Next Article in Journal
Impact of the Information and Communication Technologies on Students with Disabilities. A Systematic Review 2009–2019
Previous Article in Journal
Goal-Driven or Data-Driven? Inventory of Sustainability Indicator Initiatives in Rural Canada
Open AccessArticle

Government Reward-Penalty Mechanism in Dual-Channel Closed-Loop Supply Chain

by Haitao Chen 1,†, Zhaohui Dong 1,* and Gendao Li 2,†
1
School of Management, Jilin University, Changchun 130015, China
2
School of Economics and Management, Changchun University of Science and Technology, Changchun 130000, China
*
Author to whom correspondence should be addressed.
These authors contributed equally to this work.
Sustainability 2020, 12(20), 8602; https://doi.org/10.3390/su12208602
Received: 17 August 2020 / Revised: 5 October 2020 / Accepted: 12 October 2020 / Published: 17 October 2020
This study establishs a dual channel closed-loop supply chain (CLSC) model under a government–penalty mechanism (RPM) consisting a dual-channel manufacturer, a retailer, and the government. We consider a Stackelberg game between the manufacturer and the retailer, and the government rewards or punishes manufacturers on the basis of the collection rate of used products. This paper analyzes the influence of government RPM on the optimal decisions, the relationship between the two sales channels, and the total social welfare of the supply chain system. We find that the government RPM can improve the stability of the dual-channel supply chain and the collection rate of the used products. Moreover, we are the first to provide a method of deriving the optimal government RPM through a numerical example. View Full-Text
Keywords: dual channel; closed-loop supply chain; reward–penalty mechanism; game theory; pricing strategies dual channel; closed-loop supply chain; reward–penalty mechanism; game theory; pricing strategies
Show Figures

Figure 1

MDPI and ACS Style

Chen, H.; Dong, Z.; Li, G. Government Reward-Penalty Mechanism in Dual-Channel Closed-Loop Supply Chain. Sustainability 2020, 12, 8602.

Show more citation formats Show less citations formats
Note that from the first issue of 2016, MDPI journals use article numbers instead of page numbers. See further details here.

Article Access Map by Country/Region

1
Search more from Scilit
 
Search
Back to TopTop