Competition among supply chains: Implications of full returns policy

Xingzheng Ai, Jing Chen, Haixia Zhao, Xiaowo Tang

Research output: Contribution to journalArticlepeer-review

76 Citations (Scopus)

Abstract

We examine decisions of retailers and manufacturers in two competing supply chains selling a substitutable product, with demand uncertainty, when manufacturers offer or do not offer full returns policies. We consider retailers two pricing strategies, optimal pricing and clearance pricing, and we find that full returns policies have different implications in the presence of chain-to-chain competition as compared to the case of a monopoly supply chain. The conditions under which manufacturers and retailers prefer or not prefer full returns policies are identified.

Original languageEnglish
Pages (from-to)257-265
Number of pages9
JournalInternational Journal of Production Economics
Volume139
Issue number1
DOIs
Publication statusPublished - Sept 2012
Externally publishedYes

Bibliographical note

Funding Information:
We gratefully acknowledge the support of Grants from National Natural Science Foundation of China (NSFC) Nos. 70772070 , 70932005).

ASJC Scopus Subject Areas

  • General Business,Management and Accounting
  • Economics and Econometrics
  • Management Science and Operations Research
  • Industrial and Manufacturing Engineering

Fingerprint

Dive into the research topics of 'Competition among supply chains: Implications of full returns policy'. Together they form a unique fingerprint.

Cite this