Pricing and production decisions in a dual-channel closed-loop supply chain with (re)manufacturing

被引:54
作者
Liu Z. [1 ]
Chen J. [2 ]
Diallo C. [1 ]
Venkatadri U. [1 ]
机构
[1] Dalhousie University, Department of Industrial Engineering, Halifax, NS
[2] Dalhousie University, Rowe School of Business, Halifax, NS
关键词
Closed-loop supply chain; Dual-channel; Pricing; Remanufacturing strategy;
D O I
10.1016/j.ijpe.2020.107935
中图分类号
学科分类号
摘要
The development of information technologies and e-commerce has allowed many companies to set up online platforms to sell their products in dual-channel supply chain (SC) networks. The double competition between new and remanufactured products within channels and across competing channels affects manufacturer and retailer pricing decisions. However, the current state of the literature shows a gap in the modelling and analysis of a dual-channel SC with both cross-channel competition and channel costs. To fill this gap, this paper develops a model for a CLSC in which the manufacturer sells new products through a retail channel and also directly through its online channel. The manufacturer may also sell remanufactured products in its online direct channel if it decides to produce them. The results indicate that: (i) the manufacturer's production and optimal pricing strategies depend on both production and channel selling costs; (ii) remanufacturing is not considered by the manufacturer when the unit manufacturing cost is sufficiently low and the retailer's channel cost is sufficiently high; (iii) the introduction of remanufacturing hurts the retailer's profit only when the unit manufacturing cost is sufficiently high; and (iv) selling the new product online mitigates the effect of remanufacturing on the retailer, and thus a high customer's acceptance of the remanufactured product can benefit the retailer. © 2020 Elsevier B.V.
引用
收藏
相关论文
共 62 条
  • [1] Abbey J.D., Blackburn J.D., Guide V.R., Optimal pricing for new and remanufactured products, J. Oper. Manage., 36, pp. 130-146, (2015)
  • [2] Atasu A., Guide V.R., Van Wassenhove L.N., So what if remanufacturing cannibalizes my new product sales?, Calif. Manage. Rev., 52, 2, pp. 56-76, (2010)
  • [3] Atasu A., Sarvary M., Van Wassenhove L.N., Remanufacturing as a marketing strategy, Manage. Sci., 54, 10, pp. 1731-1746, (2008)
  • [4] Aumann R.J., Lectures on Game Theory, (2019)
  • [5] Batarfi R., Jaber M.Y., Aljazzar S.M., A profit maximization for a reverse logistics dual-channel supply chain with a return policy, Comput. Ind. Eng., 106, pp. 58-82, (2017)
  • [6] Benjamin J., Apple begins selling refurbished iphones through its online store for the first time, (2020)
  • [7] Bhatia M.S., Rajiv K.S., Antecedents of implementation success in closed-loop supply chain: An empirical investigation, Int. J. Prod. Res., 57, pp. 7344-7360, (2019)
  • [8] Borenich A., Dickbauer Y., Reimann M., Souza G.C., Should a manufacturer sell refurbished returns on the secondary market to incentivize retailers to reduce consumer returns?, European J. Oper. Res., 282, 2, pp. 569-579, (2020)
  • [9] Chauhan S., Apple iphone prices to remain unchanged this year: Report, (2019)
  • [10] Chen J., Venkatadri U., Diallo C., Optimal (re) manufacturing strategies in the presence of spontaneous consumer returns, J. Cleaner Prod., 237, (2019)