Impact of subsidy policies on recycling and remanufacturing using system dynamics methodology: a case of auto parts in China

Wang, Yixuan; Chang, Xiangyun; Chen, Zhigao; Zhong, Yisheng; Fan, Tijun

doi:10.1016/j.jclepro.2014.03.023

Cited by 196 publications

(98 citation statements)

References 24 publications

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“…Vlachos, Georgiadis, and Iakovou 2007), and government subsidy policies (e.g. Wang et al 2014). While we fully acknowledge the importance of such research, relevant articles have not been included in this section, as they fall outside the discipline of closed-loop supply chain dynamics, as it was defined in Section 1.1.…”

Section: Acknowledgementsmentioning

confidence: 99%

The boomerang returns? Accounting for the impact of uncertainties on the dynamics of remanufacturing systems

Goltsos

Ponte

Wang

et al. 2018

International Journal of Production Research

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Recent years have witnessed companies abandon traditional open-loop supply chain structures in favour of closed-loop variants, in a bid to mitigate environmental impacts and exploit economic opportunities. Central to the closed-loop paradigm is remanufacturing: the restoration of used products to useful life. While this operational model has huge potential to extend product life-cycles, the collection and recovery processes diminish the effectiveness of existing control mechanisms for open-loop systems. We systematically review the literature in the field of closed-loop supply chain dynamics, which explores the time-varying interactions of material and information flows in the different elements of remanufacturing supply chains. We supplement this with further reviews of what we call the three 'pillars' of such systems, i.e. forecasting, collection, and inventory and production control. This provides us with an interdisciplinary lens to investigate how a 'boomerang' effect (i.e. sale, consumption, and return processes) impacts on the behaviour of the closed-loop system and to understand how it can be controlled. To facilitate this, we contrast closed-loop supply chain dynamics research to the welldeveloped research in each pillar; explore how different disciplines have accommodated the supply, process, demand, and control uncertainties; and provide insights for future research on the dynamics of remanufacturing systems.

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Section: Acknowledgementsmentioning

confidence: 99%

The boomerang returns? Accounting for the impact of uncertainties on the dynamics of remanufacturing systems

Goltsos

Ponte

Wang

et al. 2018

International Journal of Production Research

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“…Meanwhile, the local government of China also stimulates remanufacturing activities by several preferential policies such as tax reduction, land policy, one-time subsidy. For example, as reported by Wang et al [7], a one-time subsidy is provided by the government of Liuyang in Hunan province to motivate enterprises to launch remanufacturing activities. Subsequently, more and more Chinese firms are enticed to actively develop remanufacturing activities.…”

Section: Introductionmentioning

confidence: 99%

Cooperation or Competition? Channel Choice for a Remanufacturing Fashion Supply Chain with Government Subsidy

et al. 2014

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Abstract:In this paper, we address the problem of choosing an appropriate channel for the marketing channel structure of remanufactured fashion products. To be specific, we consider a remanufacturer who has two options for selling the products: (1) provide the remanufactured products to a manufacturer, then the manufacturer sells both new products and the remanufactured products to customers, and (2) sell the remanufactured products directly to customers. Because of the relatively low acceptance of remanufactured products and environment consciousness of customers in developing countries like China, we model the two scenarios as decentralized remanufacturing supply chains, with the manufacturer being the Stackelberg leader and the government offering subsidy to the remanufacturer to incentivize remanufacturing activities. We find that the subsidy can incentivize remanufacturing activity regardless of the remanufacturer's channel choice. A "too high" or "too low" subsidy makes the remanufacturer compete with the manufacturer, and an intermediate subsidy results in cooperation between the two members of the remanufacturing supply chain. OPEN ACCESSSustainability 2014, 6 7293 Meanwhile, if the customers' acceptance for remanufactured products is higher, the remanufacturer will be more likely to compete with the manufacturer. However, the remanufacturer's optimal channel choice may be inefficient in the sense of social welfare and environmental protection.

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“…System dynamics methodology is used by Hsu [48] [55], and Ansari and Seifi [56] to model renewable energy policy evaluation. These references were used to evaluate the methodology [42,43,[48][49][50][51][52][53][54][55][56].…”

Section: System Dynamicsmentioning

confidence: 99%

“…A prerequisite for system dynamics modeling is a dynamic behavior of the examined system and interaction between system components through feedbacks, which distinguish it from methodologies assuming a static market, like CGE or partially agent-based modeling [49,56]. Still, a relationship between system dynamics modeling and agent-based modeling is important to recognize [52]. In addition, system dynamics is strong in considering learning effects and technology innovation [51].…”

Section: System Dynamics Evaluation For Renewable Energy Policy Modelingmentioning

confidence: 99%

Are decisions well supported for the energy transition? A review on modeling approaches for renewable energy policy evaluation

Horschig

Thrän

2017

Energ Sustain Soc

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This study reviews energy policy evaluation approaches on their capability to estimate a successful implementation of renewable energy policies. This is predominantly done via energy system modeling and analysis. Although modeling the possible success and effects is not a precondition for policy making, it is a powerful tool to support decision makers in policy making. This awareness has led to the development of numerous modeling approaches with many case studies. Therefore, effort has to be made to evaluate recent modeling approaches that could be suitable for renewable energy policy evaluation. It is the aim of this paper to provide an overview on recent renewable energy policy modeling approaches that are capable in evaluating the success and side effects to other sectors of renewable energy policies. We will highlight advantages and drawbacks of these approaches and provide a framework assessing the suitability of the presented methodologies for the evaluation of renewable energy policies. We provide a tabular overview that enables the reader to quickly derive information on the suitability of the several modeling approaches to evaluate renewable energy policies. Keywords: Policy evaluation, Renewable energy, Policy modeling, Decision support ReviewIn 1980, the term Energiewende was first used in a study of the Öko-Institut [1]. Since then, several policies were installed to follow the idea of a decarbonized energy system. This includes among others the support of the development of renewable energy and associated technologies, efficiency actions, renewable fuels, reduced import independence from fossil fuels, rural development, the decrease of long-term economic costs in kind of external effects, and R&D support [2][3][4]. International Energy Agency (IEA) defines renewable energy as energy derived from natural sources like sunlight, wind or some forms of biomass in terms of being not finite like fossil fuels having simultaneously a smaller impact on the environment [5]. Interplay between renewable energies, energy efficiency like green buildings, and a sustainable transport sector is crucial for achieving the imposed goals of the German Government and the Energiewende. Renewable energy is characterized by replenishing at a faster rate than being consumed. Like Germany, several countries implemented strategies, policies, and stimulus packages to promote the transition towards a renewable energy system and increase their overall share of renewable energy in the energy system. However, increasing the share of renewable energy is often associated with sustainability challenges [6,7]. The key elements of a sustainable development like economic performance, environmental protection, and social responsibility need to be considered in designing or evaluating support schemes, policies, or stimulus packages. But the design and evaluation of renewable energy promoting policies is a difficult task considering the multiple aspects policy designers and decision makers have to consider. Governmental intervention...

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Impact of subsidy policies on recycling and remanufacturing using system dynamics methodology: a case of auto parts in China

Cited by 196 publications

References 24 publications

The boomerang returns? Accounting for the impact of uncertainties on the dynamics of remanufacturing systems

The boomerang returns? Accounting for the impact of uncertainties on the dynamics of remanufacturing systems

Cooperation or Competition? Channel Choice for a Remanufacturing Fashion Supply Chain with Government Subsidy

Are decisions well supported for the energy transition? A review on modeling approaches for renewable energy policy evaluation

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