Equilibrium in platform service supply chain network with quality and innovation considering digital economy

In the digital context, using data and digital technology to realize value creation has become an important decision-making issue faced by platform service supply chain (PSSC) members. In this study, we build a PSSC structure that includes service providers (SPs), platform operators (POs) and demand markets (DMs). To realize value creation, SPs and POs improve service quality and carry out collaborative innovation through data and digital technology. Therefore, based on the mutual transformation relationship between variational inequality and the optimization problem, we construct a PSSC network equilibrium model and obtain the conditions for the network to be in the optimal state. Through five numerical examples, we analyze the influence of factors such as service quality improvement level cost coefficient, service innovation ability, and digital application level on the equilibrium state of the PSSC network. Our study finds that under digital empowerment, the high cost of service quality improvement is not only a difficult challenge for SPs and POs, but also hinders DMs from accessing high-quality and low-cost services. We also observe that a high service innovation capability is conducive to the value creation of PSSC members. This is not only a cost saving for PSSC members themselves but also has a "spillover effect" on their partners. Further, for SPs, the improvement of the digital application level does not achieve the expected revenue growth in the early stage, and POs may have "free riding" behavior in digital investment. Against the backdrop of digitalization, these findings provide new insights into PSSC's service quality improvement and collaborative innovation activities.