A Comparative Study on Emission Reduction Policies of Low carbon Supply Chain Considering Channel Power Structure

Abstract

Abstract:

This paper studies the carbon-emission reduction policy problem of low carbon supply chain under three channel power structures of cooperative and decentralized decision-making. The carbon emission reduction, pricing and profits are compared, and the two-part tariff contract is applied to discuss the coordination of low-carbon supply chains. The results show that the cooperative policy manufacturer Stackelberg and Nash have a higher level of low carbonization than the decentralized channel value while retailer Stackelberg has a lower level of low carbonization, but consumers need to pay higher prices for low carbon products. At the same time, we find that the manufacturer's profit in decentralized decision is better than the cooperative decision case, however, retailer's and supply chain's profits are different due to the different channel power structure. The increase of emission reduction factors will lead to the reduction of emission reduction, pricing and profit under decentralized decision-making and cooperative decision-making, while consumer preference for low carbon is the opposite. Finally, the influence of the emission reduction factors and low-carbon preference on the carbon emission reduction, the pricing, and profit of the supply chain in different decision structures are verified by numerical analysis.

Key words: low carbon supply chain, channel powers structure, carbon emission policy, coordination, game theory

Li Youdong, Xia Liangjie, Wang Fengzheng, Zhi Huawei. A Comparative Study on Emission Reduction Policies of Low carbon Supply Chain Considering Channel Power Structure[J]. , 2019, 31(11): 240-254.

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