Effects of consumer preference on cooperative strategy of manufacturer under different recycling modes

In view of the differences in recycling modes between traditional recycling and smart recycling, by considering the consumer preference for smart recycling, four closed-loop supply chain models were established to analyze the effects of consumer preference for smart recycling on the cooperation strategy of the manufacturer. The four models included the manufacturer allied with no one, the manufacturer only cooperated with the traditional collector, the manufacturer just cooperated with the smart collector (the recycling dealers who recycled products through smart recycling bins) and the manufacturer cooperated with both the traditional collector and the smart collector. Then, the optimal decisions under different models were analyzed. The results showed that both the traditional collector and the smart collector had the motivation to participate in cooperation. When the manufacturer only cooperated with the traditional collector, the smart collector's profit was decreased. Meanwhile, when the manufacturer only cooperated with the smart collector, the traditional collector's profit was also decreased. When consumer preference for smart recycling remained within a certain threshold range, the increased profit of the manufacturer only cooperated with the smart collector was greater than the increased profits in which the manufacturer only cooperated with the traditional collector and the manufacturer cooperates with both the traditional collector and the smart collector. The increasing in consumer preference for smart recycling would reduce the right of the manufacturer to share profits after cooperation, and increased the proportion of profits shared by the traditional collector and the smart collector after cooperation. © 2023 CIMS. All rights reserved.