scholarly journals Supply Chain Strategy Analysis of Low Carbon Subsidy Policies Based on Carbon Trading

2020 ◽  
Vol 12 (9) ◽  
pp. 3532 ◽  
Author(s):  
Yinjie Zhang ◽  
Chunxiang Guo ◽  
Liangcheng Wang
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Carbon Emissions ◽  
Stackelberg Game ◽  
Carbon Trading ◽  
Low Carbon ◽  
Government Subsidies ◽  
Carbon Supply ◽  
Consumer Prices ◽  
The Government

The low-carbon economy has become the focus of global attention and scientific measurement standards with the concepts of low energy consumption, low pollution, and sustainable development. More and more attentions are paid to the research of low-carbon supply chains. Based on a two-level low-carbon supply chain in the context of carbon trading, a Stackelberg game model was established for government subsidies to determine a coordinated and balanced solution for supply chains in situations dominated by manufacturers. The optimal strategies for low-carbon technology innovation are analyzed within the context of governmental subsidies. This study’s conclusions are as follows: (1) When government subsidies are in place, regardless of who the government subsidies are meant for, manufacturers and retailers that do not generate carbon emissions will transfer the subsidies to the companies that generate carbon emissions by adjusting wholesale prices and retail prices to maximize their own profits. (2) When consumer prices are sensitive, the government’s optimal subsidy intensity increases as consumers’ low-carbon preferences increase. When consumer prices are not sensitive, the government should not provide any subsidies. (3) When consumers’ low-carbon preferences are weak, the retail price of products will decrease with the increase in subsidies; when consumers’ low-carbon preferences are strong, the opposite dynamic occurs.

scholarly journals The Farmers’ Channel Selection and Sustainable Analysis under Carbon Tax Policy

2019 ◽  
Vol 11 (10) ◽  
pp. 2765 ◽  
Author(s):  
Cong Zheng ◽  
Quangui Pang ◽  
Tianpei Li ◽  
Guizheng Wang ◽  
Yiji Cai ◽  
...  
Keyword(s):  
Supply Chain ◽  
Carbon Emissions ◽  
Stackelberg Game ◽  
Carbon Tax ◽  
Product Yield ◽  
Channel Selection ◽  
Low Carbon ◽  
Deterioration Rate ◽  
Dual Channels ◽  
The Government

This paper examines a farmer’s channel selection in a supply chain led by a retailer, considering carbon emissions and products’ deterioration. Three channels—online channels, retail channels, and dual channels—are proposed. The inventory model of perishable products and the two-stage Stackelberg game model are used to illustrate the operational process. To compare performances of the three channel structures, we further determine the critical points consisting of the profits and the carbon emissions among these channels. The results provide useful insights for supply chain members and the government. Farmers can choose a channel to optimize profit with respect to deterioration rate and product yield, but it might conflict with the aim of least carbon emissions. When the deterioration rate is high, the online channel is not a suitable choice. For the government, the carbon tax contributes to the reduction of carbon emissions, but it also leads to the loss of the farmer’s profit. Additionally, numerical results further illustrate that, from the perspective of the government, transporting and inventory processes are two major sources of emissions, and it is essential to implement carbon tax and exploit low-carbon transportation.

Low Carbon Footprint

2015 ◽  
pp. 324-347 ◽  
Author(s):  
Muhammad Shabir Shaharudin ◽  
Yudi Fernando
Keyword(s):  
Supply Chain ◽  
Carbon Emissions ◽  
Manufacturing Industry ◽  
Green Building ◽  
Green Technology ◽  
Low Carbon ◽  
Supply Chain Networks ◽  
Government Organizations ◽  
Carbon Supply ◽  
The Government

Malaysia has committed to a 40% reduction of carbon emissions by 2020. The government has encouraged industry, society, and non-government organizations to work together to achieve this objective. The government has provided incentives through several energy programmes such as energy efficiency, renewable energy, green technology, and green building. One key area that has been targeted is logistics and supply chain, which has been contributing to high carbon emissions in manufacturing industries. Scholars and practitioners have only recently begun to pay attention to creating a low carbon supply chain. Furthermore, Small Medium Enterprises (SMEs) have faced several challenges in adopting low carbon activities. SMEs are unable to take the advantage of energy initiatives because of a lack of knowledge, a shortage of funds, and inadequate facilities. Almost 90% of firms are in the service industry working with large manufacturing firms and some SMEs working in manufacturing industry are working closely with their supply chain networks; achieving low carbon targets is hampered by the readiness of the manufacturing itself. This chapter discusses the challenges and future agenda of creating low carbon supply chains in manufacturing in Malaysia. Possible solutions are provided at the end of the chapter.

Low Carbon Footprint

2017 ◽  
pp. 1414-1437
Author(s):  
Muhammad Shabir Shaharudin ◽  
Yudi Fernando
Keyword(s):  
Supply Chain ◽  
Carbon Emissions ◽  
Manufacturing Industry ◽  
Green Building ◽  
Green Technology ◽  
Low Carbon ◽  
Supply Chain Networks ◽  
Government Organizations ◽  
Carbon Supply ◽  
The Government

Malaysia has committed to a 40% reduction of carbon emissions by 2020. The government has encouraged industry, society, and non-government organizations to work together to achieve this objective. The government has provided incentives through several energy programmes such as energy efficiency, renewable energy, green technology, and green building. One key area that has been targeted is logistics and supply chain, which has been contributing to high carbon emissions in manufacturing industries. Scholars and practitioners have only recently begun to pay attention to creating a low carbon supply chain. Furthermore, Small Medium Enterprises (SMEs) have faced several challenges in adopting low carbon activities. SMEs are unable to take the advantage of energy initiatives because of a lack of knowledge, a shortage of funds, and inadequate facilities. Almost 90% of firms are in the service industry working with large manufacturing firms and some SMEs working in manufacturing industry are working closely with their supply chain networks; achieving low carbon targets is hampered by the readiness of the manufacturing itself. This chapter discusses the challenges and future agenda of creating low carbon supply chains in manufacturing in Malaysia. Possible solutions are provided at the end of the chapter.

Decision and coordination of a low-carbon supply chain considering environmental tax policy on consumers

Kybernetes ◽  
2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chuanxu Wang ◽  
Qiaoyu Peng ◽  
Lang Xu
Keyword(s):  
Supply Chain ◽  
Carbon Emissions ◽  
Tax Policy ◽  
Stackelberg Game ◽  
Economic Benefits ◽  
Environmental Tax ◽  
Side Payment ◽  
Low Carbon ◽  
Content Type ◽  
The Government

Purpose This paper aims to explore how upstream supply chain companies will control the carbon emissions and price decisions of products when the government implements environmental tax policy on consumers. It provides some suggestions to control carbon emissions for the government and manufacturers. Design/methodology/approach This study establishes two-echelon Stackelberg game models with and without the implementation of environmental tax policy on consumers in a centralized scenario and a decentralized scenario. Through the comparative analysis of the four models, the optimal emission abatement and pricing strategies are obtained. Findings This paper concludes that implementing environmental tax policy on consumers within the market’s acceptable range is more beneficial to the retailer and the environment, as well as the overall social welfare, except for the manufacturer. Moreover, consumer’s low-carbon preference always has a broader impact on carbon abatement and corporate profits than environmental tax coefficient. Finally, the side-payment self-executing contract can effectively ensure that the supply chain members make rational decisions spontaneously while achieving a win-win solution of centralized scenario. Originality/value This paper first considers how the government’s environmental tax policy on consumers will affect the decision-making of supply chain companies, and proposes an improved side-payment self-enforcing contract to maximize environmental and economic benefits of centralized scenario. In addition, it provides a reference for the government to adopt both the carbon cap policy and the environmental tax policy.

scholarly journals Government Low-Carbon Regulations Based on Supply Chain Members’ Behavior and Consumers’ Channel Preference in a Dual-Channel Supply Chain

Complexity ◽  
2021 ◽  
Vol 2021 ◽  
pp. 1-18
Author(s):  
Bingquan Liu ◽  
Xuran Chang ◽  
Boyang Nie ◽  
Yue Wang ◽  
Lingqi Meng
Keyword(s):  
Decision Making ◽  
Supply Chain ◽  
Carbon Emissions ◽  
Stackelberg Game ◽  
Emissions Reduction ◽  
Low Carbon ◽  
Dual Channel ◽  
Decentralized Decision Making ◽  
The Government ◽  
Dual Channel Supply Chain

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.

scholarly journals Achieve a low carbon supply chain through product mix

2017 ◽  
Vol 117 (10) ◽  
pp. 2468-2484 ◽  
Author(s):  
Xu Chen ◽  
Xiaojun Wang
Keyword(s):  
Supply Chain ◽  
Trade Policy ◽  
Carbon Emissions ◽  
Channel Structure ◽  
Low Carbon ◽  
Cap And Trade ◽  
Product Mix ◽  
Content Type ◽  
Carbon Supply ◽  
Trade Offs

Purpose In the era of climate change, industrial organizations are under increasing pressure from consumers and regulators to reduce greenhouse gas emissions. The purpose of this paper is to examine the effectiveness of product mix as a strategy to deliver the low carbon supply chain under the cap-and-trade policy. Design/methodology/approach The authors incorporate the cap-and-trade policy into the green product mix decision models by using game-theoretic approach and compare these decisions in a decentralized model and a centralized model, respectively. The research explores potential behavioral changes under the cap-and-trade in the context of a two-echelon supply chain. Findings The analysis results show that the channel structure has significant impact on both economic and environmental performances. An integrated supply chain generates more profits. In contrast, a decentralized supply chain has lower carbon emissions. The cap-and-trade policy makes a different impact on the economic and environmental performances of the supply chain. Balancing the trade-offs is critical to ensure the long-term sustainability. Originality/value The research offers many interesting observations with respect to the effect of product mix strategy on operational decisions and the trade-offs between costs and carbon emissions under the cap-and-trade policy. The insights derived from the analysis not only help firms to make important operational and strategic decisions to reduce carbon emissions while maintaining their economic competitiveness, but also make meaningful contribution to governments’ policy making for carbon emissions control.

Fair Share of Supply Chain Responsibility for Low Carbon Manufacturing

2016 ◽  
pp. 235-266
Author(s):  
Yu Mei Wong
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Carbon Emissions ◽  
Accurate Information ◽  
Low Carbon ◽  
Embodied Carbon ◽  
Carbon Emissions Reduction ◽  
Consumer Responsibility ◽  
Embodied Carbon Emissions ◽  
Sharing Responsibility

Large amounts of carbon emissions and pollution are generated during the manufacturing process for consumer goods. Low carbon manufacturing has been increasingly enquired or requested by stakeholders. However, international trade blurs the responsibility for carbon emissions reduction and raises the questions of responsibility allocation among producers and consumers. Scholars have been examining the nexus of producer versus consumer responsibility among supply chains. Recently, there have been discussions on the share of producer and consumer responsibility. Both producer and consumer responsibility approaches have intrinsic shortcomings and are ineffective in curbing the rise of carbon emissions in supply chains. Shared responsibility based on the equity principle attempts to address these issues. This chapter relates a case study of carbon impact on China's export and economy with scenarios which show that the benefits of carbon reduction by producers can trickle down along the supply chain and motivate the sharing responsibility under certain circumstances. The share of producer and consumer responsibility for low carbon manufacturing can be enabled when embodied carbon emissions in goods and services are priced and such accurate information is available. A mechanism engaging the global participation is recommended. The author calls for further research on the system pricing embodied carbon emission, the universal standard to calculate the embodied carbon emissions and to disclose the information, and the way to secure global cooperation and participation.

scholarly journals Low-Carbon Initiatives of Logistics Service Providers: The Perspective of Supply Chain Integration

2019 ◽  
Vol 11 (12) ◽  
pp. 3233 ◽  
Author(s):  
Cheng Qian ◽  
Shenghui Wang ◽  
Xiaohong Liu ◽  
Xueying Zhang
Keyword(s):  
Supply Chain ◽  
Financial Performance ◽  
Supply Chains ◽  
Service Providers ◽  
Supply Chain Integration ◽  
Low Carbon ◽  
Corporate Environmental Responsibility ◽  
Logistics Service ◽  
Carbon Supply ◽  
Logistics Service Providers

Logistics service providers (LSPs) are under tremendous pressure in the fight against global climate change. While existing research has examined the operational importance of LSPs in decarbonizing supply chains, the strategic perspective of LSPs on low carbon supply chains has not received enough attention. Motivated by the evolving role of LSPs from a service provider to a resource integrator in the supply chain, drawing on the relational view of inter-organizational competitive advantage, this paper focuses on LSPs’ low-carbon supply chain integration (SCI) and empirically investigates its drivers and outcomes. Data from 124 Chinese LSPs shows that LSPs’ corporate environmental responsibility and customer environmental requirement have positive relationships with LSPs’ low-carbon SCI, and that LSPs’ low-carbon SCI is positively related to LSPs’ environmental and financial performance. In addition, LSPs’ environmental performance is found to have a positive relationship with LSPs’ financial performance. These findings not only provide new insights for LSPs’ low-carbon supply chain initiatives, but also highlight the importance of SCI as a strategic approach in low-carbon supply chain management.

scholarly journals Decision Optimization of Low-Carbon Dual-Channel Supply Chain of Auto Parts Based on Smart City Architecture

Complexity ◽  
2020 ◽  
Vol 2020 ◽  
pp. 1-14 ◽  
Author(s):  
Zheng Liu ◽  
Bin Hu ◽  
Bangtong Huang ◽  
Lingling Lang ◽  
Hangxin Guo ◽  
...  
Keyword(s):  
Decision Making ◽  
Supply Chain ◽  
Carbon Emissions ◽  
Smart City ◽  
Carbon Emission ◽  
Low Carbon ◽  
Supply Chain System ◽  
Chain System ◽  
Carbon Supply ◽  
Auto Parts

Affected by the Internet, computer, information technology, etc., building a smart city has become a key task of socialist construction work. The smart city has always regarded green and low-carbon development as one of the goals, and the carbon emissions of the auto parts industry cannot be ignored, so we should carry out energy conservation and emission reduction. With the rapid development of the domestic auto parts industry, the number of car ownership has increased dramatically, producing more and more CO2 and waste. Facing the pressure of resources, energy, and environment, the effective and circular operation of the auto parts supply chain under the low-carbon transformation is not only a great challenge, but also a development opportunity. Under the background of carbon emission, this paper establishes a decision-making optimization model of the low-carbon supply chain of auto parts based on carbon emission responsibility sharing and resource sharing. This paper analyzes the optimal decision-making behavior and interaction of suppliers, producers, physical retailers, online retailers, demand markets, and recyclers in the auto parts industry, constructs the economic and environmental objective functions of low-carbon supply chain management, applies variational inequality to analyze the optimal conditions of the whole low-carbon supply chain system, and finally carries out simulation calculation. The research shows that the upstream and downstream auto parts enterprises based on low-carbon competition and cooperation can effectively manage the carbon footprint of the whole supply chain through the sharing of responsibilities and resources among enterprises, so as to reduce the overall carbon emissions of the supply chain system.

Decision-Making Model of Network Optimization in Green Supply Chain

2014 ◽  
Vol 962-965 ◽  
pp. 2277-2282
Author(s):  
Cui Zhen Cao ◽  
Guo Huao Zhao
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Carbon Footprint ◽  
Network Optimization ◽  
Optimization Design ◽  
Service Level ◽  
Green Supply Chain ◽  
Low Carbon ◽  
Carbon Supply ◽  
Function Coefficient

Network optimization design of green supply chains not only decides the structure and value of supply chains themselves, but also has great impact on the healthy, low-carbon development of whole society’s logistics system and transportation system. Based on carbon footprint theory, this paper elaborates the influence of carbon emission on overall value of supply chain. Penalty function coefficient is introduced to covert a multi-objective optimization problem to a single objective one; three objects, namely, profitability, service level and environmental protection, are thus coordinated. A network optimization model is also developed so as to achieve a green, low carbon supply chain, and to balance cost, response time and carbon footprint. An example is offered as proof of this model’s effectiveness, serving as a supplementary solution to optimization design of green supply chain network.

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