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Regional diffusion for remanufactured tied products in ecologically conscious consumers

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  • Yenming J. Chen

Abstract

In this paper, we demonstrate that independent aftermarket replacement component remanufacturers are able to help the host product manufacturers establish their market share. We employ agent-based simulation and evolutionary game theory in the light of innovative diffusion process with network externality and sustainability consciousness, in microscopic and dynamic emergent perspectives. We suggest a strategic decision management insight for better marketing an environmental sustainable product in a new product diffusion process. We show that both market share and long-term profitability of a tied product firm, with inferior market share, indeed can be raised significantly by applying the suggested price-protection-distribution decision strategy at specific timing when the ecologically conscious consumer segment grows.

Suggested Citation

  • Yenming J. Chen, 2011. "Regional diffusion for remanufactured tied products in ecologically conscious consumers," International Journal of Sustainable Economy, Inderscience Enterprises Ltd, vol. 3(4), pages 440-454.
  • Handle: RePEc:ids:ijsuse:v:3:y:2011:i:4:p:440-454
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    Cited by:

    1. Chen, Yenming J. & Sheu, Jiuh-Biing & Lirn, Taih-Cherng, 2012. "Fault tolerance modeling for an e-waste recycling supply chain," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 48(5), pages 897-906.
    2. Jian Cao & Xihui Chen & Xueping Zhang & Yanchen Gao & Xuemei Zhang & Yunwen Zhao & Xiaoli Yang & Jiayang Xu & Gengui Zhou & Jerald L. Schnoor, 2018. "Public Awareness of Remanufactured Products in Yangtze River Delta of China: Present Status, Problems and Recommendations," IJERPH, MDPI, vol. 15(6), pages 1-23, June.

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