Abstract: The models of single-channel recycling and dual-channel recycling are builded respectively, which are based on the closed loop supply chain (CLSC) of manufacturer and retailer. Under the decentralized decision-making, the Sterberg model is investigated in the models of single-channel recycling and dual-channel recycling, respectively. And then the optimal pricing and profit in different power-dominated rules are obtained. Meanwhile, under the same dominant model, the optimal price and profit of manufacturer and retailer under the single-channel recycling and the dual-channel recycling are studied. The results show that under the dual-channel recycling model, when some parameters meet certain conditions, the collection rate of the manufacturer is always greater than that of the retailer under different dominant model; the manufacturer and the retail can obtain the optimal profits under their own dominant model, under the retail-managed (manufacturer- managed) model, the manufacturer (the retailer) can obtain the minimum profit. It’s found that whether it is the manufacturer-managed or retailer-managed, the profits of retailers under the dual-channel recycle are higher than that under the single-channel recycle. Dual-channel recycling model is more advantageous to benign development and stable operation of closed-loop supply chain.
Keywords: CLSC; Dual-channel recycling; Optimal pricing decision; Sterberg model.
Title: Complexity Analysis of Pricing Policies in the Dual-Channel and Single-Channel Recycling
Author: Xiaolin Ma
International Journal of Mathematics and Physical Sciences Research
ISSN 2348-5736 (Online)
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