Pricing and coordination of waste electrical and electronic equipment under third-party recycling in a closed-loop supply chain

Yong Liu (), Zhen-juan Xia (), Qian-qian Shi () and Qian Xu ()
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Yong Liu: Jiangnan University
Zhen-juan Xia: Jiangnan University
Qian-qian Shi: Jiangnan University
Qian Xu: Jiangnan University

Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, 2021, vol. 23, issue 8, No 46, 12077-12094

Abstract: Abstract Waste electrical and electronic equipment have the potential environmental risks and resource value simultaneously. So the product recycling is very important. This paper studies on recycling problems of WEEE under the third-party recycling in a closed-loop supply chain. We take the following measures. Firstly, based on classifying the WEEE, we consider a revenue sharing and cost sharing contract as the coordination mechanism. Secondly, under centralized and decentralized decisions, we use the game analysis technology to determine the optimal pricing and profits, respectively. Finally, we conduct the number simulation to illustrate and validate the proposed models and provide managerial insights. The results show that when retailers sell new and second-hand products simultaneously, consumers become more sensitive to recycling prices, the profits of manufacturers, recyclers and CLSC increase. However, the retailers' profits decline.

Keywords: Waste electrical and electronic equipment (WEEE); Closed-loop supply chain (CLSC); Pricing; Revenue sharing and cost sharing contract (search for similar items in EconPapers)
Date: 2021
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Citations: View citations in EconPapers (10)

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DOI: 10.1007/s10668-020-01158-2

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