Returning Strategy Research Under E-commerce Environment

With the rapid development of the internet,the process of online shopping is more convenient and the logistics are rapider and safer.So more and more retailers and consumers choose to join the ranks of e-commerce.However,return reasons different from person to person in the special environment of network sales,and the number of return is much higher than the traditional way of sale.The large number of returns not only means the retailers have to bear the raising cost and reducing profit,but also means the manufacturers and distributors upstream of the supply chain will face the inventory backlog and the waste of the raw materials.Therefore,the main bodies of the supply chain pay more and more attentions to the strategies of return in e-commerce environment.To provide a method for manufacturers and retailers in choosing return strategy in e-commerce environment,this paper built a supply chain with one manufacturer and two retailers based on system dynamics which involves in manufacturing,purchasing,marketing and returning under the assumption that return goods have no quality problems.In the model,two different kinds of return policies are designed.The first return strategy is that customers return goods to the retailer and the retailer give the shopping money back to the consumers on the premise that return goods met the refund requirements.In the same time,the returned goods are sold directly on the network for the second time.In the end of the sale season,the manufacturer purchase the unsold products back in accordance with the agreement;The difference of another return strategy is that customers return commodities directly to the manufacturer,and the manufacturer return the payment to the retailer in accordance with the agreed terms.In the end of the sale season,other unsold products will be recycled.By comparing the profits of the manufacturer and retailers respectively,the conducive return strategy can be find out.It turns out that,to uniform pricing market,manufacturers can provide a lower repurchase price to coordinate the interests of the two sides for the goods of relatively high recovery price,or one of the main bodies make appropriate concessions according to their position.For other circumstances,the way that customers return merchandises to retailers,and retailers return the goods to the manufacturer at the end of the sale season is better for both the retailers and manufacturers except high recoverprice products.In addition,the way that customers return merchandises to retailer can reduce the effect of the maximum return time on inventory and profit,and when the return rate is relatively large,returning merchandises to retailer is better.At last,the model is optimized by improving the forecast veracity of the manufacturer which provides a method for manufacturers to forecast accurately.