Ana Esteso, María del Mar Eva Alemany Díaz, Ángel Ortiz Bas
Small farms are responsible for 80% of theworld’s agricultural production although they have difficulties to meet the market quality requirements. Corporate social responsibility (CSR) programs where modern retailers invest in empowering small farmers have been implemented obtaining an increase of the supply chain (SC) profits in cases where supply and demand are balanced. In this paper, a MILP model based onWahyudin et al. (In: Proceedings of the international multiconference of engineers and computer scientists, Hong Kong, pp. 877–882, [1]) to select the investments to carry out by modern retailers, and the product flow through the SC in situations of supply and demand imbalance is proposed. Its objective is to find out if collaboration programs have a positive impact on SC profits when supply and demand are not balanced. This model allows for the rejection of demand and product wastes. Results show that collaboration programs positively impact on the SC profits and consumer satisfaction level when there is an imbalance between demand and supply.
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