Open Access

ARTICLE

Analysis of Factors Affecting the Profits of Closed-Loop Supply Chain Members Under Different Subsidy Objects

by Jing-Hua Zhao, Da-Lin Zeng, Ting-Wei Zhou, Yan Hui, Na Sun

1 University of Shanghai for Science and Technology, Shanghai, China, 200082
2 School of Management Engineering, Shandong Jianzhu University, Jinan, China
3 Shanghai Research Institute of Sports Science, Shanghai, China, 200020

* Corresponding Authors: Da-Lin Zeng,
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Computer Systems Science and Engineering 2020, 35(3), 127-139. https://doi.org/10.32604/csse.2020.35.127

Abstract

Based on the research hypothesis in a fully competitive closed-loop supply chain for mixed recycling channels, different closed-loop supply chain pricing models are established for the government’s strategy of adopting different subsidies (consumers, retailers, manufacturers or third-party recyclers). In this work, we use game theory to establish a price formula, and identify the factors affecting the profit of five closed-loop supply chain members. Through solution verification, the sales channel pricing, the recycling channel pricing and the channel member profit change of the closed-loop supply chain under different subsidy objects are compared after changing only one influencing factor. By providing a reference and suggesting how the government can control these factors, this study can assist the government to put subsidies in place, and optimize the operations of the closed-loop supply chain.

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Citations