Research On Counterfeiting Behavior And Remanufacturing Strategy Of Supply Chain Under Product Competition Mechanism

This paper fully considers the possibility of competition between remanufactured products and counterfeit products in the market,and uses the method of game theory to establish a two-level supply chain model including a supplier and a manufacturer.Among them,the supplier may implement counterfeiting behavior driven by profit,and the manufacturer may implement remanufacturing strategies in order to improve its own condition.Based on the comprehensive consideration of consumers’ perceived quality,this paper analyzes the decision changes and optimal strategy choices of supply chain participants when counterfeit products enter the market first and remanufactured products enter the market first separately.The work of this paper focuses on the following aspects.First of all,the three products are compared in a unified way through the perceived quality of consumers,and the differences between counterfeit products,remanufactured products and new products are clearly distinguished.Secondly,this paper combines the product strategy to the competition situation to explore the optimal strategy choices of the manufacturer.Finally,the article provides new ideas for the research of both counterfeiting and remanufacturing:from the perspective of the counterfeiter,the remanufacturing strategy of the brand manufacturer may affect its counterfeiting decisions;from the perspective of the brand manufacturer,choosing an appropriate remanufacturing strategy may become an effective method for brand owner or manufacturer to fight against counterfeit products through product competition;from the perspective of remanufacturing,this paper explores the potential role of remanufacturing,and analyzes the product competition that has not been discussed.The results show that when the counterfeit products enter the market first,the manufacturer’s remanufacturing strategy that remanufactures by itself can in some cases prevent the counterfeit products from entering the market at the beginning.When remanufactured products enter the market first,the manufacturer’s remanufacturing strategy can improve the profit levels but damage the profits of the supplier,which may lead the supplier to implement counterfeiting behavior and bring uncontrollable effects to the brand manufacturer.Therefore,manufacturers need to consider the issue of target priority before implementing remanufacturing,because the negative impact of counterfeit products on enterprises may not only be reflected in profits,but also in brand image,the status of enterprises in the industry,etc.