Abstract: Through the establishment of a differential game model, the quality investment strategies of an agricultural component supplier and an equipment manufacturer in the design and manufacturing process under the dynamic framework are analyzed. The decision-making process and optimal strategy of the supplier and the demander are investigated under the situation of no cost sharing and cost sharing Stackelberg game and cooperation game. Finally, the results of the theoretical derivation is verified by a numerical example. The results show that the cost-sharing of the equipment manufacturer to the component supplier can improve the quality investment level of the component supplier in the design and manufacturing process and the overall income. In the case of collaborative cooperation, both the quality investment level and overall income are better than the other two situations. And the income distribution coefficient within a certain range can make the individual income of both parties reach the Pareto optimal, thereby realizing the effective coordination of the quality investment behavior.

Key words: differential game, agricultural machinery equipment, quality investment, Pareto optimal