Remanufacturing Strategy Choice of a Closed-Loop Supply Chain Network Considering Carbon Emission Trading, Green Innovation, and Green Consumers

Due to increasingly serious environmental pollution problems and governments' strengthening of environmental impact supervision, manufacturing companies are seeking green production methods, implementing carbon trading systems, and promoting the trend towards green remanufacturing. Thus, this p...

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Published inInternational journal of environmental research and public health Vol. 19; no. 11; p. 6782
Main Authors Zhou, Yan, Lin, Xin-Tong, Fan, Zhi-Ping, Wong, Kar-Hung
Format Journal Article
LanguageEnglish
Published Switzerland MDPI AG 01.06.2022
MDPI
Subjects
Carbon
Consumers
Decision making
Emissions trading
Equilibrium
Innovations
Literature reviews
Manufacturers
Manufacturing
Methods
OEM
Production methods
Profits
Remanufacturing
Supply chains
green innovation
remanufacturing strategy choice
closed-loop supply chain
green consumers
circular economy
carbon emission trading
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Summary:Due to increasingly serious environmental pollution problems and governments' strengthening of environmental impact supervision, manufacturing companies are seeking green production methods, implementing carbon trading systems, and promoting the trend towards green remanufacturing. Thus, this paper introduces green factors to the existing closed-loop supply chain network models and studies the impact of carbon trading, green innovation efforts, and green consumers on the choice between two remanufacturing strategies: an in-house remanufacturing strategy and an authorized remanufacturing strategy. The results concerning the choice of the remanufacturing strategy are as follows: from the perspective of obtaining more profits, when the carbon trading price is low, the companies choose the authorized remanufacturing strategy; when the carbon trading price is high, the companies choose to remanufacture by themselves. For all the green innovation efforts and the proportions of green consumers, when the recovery rate of the used product is low, the companies choose to remanufacture by themselves; when the recovery rate of the used product is high, the companies choose the authorized remanufacturing strategy.
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content type line 23
ISSN:1660-4601
1661-7827
1660-4601
DOI:10.3390/ijerph19116782