Impacting Consumer End-of-Life Product Return Decisions with Incentives

摘要

Uncertainty in end-of-life(EOL)product quality， quantity，and timing is a consequence of product supply origins.In today's market.consumers control the EOL product supply through their decisions to return or not return a specific product.As such，a value recovery enterprise's efficiency depends on the ability to control and reduce uncertainty in EOL product returns.Strict quality and on-time delivery requirements do not directly translate from traditional，forward supply chains to value recovery enterprises.Offering consumers an incentive in exchange for an EOL product can influence a consumer's decision to return a product or retain ownership.In this paper，a normative decision analysis is developed to determine how incentives impact consumer EOL product decisions.The model is analyzed using a range of incentive values and product age distributions.Also，the interactions between the consumers' decision to return a product and the enterprise's decision to recover a product are discussed.