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Taking a mental accounting theory perspective, this study explores how pricing strategy (all-inclusive vs partitioned) influences consumers' perceived residual value of a product and their subsequent intentions to upgrade to a newer model.

A pilot study and two formal experiments were conducted to test the hypotheses.

A partitioned (vs all-inclusive) price causes consumers to later recall a lower total cost and perceive lower residual value for the existing product, thereby increasing upgrade intentions. This finding holds for both utilitarian and hedonic products. Perceived residual value mediates the impact of the pricing strategy on upgrade intentions. The pricing strategy effect is stronger for state-oriented individuals than for action-oriented individuals.

This study extends understanding of the impact of pricing strategies from consumers' short-term immediate demand to long-term upgrade intentions. It also identifies a previously uninvestigated moderator (action-state orientation), clarifying the boundary conditions of pricing strategy effects. The study's conceptual framework links pricing strategy, sunk costs, perceived residual value and upgrade intentions, providing rich insights and potential research paths. These findings further enhance understanding of upgrade intentions.

The purpose of this paper is to explore the impact of the product residual value (PRV) and the loss of value over time of returned products in the reverse supply chain configuration. It also examines whether or not the distinction of Fisher's functional and innovative products holds for the reverse supply chain.

In order to identify the relevance of the Fisher model, the model needs to be recast in terms of PRV, which, in this context, is considered the independent variable in the reverse logistics arena. Products defined as innovative in Fisher's taxonomy correspond to disposed products with high residual value, whereas functional products correspond to disposed products with low residual value. Furthermore, the PRV and the speed at which returned products lose their value are considered in order to determine the configuration of the reverse supply chain that allows for recapturing most of the PRV. These notions have then been tested by analyzing two reverse supply chains with a case study research methodology.

The findings show that low PRV is associated with second‐class recovery options (recycling and energy recovery) and that high PRV is associated with first‐class recovery options (reconditioning and remarketing). When the recovery option is recycling, time is not relevant, the primary objective is cost reduction (efficiency), the chain is centralized, and actors and phases of the reverse chain are determined by the specificity of the recycling process. When the recovery option is reconditioning, time is primarily relevant, tradeoffs between costs and time efficiency are necessary, the chain presents a centralized structure, and the presence of other types of actors and phases influences the structure of the reverse supply chain.

The focus is restricted to the industry of electrical and electronic products.

Based on the outcome of the study, managers are able to determine the basic prerequisites for the design of their reverse supply chains.

Previous literature suggests that when the PRV is high, early product differentiation is necessary, and the chain is therefore decentralized. The paper demonstrates that this is not confirmed in the case of low returned volumes and high reconditioning quality standards.

Previous research in lease finance and evaluation has given little consideration to environmental factors. The purpose of this paper is to add to the literature by analysing how leasing provides a more attractive option than selling and extended producer responsibility (EPR) in helping to close product life‐cycle loops, extend the useful life of products, and increase environmental benefits.

This paper revisits the accounting concepts of asset depreciation, residual value and cost of leasing and proposes methods to incorporate these concepts into the “closed loop” lease and service mode for product life‐cycle management.

For business, the “closed loop” lease and service mode changes asset values through the extension of the asset's useful life and in particular, the increase of the residual value of the product (i.e. recoverable value to the producer/lessor). Such changes reduce the cost of leasing to the advantage of both lessor and lessee. However, the argument about a “win‐win” monetary and environmental outcome being associated with leasing presents several challenges for current accounting standards in terms of recognition of lease and lease revenue, recognition of intangible assets and internalisation of environmental costs and impacts associated with the leasing process.

To date, accounting and finance literature seems to focus exclusively on the economic aspects of leasing strategies. This paper uses a different lens to make a call for a rethink about leasing with environmental considerations. It is expected that the findings and suggestions in this study will facilitate the adoption and diffusion of the “closed loop” lease and service mode in the business world for the benefit of the environment in the future.

The purpose of this paper is twofold: first, to explore the complexities of regularly implemented as well as irregularly occurring – sometimes improvised – instore logistics processes related to products which are declared unsaleable; and second, to identify the challenges and opportunities in managing instore logistics processes related to unsaleable products in grocery stores.

The authors apply an embedded case study approach. Within each case, i.e. dominant store format, the authors investigate the instore logistics processes of 32 retail and wholesale stores and focus further on those processes related to products declared unsaleable. The case study research methodology comprises in-depth interviews with store and category managers, point of sale observations and secondary data research.

The authors identified four different specific instore logistics processes depending on the residual product value of unsaleable products. The analysis of these processes suggests that establishing more efficient return, disposal, recycling, and most importantly, redistribution processes leads to various benefits such as cost savings, more effective and efficient operations, better use of resources and waste reduction, while at the same time supporting charitable institutions and people in need.

The contribution of this research are: first, to provide a better understanding of different ways of seeing and handling unsaleable products; and second, to reveal the significant importance of focusing on instore logistics beyond the point of sale with respect to the economic, ecological and social benefits to retailers, wholesalers and their stakeholder groups.

Closing the loop at the end of products' useful life is earning increased attention from industry and academia. The recent or upcoming enactment of regulations regarding the management of end‐of‐life products is forcing manufacturers to consider strategies to increase the residual value of the products they make. Facilitating the residual value extraction process for end‐of‐life products is a challenging issue deserving investigation. This paper proposes to investigate this issue.

This paper analyzes empirical evidence from a sample of 205 environmentally responsive SMEs operating in the fabricated metal products and electric/electronic products industries. A coherent research model is developed which classifies the closed‐loop supply chain (CLSC) activities along two dimensions, the forward and reverse supply chains.

This first proposed taxonomy has been shown to be relevant for both sectors. The results also demonstrate that firms' abilities to implement CLSC environmental initiatives vary in their intensity and in their locus along the product value chain. Furthermore, benefits derived from these initiatives seem to vary according to the strategy favored by the firms.

This research is valuable for those firms interested in implementing CLSC strategies in a synergistic manner with their forward supply chain.

The purpose of this paper is to determine how best to reduce, reuse and dispose of household waste medicines in the National Health Service (NHS) (UK).

Through a combination of literature review and empirical work, this research investigates the existing household waste medicines reverse logistics (RL) system and makes recommendations for improvement by benchmarking it against household waste batteries RL. The viability and feasibility of these recommendations are evaluated through in-depth interviews with healthcare professionals and end user surveys.

The batteries RL system appears to be a more structured and effective system with more active engagement from actors/stakeholders in instigating RL practices and for this very reason is an excellent comparator for waste medicines RL practices. Appropriate best practices are recommended to be incorporated into the waste medicines RL system, including recapturing product value, revised processing approaches, system cooperation and enforcement, drivers and motivations and system design and facilitation.

This study offers academics and professionals an improved insight into the current household waste medicines RL system and provides a step towards reducing an existing gap in this under-researched area. A limitation is that only a small sample of healthcare professionals were involved in subjectively evaluating the feasibility of the recommendations, so the applicability of the recommendations needs to be tested in a wider context and the cost effectiveness of implementing the recommendations needs to be analysed.

Reducing, reusing and properly disposing of waste medicines contribute to economic sustainability, environmental protection and personal and community safety. The information retrieved from analysing returned medicines can be used to inform prescribing practice so as to reduce unnecessary medicine waste and meet the medicine optimisation agenda.

This paper advocates learning from best practices in batteries RL to improve the waste medicines RL design and execution and supports the current NHS agenda on medicine waste reduction (DoH, 2012). The recommendations made in the paper not only aim to reduce medicine waste but also to use medicines effectively, placing the emphasis on improving health outcomes.

Despite the opportunities provided by pay-per-use (PPU) services, product companies in business-to-business sectors often fail to compete systematically by using them. The purpose of this paper is to explain how companies can avoid failures when it comes to PPU services. The paper describes the “seizing” capabilities needed to achieve the strategic objectives of PPU services.

The research process is divided into a pilot and an in-depth study. Altogether, 17 companies participated in the study.

The findings reveal that the seizing capabilities depend on the strategic objectives of PPU services. To expand the market share with PPU services, companies need to broaden the customer portfolio for PPU services, to align individual services within the entire service portfolio and to balance profits made by PPU services and other business lines. For strategic objectives such as rapid sales growth early in the market development and new market creation other seizing capabilities are required.

The findings are not generalizable, due to the use of a qualitative study. The study is restricted to product companies in the business-to-business sector.

Managers often believe that extending and modularizing the service portfolio is beneficial. When achieving sales growth during the market development phase, these capabilities are in fact sometimes counterproductive. Practitioners have to look into the costs and benefits of setting-up their own financing company and working with banks.

PPU services contribute to a more sustainable consumption and make product design more resource-efficient.

The study is original by virtue of systematically studying PPU services, providing a microfoundation for seizing capabilities and developing testable propositions for future research.

Drawing on the literature of eco-innovation and institutional theory, this research aims to answer two fundamental questions: Does eco-innovation improve or harm firm value in emerging markets? and How institutional environments moderate the relationship between eco-innovation and firm value? We explicate the regulatory, normative and cognitive pillars of institutions, manifested as regulation intensity, environmental agency pressure and public pressure, respectively.

For this study, a cross-sectional panel data set was assembled from multiple archival sources, including data coded from the corporate annual reports and social responsibility reports, statistical yearbooks, China Stock Market Financial Database (CSMAR) and other secondary sources. A hierarchical regression method was used to test the hypotheses. The data comprised 88 firms sampled over four years. The model using feasible generalized least squares (FGLSs) to control heteroscedasticity in errors due to unobserved heterogeneity was estimated.

Empirical findings from a data set compiled from multiple archival sources reveal that both eco-product and eco-process innovation negatively relate to firm value. The interactions between eco-innovation and regulation intensity, environmental agency pressure and public pressure are positively related to firm value.

First, this study extends the literature of eco-innovation by investigating the impact of eco-innovation on firm value. Contrary to the conventional anecdotal evidence of the beneficial effect of eco-innovation, it was found that eco-innovation relates negatively to firm value. Second, this study develops and tests an institutional contingent view of eco-innovation by accounting for the moderating role of regulatory, normative and cognitive pressures.

Reverse supply chain (RSC) is one of the ways to handle product returns efficiently. Recovery of residual value from product returns also helps in achieving sustainability. Its successful implementation requires coordination among all the channel members involved in the activities, from the acquisition to collection to the disposition of returned products. This article aims to review the literature about coordination issues in the RSC.

A systematic literature review of 151 articles published during 2004–2021 is carried out. Theory, context and methodology (TCM) framework of the literature review is used to identify the research gaps for future research directions.

This study identifies the characteristics of RSC coordination. It includes channel structures; coordination mechanisms; performance measuring parameters; the methodology applied and explored industries. The review shows that game-theoretical modeling in RSC coordination is the most commonly used method to coordinate the channels. It was found that issues like disruption, fairness and corporate social responsibility are not explored in-depth and offer much potential for future research.

There are very limited studies on coordination issues in the RSC. The proposed articles add value by considering RSC issues from different strategic, government, consumers' behavior and functionality decision-making point of view.

Porter's value chain has been a keystone of strategic analysis. However, because of processes associated with economic globalization: outsourcing, brand marketing and “knowledge economy” phenomena, value drivers have changed dramatically over the last 20 years. The added‐value chain provides an expanded mental model for practitioners and academics to develop and communicate strategies for value creation.

The expanded set of activities in the added‐value chain was developed based on experience using the value chain in real world situations and analyzing leading business and strategy models that are commonly used by firms today.

The added‐value chain incorporates new sources of value creation such as the firm's brand, reputation and “social capital” or goodwill in addition to profit margin. The Added‐Value Chain also adds three primary activities.

Managers performing value‐chain analysis need to take into account newly important business drivers.

Expanding the value chain ensures that no potential strategic activity is forgotten and no opportunity for enhancing value is over‐looked.