Research On Impacts Of Government Double Intervention On Dual-sale-channel Closed-Loop Supply Chain

In the report of the 19 th National Congress of the Communist Party of China,General Secretary Xi emphasized that the construction of ecological civilization is a millennium plan for the survival of the Chinese nation.At present,China produces 50 million tons of electronic waste each year,and it will also grow at a rapid rate of 30% per year in the future.If it is handled well,the surplus value in the waste product can be extracted.This will be a considerable economic Red Sea in the future;if it is not handled well,it will cause waste of resources and environmental pollution,which will be a major challenge to the construction of our country's ecological civilization.The closed-loop supply chain operation model is of great significance for solving the issue of recycling and remanufacturing of waste products in China.In order to better guide the Chinese market's enthusiasm for the recycling of waste products and the acceptance of remanufactured products,China has successively introduced a series of resource recovery policies to intervene in closed-loop supply chain management.But few literatures considered the synergistic effect of the government double intervention on the closed-loop supply chain,and fewer literatures used the government as the decision maker.Based on this,this paper constructed a single-cycle dual-sale-channel closed-loop supply chain,and studied the optimal decision of supply chain members and government in the three-stage dynamic game under the overall government planning.This paper constructed four models,namely,without government intervention,with recycling amount bonus-penalty intervention,with remanufactured product replacement subsidy intervention and with government double intervention.Taking the maximization of total social welfare as the government decision-making goal,the effect of government double intervention on closed-loop supply chain was discussed and compared with government single policy intervention,and the government optimal decision was quantified.This article mainly found the following conclusions:(1)Compared with the condition without government intervention,the government double intervention could increase the demand of remanufactured products and the recovery of waste products,which would increase the profits of manufacturers,consumer surplus,and social welfare.At the same time,the government double intervention would cause the loss of retailer profits.However manufacturers could achieve profits growth while compensating for retailer profits losses through revenue sharing with retailers.(2)Both remanufactured product replacement subsidy intervention and recycling amount bonus-penalty intervention would help increase the recovery of waste products and acceptance of remanufactured products.When comparing the intervention effects of the two interventions,remanufactured product replacement subsidy intervention were more effective interventions in increasing the market share of remanufactured products,promoting the recycling of waste products,increasing the profitability of the supply chain system,and the overall social welfare.Compared with the government single policy intervention,the government double intervention could effectively improve the supply chain member's profit and the entire social welfare level,and could effectively promote the recycling of waste products and the demand of remanufactured products and the market capacity of the entire product.That is,the government double intervention strengthened the effect of government single policy intervention.(3)This paper considered the government participation in the decision-making process and dynamically solved the government optimal intervention parameters.When the government implemented double intervention,the intervention of the two policies could be appropriately reduced.That is,the government could use lower intervention to achieve or even exceed the intervention effect of government single policy intervention.However,the government should fully participate in decision-making,set a reasonable intervention threshold,and all members of society should work together to reduce the government intervention fixed input cost coefficient,which is conducive to the further growth in supply chain profits,consumer surplus,environmental benefits,and overall social welfare.