Production Of Closed-loop Supply Chain Optimization And Manufacturing/Remanufacturing Of Joint Decision-making

With the development of economy and human living standards, the number of wasteproducts continues to increase. In order to reduce the waste of non-renewable resources, thescholars and managers of enterprises pay more and more attentions to closed-loop supplychains. Compared with the traditional supply chain, the reverse supply chain has moreuncertain factors, for example, the uncertainty of the number and quality of the recoveredproducts and so on. This will bring a lot of problem to the managers of supply chains. But, tosome extent, the implementation of closed-loop supply chains also benefits to the enterprises.Firstly, the implementation of closed-loop supply chain can reduce production costs ofmanufacturers and increase their profits. Therefore more and more manufacturers are activelytaking part in recycling waste products. They pay a certain price to the customers to increasethe number of recycling waste products and maximize profits. Secondly, if the members whocan take a good working relationship with each other in the supply chain, they will get moreprofits. In this thesis the optimization problem of closed-loop supply chain coordination isinvestigated under the circumstance mentioned above. The concrete researching work areintroduced as follows:1. The pricing strategy of closed-loop supply chain based on market segmentationThe closed-loop supply chain composed of a manufacturer, a distributor and a third-partyrecycler is discussed and the optimization problem of coordinating and pricing for the newand remanufactured products in the closed-loop supply chain is studied. Firstly, according toconsumer preference to the products, the number of new products and that of remanufacturedproducts demanded by the consumers are determined. Then the mathematical model of salespricing decision of the closed-supply chain is established based on Stackelberg game and thedecision variable of each member in the supply chain are analyzed. The conclusions show thatonly when the price of the remanufactured product is lower than multiplication of newproduct price by consumer preference for remanufactured one, customers will have a choiceto buy the remanufactured, selling remanufactured products affects the sales of new productsand profit of each member in the supply chain in some extent.2. Game theory based analysis of sales pricing and recovery strategy of closed-loopsupply chainSales pricing and recycling strategies of the closed-loop supply chain composed of amanufacturer and two retailers are addressed and that the game modes affect the profits of thepartners is analyzed. Firstly, under the conditions that the manufacturer and two retailers arein cooperation with each other and the system takes centralized decision mode, the profits ofall partners are studied. Then under the condition that the manufacturer is not in cooperationwith the retailers and the system takes the decentralized decision mode, the profits of allpartners are discussed respectively when two retailers are in cooperation or not. Through comparision, it is conclused that the system can realize the object of maximizing its profitonly when manufacturers and retailers are all in the cooperation.3. Closed-loop supply chain contract coordination mechanismBased on some results of Chapter3, the decentralized decision-making improving modelis addressed and a contract mechanism of sharing profit is proposed to avoid doublemarginalization effect of profit. The contract mechanism ensures that each partner in thesupply chain can get more profit on the conditions that all partners are in cooperation than thatthey are not, the entire system can get the equal profit to that the system can get when itspartners are all in cooperation. Therefore the contract mechanism can maximize the profits ofthe closed-loop supply chain.