Purpose This paper aims to study whether the recycling of a third party competes with the trade-in service of a manufacturer, and explores the optimal trade-in and third-party collection authorization strategies for the manufacturer. Design/methodology/approach According to whether to authorize a third party to collect its used products, the manufacturer has two choices: one is not authorization (NA); the other is authorization (A). This paper uses profit-maximization model to investigate the optimal decisions of the manufacturer and the third party under NA and A, respectively, and then explores which choice is better for the manufacturer. Findings It is observed that there is a competition between trade-in service and third-party recycling when the durability parameter of the used product is relatively small. Moreover, when the durability parameter of the used product is relatively large, A is always better choice for the manufacturer; otherwise, NA is a better choice except for the case that the unit trade-in subsidy is low and the salvage of the used product is high. Practical implications These results provide managerial insights for the manufacturer and the third party to make decisions in the field of recycling. Originality/value This paper is among the first papers to study the competition between trade-in program and third party’s collecting program under government’s trade-in subsidy policy. Moreover, this paper presents the conditions under which the manufacturer should authorize or not authorize the third party to collect its used products.
As an organic entity, organizations are similar to humans, having unique organizational character which constitutes a source of competitive differentiation. This study aimed to explore the dimensions of organizational character and measure its impacts on organizational performance in a Chinese context. Since several previous studies have developed the definition and constitutions of organizational character in the context of developed countries such as America and England, this indigenous study provides new evidence from the perspective of an emerging economy. A research model using a qualitative analysis method was proposed to define the dimensions of organizational character. The connection between organizational character and organizational performance was empirically tested by a multi-ordered logit regression analysis with a survey of 205 observations in Chinese enterprises. The dimension of organizational character was finally extracted and summarized as six aspects including enterprise, conscientiousness, innovation, agreeableness, democracy, and Boy Scout. The results of the empirical analysis showed that the formation and cultivation of organizational character would directly improve an organizations' business performance as well as their growth potential. It is worth noting that a special part of organizational character, which may depend more on national culture or institutional background than organizational individuals, also has an impact on organizational performance. The findings can provide practical implications for Chinese companies and multinational companies that do or plan to do business in China. Entrepreneurs are suggested to make effective decisions on the cultivation of organizational character, since different types and specific levels of organizational character may have significantly different effects on organizational performance. This paper explored a novel theory to explain the antecedents of organizational performance, and could inspire scholars to expand the sources of organizational competitive advantage in the future.
Purpose Most firms in the fashion industry frequently design and promote new products, which leads to a two-period phenomenon in product sales. This study aims to examine the optimal advertising efforts of each channel member and the subsidy strategies of the manufacturer with retail competition in a two-period supply chain. Design/methodology/approach By utilizing the game theory, this study developed a cooperative advertising model that considers the element of retailer competition in a two-period supply chain. Findings The main results of this study are as follows. An increase in the subsidy rate of one retailer’s advertising cost will lead to a decrease in the share of the other. When a manufacturer’s marginal profit from one retailer is considerably larger than that from the other, the manufacturer will share more advertising cost with the former. This study demonstrates that a bilateral participation contract can achieve supply chain coordination and increases the likelihood of retailers to participate in this contract when competition effect is small. Research limitations/implications First, product price is not a decision variable in this model. This concern can be studied in future work. Second, the one-manufacturer and two-retailer supply chain can be expanded to competitive manufacturers. Practical implications This study provides some decision references for the manufacturer and retailer on advertising strategies. The manufacturer can also gain insights into cooperative advertising strategy when facing a competitive retail environment. Originality/value Most previous studies related to cooperative advertising focused on a single-period supply chain. This study investigates cooperative advertising strategy with retail competition in two-period sales and explores the potential coordinating power of a bilateral participation contract.
Abstract:In this paper, we explore the pricing and greenness issues of two competitive firms without and with consumer heterogeneity. We derive and compare the optimal solutions and profits employed by firms under different scenarios. Then, we identify the effects of consumer heterogeneity under different competition intensities. The analytical results reveal that if market competition is at a relatively low level, we find that: (i) when the greenness sensitivity of consumers with no preference is sufficiently small, more consumers have high environmental awareness, and companies easily achieve their environmental goals as well as economic goals; (ii) when the greenness sensitivity of consumers with no preference is at a medium level, as the fraction of consumers with high environmental awareness increases, and the firm might achieve economic goals at the cost of reducing environmental goals; and (iii) when the greenness sensitivity of consumers with no preference is at a high level, the fraction of consumers with high environmental awareness increases, but firms might have more difficulty achieving their environmental and economic goals. On the other hand, if the market competition is at a relatively high level, the presence of consumer heterogeneity can help improve environmental goals, but make achievement of economic goals difficult.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.
hi@scite.ai
10624 S. Eastern Ave., Ste. A-614
Henderson, NV 89052, USA
Copyright © 2024 scite LLC. All rights reserved.
Made with 💙 for researchers
Part of the Research Solutions Family.