Research Article
Analysis of Traceability Optimization and Shareholder’s Profit for Efficient Supply Chain Operation under Product Recall Crisis
Table 2
Input parameters of traceability model.
| Demand | 6000 units |
| Production rate | 9000 units |
| Setup cost | $300/setup |
| Holding cost | $1/unit |
| Shipment quantity | 150 units |
| Type, size, and price of each type of raw material batches | Type 1 | Type 2 | Type 3 | Type 4 | 1000 units | 500 units | 500 units | 300 units | $10 | $7 | $8 | $6 |
| Price of finished product batch | $1 |
| Cost of holding the recalled product | 15% of product price [9] |
| Cost of shipping the recalled product | 10% of product price [9] |
| Notification cost of recall | 4% of product price [9] |
| Number of outstanding shares | 10,000 |
| Constant interest rate | 8% |
| Estimated earnings per share | $25 |
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