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- W2896917265 abstract "Due to restricted budgets of relief organizations, costs of hiring transportation service providers steerdistribution decisions and limit the impact of disaster relief. To improve the success of future humanitarianoperations, it is of paramount importance to understand this relationship in detail and to identifymitigation actions, always considering the interdependencies between multiple independent actors in humanitarianlogistics. In this paper, we develop a game-theoretic model in order to investigate the influenceof transportation costs on distribution decisions in long-term relief operations and to evaluate measuresfor improving the fulfillment of beneficiary needs. The equilibrium of the model is a Generalized NashEquilibrium, which has had few applications in the supply chain context to date. We formulate it, utilizingthe construct of a Variational Equilibrium, as a Variational Inequality and perform numerical simulationsin order to study the effects of three interventions: an increase in carrier competition, a reduction oftransportation costs and an extension of framework agreements. The results yield important implicationsfor policy makers and humanitarian organizations (HOs). Increasing the number of preselected carriersstrengthens the bargaining power of HOs and improves impact up to a certain limit. The limit is reachedwhen carriers set framework rates equal to transportation unit costs. Reductions of transportation costshave a consistently positive, but decreasing marginal benefit without any upper bound. They providethe highest benefit when the bargaining power of HOs is weak. On the contrary, extending frameworkagreements enables most improvements when the bargaining power of HOs is strong." @default.
- W2896917265 created "2018-10-26" @default.
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- W2896917265 date "2019-04-01" @default.
- W2896917265 modified "2023-10-12" @default.
- W2896917265 title "How to increase the impact of disaster relief: A study of transportation rates, framework agreements and product distribution" @default.
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- W2896917265 doi "https://doi.org/10.1016/j.ejor.2018.09.045" @default.
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