scholarly journals An Efficient Approach for Coordination of Dual-Channel Closed-Loop Supply Chain Management

2018 ◽  
Vol 10 (10) ◽  
pp. 3433 ◽  
Author(s):  
Muhammad Arshad ◽  
Qazi Khalid ◽  
Jaime Lloret ◽  
Antonio Leon
Keyword(s):  
Supply Chain ◽  
Closed Loop ◽  
Wholesale Price ◽  
Third Party ◽  
Equilibrium Strategy ◽  
Recycling Rate ◽  
Closed Loop Supply Chain ◽  
Dual Channel ◽  
Fairness Concern ◽  
The Impact

In this paper, a closed-loop supply chain composed of dual-channel retailers and manufacturers, a dynamic game model under the direct recovery, and an entrusted third-party recycling mode of the manufacturer is constructed. The impact of horizontal fairness concern behavior is introduced on the pricing strategies and utility of decision makers under different recycling models. The equilibrium strategy at fair neutrality is used as a reference to compare offline retails sales. Research shows that in the closed-loop supply chain of dual-channel sales, whether in the case of fair neutrality or horizontal fairness concerns, the manufacturer’s direct recycling model is superior to the entrusted third-party recycling, and the third-party recycling model is transferred by the manufacturer. In the direct recycling model, the horizontal fairness concern of offline retailers makes two retailers in the positive supply chain compete to lower the retail price in order to increase market share. Manufacturers will lower the wholesale price to encourage competition, and the price will be the horizontal fairness concern coefficient, which is negatively correlated. In the reverse supply chain, manufacturers increase the recycling rate of used products. This pricing strategy increases the utility of manufacturers and the entire supply chain system compared to fair neutral conditions, while two retailers receive diminished returns. Manufacturers, as channel managers to encourage retailers to compete for price cuts, can be coordinated through a three-way revenue sharing contract to achieve Pareto optimality.

scholarly journals Research on Closed-Loop Supply Chain Decision-Making in Different Cooperation Modes with Government’s Reward-Penalty Mechanism

2021 ◽  
Vol 13 (11) ◽  
pp. 6425
Author(s):  
Quanxi Li ◽  
Haowei Zhang ◽  
Kailing Liu
Keyword(s):  
Supply Chain ◽  
Closed Loop ◽  
Stackelberg Game ◽  
Recycling Rate ◽  
Transfer Payment ◽  
Closed Loop Supply Chain ◽  
Asymmetry Of Information ◽  
Optimal Decisions ◽  
The Government ◽  
The Impact

In closed-loop supply chains (CLSC), manufacturers, retailers, and recyclers perform their duties. Due to the asymmetry of information among enterprises, it is difficult for them to maximize efficiency and profits. To maximize the efficiency and profit of the CLSC, this study establishes five cooperation models of CLSC under the government‘s reward–penalty mechanism. We make decisions on wholesale prices, retail prices, transfer payment prices, and recovery rates relying on the Stackelberg game method and compare the optimal decisions. This paper analyzes the impact of the government reward-penalty mechanism on optimal decisions and how members in CLSC choose partners. We find that the government’s reward-penalty mechanism can effectively increase the recycling rate of used products and the total profit of the closed-loop supply chain. According to the calculation results of the models, under the government’s reward-penalty mechanism, the cooperation can improve the CLSC’s used products recycling capacity and profitability. In a supply chain, the more members participate in the cooperation, the higher profit the CLSC obtain. However, the cooperation mode of all members may lead to monopoly, which is not approved by government and customers.

scholarly journals Pricing Decisions of a Dual-Channel Closed-Loop Supply Chain under Uncertain Demand of Indirect Channel

2016 ◽  
Vol 2016 ◽  
pp. 1-13 ◽  
Author(s):  
Jie Gao ◽  
Xiong Wang ◽  
Qiuling Yang ◽  
Qin Zhong
Keyword(s):  
Supply Chain ◽  
Closed Loop ◽  
Stackelberg Game ◽  
Uncertain Demand ◽  
Direct Channel ◽  
Closed Loop Supply Chain ◽  
Pricing Decisions ◽  
Dual Channel ◽  
Decentralized Decision Making ◽  
The Impact

The dual-channel closed-loop supply chain (CLSC) which is composed of one manufacturer and one retailer under uncertain demand of an indirect channel is constructed. In this paper, we establish three pricing models under decentralized decision making, namely, the Nash game between the manufacturer and the retailer, the manufacturer-Stackelberg game, and the retailer-Stackelberg game, to investigate pricing decisions of the CLSC in which the manufacturer uses the direct channel and indirect channel to sell products and entrusts the retailer to collect the used products. We numerically analyze the impact of customer acceptance of the direct channel (θ) on pricing decisions and excepted profits of the CLSC. The results show that when the variableθchanges in a certain range, the wholesale price, retail price, and expected profits of the retailer all decrease whenθincreases, while the direct online sales price and manufacturer’s expected profits in the retailer-Stackelberg game all increase whenθincreases. However, the optimal recycling transfer price and optimal acquisition price of used product are unaffected byθ.

System dynamics research of remanufacturing closed-loop supply chain dominated by the third party

2017 ◽  
Vol 35 (4) ◽  
pp. 379-386 ◽  
Author(s):  
Shidi Miao ◽  
Tengfei Wang ◽  
Deyun Chen
Keyword(s):  
Supply Chain ◽  
System Dynamics ◽  
Closed Loop ◽  
Rapid Development ◽  
Waste Recycling ◽  
Third Party ◽  
Closed Loop Supply Chain ◽  
The Third ◽  
The Third Party ◽  
The Impact

With the rapid development of the electronic information industry in recent years, electronic products are being updated faster and faster, and e-waste recycling has become a common problem around the world. Firstly, this article contrasts recycling at home and abroad using the predicament of Midea Corp. Based on a closed-loop supply chain with the system dynamics method, a model is constructed and simulated. In this model, the collection point coverage rate is introduced to adjust the e-waste recycling rate dynamically. Aiming at a recycling mode dominated by the third party of the closed-loop supply chain, the article mainly discusses the impact on the sales rate and market share of the recycling model by third-party enterprises and compares the total revenue of all supply chains. Simulation results show that the model is more effective and optimal than the traditional recycling model.

scholarly journals A Stochastic Differential Game in the Closed-Loop Supply Chain with Third-Party Collecting and Fairness Concerns

2019 ◽  
Vol 11 (8) ◽  
pp. 2241 ◽  
Author(s):  
Jianmin Xiao ◽  
Zongsheng Huang
Keyword(s):  
Supply Chain ◽  
Closed Loop ◽  
Return Rate ◽  
Third Party ◽  
Supply Chain System ◽  
Closed Loop Supply Chain ◽  
The Third ◽  
Fairness Concerns ◽  
The Third Party ◽  
Fairness Concern

This paper investigates the optimal return control problem in a closed-loop supply chain consisted of one manufacturer, one retailer, and one third-party collector, in the presence of stochastic return disturbance and fairness concern of followers. We formulate the stochastic differential game-theoretic models and resolve the feedback Stackelberg equilibriums without and with fairness concern. We also derive the evolutionary paths of the stochastic return rate and the value functions of the supply chain members under the optimal control strategies. We find that the feedback equilibrium exists only under a specific condition, and the expectation and variance of the return rate both approach the stable state for a specific closed-loop supply chain system. We further discussed the impact of fairness concerns on the supply chain system. The manufacturer would shift profit to the retailer by lowering the wholesale price, and the stable expected return rate will be lower in the supply chain with fairness concerns, as the third party will have less incentive to collect used products, considering unfairness. The manufacturer should set a higher transfer subsidy to incentivize the third party to collect when the third party is concerned with fairness.

scholarly journals The value of information sharing in a dual-channel closed-loop supply chain

2021 ◽  
Author(s):  
Yanting Huang ◽  
Benrong Zheng ◽  
Zongjun Wang
Keyword(s):  
Supply Chain ◽  
Information Sharing ◽  
Private Information ◽  
Value Of Information ◽  
Closed Loop ◽  
Stackelberg Game ◽  
Wholesale Price ◽  
Closed Loop Supply Chain ◽  
Dual Channel ◽  
Model C

This paper considers a dual-channel closed-loop supply chain consisting of a manufacturer, a retailer and a collector in which the retailer possesses private demand information and determines whether to share his private information with other chain members. Specifically, we develop four information sharing models, namely no information sharing (Model C-R), the retailer sharing information with the manufacturer (Model C-R-M), the retailer revealing information to the collector (Model C-R-C), and the retailer disclosing information to both the manufacturer and the collector (Model C-R-T). We adopt the Stackelberg game to acquire the equilibrium strategies and examine the value of information sharing on chain members’ decisions. We find that, chain members will set the largest wholesale price, retail prices of direct and indirect channels when the retailer only shares information with the manufacturer and the highest return rate can be obtained in the case of the retailer only revealing information to the collector. We can also find that, information sharing is profitable to the manufacturer and the collector, while is detrimental to the retailer. The manufacturer, the collector and the retailer can reach the largest profits in Model C-R-T, Model C-R-C and Model C-R-M, respectively.

scholarly journals Pricing, carbon emission reduction and recycling decisions in a closed-loop supply chain under uncertain environment

2021 ◽  
Vol 0 (0) ◽  
pp. 0
Author(s):  
Guangzhou Yan ◽  
Qinyu Song ◽  
Yaodong Ni ◽  
Xiangfeng Yang
Keyword(s):  
Supply Chain ◽  
Emission Reduction ◽  
Carbon Emission ◽  
Closed Loop ◽  
Wholesale Price ◽  
Reduction Rate ◽  
Third Party ◽  
Total Carbon ◽  
Closed Loop Supply Chain ◽  
Carbon Emission Reduction

<p style='text-indent:20px;'>This paper studies the pricing and recycling decision problems in a closed-loop supply chain (CLSC) containing a manufacturer, a downstream retailer, and a third-party recycling left. The manufacturer is subjected to the cap-and-trade regulation and determines the wholesale price of products and carbon emission reduction rate. The retailer determines its resale price to meet customer demands. The third-party recycling left determines the collection rate of recycling and remanufacturing used products. The new product demands, total carbon emissions, and recovery of these products are characterized as uncertain variables due to lack of historical data or insufficient data collected for research. By constructing three decentralized game models, we explore the equilibrium solutions under the corresponding decision-making situation and the corresponding analytical solutions. Finally, numerical experiments are performed to show the total profit of supply chain members for each structure and some special insights are drawn.</p>

scholarly journals A Green Closed-Loop Supply Chain Coordination Mechanism Based on Third-Party Recycling

2019 ◽  
Vol 11 (19) ◽  
pp. 5335 ◽  
Author(s):  
Jiafu Su ◽  
Chi Li ◽  
Qingjun Zeng ◽  
Jiaquan Yang ◽  
Jie Zhang
Keyword(s):  
Decision Making ◽  
Supply Chain ◽  
Closed Loop ◽  
Profit Sharing ◽  
Coordination Mechanism ◽  
Third Party ◽  
Marginal Effect ◽  
Closed Loop Supply Chain ◽  
Decentralized Decision Making ◽  
The Impact

Taking an environment-friendly green closed-loop supply chain as the research object, this work established a two-stage closed-loop supply chain game model. Considering the influence of the environmental protection input on the whole supply chain, there are different decisions among the participants in the supply chain, and the different choices will have impacts on the benefits of the whole supply chain when manufacturers select a closed-loop supply chain model of third-party recycling. Hence, this work compared and analyzed the impact of centralized decision-making and decentralized decision-making on the returns and pricing strategies of each participant. Finally, an optimized cooperative mechanism decision model considering a cost profit sharing contract was further designed. The model is conducive to obtaining the maximum profit value in centralized decision-making and avoids the negative impact of a “double marginal effect” on supply chain income in decentralized decision-making, and finally, improves the overall coordination and profit of a green closed-loop supply chain. The numerical examples are conducted to verify the effectiveness and practicality of the proposed models. This work provides a helpful decision support and guidance for enterprises and the government on the used products recycling decisions to better manage the green closed-loop supply chain.

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