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In this study, we explore the problem of compatible strategy considering an LRP with awareness and valuation advantages and an SRP. In the compatible case, customers can return their used products directly to LRP through its recycling platform or to SRP through either LRP\u2019 s compatible channel or SRP's own platform. Additionally, numerous recycling platforms have been adopting a sorted policy to enhance their profitability. Our major research findings are as follows: First, due to complex relationships in co\u2010opetition case, increasing awareness advantage may have negative impacts on LRP's profit. Second, while the recycling platforms\u2019 equilibrium strategies under unsorted recycling are always the same, under sorted recycling, they differ when the valuation advantage falls within an intermediate range. Third, under sorted recycling, despite its valuation disadvantage, SRP's profit may exceed LRP's when the unit reuse profit of recycled products is high. Finally, regardless of sorted recycling, while social welfare always benefits from the compatible channel, consumer surplus consistently deteriorates. Our findings not only provide important implications for recycling platforms to implement compatible strategies to achieve win\u2013win outcomes but also suggest that governments should adopt a balanced approach in regulating recycling platforms under sorted recycling initiatives.<\/jats:p>","DOI":"10.1111\/itor.70165","type":"journal-article","created":{"date-parts":[[2026,1,30]],"date-time":"2026-01-30T06:50:22Z","timestamp":1769755822000},"page":"3051-3087","update-policy":"https:\/\/doi.org\/10.1002\/crossmark_policy","source":"Crossref","is-referenced-by-count":0,"title":["Competing recycling platforms\u2019 compatible strategy considering sorted policy"],"prefix":"10.1111","volume":"33","author":[{"given":"Peihan","family":"Li","sequence":"first","affiliation":[{"name":"Business School Nankai University  Tianjin 300071 China"}],"role":[{"role":"author","vocabulary":"crossref"}]},{"ORCID":"https:\/\/orcid.org\/0000-0002-5619-7514","authenticated-orcid":false,"given":"Yongjian","family":"Li","sequence":"additional","affiliation":[{"name":"Business School Nankai University  Tianjin 300071 China"}],"role":[{"role":"author","vocabulary":"crossref"}]},{"ORCID":"https:\/\/orcid.org\/0000-0001-8759-0215","authenticated-orcid":false,"given":"Pengwen","family":"Hou","sequence":"additional","affiliation":[{"name":"Business School Nankai University  Tianjin 300071 China"}],"role":[{"role":"author","vocabulary":"crossref"}]}],"member":"311","published-online":{"date-parts":[[2026,1,29]]},"reference":[{"key":"e_1_2_8_2_1","doi-asserted-by":"publisher","DOI":"10.1287\/mnsc.2019.3327"},{"key":"e_1_2_8_3_1","unstructured":"Alipay Open Platform.2024.Announcement on the revision of the classes and qualification requirements for small programs businesses. 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