The closed-loop supply chain network with competition,distribution channel investment,and uncertainties |
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| Authors: | Qiang Qiang Ke Ke Trisha Anderson June Dong |
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| Institution: | 1. Great Valley School of Graduate Professional Studies, Pennsylvania State University, Malvern, PA 19355, United States;2. College of Business, Central Washington University, Ellensburg, WA 98926, United States;3. School of Business Administration, Texas Wesleyan University, Fort Worth, TX 76105, United States;4. School of Business, State University of New York at Oswego, Oswego, NY 13126, United States;5. Center for Supernetwork Research (China), Business School, University of Shanghai for Science and Technology, Shanghai 200093, China |
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| Abstract: | In this paper, a closed-loop supply chain network is investigated with decentralized decision-makers consisting of raw material suppliers, retail outlets, and the manufacturers that collect the recycled product directly from the demand market. We derive the optimality conditions of the various decision-makers, and establish that the governing equilibrium conditions can be formulated as a finite-dimensional variational inequality problem. We establish convergence of the proposed algorithm that can allow for the discussion of the effects of competition, distribution channel investment, yield and conversion rates, combined with uncertainties in demand, on equilibrium quantity transactions and prices. Numerical examples are provided for illustration. |
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| Keywords: | Environmental responsibility Remanufacturing Closed-loop supply chain |
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