Research on differential pricing strategy for reusable packages

• 1、College of Mechanical Engineering, Chongqing University, Chongqing 400044

Abstract：These years, governments and enterprises are paying more attention to reusing packages, and how to make reasonable returning prices has become a significant problem. Based on the theory of the depreciation and the characteristics of reusable packages, this paper analyzed how the quality status and the years packages have been utilized impact the returning pricing. Thereafter, considering differential pricing, this paper compared the returning prices, the returned quantity and the total economic incomes of the supply chain when centralized and decentralized (Stackelberg Game) decisions are made respectively. And the following conclusions are drawn: 1. Only when the value of packages amounts a certain value is the returning the packages feasible. And the higher the value, the more economic incomes will be created. 2. Comparing with decentralized decision-making, centralized decision-making can increase the returning prices, enlarge the returned quantity and create more economic value. 3. Under both situation, the returning price is always positively related to the quality coefficient, the value of packages and the sensitivity of customer toward returning price, while negatively associated to the years packages have been utilized and the environmental awareness of customers.

Keywords： game theory reusable packages differential pricing quality coefficient