Research on joint inventory and price decisions for new and refurbished products under products exchange
Authors: 
Wenjie Zhao, Pengkun WuAuthors Info & Claims
Wenjie Zhao, Pengkun WuAuthors Info & ClaimsPages 187 - 192
Abstract
This paper investigates the economic implications of introducing an on-site exchange policy in a retailer that sells both new and refurbished. This article focuses on how changes in return and exchange rates affect optimal ordering and pricing decisions for retailers, analyzing the implications of adopting an on-site exchange policy on inventory and pricing management strategies. Through parameter analysis, the results show that: (1) The on-site proves financially advantageous for retailers from reduced products returns. (2) Implementation of the on-site exchange policy shortens sales cycles, thereby enhancing the agility of new product introductions. These conclusions underscore the importance for retailers to continually refine return and exchange policies to improve user experience, minimize returns, bolster profitability, and enhance market position.
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Published In
August 2024
465 pages
ISBN:9798400716997
DOI:10.1145/3695652
Copyright © 2024 ACM.
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Association for Computing Machinery
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Published: 15 October 2024
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IMMS 2024
IMMS 2024: 2024 the 7th International Conference on Information Management and Management Science
August 23 - 25, 2024
Beijing, China
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