Research on recovery model of the fourth party logistics considering government subsidy

The paper integrates fourth party logistics (4PL) into reverse logistics, analyzing decision-making problem of manufacturers, retailers, 4PL enterprises and government by the game theory, and discussing the relationship of 4PL enterprise investments and recovery amounts, the rate of government subsidies and investments, environmental benefits and government subsidies. The results shows: the scale of 4PL enterprises recovery can be achieved through 4PL enterprises investment; the government subsidy can not only reduce the threshold of 4PL enterprises entering the recycling industry to promote 4PL development in reverse logistics, but also realize the maximum of environmental benefits.