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Does Environmental Education Always Contribute to Remanufacturing Supply Chain Development?

Chunmei Li, Tianjian Yang (frankytj@bupt.edu.cn) and Zijing Bian
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Chunmei Li: School of Economics and Management, Beijing University of Posts and Telecommunications, Beijing 100876, China
Tianjian Yang: School of Economics and Management, Beijing University of Posts and Telecommunications, Beijing 100876, China
Zijing Bian: Department of Economic Theory Management, College of Social Sciences and Humanities, Moscow State Normal University, 119991 Moscow, Russia

IJERPH, 2023, vol. 20, issue 6, 1-18

Abstract: Remanufacturing, as an effective way to save resources and alleviate environmental pollution, has gradually become a sustainable practice. Environmental education contributes to the development of remanufacturing by increasing the number of consumers willing to purchase remanufactured products (RPs). However, the incumbent manufacturer usually has limited remanufacturing capability together with yield uncertainty, making a third-party remanufacturer (3PR) an alternate channel choice. This study develops an analytical model to examine the effects of environmental education on a retailer’s choice of remanufacturing channels under in-store competition. Results show that consumer environmental education has the potential to significantly improve the retailer and supply chain profits, and temperate environmental education is always desirable for 3PR. The introduction of 3PR benefits the consumer when the retailer’s remanufacturing technology level is low. Furthermore, when the environmental impact of defective RPs is relatively high, and environmental education is temperate, selecting a 3PR will enhance environmental sustainability. This study also shows that 3PR can help achieve a win–win situation when environmental education and consumer acceptance of RPs are both in a certain range.

Keywords: environmental education; sustainable development; remanufacturing; yield uncertainty; game theory (search for similar items in EconPapers)
JEL-codes: I I1 I3 Q Q5 (search for similar items in EconPapers)
Date: 2023
References: Add references at CitEc
Citations: View citations in EconPapers (1)

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