Coordination mechanism for a remanufacturing supply chain based on consumer green preferences

Abstract

ABSTRACT Against the background of diversified consumer green preferences in the market, this paper constructs a remanufacturing supply chain profit model consisting of a single retailer and a single manufacturer. The Stackelberg game method is adopted to analyse the optimal pricing problem in both decentralised and centralised decision models, as well as a revenue-sharing contract model that consider consumers with different green preferences. The results show that an increase in the proportion of green consumers and consumer acceptance of remanufactured products have a positive impact on the profits of manufacturers, retailers and the entire supply chains. The revenue-sharing contract can effectively coordinate manufacturer and retailer to improve the profit of both the supply chain and individuals, and these profits can reach the profit of the centralised decision model. Finally, some coordination suggestions are provided.