Dynamic Research on Three-Player Evolutionary Game in Waste Product Recycling Supply Chain System

Abstract

Recycling channel construction plays an important role in the development of closed-loop supply chains. In particular, the emergence of online recycling channels has made up for the shortcomings of traditional recycling channels with poor information and limited markets. This paper constructs an evolutionary game model to investigate the cooperation between manufacturers and e-commerce platforms with government intervention or not. The result shows that whether an enterprise actively participates in the cooperative recycling depends on the actual cost of establishing the cooperative recycling system. Additionally, the government support and supervision will affect the actual cost of cooperation. When the actual cost of establishing a collaborative recovery system is very large, under the influence of government interventions, there will be two kinds of evolutionary results for enterprises, either with cooperation or not at the same time. On the contrary, when the actual cost is small or medium, both manufacturers and the platforms will choose to cooperate. Thus, government participation in a cooperative recovery system is the best strategic option.