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Financial Assistance in a Capital-Constrained Cellphone Supply Chain

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Product Lifecycle Management. Green and Blue Technologies to Support Smart and Sustainable Organizations (PLM 2021)

Part of the book series: IFIP Advances in Information and Communication Technology ((IFIPAICT,volume 639))

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Abstract

In the cellphone industry, some manufacturers may face the problem of insufficient funds in the production process and some retailers can return unsold phones to the manufacturer at a repurchase price. Hence, in this article, we aim to investigate the supply chain operation and financing strategy under a buyback policy in the product lifecycle management of the cellphone. In this supply chain, the manufacturer can obtain money from two sources, one is the downstream retailer’s advance payments, the other is the loans from a third-party financial institution. Through modeling, the optimal strategy of the supply chain is determined, and the influence of the deviation between repurchase price and residual value on the optimal strategy of the supply chain is analyzed. The results show that the deviation between the repurchase price and the residual value of the unsold cellphone has an impact on the manufacturer’s decisions, and the repurchase price has an impact on the financing equilibrium. Finally, the numerical analysis verifies the results.

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Author information

Authors and Affiliations

  1. The Hong Kong Polytechnic University, Hung Hum, Hong Kong

    Song-Man Wu, Felix T. S. Chan & S. H. Chung

Authors
  1. Song-Man Wu
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  2. Felix T. S. Chan
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  3. S. H. Chung
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Editor information

Editors and Affiliations

  1. Pontifícia Universidade Católica do Paraná, Curitiba, Brazil

    Osiris Canciglieri Junior

  2. University Grenoble Alpes, Grenoble, France

    Frédéric Noël

  3. École de Technologie Supérieure, Montreal, QC, Canada

    Louis Rivest

  4. Qatar University, Doha, Qatar

    Abdelaziz Bouras

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Wu, SM., Chan, F.T.S., Chung, S.H. (2022). Financial Assistance in a Capital-Constrained Cellphone Supply Chain. In: Canciglieri Junior, O., Noël, F., Rivest, L., Bouras, A. (eds) Product Lifecycle Management. Green and Blue Technologies to Support Smart and Sustainable Organizations. PLM 2021. IFIP Advances in Information and Communication Technology, vol 639. Springer, Cham. https://doi.org/10.1007/978-3-030-94335-6_6

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  • DOI: https://doi.org/10.1007/978-3-030-94335-6_6

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  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-030-94334-9

  • Online ISBN: 978-3-030-94335-6

  • eBook Packages: Computer ScienceComputer Science (R0)

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