This paper investigates the cost-sharing strategies of a manufacturer, a retailer and a third-party recycler in a Stackelberg game considering government subsidy and retailer’s service effort. Next, we construct profit functions of the manufacturer, the retailer and the third-party recycler considering government subsidy and service effort for four scenarios: no cost-sharing (N), service investment cost-sharing (I), recycling investment cost-sharing (II), and both service and recycling investment cost-sharing (III). Furthermore, we obtain the optimal results and discuss the impact of cost-sharing ratio, service cost coefficient, government subsidy and service sensitivity coefficient on profits and social net benefits. The results show that the service investment cost-sharing strategy cannot achieve profit coordination, and under certain conditions, the recycling investment cost-sharing strategy and the service and recycling investment cost-sharing strategy can achieve profit coordination. In addition, changes in different factors such as government subsidy, service cost coefficients, and service sensitivity coefficients will affect the effectiveness of cost-sharing strategies.
Keywords: Closed-loop supply chain, government subsidy, service effort, cost-sharing
@article{RO_2021__55_5_2963_0,
author = {Shan, Renbang and Luo, Li and Kou, Ran},
title = {Cost-sharing strategy for recycling and service investment in a closed-loop supply chain},
journal = {RAIRO. Operations Research},
pages = {2963--2990},
year = {2021},
publisher = {EDP-Sciences},
volume = {55},
number = {5},
doi = {10.1051/ro/2021143},
mrnumber = {4323414},
language = {en},
url = {https://www.numdam.org/articles/10.1051/ro/2021143/}
}
TY - JOUR AU - Shan, Renbang AU - Luo, Li AU - Kou, Ran TI - Cost-sharing strategy for recycling and service investment in a closed-loop supply chain JO - RAIRO. Operations Research PY - 2021 SP - 2963 EP - 2990 VL - 55 IS - 5 PB - EDP-Sciences UR - https://www.numdam.org/articles/10.1051/ro/2021143/ DO - 10.1051/ro/2021143 LA - en ID - RO_2021__55_5_2963_0 ER -
%0 Journal Article %A Shan, Renbang %A Luo, Li %A Kou, Ran %T Cost-sharing strategy for recycling and service investment in a closed-loop supply chain %J RAIRO. Operations Research %D 2021 %P 2963-2990 %V 55 %N 5 %I EDP-Sciences %U https://www.numdam.org/articles/10.1051/ro/2021143/ %R 10.1051/ro/2021143 %G en %F RO_2021__55_5_2963_0
Shan, Renbang; Luo, Li; Kou, Ran. Cost-sharing strategy for recycling and service investment in a closed-loop supply chain. RAIRO. Operations Research, Tome 55 (2021) no. 5, pp. 2963-2990. doi: 10.1051/ro/2021143
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