| With the constant development of the global science and technology and productivity,the competition between enterprises,the inefficient use of resources and the environment pollution are more and more serious.How to balance the dual goals of economic development and environmental protection has become one of the major issues which need to be solved in countries.The closed-loop supply chain management which is characterized by using the waste products for remanufacturing gradually has gets much attention in business,academia and government.In recent years,it is being increasingly acknowledged in theoretical and practical perspectives that the production and consumption of remanufactured products yields unique benefits for the economy and the environment.The government,using its policy,law and other special means,plays a key role in the construction and operation of remanufacturing in closed-loop supply chains.This article aims to construct a two-phase game model in two types of closed-loop supply chains.To be specific,one consists of one government and one manufacturer,the other consists of one government,one manufacturer and one remanufacturer.Assuming there is a significant difference in consumer’s willingness to pay for new and remanufactured products and there is a proportion of government subsidies allocated to consumers and the manufacturer.It investigates the impact of government subsidies for remanufacturing on product price,product demand,consumer surplus,manufacturer’s profit and social welfare.And it also pursues the optimal government subsidy policy under the premise of maximizing the social welfare.The effect of the changes of consumer preferences is also discussed through numerical simulation.It can be concluded that government subsidies are conducive to increasing the demand for remanufactured products,the consumer surplus,the manufacturer’s profit and the social welfare in each types of closed-loop supply chains that mentioned in this article.The demand for remanufactured products is constant,irrespective of any changes in proportion of subsidies for consumers.The change in proportion of subsidies for consumers only affects the price of remanufactured products.The government could adjust the price of remanufactured products by changing the proportion of subsidies for consumers.When manufacturers are not allowed to increase prices with government subsidies under the government intervention,it is apparent that the utilization efficiency of government subsidies grows as the proportion of subsidies for consumers rises.And the consumers should get the subsidy in consideration of manufacturers’ positive attitudes.It has also been found that the model that a remanufacturer sells remanufactured products directly to consumers is much better than providing the remanufactured products to a manufacturer,then the manufacturer sells both new and remanufactured products to consumers in the context of maximizing the social welfare.In addition,with the decrease of the difference of consumer’s willingness to pay for new and remanufactured products,the demand for remanufactured products grows;the manufacturer’s profit,the consumer surplus and the social welfare go up.So,the consumers’ awareness of environmental protection and the quality of remanufactured products and service should be improved,which can be seen as the fundamental solution to promote remanufacturing.This study expended the research on the impact of government subsidies on remanufacturing supply chain member’s decisions and helped the government make policies that can guide consumer preferences and the manufacturer to make production decisions,which can be viewed,has some theoretical and practical significance. |
