Industrial Engineering Journal

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An Analysis of Decisions of Green Closedloop Supply Chain in Different Market Structures

  

  1. 1. College of Finance & Economics, 2.College of Management, Chongqing Jiaotong University, Chongqing 400074, China
  • Online:2016-02-29 Published:2016-04-05

Abstract:

In order to analyse the impacts of different market structures on decisions and performances of green closedloop supply chain members, by introducing the parameter of environmental conservation, Stackelberg Game theory is adopted to compare the decisions and benefits of channel members, and the total benefits of the whole supply chain in three different market structures. The results show that the unit wholesale price and retail price, and the benefit of manufacturer are highest when manufacturer is market leader. The return rate and unit profit of marketing, and retailer′s benefit are highest when retailer is leader. The environmental conservation level and total profit of the supply chain are highest under the Vertical Nash structure. Theoretically, the Vertical Nash structure is the best, but retailer dominating the market is a better choice in the actual situation.

Key words:  green closedloop supply chain, Stackelberg game, different market structures, environmental conservation