scholarly journals Supply-Chain Pricing and Coordination for New Energy Vehicles Considering Heterogeneity in Consumers’ Low Carbon Preference

2020 ◽  
Vol 12 (4) ◽  
pp. 1306 ◽  
Author(s):  
Bengang Gong ◽  
Xuan Xia ◽  
Jinshi Cheng

Given consumers’ willingness to pay different prices for new energy vehicles (NEVs) and traditional vehicles, we construct a utility model of ordinary and green consumers. We establish pricing game models for centralized and decentralized decisions in an NEV’s supply chain in order to study the impact of changes in consumers’ low carbon preference heterogeneity on supply chain pricing and member profit. The results show that consumers’ low carbon preferences and the ratio of green consumers increases with the ex-factory and selling prices of NEVs. An increase in the percentage of green consumers under centralized decision-making will reduce the total profit of the supply chain. Manufacturers’ profits under decentralized decision-making are greater than the dealers’ profits, and the sum of the two members’ profits under decentralized decision-making is less than the total profit of the supply chain under centralized decision-making. We design a revenue-sharing contract to eliminate the double marginal effect.

2019 ◽  
Vol 11 (19) ◽  
pp. 5335 ◽  
Author(s):  
Jiafu Su ◽  
Chi Li ◽  
Qingjun Zeng ◽  
Jiaquan Yang ◽  
Jie Zhang

Taking an environment-friendly green closed-loop supply chain as the research object, this work established a two-stage closed-loop supply chain game model. Considering the influence of the environmental protection input on the whole supply chain, there are different decisions among the participants in the supply chain, and the different choices will have impacts on the benefits of the whole supply chain when manufacturers select a closed-loop supply chain model of third-party recycling. Hence, this work compared and analyzed the impact of centralized decision-making and decentralized decision-making on the returns and pricing strategies of each participant. Finally, an optimized cooperative mechanism decision model considering a cost profit sharing contract was further designed. The model is conducive to obtaining the maximum profit value in centralized decision-making and avoids the negative impact of a “double marginal effect” on supply chain income in decentralized decision-making, and finally, improves the overall coordination and profit of a green closed-loop supply chain. The numerical examples are conducted to verify the effectiveness and practicality of the proposed models. This work provides a helpful decision support and guidance for enterprises and the government on the used products recycling decisions to better manage the green closed-loop supply chain.


2015 ◽  
Vol 2015 ◽  
pp. 1-19 ◽  
Author(s):  
Weihua Liu ◽  
Shuqing Wang ◽  
Donglei Zhu

This paper introduces the parameter of supply chain control power into existing supply chain coordination models and explores the impacts of control power on the profits of manufacturer, retailer, and the overall supply chain under four modes of decision-making, including the decentralized decision-making dominated by manufacturer, the decentralized decision-making dominated by retailer, centralized decision-making, and Nash negotiation decision-making. Some significant conclusions are obtained. Firstly, supply chain control power does have great impact on the supply chain profits. The profit of the whole supply chain with centralized decision-making is higher than those of the other three modes, while the overall profit of supply chain with decentralized decision-making is superior to the profit when retailer and manufacturer dominate the supply chain together. Secondly, with decentralized decision-making, for manufacturer and retailer, it is beneficial to gain the control powers of the supply chain; however, control power has an optimal value, not the bigger, the better. Thirdly, under certain circumstances, order quantity will increase and the wholesale price will decrease when control power is transferred from manufacturer to retailer. In this case, the total profit of supply chain dominated by retailer will be greater than that dominated by manufacturer.


2021 ◽  
Vol 0 (0) ◽  
pp. 0
Author(s):  
Ziyuan Zhang ◽  
Liying Yu

<p style='text-indent:20px;'>In the context of low-carbon economy, in order to explore the impact of the fairness concern and reference low-carbon effect on supply chain members' balanced emission reduction decisions and profits, supply chain joint emission reduction dynamic optimization models under four different scenarios are built, in which the manufacturer's optimal emission reduction strategy, the retailer's optimal low-carbon promotion strategy and other equilibrium solutions are solved by differential game theory. On the basis of analysis, a contract is designed to achieve the coordination of the supply chain when members are fairness concern. Some findings are as follows. First, when consumers' purchasing behavior is significantly affected by the reference low-carbon effect, and they have higher expectations for the product's emission reduction level, consumers' reference low-carbon effect will discourage the manufacturer's enthusiasm to reduce emissions, and do harm to the profits of the manufacturer and the retailer. Second, the fairness concern behavior of both parties will aggravate the adverse effects of reference low-carbon effect, bring a detrimental effect on the performance of the supply chain, aggravate the double marginal effect of the supply chain, and cause continuous negative social influence. Third, the bilateral cost-sharing contract can encourage the manufacturer to increase emission reduction investment, the retailer to increase low-carbon promotion investment, and can achieve a Pareto improvement of both parties' profits and utilities. In addition, the two cost-sharing ratios are only proportional to the marginal revenue and fairness concern intensity of both parties. Finally, when the two cost-sharing ratios and the revenue-sharing coefficient meet a certain relationship and are within a reasonable range, the bilateral cost sharing-revenue sharing hybrid contract can reduce the double marginal effect and achieve supply chain coordination.</p>


2020 ◽  
Vol 12 (9) ◽  
pp. 3591 ◽  
Author(s):  
Dan Wu ◽  
Yuxiang Yang

In this paper, we study the supply chain coordination problem between a manufacturer and a retailer regarding consumers’ low-carbon preferences. The retailer considers the market demand to determine the order quantity; the manufacturer chooses how to reduce emissions according to the retailer’s order quantity. We consider four cases, including the non-emission abatement, the emission abatement of decentralized decision-making, the centralized decision-making and the retailer providing a cost-sharing contract. By comparing the four cases, we find that the case of a retailer providing a cost-sharing contract can coordinate the supply chain, achieving a Pareto improvement for the manufacturer and retailer. In addition, we use the Rubinstein bargaining model to determine the cost-sharing ratio. Finally, numerical simulations are given to analyze the impact of the cost-sharing ratio on the equilibrium results, including the profit and the emission abatement level. Furthermore, we investigate the impact of the cost-sharing ratio and consumers’ low-carbon awareness on the profits of the members in the supply chain. We find that the equilibrium results, including the order quantity, the emission abatement level and the profits of the members in the supply chain under contract, are higher than the ones under centralized decision-making. The results show that in the higher low-carbon awareness market, retailers should formulate a reasonable cost-sharing ratio to achieve emission reduction coordination.


2021 ◽  
Vol 2021 ◽  
pp. 1-10
Author(s):  
Ziyu Liu ◽  
Yaping Li

In order to explore the impact of different decision-making methods on the profits of various entities in the supply chain of the community e-commerce platform, this paper adopts the method of the Stackelberg game. For the community e-commerce platform supply chain composed of suppliers, community e-commerce platforms, and grid station service providers, considering the degree of supplier value cocreation efforts, this paper studies the optimal decisions under centralized decision-making, supplier-led decentralized decision-making, and community e-commerce platform-led decentralized decision-making, respectively. The results show that the supply chain obtains the highest profit in centralized decision-making; under decentralized decision-making, the dominant party will get higher profits; and the supplier value cocreation sensitivity coefficient is positively correlated with sales price, value cocreation effort level, and total supply chain value. The results are helpful to improve the competitiveness of the community e-commerce platform supply chain in the market and are of great significance to the long-term development of the community e-commerce industry.


Kybernetes ◽  
2019 ◽  
Vol 49 (4) ◽  
pp. 1169-1195
Author(s):  
Chao Yu ◽  
Chuanxu Wang ◽  
Suyong Zhang

Purpose This paper aims to analyze the impact of the cost coefficient of product emission reduction, coefficient of low-carbon product advertising effort cost, and sharing ratio of low-carbon product advertising effort cost on the profit of a dual-channel supply chain. After determining the best model and relevant influencing factors, the paper puts forward corresponding management inspirations and suggestions. Design/methodology/approach The paper opts for an exploratory study using Stackelberg game theory to construct a centralized decision-making (MC mode), a low carbon product advertising effort cost free sharing decentralized decision-making (SD model) and a low carbon product advertising effort cost sharing decentralized decision-making (JD model) game model. Through using optimization methods to get the equilibrium solution, the relevant management suggestions are obtained by comparison analysis. Findings The paper shows that the JD model is better than the SD model in terms of the profits of the manufacturer, retailer and supply chain, and the improvement of Pareto is realized. The proportion of cost sharing of low carbon product advertising effort is positively related to the wholesale price and direct influence coefficient of low carbon product advertising effort on channel, while negatively related to the retail price and the cross influence coefficient of low carbon product advertising effort on alternative channels. Under the JD model, the manufacturer can reduce advertising costs through improving the efficiency and pertinence of direct channel advertising and urging the retailer to do a better job in sales management to improve gross margin and require the retailer to increase advertising efficiency and pertinence of retail channel to reduce advertising costs of retail channel and other ways to increase their profits. The retailer can make use of its advantages closer with consumers to improve the efficiency and pertinence of advertising in the retail channel to raise the influence coefficient of advertising and reduce the advertising cost in the retail channel. Originality/value The innovations of this paper are listed as follows: First, it has considered advertising investment from both the manufacturer and the retailer simultaneously. Second, it has considered a low-carbon background to investigate cooperative advertising decision for low-carbon products. Third, it has considered the decision on the level of product emission reduction and the level of low-carbon product advertising effort investment simultaneously.


2020 ◽  
Vol 2020 ◽  
pp. 1-15
Author(s):  
Feng Wei ◽  
Yan Zhu

Mutual shifts in offline and online demand have become the norm in supply chain operations. The online-to-offline (O2O) supply chain system consists of a platform vendor, a physical store, and a product. The platform vendor sells the product directly online and governs either the centralized decision-making of a self-operated store or the decentralized decision-making of a franchised store offline. In this study, supply chain decision models with and without demand shifts are constructed to obtain optimal wholesale and selling prices and to maximize profit. The coordination mechanism under decentralized decision-making is designed to optimize the O2O supply chain, and the validity and applicability of the model are verified by numerical simulation. Results show that, regardless of whether a store is self-operated or franchised, the total profit of the system increases, and online and offline prices depend on a range of demand shifts. With an increased proportion of online demand shifts, the offline selling price and total profit of the system increase, whereas the online selling price and profit of the platform vendor decrease under decentralized decision-making. When the fixed transfer payment fee is within a certain range, a two-part-tariff contract can effectively coordinate the supply chain. This study not only contributes to the theoretical literature on O2O supply chain systems but also provides practical decision-making support for managers.


2021 ◽  
Author(s):  
Junhai Ma ◽  
Zongxian Wang

Abstract In this paper, we study the supply chain competition models that consider consumers' low-carbon consumption preferences. By constructing the supply chain of manufacturers and retailers with different market positions, two game types, decentralized decision making and centralized decision making are proposed, and the static and dynamic game methods are combined respectively for research. Although research has found that centralized decision making is always better than decentralized decision making under the static game mode, when considering the long-term dynamic evolutionary game, the average profit of decentralized decision making may be better than the average profit of centralized decision making. Moreover, there are complex dynamic characteristics under dynamic games. In order to fully understand the nature of the dynamic game systems, we discussed the stability, local bifurcation, and global bifurcation of these dynamic systems. It is found that although dynamic game systems may lose stability with changes in parameters, they are better than static game results in some cases, this is beneficial to decision-makers and has practical management significance.


Complexity ◽  
2021 ◽  
Vol 2021 ◽  
pp. 1-18
Author(s):  
Bingquan Liu ◽  
Xuran Chang ◽  
Boyang Nie ◽  
Yue Wang ◽  
Lingqi Meng

As carbon emissions are increasing due to the development of economy, low-carbon supply chain plays an important role in carbon emissions reduction and the dual-channel supply chain has become a hit because online shopping is developing rapidly. Therefore, this paper builds a Stackelberg game model led by the manufacturer in a dual-channel supply chain to examine the reaction of the government under centralized or decentralized decisions-making structures with different low-carbon strategies. The result shows that the government can achieve higher profits by taking incentive or punitive measures for centralized decision-making supply chain no matter they invest in emissions reduction or not. Moreover, for decentralized decision-making mode, increasing low-carbon subsidies for retailers can achieve a win-win result between the supply chain and the government; and, finally, channel competition is good for improving the supply chain and social benefits. Therefore, the government is responsible for taking reasonable subsidy policies, formulate industry’s low-carbon standards, and properly guide competition between supply chain members to achieve higher profits.


2020 ◽  
Vol 3 (2) ◽  
Author(s):  
Norma Mohter ◽  
Yudi Fernando

In this study, we aimed to understand the role of integrity in low carbon supply chain and their benefits towards firm performance and corporate governance. This paper also discussed the importance of Board of Director (BoD) in decision making in the supply chain.  As stakeholders continue to increasingly emphasize integrity practices in their supply chains, the firm should understand and practice the integrity especially involved low carbon supply chain (LCSC) by provided accurate carbon disclosure and report carbon verification and etc. This is important to shareholder especially Board of Director to make sure the firm performance meet their expectation. By monitoring the decision making in the low carbon supply chain, the BoD believe can avoid unethical issues such as corruption, manipulation and fraud. Practising integrity in the supply chain, the firm will obtain many advantages in their firm performance.  The firm’s performance will increase other than being more trustable and gain competitive advantages from the competitor. The BoD is concern about the impact of decision making on society.  The BoD believe by being integrity in the firm’s management they will meet the social expectation.


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