Quality level and outsourcing strategies in a three-tier low-carbon supply chain

• DOI: 10.1093/ijlct/ctac076
• Publication Date: 2022-07-25T23:19:25Z
• Authors: Xinjian Wu; Chao Yu; Suyong Zhang
• Keywords: Original equipment manufacturer; Turnkey; Consignment

Abstract We analyze the quality risk and outsourcing strategies in a three-tier low-carbon supply chain comprising an original equipment manufacturer (OEM), contract (CM) supplier under two competitive scenarios. The following that are currently implemented by OEM considered: consignment turnkey. Under strategy, procures components from then outsources product manufacturing to CM. turnkey component procurement CM supplier. compare level non-competitive scenario which does not have its own brand products sells production. It is shown that, scenario, prefers strategy than chain. In OEM’s depends on CM’s investment cost coefficient.