Abstract:

The growing scale of waste products but the low effective recycling rate has become a major constraint to sustainable economic and social development. Driven by national policies， circular economy and information technology， recycling platforms are gradually emerging and signing “trade-in” cooperation agreements with e-commerce shopping platforms to achieve the combination of waste product recycling and new product sales. However， at present， the “trade-in” cooperation between the two platforms is still in the exploration stage， and there are still many problems that need to be clarified. Based on this， two game models are constructed for the supply chain system consisting of an e-commerce shopping platform and a recycling platform， where both parties do not implement the “trade-in” cooperation strategy or implement the “trade-in” cooperation strategy， respectively. On the basis of solving the optimal equilibrium solution， comparative analysis and parameter sensitivity analysis are conducted to study the impact of the “trade-in” cooperation strategy on the market demand structure， the recycling of waste products and the economic profit of the platform， and to explore the impact of the recycling price on the economic profit of the platform and the total profit of the system under the premise of cooperation between the two sides.The results of the study show that　when the cost of refurbishment is low， “trade-in” cooperation will expand the market demand for refurbished products， but is not conducive to direct sales of new products； “trade-in” cooperation will not affect the recycling platform's own channels and will always help expand the total amount of recycling. However， “trade-in” cooperation is not necessarily beneficial to the economic benefits of both platforms， only when the cost of acquiring new products is low can the e-commerce shopping platform profit from it， and only when the size of the used product market stock and the cost of acquiring new products are both larger or both smaller will the profits of the recycling platform increase. If both platforms decide to cooperate on “trade-in”， the economic benefits of the e-commerce shopping platform will grow as the recycling price increases， but the economic benefits of the recycling platform will tend to grow and then decrease.

Key words: trade-in, e-commerce shopping platform, recycling platform, game analysis