Assessing the benefits of remanufacturing option under one-way substitution and capacity constraint

Pelin Bayindir, Nesim Erkip and R. Gullu

No EI 2003-19, Econometric Institute Research Papers from Erasmus University Rotterdam, Erasmus School of Economics (ESE), Econometric Institute

Abstract: In this article, we investigate the profitability of remanufacturing option when the manufactured and remanufactured products are segmented to different markets and the production capacity is finite. It is assumed that remanufactured products can be substituted by the manufactured ones. A single period profit model under substitution is constructed to investigate the system conditions under which remanufacturing is profitable. We present analytical findings and computational results to show profitability of remanufacturing option under substitution policy subject to a capacity constraint of the joint manufacturing/remanufactruing facility.

Keywords: capacity constraint; inventory; one-way substitution; remanufacturing (search for similar items in EconPapers)
Date: 2003-07-08
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://repub.eur.nl/pub/1719/feweco20030708114750.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ems:eureir:1719

Access Statistics for this paper

More papers in Econometric Institute Research Papers from Erasmus University Rotterdam, Erasmus School of Economics (ESE), Econometric Institute Contact information at EDIRC.
Bibliographic data for series maintained by RePub ( this e-mail address is bad, please contact ).