Zonghuo Li, Wensheng Yang and Yinyuan Si
This paper investigates a dual-channel supply chain in which a manufacturer offers coupons in the online channel and the retailer in the offline channel. The optimal pricing and…
Abstract
Purpose
This paper investigates a dual-channel supply chain in which a manufacturer offers coupons in the online channel and the retailer in the offline channel. The optimal pricing and coupon promotion policies are explored, and the brand image under different promotion scenarios is studied.
Design/methodology/approach
Three differential game models, namely no coupon is offered, coupons offered by the manufacturer and coupons offered by the retailer, are constructed.
Findings
The results show that the manufacturer and retailer intend to conduct coupon promotions under a large coupon redemption rate. Coupon promotion derives a higher price and profit for the issuers, and the manufacturer can free-ride on the retailer's coupon promotion. The retailer's profit in the retailer-promotion scenario may be lower than that in the manufacturer-promotion scenario in some special conditions. Besides, price, coupon face value, brand image and profit increase over time. After multiple cycles game, the operational strategy evolves to an optimal equilibrium status.
Originality/value
This paper provides guidance and advice for dual-channel supply enterprises to implement joint pricing and coupon promotion strategies under multiple sales seasons.
Details
Keywords
Zonghuo Li, Wensheng Yang, Xiaohong Liu and Hassan Taimoor
This paper aims to investigate the impact of retailer innovation investment and its spillover’s effect on competitive dual-channel supply chain pricing and optimization strategy…
Abstract
Purpose
This paper aims to investigate the impact of retailer innovation investment and its spillover’s effect on competitive dual-channel supply chain pricing and optimization strategy, and explore the coordination mechanism considering decision maker’s bargaining ability.
Design/methodology/approach
The Cournot and Stackelberg game methodology are made use of for the duopoly decentralized and joint decision-making model. The bargaining theory with different negotiation ability was used to analysis the coordination mechanism. Then this paper validates the model by simulation techniques.
Findings
The results enlightened some interesting facts, the increase in innovation demand coefficient spur rise in channel pricing, innovation investment level, supply chain profit and consumer welfare. The rise in innovation spillover coefficient leads to increase in online channel pricing, supply chain profit and consumer welfare. Due to the innovation spillover effect, retailer has to maintain channel competitiveness either through low price or high innovation investment strategies. In addition, online channel pricing, supply chain profit and consumer welfare in joint decision-making scenario is greater than that of decentralized decision-making scenario, while the difference in retailer channel pricing depends on parameters value. The increase in retailer’s joint negotiation factor leads to decrease in channel pricing and innovation investment level. Furthermore, there existence of an optimal innovative investment cost sharing proportion threshold indicates the achievement of dual-channel supply chain coordination. A refinement equilibrium can be achieved through Robinstein bargaining game. A larger interest discount factor leads to decrease in profit.
Originality/value
The research provides a theoretical reference for dual-channel supply chain pricing and coordination strategy under channel competition environment. The research can develop innovative investment strategies for retailers and implement response strategies for manufacturers.
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An important consideration in the recovery strategies and performance of any given returned product is to make appropriate decisions for post-use. This paper aims to examine how…
Abstract
Purpose
An important consideration in the recovery strategies and performance of any given returned product is to make appropriate decisions for post-use. This paper aims to examine how the small and medium manufacturing enterprises can utilise a model-driven collaborative decision support system to evaluate product recovery strategies and performance.
Design/methodology/approach
An optimisation model using a genetic algorithm (GA) approach is developed to assess product recovery plans for any returned products based on the decisions of component reuse, remanufacture and recycle potentials. The model evaluates the key decisions of cost, time, quality and waste, and proposes an optimal recovery plan for manufacturer. A case study was also conducted using the proposed model to evaluate and examine different air compressor piston-types with recovery strategies.
Findings
Assessing a product recovery plan for any product is a challenge to the manufacturer due to higher operating costs associated with recovery. The nature of this challenge is complex. In this study, the results indicate that a developed optimisation model using a GA can assess the utilisation value of used products by considering suitable recovery strategies for the components and/or parts to be appropriately reused, remanufactured and recycled upon return.
Research limitations/implications
The developed model assesses utilisation values of returns by considering both key decisions associated with returned products, and aspects of complexity of operational processes.
Originality/value
This research contributes to the practical understanding of product recovery strategies and extended producer responsibility using a case study. Also, the significance of this research is to provide a simple method of proposing an optimal recovery plan for any given returned product within a decision support system. Another innovation of the developed model is that an optimal recovery plan considers the trade-off decisions of cost, time, quality and waste aspects.
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Monika Sheoran and Devashish Das Gupta
India generates around two million tonnes of e-waste every year, and it is increasing at a very high rate of 30%. However, due to inefficient handling of infrastructure and…
Abstract
Purpose
India generates around two million tonnes of e-waste every year, and it is increasing at a very high rate of 30%. However, due to inefficient handling of infrastructure and limited number of collection centres along with the absence of proper incentive structure for producer and recyclers, 95% of e-waste reaches to unorganized sector for disposal. Consumers are not aware of the need of proper e-waste disposal and in absence of proper motivation and they are not inclined towards recycling process. Therefore, this paper aims to identify the best practices of e-waste take adopted all over the world to implement effective policy interventions for e-waste management in India and other emerging economies.
Design/methodology/approach
This paper has recommended preventive as well as curative policy interventions on the basis of best e-waste management practices of Germany, Italy and Japan; life cycle assessment of e-waste; and SWOT analysis of Indian electronic product industry.
Findings
Preventive measures include a deposit refund scheme wherein a consumer will be responsible for depositing a refundable fees during the purchase of the product. The amount should be arrived at keeping in mind cost involved in handling e-waste and ensure some motivation for the consumers to give back used product. To ensure proper tracking of the product, Radio frequency identification (RFID) tags can be used which will be activated at the time of sale of product and remain so until product reaches some designated recycling space or recycler and consumer is returned back his deposit fee. Subsidy to the producers and recyclers can also be provided by the government to further incentivize the whole process. An example of mobile phones has been used to understand the proposed deposit fees and associated cost structure. Curative measures to reduce the generation of e-waste in long run for managing the discussed issue have also been proposed.
Originality/value
This study is an initiative for proposing and implementing best e-waste take back techniques in a developing economy like India by acquiring learnings from best/advanced economies in terms of e-waste take back.