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The impact of v w on the stability and complexity of prices and profits when τ = 1.2 . (a) bifurcation diagram; (b) the largest Lyapunov exponent diagram; (c) entropy diagram; and (d) profit change trends of manufacturer and retailer.
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This paper constructs a continuous dual-channel closed-loop supply chain (DCLSC) model with delayed decision under government intervention. The existence conditions of the local stability of the equilibrium point are discussed. We analyze the influence of delay parameters, the adjustment speed of wholesale price, recovery rate of waste products, di...
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... For example, the deliverymen are dispatched to pick up WEEE after reaching an agreement with the recycling center online, and this greatly improves the consumers convenience and raise the WEEE recycled quantity. Following Wu (2012) and Dai et al. (2017), we assume a linear relationship between the recycling price and service and the recycling quantity, and the corresponding function is given by q = p r + s . A higher value of implies that the consumers are more likely to respond to the increased recycling service level. ...
In this paper, we form a platform-based WEEE reverse supply chain consisted of a recycling center and an online recycling platform. The recycling center collects WEEE through the online recycling platform operated with entrusted or agent modes. The government provides subsidy for WEEE recycling and disposal. Both members have capital and ability to provide the recycling service. We build Stackelberg game models to explore the impacts of the platform operation mode and the recycling service mode. The analysis shows that in the entrusted (agent) platform mode the introduction of government subsidy can increase (decrease) the recycling price, the recycling service level and the profits for two members. Moreover, in the entrusted platform mode, the platform service mode can generate a higher recycling price, a better recycling service and higher profits for two members. In the agent platform mode, the self-supporting service mode can generate a better recycling service and a higher profit for the recycling center while the platform service mode can generate a higher recycling price and a higher profit for the online recycling platform. Finally, in two recycling service modes, the agent (entrusted) platform mode can generate a higher recycling price if the commission rate falls behind (exceeds) the threshold. In the self-supporting service mode, the agent platform mode can generate a better recycling service, while the entrusted platform mode can generate higher profits for two members. In the platform service mode, the entrusted platform mode can generate a better recycling service and higher profits for two members.
Graphical abstract
... In Model M, the recycled quantity Q M m increases with the acquisition price P m and the service level s . Following Dai et al. (2017) and Wu (2012), we have the manufacturer's recycling quantity: ...
We investigate how government subsidies affect pricing and service-quality strategies under different online-recycling channel structures. We consider two cases: the monopoly case, where the manufacturer recycles by itself, and the coopetition case, where a platform and the manufacturer compete for used products while the platform provides services to the manufacturer. We find the optimal price and service-quality strategies in these two cases with or without government subsidy. We also examine the recycling outcomes in terms of total recycling quantities and the parties’ profits. We find that with government subsidy, in the monopoly case, the manufacturer is motivated to increase both acquisition price and service quality and thus achieves higher recycling quantities and profit. In the case of coopetition, the manufacturer enjoys similar benefits from subsidy, but the platform suffers. The manufacturer gains competitive advantage from subsidy by offering a higher acquisition price, which forces the platform to increase acquisition price as well. To compensate for this increased cost, the platform must lower service quality, which leads to lower recycling quantities and profits. Only when the subsidy is high enough can the platform benefit. We also show that a subsidy can increase the total recycling quantity of the system only when consumers are fairly insensitive to service quality. Our study contributes to the understanding of how subsidy policy interacts with different online channel structures.
... They find that centralization is the optimal strategy for one supply chain. In additional, with the combination of dynamic game and competition, many scholars have studied the stability of a supply chain (Ma et al. 2018;Ma and Wang 2014;Dai et al. 2017). ...
This paper is focused on a triopoly closed-loop supply chain (CLSC) game model, including triopoly oligopolies applying for circular economy development. In the CLSC model, manufacturers sell new products and re-collect waste products for maximizing their profits. This paper analyzes the game processing, the Nash equilibrium solutions, and the stability of the game model. Moreover, the influences of parameters on the system’s stability have been investigated, using the maximal Lyapunov exponent, bifurcation graph, and the stable domain. The results show that the system will be unstable when the adjustment speed of the manufacture is too high; unreasonable price strategies could easily cause system bifurcation; the critical point of system bifurcation is closely related to the collecting price.
... This research was unique in that it analysed the stability of the dual channel CLSC and supply chain dynamics by considering the uncertainty of certain factors in a CLSC with an internet channel. Dai et al. [76] also used bifurcation diagram, entropy diagram, attractor, and time series diagram to analyse the influence of delay parameters, the adjustment speed of wholesale price, recovery rate of waste products, direct price, carbon quota subsidy, and carbon tax on the stability and complexity of a CLSC model. The authors that the mentioned variables mentioned above must be within a reasonable range otherwise the model will lose stability or enter chaos. ...
Product returns have been introduced to the supply chain because of the need to protect the environment and some circumstances beyond a manufacturer’s control (such as product recalls). Introducing product returns has led to the formation of closed loop supply chains, that is, situations in which organisations both manufacture and remanufacture their own products. Closed loop supply chains (CLSCs) have been known to be uncertain in the timing, quality and quantity of the returns. In addition to these uncertainties, most organisations lack the necessary infrastructure and technology to perform reverse logistics operations on their own. For this reason, they seek assistance from external parties such as third party reverse logistics providers. Third parties often have the expertise and technology required to run reverse logistics operations. At the same time, the rapid pace of e-commerce has led to manufacturers adopting more than one channels for selling their products. However, in a closed loop supply chain setting, the dual channel has been defined by more than just selling products both offline and online. The aim of this paper was to review literature on the use of multiple and dual channels in reverse logistics and closed loop supply chains and identifies research gaps as well as future research directions on the topic. The paper investigated how multiple and dual channels have been utilised to address issues in reverse logistics and closed loop supply chains. A content-based analysis was carried out for 57 papers. The identified characteristics of these papers were classified into 9 categories. By reviewing literature on dual channel supply chains, the paper was able to identify the ways in which different channels are formed in closed loop supply chains. The purpose of the paper was threefold. Firstly, the literature review described the general characteristics of dual channel closed loop supply chains based on what was revealed by existing literature. The review also classified literature based on the definition of dual channel CLSC, research methodology and topic of focus. Finally, the research proposed some meaningful gaps and directions for future research. The results of the review showed that there is need to expand literature on the competition of channels, greening strategies and carbon emissions and supply chain dynamics and stability in dual channel closed loop supply chains. Future research should also consider relaxing some assumptions and incorporating real case studies.
... at is, when making decision for the next period, we think over the decision in this period as well as the decision after a period of time at the same time. Considering other periodic values and adding control factors, the delay control method can effectively eliminate the occurrence of system chaos [52]. us, the dynamic adjustment model can be shown as follows: Discrete Dynamics in Nature and Society ...
Nowadays, with a great number of household electrical appliances being discarded in every corner of the world every day, household electrical appliances recycling is attracting more attention. In this paper, we build a closed-loop supply chain that consists of a manufacturer and a third-party recycler based on the development of “Internet Plus” recovery platform. We thoroughly analyze the model and its evolution by chaos theory, complex dynamics theory, and numerical simulation and introduce the adaptive method to control the chaos of the system. We find that as the manufacturer increases the retail price, the stable area of the market becomes smaller. At the same time, when the manufacturers direct recycle price or the price adjustment range of the products recycled from the third party exceeds a certain threshold, all the recycle prices in the whole market will fluctuate, thus causing market chaos. Among them, as an adjustment decision method, delay strategy reduces the volatility of recycle price and makes it return to a stable state, which is an effective method to control system disorder. In addition, the third-party recycler will change the optimal subsidy model according to the government’s price subsidy level, while the manufacturer always prefers the price subsidy model.
... There are efforts to derive Nash equilibrium when there is competition between two independent manufacturers considering trade-in strategy [138], market segmentation [139], local and non-local manufacturing [140], product life cycle [141], recycling choice [142], to name a few. Competition between a retailer and manufacturer through a Nash framework is addressed by the retailer reselling refurbished cell phones in the second-hand markets [143], contracting reverse revenue sharing [89], and influencing government intervention [144]. Moreover, other Nash-based designed games between other parties such as a supplier-manufacturer (for example, see [145], [146] and [147] for joint economic lot size, environmental impact, and supply risk problems in CLSCs, respectively) and manufacturer-third-party (for example, see [148] for cannibalization problem and [149] for optimal relicensing fee issue) are solved in the literature. ...
Closed-loop supply chains (CLSCs) are seen as one of the circular economy’s leading approaches for reducing our natural environment load. Many CLSC models require collaboration among different parties. Game theory (GT) offers a way to consider the profits of all parties in a CLSC, providing insight into the costs and benefits to the involved parties in an objective and quantitative way. Presently, available reviews on the use of GT, in the context of CLSC, are quite limited and consider only a few relevant elements. Here, we present a new and more extensive framework, focusing on the collaboration structure of CLSCs. It contains a content-based analysis of 230 papers based on a four-step systematic literature review process. The characteristics studied are channels for collection, reprocessing and selling, the planning horizon, and the types of games. The structures found are graphically reviewed, leading to 196 different structures. The results show that, so far, most attention has been paid to the dual-channel collection, where collection by two retailers (dual-retailer) is the most studied case. With respect to selling, most attention has been paid to situations with two selling channels (dual-selling), i.e., one channel managed by a manufacturer and one channel managed by a remanufacturer. Studies have prioritized the role of manufacturers as that of the leader and collector. Finally, a number of directions for further research are pointed out.
... Nevertheless, a governmental e-commerce tax on the e-tailers reduces carbon emissions and total free-riding. Dai et al. (2017) studied a price decision model for closedloop dual supply under the effect of carbon tax and carbon quota subsidy policies. They examined the impact of decisions, namely implication, chaos, and entropy on the supply chain. ...
Nowadays, managing clean and green supply chain activities by reducing carbon footprint is a prominent aspect of the research. This study presents a dual supply chain (DSC) model under the cap-and-trade (CAT) emission reduction for the manufacturer-led five different DSC network structures, namely vertically integrated, decentralized, partially integrated retail, partially integrated direct, and horizontally integrated to minimize the carbon footprint. It uses a backward induction method to find optimum decision variables namely wholesale price, selling price, demand, and emission reduction rate. It presents a mathematical analysis to evaluate how the permitted emission quota and emission level of channel members affect the decision variables of various network structures. Further, it conducts a sensitivity analysis to measure how consumers’ channel preferences affect price and emission reduction rates. This study illustrates that (1) the emission reduction investment can increase demand and improve the emission reduction rate with a considerable drop in price. Also, (2) the additional purchased carbon quota can help maintain emission levels up to a certain extent only because any additional buying will be considered a short-term salutation. As a result, channel members are encouraged to invest in emission reduction technology instead of buying additional permits. These results conclude that promoting CAT can help achieve targets to reduce emissions and foster economic and social development.
Graphic abstract
... Ma and Xie [31] aimed at the color TV recycling market, built the model, and researched related parameters' effect on the system's stability; in the end, they made chaos control. Dai et al. [32] constructed a continuous dual-channel closed-loop supply chain model with the delayed decision under government intervention. ey analyzed the related parameters' influence and used delay feedback control method to control the chaos. ...
Nowadays, with global scientific and technological levels rapidly improving, innovation has been a great need for enterprises to solve the dilemma. Combined with EPR (Extended Producer Responsibility) and the topic of remanufacturer, adopting green innovation has been an effective way when green supply chain management is applied. In this paper, we focus on the activity of green innovation and build a model where the manufacturer will invest in green innovation to improve the product availability rate of recycled products and save the cost in the process of remanufacturing. Besides, we take three stages in a cycle into consideration, that is, production/sale, recycling used production, and remanufacture/sale, and meanwhile, the government gives a subsidy to enterprises to encourage the activity of recycling. In the process of model solving, we take a dynamic decision-making way into consideration. We find that the decision adjustment speed of players has a significant effect on the stability, and in a long dynamic repeated game process, with the speed of decision adjustment increasing, the system enters into chaos at the end of the process. It is interesting that when the speed of decision adjustment exceeds the critical point of the bifurcation diagram, the profit of the manufacturer decreases and then enters a chaotic state. Besides, with the level of subsidies increasing, the area of stable region decreases gradually. Certain investment has a positive effect on product selling and recycling as well as the profit, and the government subsidy undoubtedly raises the profit of manufacturers and encourages the activity of recycling. In the end, we make chaos control by adjusting the decision method.
... Produk yang telah sampai kepada konsumen pada DCSC akan menjadi produk bekas (used products). Jika terjadi pengiriman produk bekas kepada pemanufaktur untuk didaur ulang, maka terbentuklah siklus yang disebut dengan dual channel closed-loop supply chain (DC-CLSC) [4][5] [11] [12]. Contoh 3 produk yang menggunakan siklus DC-CLSC adalah EPSON, ASUS, dan Canon. ...
Dual channel closed loop supply chain (DC-CLSC) merupakan model matematika yang menggambarkan serangkaian aktivitas supply chain yang menggunakan dua media penjualan serta produk bekas pakai yg telah digunakan konsumen di daur ulang kembali. Pada penelitian ini dikembangkan model DC-CLSC dengan proses daur ulang dilakukan oleh pihak ketiga dan diperhatikanwaktu tunggu pengiriman pada skenario desentralisasi. Model yang diperoleh digunakan untuk menentukan varibel keputusan optimal yang terdiri dari harga grosir, harga pada media online, harga dari retailer, imbalan yang diberikan kepada pihak ketiga, dan tingkat pemulihan produk bekas. Berdasarkan hasil solusi optimal dan simulasi numerik diperoleh bahwa bahwa jika waktu tunggu pengiriman pada media online semakin lama maka keuntungan pemanufaktur dan pihak ketiga mengalami penurunan, sedangkan keuntungan pengecer mengalami kenaikan. Nilai total keuntungan sistem yang terdiri dari keuntungan pemanufaktur, pengecer dan pihak ketiga semakin rendah jika waktu tunggu pengiriman semakin lama.
... However, other essential factors, such as multiproduct recovery, quality differences for recycled productions, and the durability of remanufactured productions have been neglected. Also, with the development of e-commerce, integrating online sales channels into CLSC has become more common, however, only a few works have considered dual CLSC channels (traditional retailers and online e-tailers) [126] . Therefore, operational decisions such as optimal product numbers and low-carbon technology investments in dual channel CLSC especially under ustochastic demand and return could be interesting future research directions. ...
Supply chain has received a great deal of attention both in academia and industry. The carbon emissions from supply chain activities are the major concern, therefore, many governments have implemented carbon taxes to promote energy conservation and emission reduction. Under this background, the impact of the carbon taxes on supply chain and the related operational decisions become hot topics. This paper aimed to review the researches on supply chain management under carbon tax. First, the descriptive results and a bibliometric analysis of identified articles during 2010-2019 was presented to clarify the development in this field. Then, content analysis is conducted to classify the selected articles into facility location decisions, supplier selection and order quantity, low carbon technology choice and investment, production planning, transportation decisions, pricing decisions, joint decisions and supply chain coordination under carbon taxes. The research progress in these areas was systematically reviewed and summarized. Finally, future directions were discussed from the perspectives of problem and method.
