Pricing and Coordination Strategies in a Dual Channel Supply Chain with Green Production under Cap and Trade Regulation

In this paper, we consider a two level dual channel green supply chain consisting of a retailer and a manufacturer with a separate sales channel for the manufacturer. The manufacturer uses green technology in its production and is required to produce in accordance with the cap and trade regulation....

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Autores principales: Ata Allah Taleizadeh, Milad Shahriari, Shib Sankar Sana
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Lenguaje:EN
Publicado: MDPI AG 2021
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Acceso en línea:https://doaj.org/article/c4e69bf317394d00b8447ecba2b76162
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spelling oai:doaj.org-article:c4e69bf317394d00b8447ecba2b761622021-11-11T19:48:33ZPricing and Coordination Strategies in a Dual Channel Supply Chain with Green Production under Cap and Trade Regulation10.3390/su1321122322071-1050https://doaj.org/article/c4e69bf317394d00b8447ecba2b761622021-11-01T00:00:00Zhttps://www.mdpi.com/2071-1050/13/21/12232https://doaj.org/toc/2071-1050In this paper, we consider a two level dual channel green supply chain consisting of a retailer and a manufacturer with a separate sales channel for the manufacturer. The manufacturer uses green technology in its production and is required to produce in accordance with the cap and trade regulation. Using game theory, we compare cases where members decide to compete or cooperate with each other in terms of pricing and production. Our main contributions are studying the dual channel supply chain model where a manufacturer is regulated by the cap and trade system, using green production and also on their decision as to whether to compete or cooperate with a value-adding retailer. We also investigated the impact of green production on lowering the amount of carbon emissions produced. In the present study, supply chain members are advised to cooperate with each other in order to achieve the environmental benefits of the cap and trade system and, to avoid market failure, we further recommend that manufacturers should invest in green technologies for their production.Ata Allah TaleizadehMilad ShahriariShib Sankar SanaMDPI AGarticlepricingcap and trade regulationgreen technologygame theoryEnvironmental effects of industries and plantsTD194-195Renewable energy sourcesTJ807-830Environmental sciencesGE1-350ENSustainability, Vol 13, Iss 12232, p 12232 (2021)
institution DOAJ
collection DOAJ
language EN
topic pricing
cap and trade regulation
green technology
game theory
Environmental effects of industries and plants
TD194-195
Renewable energy sources
TJ807-830
Environmental sciences
GE1-350
spellingShingle pricing
cap and trade regulation
green technology
game theory
Environmental effects of industries and plants
TD194-195
Renewable energy sources
TJ807-830
Environmental sciences
GE1-350
Ata Allah Taleizadeh
Milad Shahriari
Shib Sankar Sana
Pricing and Coordination Strategies in a Dual Channel Supply Chain with Green Production under Cap and Trade Regulation
description In this paper, we consider a two level dual channel green supply chain consisting of a retailer and a manufacturer with a separate sales channel for the manufacturer. The manufacturer uses green technology in its production and is required to produce in accordance with the cap and trade regulation. Using game theory, we compare cases where members decide to compete or cooperate with each other in terms of pricing and production. Our main contributions are studying the dual channel supply chain model where a manufacturer is regulated by the cap and trade system, using green production and also on their decision as to whether to compete or cooperate with a value-adding retailer. We also investigated the impact of green production on lowering the amount of carbon emissions produced. In the present study, supply chain members are advised to cooperate with each other in order to achieve the environmental benefits of the cap and trade system and, to avoid market failure, we further recommend that manufacturers should invest in green technologies for their production.
format article
author Ata Allah Taleizadeh
Milad Shahriari
Shib Sankar Sana
author_facet Ata Allah Taleizadeh
Milad Shahriari
Shib Sankar Sana
author_sort Ata Allah Taleizadeh
title Pricing and Coordination Strategies in a Dual Channel Supply Chain with Green Production under Cap and Trade Regulation
title_short Pricing and Coordination Strategies in a Dual Channel Supply Chain with Green Production under Cap and Trade Regulation
title_full Pricing and Coordination Strategies in a Dual Channel Supply Chain with Green Production under Cap and Trade Regulation
title_fullStr Pricing and Coordination Strategies in a Dual Channel Supply Chain with Green Production under Cap and Trade Regulation
title_full_unstemmed Pricing and Coordination Strategies in a Dual Channel Supply Chain with Green Production under Cap and Trade Regulation
title_sort pricing and coordination strategies in a dual channel supply chain with green production under cap and trade regulation
publisher MDPI AG
publishDate 2021
url https://doaj.org/article/c4e69bf317394d00b8447ecba2b76162
work_keys_str_mv AT ataallahtaleizadeh pricingandcoordinationstrategiesinadualchannelsupplychainwithgreenproductionundercapandtraderegulation
AT miladshahriari pricingandcoordinationstrategiesinadualchannelsupplychainwithgreenproductionundercapandtraderegulation
AT shibsankarsana pricingandcoordinationstrategiesinadualchannelsupplychainwithgreenproductionundercapandtraderegulation
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