Study Of Pricing Strategy On Mixed Recovery Closed-Loop Supply Chain

Under the double pressures of resource crisis and environmental pollution, resource recycling more and more gets the attention of people. To save costs and improve enterprise image, governments also made the corresponding laws to require companies to recycling waste products remanufacturing. Recycling of waste product also has caused great attention of the world. Many companies have embarked on manufacturing. Closed-loop supply chain as a kind of management style to achieve economic development and coordinate environment attended by the government, enterprises and scholars. In the closed-loop supply chain management, coordination of pricing is one of its important functions, it relates to product recovery, demand and system operation efficiency. Pricing decision, therefore, become the focus of attention of the scholars.This paper is to study the mixed model of closed-loop supply chain which the manufacturers and retailers is responsible to recycle at the same time. Under the condition of hybrid channel four different models is presented in this paper. We got the optimal decisions under these models, analyses the effects of various parameters on optimal decision and carries out a comparative analysis on the optimal prices and profits.Research shows that the profit of supply chain system under centralized decision making bigger, more beneficial to the system. Waste product availability increased the utilization rate of saving the production cost of the manufacturer; also indirectly increase the profit of the system; Revenue sharing contract which is dominated by the manufacturer lowered wholesale price and retail price, increasing the recycled and the profitability of the entire supply chain. Under the market structure leaded by retailer than the market structure leaded by manufacturer. Finally. considering case manufacturers competition and product life cycle, Increase retailers’ shares of recycling and recovery rate of waste products reduced the sales price, increased profits, more beneficial to the entire supply chain.In a closed-loop supply chain model composed by competitive manufactures ande a single retailer, considering case manufacturers competition and product life cycle. We analyzes the decentralized and centralized pricing decisions of supply chain, the retailer’s share and waste product recycling ratio effect on the optimal decision and use the matlab numerical analysis was carried out on the optimal decision. Increase retailers’ shares of recycling and recovery rate of waste products reduced the sales price, increased profits, more beneficial to the entire supply chain.