Pricing And Reverse Channel Decisions Of Closed-loop Supply Chain Under Different Dual Collection Scenarios

Due to raise in pollution and other environmental concerns in the society,government and green consumers demand corporations to shift from linear supply chain to closed-loop supply chain(CLSC).This study addresses the two major issues of closed-loop supply chain,reverse channel choice and pricing strategy,where manufacturer performs remanufacturing of used products.At present,many organizations utilize multiple channels to collect used products(cores)instead of single channel,in order to maximize their return rate.Therefore,we study closed-loop supply chain with dual-collection models and in two different scenarios,namely dual-collection without competition and dual-collection with competition.Both scenarios consist of three different collection models,retailer-third-party collection model,manufacturer-third-party collection model,and manufacturer-retailer collection model.To find optimal solution of decision variables,CLSC members play single-period Stackelberg game where manufacturer(he)acts as a Stackelberg leader and retailer(she)and third-party as followers.Later,we conduct comparative study among all model optimal values for both scenarios.Our results show that manufacturer-retailer collection model outperforms other models in dual-collection without competition,as well as in dual-collection with competition.Thus,competition intensity among core collectors does not affect the optimal reverse channel choice.We further conduct numerical study to illustrate our findings in terms of numbers and figures.