Abstract

The influences of the consumer’ preferences on the remanufacture are studied and coordination issue about the ration of remanufacture is addressed. The conclusions show that the level of re-manufacturing will be higher when more of the consumers are environmentalists. In addition, when the environmentalists’ preferences are stronger, the optimal level of remanufacture is higher. In the supply chain context, the manufacturer's optimal remanufacturing level is less than that of the entire supply chain. In this situation, retailers can use a kind of environmental subsidies to entice the manufacturer and then achieve supply chain coordination.

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