A Study On The Pricing Strategy Of Remanufactured Products

Consumer environmental awareness, government legislative pressure, and economic incentives are forcing increasing firms to step in remanufacturing business.However,most of the researches done by now are mainly driven by cost minimization focusing on some specific operational sections.Additionally, there are just few papers to study remanufacturing from the point of market and customer's demand.Therefore, by combining the traditional pricing strategies and the unique features of remanufactured products,this article studies remanufacturing qualitatively and quantificationally from the point of pricing strategy.This paper mainly includes the following chapters: in the second chapter, it analyses the procurement pricing strategy from different procurement channels, qualities, and market procurement prices respectively; In the third chapter, it focus on the sales pricing strategy of remanufactured products from the view of market segmenting, different categories, qualities, and competitions; In the fourth chapter, it establishes a quantitative model by combining procurement price and sales price in order to reach the profit maximum of remanufactured firms ;In the fifth chapter, it enlarges the research angle to the maximum of social value by taking the government's subsidies into consideration.The paper clearly defines different factors that affect procurement price and sales price, and its conclusions show that remanufactured firms could minimize system uncertainty and complexity by suitable pricing strategies.Most importantly, this paper could be used as a reference by remanufactured firms and complements the theoretical knowledge of remanufacturing pricing strategies.