Risks enlargement step by step in reverse supply chain leads to
increasing enterprise's risk. Though reverse logistics can make
the downstream customers reduce or evade the business risk, it
has increased enterprise's own risks because of adopting loose
recovery tactics, and namely the risk is shifted from the lower
stages to the upper stages. In addition, there exists the effect of
amplifying demand information step by step in supply chain,
namely “bullwhip” effect. It leads to seriously distortion of
information obtained from the upper stages. Two respects
mentioned above work together, which results in the
enlargement effect of risks step by step more obviously in
supply chain.