargaining game theory, considering the agricultural products in transit loss, negotiation costs, and transportation costs and so on. It solves the negotiation game model by backward induction. The results show that bidders´ the best price in different stages. At last, it puts forward to the suggestions to promote the effective cooperation between supermarket and the farms, it can improve the rapid development of economy of the country agriculture.