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A mechanism to promote product recovery and environmental performance

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  • Pazoki, Mostafa
  • Zaccour, Georges

Abstract

To address the problem of the effectiveness and efficiency of environmental protection regulations, we propose a general functional form for regulations to provide a decision support system for social planners designing new regulations. Thanks to the proposed functional form, we are able to compare a variety of different regulations within a single framework. It is shown that how the values of subsidies and penalties in several environmental regulations should be set to minimize the environmental impact of production or to maximize product recovery. Further, this paper presents a set of guidelines on how to modify target rates and incentives to improve certain environmental goals. Finally, it is proved that the amount of past production (available product for collection and/or remanufacturing, which is also referred to as supply constraint) modifies the impact of target rates and incentives on environmental performance.

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  • Pazoki, Mostafa & Zaccour, Georges, 2019. "A mechanism to promote product recovery and environmental performance," European Journal of Operational Research, Elsevier, vol. 274(2), pages 601-614.
    • Handle: RePEc:eee:ejores:v:274:y:2019:i:2:p:601-614
    DOI: 10.1016/j.ejor.2018.10.029
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    References listed on IDEAS

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    8. Wu, Cheng-Han, 2013. "OEM product design in a price competition with remanufactured product," Omega, Elsevier, vol. 41(2), pages 287-298.
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    Cited by:

    1. Xiaoxiao Chang & Guangye Xu & Qian Wang & Yongguang Zhong, 2020. "A Game Theoretic Approach for Eco-Design and Remanufacturing Considering Take-Back Policy," Sustainability, MDPI, vol. 12(17), pages 1-21, September.
    2. Lu Xiao & Rongrong Fan & Chaojie Wang & Jun Wang, 2020. "Policy Analyses on Promoting the Recycling of Express Packages," Sustainability, MDPI, vol. 12(22), pages 1-12, November.
    3. Louise Lindkvist Haziri & Erik Sundin & Tomohiko Sakao, 2019. "Feedback from Remanufacturing: Its Unexploited Potential to Improve Future Product Design," Sustainability, MDPI, vol. 11(15), pages 1-24, July.
    4. Pazoki, Mostafa & Samarghandi, Hamed, 2020. "Take-back regulation: Remanufacturing or Eco-design?," International Journal of Production Economics, Elsevier, vol. 227(C).
    5. Pietro Giovanni & Georges Zaccour, 2019. "A selective survey of game-theoretic models of closed-loop supply chains," 4OR, Springer, vol. 17(1), pages 1-44, March.
    6. Wang, Jian & He, Shulin, 2023. "Government interventions in closed-loop supply chains with modularity design," International Journal of Production Economics, Elsevier, vol. 264(C).
    7. You Qiu & Youliang Jin, 2022. "Impact of environmental taxes on remanufacturing decisions of a duopoly," Economic Change and Restructuring, Springer, vol. 55(4), pages 2479-2498, November.
    8. Xuemei Zhang & Jian Cao & Yang Zhao & Jiansha Lu, 2022. "Fairness Concern in Remanufacturing Supply Chain—A Comparative Analysis of Channel Members’ Fairness Preferences," Sustainability, MDPI, vol. 14(7), pages 1-23, March.
    9. Kleber, Rainer & Reimann, Marc & Souza, Gilvan C. & Zhang, Weihua, 2020. "Two-sided competition with vertical differentiation in both acquisition and sales in remanufacturing," European Journal of Operational Research, Elsevier, vol. 284(2), pages 572-587.
    10. Liu, Zhi & Li, Kevin W. & Tang, Juan & Gong, Bengang & Huang, Jun, 2021. "Optimal operations of a closed-loop supply chain under a dual regulation," International Journal of Production Economics, Elsevier, vol. 233(C).
    11. Pietro De Giovanni & Georges Zaccour, 2022. "A selective survey of game-theoretic models of closed-loop supply chains," Annals of Operations Research, Springer, vol. 314(1), pages 77-116, July.
    12. Chen, Zhixiang & Bidanda, Bopaya, 2019. "Sustainable manufacturing production-inventory decision of multiple factories with JIT logistics, component recovery and emission control," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 128(C), pages 356-383.

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