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Study on Vehicle Supply Chain Operation Mode Selection Based on Battery Leasing and Battery Swapping Services

Author

Listed:
  • Kaifu Yuan

    (School of Business Administration, Guizhou University of Finance and Economics, Guiyang 550025, China)

  • Chao Li

    (School of Business Administration, Guizhou University of Finance and Economics, Guiyang 550025, China)

  • Guangqiang Wu

    (School of Business Administration, Guizhou University of Finance and Economics, Guiyang 550025, China)

Abstract

Considering the impact of the battery leasing service and battery swapping service on the vehicle supply chain operation mode, a vehicle supply chain with a vehicle manufacturer and a battery asset company is investigated. Decision models are formulated in three cases: (a) both battery leasing and battery swapping services are provided by the vehicle manufacturer; (b) both services are provided by the battery asset company; (c) the battery swapping service is provided by the vehicle manufacturer and the battery leasing service by the battery asset company. The optimal decisions for the vehicle manufacturer and the battery asset company in the three cases are derived and compared. The results show that: (1) When the battery leasing increasing time cost coefficient is smaller, it is advisable for the vehicle manufacturer to provide both services; otherwise, the vehicle manufacturer should only provide the battery swapping service. (2) The battery asset company should actively provide-the battery swapping service, since the provision of the battery swapping service can increase its profit. (3) The mode of the vehicle manufacturer providing both services is optimal for the supply chain. (4) When the battery asset company provides battery leasing service, the vehicle manufacturer can “free ride” to enjoy the benefits of the battery asset company extending battery leasing time. (5) With the high cost of new energy vehicles (NEVs) limiting their development in China, extending the battery leasing increasing time is an effective measure to facilitate the diffusion of new energy vehicles (NEVs).

Suggested Citation

  • Kaifu Yuan & Chao Li & Guangqiang Wu, 2023. "Study on Vehicle Supply Chain Operation Mode Selection Based on Battery Leasing and Battery Swapping Services," Mathematics, MDPI, vol. 11(14), pages 1-21, July.
    • Handle: RePEc:gam:jmathe:v:11:y:2023:i:14:p:3119-:d:1194393
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    References listed on IDEAS

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