Equilibrium between Environmental and Economic Objectives: An Activity-Based Costing Approach Application for Carbon Emissions Management in the Aluminum Alloy Wheel Industry

Abstract

In the face of the increasingly dire threat of global climate change, reducing carbon emissions has become an urgent priority for governments and corporations worldwide. The aluminum alloy wheel manufacturing industry bears an even heavier burden for emission mitigation due to its high production volume, complex processes, and proportionally higher carbon footprint. With impending carbon taxes and trading policies looming, the industry urgently needs to strike a balance between maximizing profits and minimizing carbon emissions. Leveraging real-world industry data, this research develops four green Activity-Based Costing (ABC) models and utilizes optimization software to compare the following scenarios: non-continuous carbon tax, carbon tax with trading, tiered tax with exemptions, and exemptions combined with trading. Results demonstrate that integrating carbon trading and targeted tax reductions can improve corporate financial positions without severely compromising environmental goals. Although identifying optimal balance points remains a highly complex process, this study equips enterprises and policymakers with quantitative tools to navigate fluctuating carbon regulatory environments. As national policies progress, more multifaceted dynamic carbon tax models will likely provide more profound insights for sustainable development.

Energy Performance in Residential Buildings as a Property Market Efficiency Driver

“…Within this broad context, the substantial discussion on energy utilization consequences covers a complex range of challenges related to energy frameworks that are sustainable, efficient, and innovative from a variety of real estate market efficiency economic perspectives. A significant scientific problem within this scope, especially in terms of residential real estate markets, relates to information asymmetry between sellers and buyers concerning energy performance and costs [18]. As underlined by Bilyay-Erdogan, companies might have more information than investors about the energy efficiency of a property, which can lead to market inefficiencies if not properly disclosed or understood by potential investors [19].…”