Research on Services Decision-Making in Closed-Loop Supply Chain Dominated by a Logistics Provider

In this paper, we assume that a closed-loop supply chain consists of an original equipment manufacturer (OEM) producing new products from raw materials, a remanufacturer producing re-manufactured products from used items directly collected from customers and a logistics provider which sells and distributes two products as a monopolist in the given market. By constructing game model in which logistics provider is a leader, OEM and remanufacturer are the equal status followers, we solve chain members’ optimal services decision-making. Finally, we analyze influence of service elasticities and intensities of service competition of two manufacturers on members’ equilibrium decision-making.