Study On The Pricing Decision Of Closed-loop Supply Chain With Dual Recycling Channel Under Different Government Subsidy Policies

With the deep integration of Internet technology and recycling industry,the dual channel structure formed by the combination of traditional recycling and online recycling has been widely used in the construction of waste electrical and electronic products recycling system.At this time,consumers can choose the recycling channels freely according to their own wishes and preferences,so as to meet the diversified needs of consumers.Meanwhile,the government departments have issued many laws and regulations to promote the development of recycling and disposal industry.However,in the field of recycling and disposal,the problem of difficult recycling and profitability has not been effectively solved.The government departments need to design reasonable subsidy policies to promote the operation efficiency of closed-loop supply chain to achieve the optimal.Therefore,under the influence of different government subsidy policies,considering that consumers have different choices between traditional recycling channel and online recycling channel,how to realize the optimal pricing decision of each member in closed-loop supply chain,and what kind of subsidy policy the government departments should choose is the most effective for closed-loop supply chain,all kinds of problems have become the top priority of the government and enterprises.On the basis of summarizing the research status of closed-loop supply chain recycling channel,online recycling channel mode,consumer channel choice behavior and the decision of closed-loop supply chain under government subsidy,according to the relevant theories of closed-loop supply chain,government subsidy policy,consumer recycling channel choice's influencing factors and Stackelberg game theory,this paper analyzes the closed-loop supply chain with dual recycling channel under government subsidy.This paper introduces the participants in closed-loop supply chain with dual recycling channel under government subsidy,and analyzes the development status,existing problems and the main causes of the problems.Then we find that the optimization of government subsidy policy design and the decisionmaking of enterprise pricing are the urgent goals to be achieved.Therefore,considering the channel selection behavior of consumers between the retailer and the network recyclingplatform,the recycling functions of both are constructed by using consumer utility.Using Stackelberg game theory,we build the closed-loop supply chain pricing models with dual recycling channel under the condition of only providing dismantling subsidy,providing both dismantling and recycling subsidy,and make a comparative analysis.Meanwhile,we discuss the effect of the recycling subsidy distribution proportion on each equilibrium solution.Finally,combined with the examples,we verify the relationship between the pricing decisions of closed-loop supply chain with dual recycling channel in different government subsidy policies,discuss the role of recycling subsidy distribution proportion,consumer preference coefficient and consumer transaction cost on the pricing,recycling quantity and profit decision-making,and finally propose the improvement suggestions for the participants.In this paper,we find that the manufacturer's repurchase price,the retailer and the network recycling platform's recycling price are different in different government subsidy policies.The size of the recycling quantities and profits of the retailer and the network recycling platform between two types of government subsidy policies are closely related to the recycling subsidy distribution proportion;When the distribution proportion of recycling subsidy is set within a certain range,the recycling quantities and profits of the retailer and the network recycling platform when the government provides both dismantling and recycling subsidy are higher than that of only providing dismantling subsidy.No matter how the distribution proportion of recycling subsidy changes,when the government provides both dismantling and recycling subsidy,the total recycling quantity and total profit of system are always higher than that of only providing dismantling subsidy.Consumer preference coefficient and consumer transaction cost have different effects on pricing,recycling quantity and profit decision-making,and the effect intensity of consumer preference coefficient is higher than that of consumer transaction cost.The results can provide a theoretical reference for the pricing decision of each member in closed-loop supply chain,and provide guidance for the government on how to design the government subsidy policy.