Research Article

Analysis of Traceability Optimization and Shareholder’s Profit for Efficient Supply Chain Operation under Product Recall Crisis

Table 1

Direct and indirect recall costs.

Direct recall costsIndirect recall costs

Notification costsLoss of market share
Loss of salesSubsequent loss of sales
Cost to maintain business interruptionNegative impact on brand image
Inventory lossesCost to rehabilitate image
Cost of refund/compensationCollapse of organization
Logistics costsNegative impact on morale
Fines/lawsuitsCost to rehabilitate reputation