Pricing Decisions for Manufacturer-driven Closed-loop Supply Chain with Fairness Concerns
DING Xue-feng
WEI Fang-fang
Abstract：Fairness concern is introduced into a closed-loop supply-chain and supply-chain strategy for such a supply chain is studied .The decision-making strategy of supply-chain members is analyzed under two situations:only the manufacturer cares about the fairness and only the retailer is concerned about the equity.The influence of the preference coefficient on the recovery rate and system profit of supply -chain under the two different concern subjects is compared .Studies show that the fairness preference of the man-ufacturer improves both the wholesale and retail price to reduce the recovery rate and profit on both sides . The fairness preference of the retailer reduces the wholesale price , retail price , and the recovery rate , but improves its own profit .At the same time , it is found that decision makers cannot blindly pursue fairness , which may lead to failure of the supply chain and loss of social welfare .
Keywords：closed-loop supply chainfairness concernsupply chain decision
Publication Date：2014-01-01
Online Publishing Date：2025-08-15(First online date of this platform, not the publication date of the document)
Pages：7( 78-84 )