Abstract: “Poverty alleviation through consumption” is a form of poverty reduction whereby all sectors of society can help increase the income of poor individuals by consuming products and services from impoverished areas. It is an important way for social entities to participate in poverty reduction. Retailers can promote the establishment of stable supply chains for poverty alleviation products by introducing and selling such products. One of the motivations behind this behavior is to increase profits. Retailers can adopt different product and pricing strategies, which can have varying impacts on supply chain participants and the effectiveness of poverty alleviation through consumption. The objective of this paper is to study these strategies and their impact to gain management insights. Currently, there are few literature resources on poverty alleviation through consumption, most of which focus on qualitative research. It aims to model the market characteristics of poverty alleviation products for the first time and illustrate the impact of moral attributes of poverty alleviation products on market equilibrium. The significance of this study lies in enhancing the theoretical foundation of poverty alleviation through consumption.

Key words: poverty alleviation by consumption; consumer preference; Stackelberg game; product strategy; pricing strategy