Emergency Channel Decision And Contract Coordination Of Closed-loop Supply Chain Under Product Recall

Due to the technology immatured,the bloated management organization,and the quality of the enterprise is not effectively controlled,the products will have serious quality problems after a period of use.According to the relevant provisions of China's "Defective Consumer Goods Recall Measures",companies had to recall the defective products.Therefore,under the product recalls,how closed-loop supply chains make decisions,ensure the economic and ecological benefits has become an urgent problem to be solved in the current era,and the existing theoretical results are rarely.Therefore,this article intends to study the following:(1)In response to product recalls,built manufacturers recycling,retailers recycling,and third-party recycling closed-loop supply chain emergency decision-making model to analyze how companies choose the best emergency recycling channel after a product recall occurs;(2)In order to solve the problem of "dual marginal effect" in the decentralized closed-loop supply chain under product recalls,designed emergency revenue sharing contracts and two fee contracts.All members of the closed-loop supply chain can obtain Pareto improved profits in order to effectively respond to product recalls.The research found that the retailer's recycling mode under product recall is an effective recycling channel;after the product recall incident,manufacturers have to bear more processing costs when handling products,so the operational efficiency of centralized decision closed-loop supply chain is not always excellent;the emergency revenue sharing contract and the two charging contracts can effectively coordinate the decentralized decision-making behavior of each member under product recall,and enable manufacturers and retailers to obtain Pareto improved profit.