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Analysing remanufacturing decisions of supply chain members in uncertainty of consumer preferences
Shu, Tong1; Liao, Huaisi1; Chen, Shou1; Wang, Shouyang1,2; Lai, Kin Keung3,4; Gan, Lu5
2016-07-01
Source PublicationAPPLIED ECONOMICS
ISSN0003-6846
Volume48Issue:34Pages:3208-3227
AbstractThis article formulates a gaming model of the closed-loop supply chain with manufacturers (as the leader), sellers and consumers where consumers may or may not be willing to pay remunerative price for remanufactured products vis-a-vis new products. In the model, manufacturers produce new as well as remanufactured products, whereas sellers distribute them. In stable circumstances, this article presents the functional formula of the optimal manufacturing pricing decisions. The results show that when the cost of new products is significantly lower than that of remanufactured ones, manufacturers choose to produce new products only. When the difference between cost of new and remanufactured products is moderate, manufacturers tend to produce both new and remanufactured products, and in some regions, production of new and remanufactured products is proportional to each other. When the difference between cost of new and remanufactured products is enormous, their production and sale tend to stop. Also, this article analyses the effects of varying cost of new and remanufactured products and the recycling rate on pricing decisions of supply chain members. This article contributes to the management of manufacturers' and sellers' remanufacturing decisions and also provides advice on how governments can guide consumer preferences.
KeywordConsumer preferences uncertainty of purchase willingness closed-loop supply chains gaming model remanufacturing production pricing decision
DOI10.1080/00036846.2015.1136400
Language英语
Funding ProjectNatural Science Foundation of China[71172194] ; Natural Science Foundation of China[71390330] ; Natural Science Foundation of China[71390331] ; Natural Science Foundation of China[71221001] ; Project granted by Hunan Provincial Planning Office of Philosophy and Social Science[15YB064]
WOS Research AreaBusiness & Economics
WOS SubjectEconomics
WOS IDWOS:000374961700003
PublisherROUTLEDGE JOURNALS, TAYLOR & FRANCIS LTD
Citation statistics
Cited Times:6[WOS]   [WOS Record]     [Related Records in WOS]
Document Type期刊论文
Identifierhttp://ir.amss.ac.cn/handle/2S8OKBNM/22602
Collection系统科学研究所
Affiliation1.Hunan Univ, Sch Business, Changsha 410082, Hunan, Peoples R China
2.Chinese Acad Sci, Acad Math & Syst Sci, Beijing, Peoples R China
3.Shaanxi Normal Univ, Int Business Sch, Xian, Peoples R China
4.City Univ Hong Kong, Dept Management Sci, Hong Kong, Hong Kong, Peoples R China
5.Hunan Univ, Off Humanities & Social Sci, Changsha 410082, Hunan, Peoples R China
Recommended Citation
GB/T 7714
Shu, Tong,Liao, Huaisi,Chen, Shou,et al. Analysing remanufacturing decisions of supply chain members in uncertainty of consumer preferences[J]. APPLIED ECONOMICS,2016,48(34):3208-3227.
APA Shu, Tong,Liao, Huaisi,Chen, Shou,Wang, Shouyang,Lai, Kin Keung,&Gan, Lu.(2016).Analysing remanufacturing decisions of supply chain members in uncertainty of consumer preferences.APPLIED ECONOMICS,48(34),3208-3227.
MLA Shu, Tong,et al."Analysing remanufacturing decisions of supply chain members in uncertainty of consumer preferences".APPLIED ECONOMICS 48.34(2016):3208-3227.
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