Research On Remanufacturing Strategy Of The Closed-loop Supply Chain System Based On Money-back Guarantee

With the rise of global manufacturing,resource shortages and environmental pollution problems have become increasingly prominent.Practice has proved that remanufacturing is one of the important ways to alleviate the problem of resource shortage and environmental pollution,which has received more and more attention from the government,enterprises and consumers.However,due to the stereotype of the low quality of remanufactured products in the consumer market,manufacturers worry that the remanufacturing business will squeeze the new product market,and the recycling will face great uncertainties in quantity and quality,which will make the remanufacturing business still exist great challenge.This article starts from the research perspective of improving consumer market satisfaction with remanufactured products and promoting the sale of remanufactured products.In order to improve the satisfaction of the consumer market for the remanufactured products and promote the sales of remanufactured products,this paper introduces the money-back guarantee strategy for new products or remanufactured products in the closed-loop supply chain system composed of producers and recyclers,and studies the recovery and remanufacturing strategies under the self-operation and outsourcing modes of remanufacturing business.First,in the case of the self-operation: the manufacturer is responsible for producing and selling new products and remanufactured products,and the recycler recycles old products from customers and resells them to the manufacturer for remanufacturing.The manufacturer decides on the optimal production of new products.The quantity and unit price of used products purchased from the recycler,the recycler decides the recycling rate of the old product.In this paper,under the four scenarios of whether the manufacturer implements a money-back guarantee strategy for new and remanufactured products,a Stackelberg game model with the goal of maximizing the profit of the manufacturer and the recycler and the manufacturer as the leader and the recycler as the follower is established.The analytical method and numerical examples are used to analyze the impact of the money-back guarantee strategy on manufacturers' production and sales strategies for new and remanufactured products.The research results show that when the residual value of the returned product is high(higher than the total return cost of the enterprise and customers),and the refund guarantee strategy is implemented on the remanufactured product.It can effectively increase the sales volume of the remanufactured product and suppress the new product market share.Second,in the case of outsourcing: manufacturers only produce new products,outsource the production of remanufactured products to recyclers who are capable of remanufacturing,and recyclers recycle old products from customers and use the recycled old products for their own remanufacture and sell the remanufactured products to the manufacturer.The manufacturer sells both new and remanufactured products.The manufacturer decides on the optimal number of new products and the unit price of the remanufactured product purchased from the recycler,and the recycler decides on the old product recovery rate.In this paper,under the four scenarios of whether the manufacturer implements a money-back guarantee strategy for new and remanufactured products,a Stackelberg game model with the goal of maximizing the profit of the manufacturer and the recycler and the manufacturer as the leader and the recycler as the follower is established.The conclusion is similar to the self-operation model.In addition,this article compares the changes in the production and sales plans of new products and remanufactured products and the recovery rate of recyclers under the self-operation and outsourcing models.The research results show that: the choice of self-operation and outsourcing modes of remanufacturing production will not affect the implementation effect of the refund guarantee strategy.When the remanufacturing production cost of the outsourcing mode is greater than the remanufacturing production cost of the self-operated mode,the outsourcing mode can promote remanufacturing sales of goods and increase the optimal selling price of remanufactured goods.