Competitive closed-loop supply chain network design with price-dependent demands

Rezapour, Shabnam; Farahani, Reza Zanjirani; Fahimnia, Behnam; Govindan, Kannan; Mansouri, Yalda

doi:10.1016/j.jclepro.2014.12.095

Cited by 75 publications

(33 citation statements)

References 83 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…They studied the impact of simultaneous and Stackelberg competitions between two closed-loop SCs on their pro ts, demands, and returns in a nondeterministic environment. As a more related study to the previous research, Rezapour et al [42] developed a competitive closed-loop SC model using the BLP with price-dependent demands in order to design a strategic reverse network and tactical/operational planning. They considered competitions not only externally between two chains supplying new products but also internally in the new chain for supplying new and remanufactured products.…”

Section: Review Of the Literature On Bi-level Programming And Pricingmentioning

confidence: 99%

Benders Decomposition Algorithm for Robust Aggregate Production Planning Considering Pricing Decisions in Competitive Environment: A Case Study

Aazami

Saidi‐Mehrabad

2018

Scientia Iranica

View full text Add to dashboard Cite

In operations research, bi-level programming is a mathematical modeling which has another optimization problem as a constraint. In the present research, regarding the current intense competition among large manufacturing companies for achieving a greater market share, a bi-level robust optimization model is developed as a leader-follower problem using Stackelberg game in the eld of Aggregate Production Planning (APP). The leader company with higher in uence intended to produce new products, which could replace the existing products. The follower companies, as rivals, were also seeking more sales, but they did not have the intention and ability to produce such new products. The price of the new products was determined by the presented elasticity relations between uncertain demand and price. After linearization, using the KKT conditions, the bi-level robust model was transformed into an ordinary uni-level model. Due to the NP-hard nature of the problem, Benders Decomposition Algorithm (BDA) was proposed for overcoming the computational complexities in large scale. Finally, using the real data of Sarvestan Sepahan Co as a leader company, the validity of the developed model as well as e ciency and convergence of the BDA was investigated. The computational results clearly showed the e ciency and e ectiveness of the proposed BDA.

show abstract

Section: Review Of the Literature On Bi-level Programming And Pricingmentioning

confidence: 99%

Benders Decomposition Algorithm for Robust Aggregate Production Planning Considering Pricing Decisions in Competitive Environment: A Case Study

Aazami

Saidi‐Mehrabad

2018

Scientia Iranica

View full text Add to dashboard Cite

show abstract

“…presented a bi-level model for CSCND in the presence of an existing rival where demand is elastic with respect to price and distance. Rezapour et al (2015) presented a bi-level model for closed-loop SCND in price-dependent market demand with an existing SC, which only has a forward direction, but the new chain is a closed-loop SC. Fallah et al (2015) presented a competitive closed-loop SCND problem in a price-dependent market under uncertainty and investigate the impact of simultaneous and Stackelberg competition between the chains.…”

Section: Literature Reviewmentioning

confidence: 99%

Decentralized supply chain network design: monopoly, duopoly and oligopoly competitions under uncertainty

2017

View full text Add to dashboard Cite

This paper presents the competitive supply chain network design problem in which n decentralized supply chains simultaneously enter the market with no existing rival chain, shape their networks and set wholesale and retail prices in competitive mode. The customer demand is elastic and price dependent, customer utility function is based on the Hoteling model and the chains produce identical or highly substitutable products. We construct a solution algorithm based on bi-level programming and possibility theory. In the proposed bi-level model, the inner part sets the prices based on simultaneous extra-and Stackleberg intra-chains competitions, and the outer part shapes the networks in cooperative competitions. Finally, we use a real-word study to discuss the effect of the different structures of the competitors on the equilibrium solution. Moreover, sensitivity analyses are conducted and managerial insights are offered.

show abstract

“…In the paper the government applies rewardpenalty mechanism to motivate industry's recycling effort for different CLSCs. Rezapour et al [33], proposed a bi-level model for closed loop network design by considering internal and external competition. Strategic reverse network design decisions are made in the first level and tactical/operational decisions are made in the second level in a competitive environmental that market demand is dependent to the price.…”

Section: Introductionmentioning

confidence: 99%

A robust bi-level programming model to design a closed loop supply chain considering government collection’s policy

2018

View full text Add to dashboard Cite

This study aims in providing a new approach regarding design of a closed loop supply chain network through emphasizing on the impact of the environmental government policies based on a bi-level mixed integer linear programming model. Government is considered as a leader in the first level and tends to set a collection rate policy which leads to collect more used products in order to ensure a minimum distribution ratio to satisfy a minimum demands. In the second level, private sector is considered as a follower and tries to maximize its profit by designing its own closed loop supply chain network according to the government used products collection policy. A heuristic algorithm and an adaptive genetic algorithm based on enumeration method are proposed and their performances are evaluated through computational experiences. The comparison among numerical examples reveals that there is an obvious conflict between the government and CLSC goals. Moreover, it shows that this conflict should be considered and elaborated in uncertain environment by applying Min-Max regret scenario based robust optimization approach. The results show the necessity of using robust bi-level programming in closed loop supply chain network design under the governmental legislative decisions as a leader-follower configuration.

show abstract

Competitive closed-loop supply chain network design with price-dependent demands

Cited by 75 publications

References 83 publications

Benders Decomposition Algorithm for Robust Aggregate Production Planning Considering Pricing Decisions in Competitive Environment: A Case Study

Benders Decomposition Algorithm for Robust Aggregate Production Planning Considering Pricing Decisions in Competitive Environment: A Case Study

Decentralized supply chain network design: monopoly, duopoly and oligopoly competitions under uncertainty

A robust bi-level programming model to design a closed loop supply chain considering government collection’s policy

Contact Info

Product

Resources

About