Research On The Influence Of Information Spillover On Manufacturing/Remanufacturer Channel Decisions

With the reduction of social economy,environment and resources,circular economy and remanufacturing have been gradually developed in the future manufacturing industry.In recent years,with the development of new technologies such as smart mobile devices,social network services and in-store experience services,consumers have been able to evaluate products more accurately with the help of information from different channels.However,most manufacturers lack the corresponding theory to under this phenomenon to improve consumers’ willingness to buy remanufactured products.While this information effect brings convenience to manufacturers,it also intensifies the channel competition between manufacturers and retailers.Based on the manufacturer-led supply chain system,this paper establishes three kinds of manufacturers’ sales decision-making models.According to the principle of maximizing consumer utility,the demand functions of new and remanufactured products in different sales decisions can be solved.Then the optimal retail and wholesale prices of new products and remanufactured products,as well as the profits of each member of the supply chain in different sales decisions and the profits of the supply chain system can be obtained according to the game order of the Stackelberg model,The paper also analyzes the impact of information and information spillover effect on the optimal retail price and wholesale price of reproductions and new products,as well as on the profit of the supply chain system and each member of the supply chain in different sales decision models.The paper shows that information and information spillover effect are beneficial to all members of the supply chain and the whole supply chain system.In different sales decision models,information spillover effect will have different influence on the profits of all members of the supply chain and the profits of the supply chain system,and even change the sales channel model of manufacturers.Under the of information,the optimal retail price and wholesale price of reproductions and new products would be improved.If the entire supply chain system and members of the supply chain want to obtain optimal profits,they need to maintain the mismatch level transmitted by online information and the mismatch level transmitted by offline information within a certain proportion.After incorporating the information spillover effect between channels into the model,it can be found that the positive information spillover effect is always beneficial to the manufacturer,while the impact on the retailer depends on the difference between the online information level and the offline information level.The information spillover effect has different impact on the profit of each supply chain member under the gap of channels in information level,and the manufacturer will also choose different sales decision models.When the online information mismatch level is not equal to the offline information mismatch level,the positive information spillover effect will have a positive influence on the profits of all members of the supply chain and the profits of the supply chain system,The negative information spillover effect will not be conducive to the increase of profits of manufacturers,retailers and supply chain systems.When the online information volume is the same as the offline information level,neither the positive information spillover nor the negative information spillover will affect the profits of retailers in the model RNMRN and the model RNMR,while the negative information spillover effect will have a positive effect on the profits of retailers in the model RRMN.The positive information spillover effect has a positive effect on manufacturers’ profits,while the negative information spillover effect has a negative effect on manufacturers’ profits.The pricing of remanufactured products sold by manufacturers is only affected by the amount of online information.The pricing of remanufactured products sold by retailers is affected by the combination of online and offline information.Positive information spillover effect can promote the pricing and sales of remanufactured products.