Study on recycling pricing considering quality and demand uncertainty

This paper considers the case of manufacturers recycling used products, with recycling quality random. The recycling price should be controlled through the introduction of value coefficient of quality. The high-quality remanufactured products market and the lower one coexist, and separate. Create two pricing models to compare, one with a single recycling price, and the other taking recycling quality into consideration, with value coefficient of quality and sale price as decision variables. Gain the optimal pricing strategy through two-step optimization, then analysis the relevant parameters´ sensitivity. Finally by simulation, it shows that: the pricing model considering the recycling quality is better than the other one.