Manufacturing/Remanufacturing Decision Considering Channel Development under Carbon Trading Policy

doi:10.3969/j.issn.1007-7375.2020.02.001

Abstract

Abstract: The remanufacturer, offering new and remanufactured products at a same period, has a traditional channel strategy and two development channel strategies. Considering carbon trading policy, a study is conducted on a remanufacturer’s optimum yield and maximum profit. The models about three different channel strategies are established. Then the effect of consumer preference, carbon trading policy and channel strategy on production decision is analyzed. The results show that appropriate carbon price can promote the quantity of remanufacturing product, but only when the consumer's preference for remanufacturing and the advantage of remanufacturing emission reduction are high enough. The high carbon price can restrain the normal production activities of the remanufacturer. When consumers have a high preference for online purchase, using the development strategy that sales remanufactured products online and new products offline can achieve the optimal production profit and environmental cost at the same time, and get a win-win situation between remanufacturer and the environment.

Key words: carbon trading, manufacturing/remanufacturing, consumer preference, channel development

CLC Number:

F272.3

CHEN Weida, SHI Yujie. Manufacturing/Remanufacturing Decision Considering Channel Development under Carbon Trading Policy[J]. Industrial Engineering Journal, 2020, 23(2): 1-8.

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