Optimal type of government subsidies in a three-echelon supply chain considering used parts’ different quality
- DOI
- 10.2991/978-94-6463-102-9_98How to use a DOI?
- Keywords
- Green supply chain; Government subsidy; Green products
- Abstract
This paper studies the optimal decisions of manufacturers and retailers regarding production and pricing in a three-echelon supply chain. With government subsidy, consumers can choose between new products and remanufactured products. We examine which policy is better from the perspective of profit for manufacturers and retailers. The government and enterprises can get some inspiration from the research results to make better decisions. The main results and contributions are summarized as follows. First, from the perspective of manufacturers' profits, government subsidies to manufacturers have the same effect as subsidies to consumers. Second, when consumers prefer more for the remanufactured product, the manufacturer’s profit increases with the quality of used cores, thus the manufacturer could buy higher quality used cores. Third, as quality of used cores increase, demand for the remanufactured product decreases.
- Copyright
- © 2023 The Author(s)
- Open Access
- Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.
Cite this article
TY - CONF AU - Wenchao Yu AU - Linghong Zhang PY - 2022 DA - 2022/12/29 TI - Optimal type of government subsidies in a three-echelon supply chain considering used parts’ different quality BT - Proceedings of the 2022 2nd International Conference on Business Administration and Data Science (BADS 2022) PB - Atlantis Press SP - 947 EP - 958 SN - 2589-4900 UR - https://doi.org/10.2991/978-94-6463-102-9_98 DO - 10.2991/978-94-6463-102-9_98 ID - Yu2022 ER -