Analyzing the Effect of Government Subsidy on the Development of the Remanufacturing Industry

Zhou, Qin; Yuen, Kum Fai

doi:10.3390/ijerph17103550

Cited by 24 publications

(21 citation statements)

References 48 publications

(70 reference statements)

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“…Qiao and Su [ 7 ] constructed a two-phase game model to resolve the OEMs’ licensing strategies and the 3PRs’ distribution channel choice issues and found the best royalties for both parties. Zhou and Yuen [ 19 ] introduced government subsidies into remanufacturing. Feng et al [ 20 ] studied the trade-in strategy for a CLSC with one manufacturer and two independent remanufacturers.…”

Section: Literature Reviewmentioning

confidence: 99%

Remanufacturing Strategy Choice of a Closed-Loop Supply Chain Network Considering Carbon Emission Trading, Green Innovation, and Green Consumers

Zhou

Lin

Fan

et al. 2022

IJERPH

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Due to increasingly serious environmental pollution problems and governments’ strengthening of environmental impact supervision, manufacturing companies are seeking green production methods, implementing carbon trading systems, and promoting the trend towards green remanufacturing. Thus, this paper introduces green factors to the existing closed-loop supply chain network models and studies the impact of carbon trading, green innovation efforts, and green consumers on the choice between two remanufacturing strategies: an in-house remanufacturing strategy and an authorized remanufacturing strategy. The results concerning the choice of the remanufacturing strategy are as follows: from the perspective of obtaining more profits, when the carbon trading price is low, the companies choose the authorized remanufacturing strategy; when the carbon trading price is high, the companies choose to remanufacture by themselves. For all the green innovation efforts and the proportions of green consumers, when the recovery rate of the used product is low, the companies choose to remanufacture by themselves; when the recovery rate of the used product is high, the companies choose the authorized remanufacturing strategy.

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Section: Literature Reviewmentioning

confidence: 99%

Remanufacturing Strategy Choice of a Closed-Loop Supply Chain Network Considering Carbon Emission Trading, Green Innovation, and Green Consumers

Zhou

Lin

Fan

et al. 2022

IJERPH

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“…Currently, the research on network externalities mainly focuses on the traditional offline supply chain [15,29]. Zhou and Yuen [30] analyzed the impacts of network externalities, government subsidies, and consumer behavior on the pricing of remanufacturers. They found that if there is no budget constraint, network externalities can increase remanufacturers' profits.…”

Section: Network Externalities In the Supply Chainmentioning

confidence: 99%

Advertising Decisions of Platform Supply Chains Considering Network Externalities and Fairness Concerns

et al. 2022

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With the popularization of platform economics, many manufacturers are shifting their operations from offline to online, forming platform supply chains (PSCs), which combine e-commerce with supply chain management. To study the influences of network externalities and fairness concerns on advertising strategies of the platform supply chain (PSC), we construct decentralized decision-making models, with and without fairness concerns. Then, we solve the optimal decisions regarding PSC and use numerical examples to verify the conclusions of the decision models. We further analyze the internal influences of advertising strategies on network externalities in the extended model. We find that the network externalities are beneficial to the PSC system, but the manufacturer’s fairness concerns are not beneficial to the PSC. The advertising strategies of the network platform are not affected by network externalities and fairness concerns. In the extended model, the manufacturer can obtain more profits, but the network platform yields less profit than the decentralized model without fairness concerns. Moreover, the more sensitive the network externalities are to the change in advertising strategies, the greater the profits for the PSC members.

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“…As consumers' passion for the environment increases, researchers believe a high degree of product greenness could lead to a high market demand. For example, Bigerna et al [21], Zhang et al [22], Song et al [23], Chen et al [24], Zhou and Yuen [25], and Shao et al [26] developed a multi-stage game model framework to investigate government subsidy decisions under different operating environments and market structures. Additionally, Yu et al [27] discussed the impact of green subsidies on firms' production decisions, while Bian et al [2] built a game model to compare two subsidies: subsidized manufacturers and subsidized consumers in a GSC.…”

Section: Government Subsidies In a Gscmentioning

confidence: 99%

Optimal Green Operation and Information Leakage Decisions under Government Subsidy and Supply Uncertainty

Shang

2021

Sustainability

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This study investigated optimal green operation and information leakage decisions in a green supply chain system. The system consists of one supplier, one leader retailer 1, one follower retailer 2, and the government. In this system, the government subsidizes each retailer based on the selling price of the product. The supplier is subject to a yield uncertainty process. The suppler decides whether to leak leader retailer 1′s order quantity to follower retailer 2 or not. In this study, we first built a Stackelberg game to address the equilibrium green operation decisions, when the supplier has and has not information leakage behavior, respectively. Subsequently, we identify the supplier’s information leakage equilibrium and how such behavior affects retailers’ ex ante profits, consumer surplus, and social welfare through a numerical study. Interestingly, we obtained the following results: (1) Supplier leaks are the unique equilibrium of the supplier. The product’s green degree and wholesale price at supplier’s equilibrium are higher under information leakage than under no information leakage. (2) The supplier’s information leakage behavior is good for leader retailer 1 and bad for follower retailer 2. (3) Information leakage behavior increases both consumer surplus and social welfare under certain conditions. (4) In general, key system parameters (e.g., the subsidy rate, supply uncertainty, supply correlation, and forecast accuracies) positively correlate with consumer surplus and social welfare in the same direction, while they affect retailer 1′s and retailer 2′s ex ante profit in the opposite direction. These findings provide useful insights for businesses to manage demand forecast information and make decisions on the green level of the product in green supply chain management.

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Analyzing the Effect of Government Subsidy on the Development of the Remanufacturing Industry

Cited by 24 publications

References 48 publications

Remanufacturing Strategy Choice of a Closed-Loop Supply Chain Network Considering Carbon Emission Trading, Green Innovation, and Green Consumers

Remanufacturing Strategy Choice of a Closed-Loop Supply Chain Network Considering Carbon Emission Trading, Green Innovation, and Green Consumers

Advertising Decisions of Platform Supply Chains Considering Network Externalities and Fairness Concerns

Optimal Green Operation and Information Leakage Decisions under Government Subsidy and Supply Uncertainty

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