Abstract
Remanufacturing has been widely recognized in practice. However, the low acceptance of remanufactured products deeply hinders the performance of remanufacturing. Recently, trade-in programs are growing in popularity for selling remanufactured products to promote consumptions. In this paper, under the constraint of consumer participation, we investigate the conditions under which a trade-in program for remanufactured products should be adopted and how to optimize the pricing and production decisions. Cannibalization between new and remanufactured products has been analyzed for both primary and replacement markets.
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