Study On Manufacturer’s Remanufacturing Patent Licensing Strategy

With the development of remanufacturing industry, the interest conflict andintellectual property problem between original manufacturers and remanufacturers arebecoming more and more obvious.According to the "Right to use" and "tacit approval" principle,Existing judicialpractice and academic research consider that repair does not constitute infringement,butremanufacturing or reengineering without permission will consitute infringment,because remanufacturing (reengineering) is equal to making a new product. Therefore,remanufacturing licensing is a very important factor that should be taken intoconsideration concerned about remanufacturing decisions. Current research aboutclosed-loop supply chain mainly focuses on product recycling, product pricing strategy,product selling channels and remanufacturing mode, in the case of remanufacturingpatent licensing,there are very few papers.Firstly, this paper briefly introduce the role and significance of remanufacturing,puts forward the patent licensing issues facing the remanufacturing industry,then itsummarized and evaluated the current literature about remanufacturing and patentlicensing.Secondly, By segment green consumer and primary consumer,This paper studiedthe effect of patent licensing on product price,manufacturer’s profit.Throughestablishing Supply chain pricing models with and without remanufacturing patentpermission,the optimal pricing strategy, the optimal protection fee desicion strategywere derived. Comparision was made between the two different models. By usingnumerical simulation, the impacts of the degree of primary consumer acceptance toremanufactured products, the impacts of the green consumer share on the optimal price,profit and patent protection fee were analyzed,respectively.Finally, this thesis study about the optimal licnesing strategy of manufacturer. Thisthesis pays attention to three different models, mdoels without permission toremanufacturing, manufacture adopting fixed fee licensing method, manufactureadopting remanufacturing licensing commission based on product quantity method.Based on consumer preference, Supply chain pricing models under differentremanufacturing patent licensing method are derived,respectively. The optimal pricingstrategies are also obtained and compared. Futher more, this paper also figures out the optimal application condition for fixed fee licensing method and royalty licensingmethod.Through numerical simulation,this thesis studies the impact of consumerpreference on product price、sales and manufacture’s profit.