The Pricing Decision Research On The ‘Trade-old-for-Remanufactured’ Closed-loop Supply Chain

With the rapid development of economy and society and the continuous improvement of industrialization level,China has entered the peak period of industrial equipment and household appliances scrapping.Recycling of waste products is becoming more and more important,and remanufacturing is imperative.In order to promote the recycling of remanufactured used parts,the Chinese government has implemented the subsidy policy of "exchanging used parts for recycled ones".In 2013,China’s national development and reform commission,ministry of finance and other departments jointly issued the pilot implementation plan of "recycling old products" for remanufactured products.The "trade-in" subsidy policy was implemented in 2015,which greatly promoted the recycling and remanufacturing of waste materials.However,due to consumers’ different perceptions of remanufactured products,the emergence of production competitors and recycling competitors in the "trade-in" market will affect the implementation of the "trade-in" policy due to the complex structure and environment.Therefore,this paper USES game theory to study three "trade-in" closed-loop supply chain models: bilateral monopoly between retailers and manufacturers,competition between remanufacturers and recyclers,and competition between recyclers when green consumers appear in the market.The main research contents and conclusions are as follows:(1)Research on Decision and Coodination of the ‘Trade-old-for-remanufactured’ Closed-loop Supply Chain Considering Green Customer Scale.Aimed at ‘trade-old-for-remanufactured’ closed-loop supply chain consisting of a single manufacturer and a single retailer,when green consumers exist in the market,the influence of green consumers scale on closed-loop supply chain pricing decision under ‘trade-old-for-remanufactured’ subsidy is analyzed.The study shows that: The increase in the scale of green consumers and the increase in the acceptance of remanufactured products by ordinary consumers are conducive to the sales of remanufactured products,and can improve the profit of the closed-loop supply chain system and each member.With the increase of the government’s ‘trade-old-for-remanufactured’ subsidy,the closed-loop supply chain system,the retailer’s profit and the manufacturer’s profit increase correspondingly.Finally,this paper has validated the relative proposition by the numerical value.(2)Research on government "trade-in" subsidies are used to support quantitative pricing decisions in closed-loop supply chains in which individual manufacturers compete with each other.Under the background of government subsidies,build manufacturers and manufacturers again at the same time responsible for discarded product remanufacturing closed-loop supply chain system,analyses the competitive environment of remanufacturing closed-loop supply chain pricing model,quantitative further comparative analysis by numerical simulation in the end product competition between manufacturers and manufacturers,government subsidies,and consumers for remanufacturing product acceptance decision variables and profit of closed-loop supply chain system.The research shows that consumer preference has an important influence on enterprises’ market capture and profit promotion.Government subsidies help manufacturers remanufacture and further increase remanufacturing profits.(3)A study on the decision-making of "trade-in" closed-loop supply chain in recycling competitive environment.Aimed at ‘Waste electrical and electronic’ closed-loop supply chain consisting of a single manufacturer and two two recyclers,when the competition between the formal and informal recyclers exist in the market,the influence of government subsidies and consumer channel preference on the decision-making of closed-loop supply chain under the subsidy of recycling treatment is analyzed.The study shows that: In the competition between the formal and informal channel,with the improvement of government recycling subsidies,the competitiveness of qualified recyclers increases.The increase in the consumers’ preference for formal recycling channels can improve the profit of the closed-loop supply chain system and each member,it is necessary for the government to promote.Therefore,enterprises should consider consumers’ acceptance of remanufactured products to determine their production and optimal pricing,and based on this,they should respond to the problem of competitors and choose to monopolize the market or cooperate with competitors.In addition,consumers’ preference for enterprises and government "trade-in" subsidies and other factors will affect the sales of remanufactured products and the implementation of the government "trade-in" strategy.