Construction of Low Carbon Supply Chain Profit Model Considering Consumer Preference

Yu, Jianjun; Shi, Wenjun; Fang, Yanli

doi:10.1016/j.procir.2019.05.015

Cited by 10 publications

(5 citation statements)

References 6 publications

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“…At the same time, they studied single-channel and dual-channel supply chain pricing decisions and compared the two, but did not consider the coordination of supply chains under a decision mode. Their studies also do not take into account product characteristics in specific areas to describe consumer preference differences to build relevant models [18,19].…”

Section: Introductionmentioning

confidence: 99%

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

2020

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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.

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Section: Introductionmentioning

confidence: 99%

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

2020

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“…Low-carbon technologies can help manufacturers cut carbon emissions. Market demand and store income both rise as a result of customers' low-carbon preferences [38,39]. Retailers subsidize manufacturers and encourage innovation.…”

Section: Hypothesis 4 (H4)mentioning

confidence: 99%

Which Is the Best Supply Chain Policy: Carbon Tax, or a Low-Carbon Subsidy?

Sun

et al. 2022

Sustainability

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The low-carbon supply chain is key to promoting sustainable development and solving environmental pollution. Government policies related to lowering carbon emissions deeply affect supply chains. This paper builds a supply chain decision-making model under three different regulatory policies: a pure carbon tax, a pure low-carbon subsidy, and a mixed policy with both a carbon tax and a low-carbon subsidy, then compares and analyzes the impacts of these three different regulatory policies on carbon emissions, manufacturer and retailer income, and marginal profit in order to determine the best course of action with respect to supply chain decision-making. Our results indicate that the supply chain decision-making model under the mixed carbon tax and low-carbon subsidy policy results in a unique Nash equilibrium solution between the retailer subsidy rate and the manufacturing carbon reduction rate in a non-cooperative game. Although a carbon tax is beneficial to the ecological environment, retailer income increases slightly as the carbon tax coefficient increases before declining rapidly. Manufacturer income has a negative linear relationship with carbon tax, and an excessive amount of carbon tax increases the burden on companies. Therefore, the government must establish reasonable standards for carbon tax collection while offering moderate low-carbon subsidies at the same time as a means of optimizing social welfare.

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“…Some scholars have combined consumer low-carbon preferences with supply chain research (Li et al. , 2021; Yu et al. , 2019; Peng et al.…”

Section: Literature Reviewmentioning

confidence: 99%

“…In recent years, consumers' low-carbon preferences have been extensively studied. Some scholars have combined consumer low-carbon preferences with supply chain research (Li et al, 2021;Yu et al, 2019;Peng et al, 2018;Wang et al, 2016), other scholars have combined consumer preferences with the EV industry. Hackbarth and Madlener (2013) found that consumers with low-carbon preferences are willing to pay higher prices to buy EVs.…”

Section: Research On Consumer Preferencesmentioning

confidence: 99%

Pricing research for automotive supply chains considering low-carbon consumer preferences under a dual policy

Liu

Yang

Miao

et al. 2022

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PurposeThe promotion of new energy vehicles (EVs) is an effective way to achieve low carbon emission reduction. This paper aims to investigate the optimal pricing of automotive supply chain members in the context of dual policy implementation while considering consumers' low-carbon preferences.Design/methodology/approachThis article takes manufacturers, retailers and consumers in a main three-level supply chain as the research object. Stackelberg game theory is used as the theoretical guidance. A game model in which the manufacturer is the leader and the retailer is the follower is established. The author also considered the impact of carbon tax policies, subsidy policies and consumer preferences on the results. Furthermore, the author investigates the optimal decision-making problem under the profit maximization model.FindingsThrough model solving, it is found that the pricing of EVs is positively correlated with the unit price of carbon and the amount of subsidies. The following conclusions can be obtained by numerical analysis of each parameter. Changes in carbon prices have a greater impact on conventional gasoline vehicles. Based on the numerical analysis of parameter β, it is also found that when the government subsidizes consumers, supply chain members will increase their prices to obtain partial subsidies. Compared with retailers, low-carbon preferences have a greater impact on manufacturers.Research limitations/implicationsThe new energy automobile industry involves many policies, including tax cuts, tax exemptions and subsidies. The policy environment faced by the members of a supply chain is complex and diverse. Therefore, the analysis in this article is based only on partial policies.Originality/valueThe authors innovatively combine the three factors of subsidy policy, carbon tax policy and consumer low-carbon preference, with research on the pricing of EVs. The influence of policy factors and consumer preferences on the pricing of EVs is studied.

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Construction of Low Carbon Supply Chain Profit Model Considering Consumer Preference

Cited by 10 publications

References 6 publications

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

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

Which Is the Best Supply Chain Policy: Carbon Tax, or a Low-Carbon Subsidy?

Pricing research for automotive supply chains considering low-carbon consumer preferences under a dual policy

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