Abstract
Recycled resource and consumer satisfaction drive bicycle enterprises to take effort to recycle damaged bicycles. Considering consumers’ riding experience, this paper analyzes a closed-loop supply chain where the operator sets price and recycling effort, and the supplier determines wholesale price. Rent and recycling strategies in integrated and decentralized channels are analyzed, and four types of revenue and cost-sharing contracts are compared, and the linear transfer payment-CS contract is designed to coordinate the decentralized supply chain. The results show that the consumers’ concern for riding experience can encourage the operator to increase recycling effort and the operator increases the rents and recycling effort over time. Besides, the sharing deposit income among supply chain members only affects the wholesale price and does not change the decisions of rent and recovery effort. In other words, the deposit is used to adjust the profit distribution among members, and there is no difference for consumers and society.
Highlights
Shared bicycles are ideal transport for short-distance pointto-point trips providing consumers the ability to pick up a bicycle at any self-serve sharing point and return it to any other point [1]. ey are viewed as an ambitious program to cut traffic, reduce pollution, and enhance the area’s image as a greener and quieter pace with a better way of life [2]
The unusable bicycles scattered around the city are not conducive to city management which damages the image of the city. erefore, when people enjoy the convenience that shared bicycles bring, it is important to do a good job in recycling damaged bicycles
We begin with a benchmark where the supplier and the operator are vertically integrated as a whole. e objective is to find the optimal rent and recycling effort while maximizing the SC profit. e dynamic optimization problem for the integrated channel is formulated as Parameters Subscript On the basis of cost sharing
Summary
Shared bicycles are ideal transport for short-distance pointto-point trips providing consumers the ability to pick up a bicycle at any self-serve sharing point and return it to any other point [1]. ey are viewed as an ambitious program to cut traffic, reduce pollution, and enhance the area’s image as a greener and quieter pace with a better way of life [2]. We try to establish a kind of mechanism between the bicycle operator and supplier to coordinate the bikesharing supply chain on the basis of cost sharing. We consider a two-echelon bike sharing supply chain in a dynamic setting, of which the operator determines rent and recycling effort, and the supplier sets the wholesale price. A linear transfer payment based on cost sharing (CS) contract is designed to coordinate the dynamic supply chain. E major contributions of this paper are as follows: first, we develop an analytical bike sharing supply chain model considering recycling which so far has not been studied.
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