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August 6, 2025

Considering consumer quality preferences, who should offer trade- in between manufacturer and retail platform?

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Authors

DMDeqing MaDHDi HuJHJinsong Hu

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Overview

Dynamic supply chain model reveals who should lead trade-in services based on quality preferences and decay rates.

Key Points

  • The provision of trade-in services hinges on the product's quality decay rate, affecting manufacturer and retail roles.
  • When quality decay is low, manufacturer-led trade-in services are more favorable; high decay can lead to a dilemma for both.
  • Increased pragmatic consumers and sensitivity to quality can decrease profits for both manufacturers and retail platforms.
  • Government subsidies influence trade-in mode selection based on price discounts offered by the dominant party in the supply chain.

Cite This Study

Ma et al. (2025) studied this question.

synapsesocial.com/papers/689a0fa0e6551bb0af8d172chttps://doi.org/10.21203/rs.3.rs-7259178/v1
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