Application of Intelligent Technology in a Reverse Supply Chain: Blockchain Adoption to Combat Remanufacturing Perceived Risks

Feng Yang, Xiaolong Guo and Yugang Yu
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Feng Yang: University of Science and Technology of China
Xiaolong Guo: University of Science and Technology of China
Yugang Yu: University of Science and Technology of China

Chapter Chapter 18 in Intelligent Logistics Management in Digital Economy, 2025, pp 335-356 from Springer

Abstract: Abstract This study examines how blockchain technology can address consumer concerns about the quality and origin of remanufactured products, promoting sustainable operations in reverse supply chains. Using a game-theoretical model, it explores the incentives for manufacturers and recyclers to adopt blockchain. The findings suggest that blockchain adoption can enhance remanufacturing rates, though it may not always increase market share. The optimal strategy depends on consumer quality distrust and blockchain implementation costs. A “triple-win” outcome—benefiting the original equipment manufacturer (OEM), recycler, and environment—occurs when blockchain is applied to new products with low distrust and moderate costs, or to remanufactured products with high distrust and reasonable costs. However, when both factors are low, blockchain adoption may not yield significant benefits, and the OEM risks overinvesting. The study also examines the influence of blockchain adoption costs, government regulations, and third-party pricing strategies on achieving these outcomes, offering insights into how blockchain can foster sustainable remanufacturing and a more responsible logistics ecosystem.

Date: 2025
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DOI: 10.1007/978-981-95-2177-7_18

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