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Tri-party reverse supply chain coordination with competitive product acquisition process

Author

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  • Seyyed-Mahdi Hosseini-Motlagh
  • Mohammadreza Nematollahi
  • Samira Ebrahimi

Abstract

A coordination model in a reverse supply chain (RSC) considering product acquisition management and competition of third-party collectors is developed. Motivated by a case study of plastic recycling, collectors not only compete on the return incentives paid to consumers but also control the quality level of returned products delivered to the remanufacturer. A tri-party two-part tariff mechanism is introduced to coordinate the links between competing collectors and the remanufacturer. We analyze the retail and acquisition prices, and the quality level decisions under decentralized, centralized, and coordination systems. The results demonstrate that the coordination model not only significantly enhances both the quantity and quality of items received by the remanufacturer but also provides a win-win-win situation for members.

Suggested Citation

  • Seyyed-Mahdi Hosseini-Motlagh & Mohammadreza Nematollahi & Samira Ebrahimi, 2022. "Tri-party reverse supply chain coordination with competitive product acquisition process," Journal of the Operational Research Society, Taylor & Francis Journals, vol. 73(2), pages 382-393, March.
    • Handle: RePEc:taf:tjorxx:v:73:y:2022:i:2:p:382-393
    DOI: 10.1080/01605682.2020.1824550
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    Cited by:

    1. A. K. Gaula & J. K. Jha, 2024. "Pricing strategy with quality improvement in a dual collection channel closed-loop supply chain under return uncertainty," Operational Research, Springer, vol. 24(2), pages 1-40, June.
    2. Jia, Fu & Zhang, Shiyuan & Zheng, Xiao-Xue & Choi, Tsan-Ming, 2023. "A novel coordination mechanism to coordinate the multi-agent reverse supply chain with fairness concerns," International Journal of Production Economics, Elsevier, vol. 265(C).

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