A closed-loop supply chain network considering consumer's low carbon preference and carbon tax under the cap-and-trade regulation
This paper investigates the optimal strategies for an economic constrained closed-loop supply chain network. Manufacturers are classified into two categories namely low-emission manufacturers and high-emission manufacturers, and are subject to two greenhouse gas (GHG) emission control policies. Low-...
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| Published in | Sustainable production and consumption Vol. 29; pp. 614 - 635 |
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| Main Authors | , , , |
| Format | Journal Article |
| Language | English |
| Published |
Elsevier Ltd
01.01.2022
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| Subjects | |
| Online Access | Get full text |
| ISSN | 2352-5509 2352-5509 |
| DOI | 10.1016/j.spc.2021.11.006 |
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| Abstract | This paper investigates the optimal strategies for an economic constrained closed-loop supply chain network. Manufacturers are classified into two categories namely low-emission manufacturers and high-emission manufacturers, and are subject to two greenhouse gas (GHG) emission control policies. Low-emission manufacturers are equipped with green production technologies to achieve ecological goals. All manufacturers are responsible in recycling and remanufacturing processes. New products and remanufactured products are homogeneous, and have the same sales price in the demand markets. Based on the variational inequality (VI) theory, we obtain the control equilibrium conditions of the non-cooperative game theory model for each firm. We further solve the model with the modified projection algorithm, and statically analyze and compare the influence of relevant parameters such as carbon quota, consumers’ low carbon preference and recovery rate on the network state through numerical examples. The results show that the GHG emission constraint may stimulate manufacturers to increase green technology investment level. Moreover, the introduction of reverse channel will promote resource recycling, but impair manufacturers’ profits. The promotion of consumer's environmental protection awareness has positive influence on the operation of supply chain network. In general, there is a conflict between economic goals and ecological ones. However, the developed model proves that economic goals and ecological ones can be realized consistently under certain conditions. |
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| AbstractList | This paper investigates the optimal strategies for an economic constrained closed-loop supply chain network. Manufacturers are classified into two categories namely low-emission manufacturers and high-emission manufacturers, and are subject to two greenhouse gas (GHG) emission control policies. Low-emission manufacturers are equipped with green production technologies to achieve ecological goals. All manufacturers are responsible in recycling and remanufacturing processes. New products and remanufactured products are homogeneous, and have the same sales price in the demand markets. Based on the variational inequality (VI) theory, we obtain the control equilibrium conditions of the non-cooperative game theory model for each firm. We further solve the model with the modified projection algorithm, and statically analyze and compare the influence of relevant parameters such as carbon quota, consumers’ low carbon preference and recovery rate on the network state through numerical examples. The results show that the GHG emission constraint may stimulate manufacturers to increase green technology investment level. Moreover, the introduction of reverse channel will promote resource recycling, but impair manufacturers’ profits. The promotion of consumer's environmental protection awareness has positive influence on the operation of supply chain network. In general, there is a conflict between economic goals and ecological ones. However, the developed model proves that economic goals and ecological ones can be realized consistently under certain conditions. |
| Author | Zhang, Guitao Ji, Guoxin Cheng, Peiyue Shi, Yangyan |
| Author_xml | – sequence: 1 givenname: Peiyue surname: Cheng fullname: Cheng, Peiyue email: 553967144@qq.com organization: School of Business, Qingdao University, Qingdao 266061, China – sequence: 2 givenname: Guoxin surname: Ji fullname: Ji, Guoxin organization: Department of Obstetrics, Qingdao Municipal Hospital, Qingdao, China – sequence: 3 givenname: Guitao surname: Zhang fullname: Zhang, Guitao email: zhangguitao@qdu.edu.cn organization: School of Business, Qingdao University, Qingdao 266061, China – sequence: 4 givenname: Yangyan surname: Shi fullname: Shi, Yangyan email: ys102@hotmail.com organization: School of Economics and Management, Shanxi University, Shanxi, China |
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| Keywords | CLSC network Cap-and-trade regulation Carbon tax Consumer's low carbon preference |
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| Snippet | This paper investigates the optimal strategies for an economic constrained closed-loop supply chain network. Manufacturers are classified into two categories... |
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| SubjectTerms | algorithms Cap-and-trade regulation carbon carbon markets Carbon tax CLSC network Consumer's low carbon preference environmental protection game theory greenhouse gas emissions greenhouse gases prices supply chain sustainable technology |
| Title | A closed-loop supply chain network considering consumer's low carbon preference and carbon tax under the cap-and-trade regulation |
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