Pricing Strategy Based on Game Theory for Two-Stage Reverse Supply Chain

doi:10.3969/j.issn.1007-7375.2020.03.006

Abstract

Abstract: Based on the idea of game theory, the pricing problem of reverse supply chain in which the manufacturer entrusts the retailer to recycle the waste products for reprocessing is studied. First, a Stackelberg game model of decentralized pricing and a centralized pricing model of the cooperative game are respectively constructed, and some deductions are derived from the formula deduction. It is proved theoretically that the cooperative game can bring more profits to the supply chain and can also benefit the consumers. In addition, for the cooperative game model, a distribution scheme is designed to achieve the distribution of cooperative profits to meet the requirements of all supply chain members. Finally, several examples are given to verify the correctness of the inference.

Key words: pricing, reverse logistics, Stackelberg game, profit distribution

CLC Number:

F272

SHI Yongqiang, WANG Jiaxin, ZHANG Zhiyong. Pricing Strategy Based on Game Theory for Two-Stage Reverse Supply Chain[J]. Industrial Engineering Journal, 2020, 23(3): 45-50,58.

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