Abstract:Rational economic agent assumption is the premise of the traditional incentive mechanism study which is based on principal agent. This paper sets up the principal-agent incentive model based on the “reciprocity” assumption, analyzes that due to the affection of social elements and enterprise cultural value, the manufacture’s corporate behavior comes with the differentiation of selective rationality, and designs relevant economic and noneconomic incentive mechanism in allusion to this differentiation. It also stresses the importance of noneconomic incentive in establishing long-term and effective household appliances recycling.