The Service Strategy and Influencing Factors of Online Recycling of Used Mobile Phones

Abstract

Currently, many online platforms participate in the recycling of waste products, and the online recycling of used mobile phones is especially popular. We explore the service strategy for and the factors influencing customers’ willingness of online recycling (CWOR) of used mobile phones. We develop a game model of a reverse supply chain comprising a mobile phone manufacturer (MPM) and an online recycling platform (ORP) to analytically examine the influencing factors of CWOR. We show that the MPM’s profit is mainly affected by CWOR and the ORP’s offered recycling service. The impacts of customers’ preferences of the recycling price and recycling service on the MPM’s profit depend on the service cost coefficient. The ORP’s profit is independent of its service cost and customers’ preference of the recycling service. However, the impact of the recycling commission is restricted by customers’ preference of the recycling price. We also use structural equation modelling to empirically show that recycling service and environmental consciousness positively affect CWOR, and environmental protection publicity enhances environmental consciousness. In addition, customers’ age and income moderate the recycling service–CWOR link. Our findings reveal that improving the recycling service can directly and indirectly promote the recycling of used mobile phones. These findings provide guidance to the government and businesses related to used mobile phone recycling.

Keywords

• supply chain management
• game theory
• empirical research
• online recycling platform
• customers’ willingness of online recycling
• government environmental promotion