ISSN 0253-2778

CN 34-1054/N

open
Free to Publish. Free to Read.
Open AccessOpen Access JUSTC Original Paper

The optimal decisions of remanufactured products and profit allocation under competitions of service and price

  • Mlily Inc., Rugao 226521, China

Cite this:
https://doi.org/10.3969/j.issn.0253-2778.2020.06.004
  • Received Date: 01 December 2019
  • Accepted Date: 18 January 2020
  • Rev Recd Date: 18 January 2020
  • Publish Date: 30 June 2020
    Abstract

  • Abstract

    This paper studies the decisions of price and service level of remanufactured products in three-stage supply chain including retail traders, new product manufacturers and remanufactured product manufacturers. The optimal decisions of the supply chain members under financial “guiding principal” decentralized circumstance, manufacturers-alliance circumstance and centralized circumstance are analyzed. The result shows that when the intensity of price competition of the new products and remanufactured products is pretty violent, the higher the wholesale price of one kind of product, the lower the retail price and service level of the other kind of product; when both of the manufacturer costs and service cost factors are equal, the higher the market base, the higher the wholesale price and service level. In the part of numerical experiments, the profit is distributed by using weighted Shapley value, the results show that the supply chain cannot always be coordinated.

    Abstract

    This paper studies the decisions of price and service level of remanufactured products in three-stage supply chain including retail traders, new product manufacturers and remanufactured product manufacturers. The optimal decisions of the supply chain members under financial “guiding principal” decentralized circumstance, manufacturers-alliance circumstance and centralized circumstance are analyzed. The result shows that when the intensity of price competition of the new products and remanufactured products is pretty violent, the higher the wholesale price of one kind of product, the lower the retail price and service level of the other kind of product; when both of the manufacturer costs and service cost factors are equal, the higher the market base, the higher the wholesale price and service level. In the part of numerical experiments, the profit is distributed by using weighted Shapley value, the results show that the supply chain cannot always be coordinated.
    • FullText(HTML)
  • loading
    • References(18)
  • [1]
    FERGUSON M E, TOKTAY L B. The effect of competition on recovery strategies[J]. Production and Operations Management, 2006, 15(3): 351-368.
    [2]
    WU C H. Price and service competition between new and remanufactured products in a two-echelon supply chain[J]. International Journal of Production Economics, 2012, 140(1): 496-507.
    [3]
    FERRER G, SWAMINATHAN J M. Managing new and remanufactured products[J]. Management Science, 2006, 52(1): 15-26.
    [4]
    颜荣芳，程永宏，王彩霞. 再制造闭环供应链最优差别定价模型[J]. 中国管理科学, 2013, 21(1): 90-97.
    [5]
    谢家平, 王爽. 偏好市场下制造/再制造系统最优生产决策[J]. 管理科学学报,2011, 14(3): 24-33.
    [6]
    DEBO L G, TOKTAY L B, VAN WASSENHOVE L N. Market segmentation and product technology selection for remanufacturable products[J]. Management Science, 2005, 51(8): 1193-1205.
    [7]
    KAYA O. Incentive and production decisions for remanufacturing operations [J]. European Journal of Operational Research, 2010, 201(2): 442-453.
    [8]
    计国君. 基于再造产品的销售定价策略研究[J]. 技术经济, 2010, 29(7): 10-19.
    [9]
    但斌, 丁雪峰. 基于客户细分的再制造价格歧视策略[J]. 系统工程学报, 2011, 26(4): 515-523.
    [10]
    TSAY A A, AGRAWAL N. Channel dynamics under price and service competition[J]. Manufacturing & Service Operations Management, 2000, 2(4): 372-391.
    [11]
    BERNSTEIN F, FEDERGRUEN A. A general equilibrium model for industries with price and service competition[J]. Operations Research, 2004, 52(6): 868-886.
    [12]
    XIA Y, GILBERT S M. Strategic interactions between channel structure and demand enhancing services[J]. European Journal of Operational Research, 2007, 181(1): 252-265.
    [13]
    DUMRONGSIRI A, FAN M, JAIN A, et al. A supply chain model with direct and retail channels[J]. European Journal of Operational Research, 2008, 187(3): 691-718.
    [14]
    XIAO T J, YANG D Q. Price and service competition of supply chains with risk-averse retailers under demand uncertainty [J]. Int, J, Production Economics, 2008, 114: 187-200.
    [15]
    WEBSTER S, MITRA S. Competitive strategy in remanufacturing and the impact of take-back laws[J]. Journal of Operations Management, 2007, 25(6): 1123-1140.
    [16]
    MITRA S, WEBSTER S. Competition in remanufacturing and the effects of government subsidies[J]. International Journal of Production Economics, 2008, 111(2): 287-298.
    [17]
    JUNG K S, HWANG H. Competition and cooperation in a remanufacturing system with take-back requirement[J]. Journal of Intelligent Manufacturing, 2011, 22(3): 427-433.
    [18]
    KALAI E, SAMET D. On weighted Shapley values[J]. International Journal of Game Theory, 1987, 16(3): 205-222.)
    • Supplements(0)
    • Related Articles
    • Track Citations
  • 加载中

Catalog

    |
    Get Citation
    PDF
    XML
    [1]
    FERGUSON M E, TOKTAY L B. The effect of competition on recovery strategies[J]. Production and Operations Management, 2006, 15(3): 351-368.
    [2]
    WU C H. Price and service competition between new and remanufactured products in a two-echelon supply chain[J]. International Journal of Production Economics, 2012, 140(1): 496-507.
    [3]
    FERRER G, SWAMINATHAN J M. Managing new and remanufactured products[J]. Management Science, 2006, 52(1): 15-26.
    [4]
    颜荣芳，程永宏，王彩霞. 再制造闭环供应链最优差别定价模型[J]. 中国管理科学, 2013, 21(1): 90-97.
    [5]
    谢家平, 王爽. 偏好市场下制造/再制造系统最优生产决策[J]. 管理科学学报,2011, 14(3): 24-33.
    [6]
    DEBO L G, TOKTAY L B, VAN WASSENHOVE L N. Market segmentation and product technology selection for remanufacturable products[J]. Management Science, 2005, 51(8): 1193-1205.
    [7]
    KAYA O. Incentive and production decisions for remanufacturing operations [J]. European Journal of Operational Research, 2010, 201(2): 442-453.
    [8]
    计国君. 基于再造产品的销售定价策略研究[J]. 技术经济, 2010, 29(7): 10-19.
    [9]
    但斌, 丁雪峰. 基于客户细分的再制造价格歧视策略[J]. 系统工程学报, 2011, 26(4): 515-523.
    [10]
    TSAY A A, AGRAWAL N. Channel dynamics under price and service competition[J]. Manufacturing & Service Operations Management, 2000, 2(4): 372-391.
    [11]
    BERNSTEIN F, FEDERGRUEN A. A general equilibrium model for industries with price and service competition[J]. Operations Research, 2004, 52(6): 868-886.
    [12]
    XIA Y, GILBERT S M. Strategic interactions between channel structure and demand enhancing services[J]. European Journal of Operational Research, 2007, 181(1): 252-265.
    [13]
    DUMRONGSIRI A, FAN M, JAIN A, et al. A supply chain model with direct and retail channels[J]. European Journal of Operational Research, 2008, 187(3): 691-718.
    [14]
    XIAO T J, YANG D Q. Price and service competition of supply chains with risk-averse retailers under demand uncertainty [J]. Int, J, Production Economics, 2008, 114: 187-200.
    [15]
    WEBSTER S, MITRA S. Competitive strategy in remanufacturing and the impact of take-back laws[J]. Journal of Operations Management, 2007, 25(6): 1123-1140.
    [16]
    MITRA S, WEBSTER S. Competition in remanufacturing and the effects of government subsidies[J]. International Journal of Production Economics, 2008, 111(2): 287-298.
    [17]
    JUNG K S, HWANG H. Competition and cooperation in a remanufacturing system with take-back requirement[J]. Journal of Intelligent Manufacturing, 2011, 22(3): 427-433.
    [18]
    KALAI E, SAMET D. On weighted Shapley values[J]. International Journal of Game Theory, 1987, 16(3): 205-222.)
    Recommended articles
    TrendMD
    Volume 50 Issue 6 page: 738-743
    Cover

    Article Metrics

    Article views (48) PDF downloads(98)
    Proportional views

    Copyright © Editorial Office of JUSTC, All Rights Reserved. 皖ICP备05002528号

    Supported by: Beijing Renhe Information Technology Co. Ltd    

    /

    DownLoad:  Full-Size Img  PowerPoint
    Return
    Return