scholarly journals The Orchestrating Role of Carbon Subsidies in a Capital-Constrained Supply Chain

2021 ◽  
Vol 2021 ◽  
pp. 1-13
Author(s):  
Wen Song ◽  
Ai Ren ◽  
Xiaodong Li ◽  
Qi Li

In this paper, we investigate the role of carbon subsidies in a capital-constrained supply chain. We analyze two green technology investment structures in such supply chains: one where the manufacturer determines the optimal carbon emission abatement level (MI-structure) and one where the retailer determines the optimal carbon emission abatement level (RI-structure). As the leader (the powerful participant or the first mover in a supply chain), the manufacturer may choose the investment structure that is most favorable to them. Our major findings are as follows: (1) carbon subsidies can improve the performance of a centralized green supply chain; (2) there exists a threshold value of carbon subsidy that determines the manufacturer’s choice of the best carbon emission abatement investment structure, but the retailer always benefits from RI-structure; and (3) the traditional cost-sharing contract fails to achieve green supply chain coordination. However, as an orchestrator, the carbon subsidy plays a crucial role in achieving quantity coordination when implemented alongside traditional cost-sharing contracts. Furthermore, using a parameter of side-payment, we propose a new contract design that facilitates win-win coordination.

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 9 (2) ◽  
pp. 421-428 ◽  
Author(s):  
Zeni Rusmawati ◽  
Noorlailie Soewarno

This study examined the relationship between green supply chain management (GSCM) on the environment and green economic performance with the moderator prediction context, which is a very fundamental approach for developing stronger theories. The writers chose green technology as a unique moderator in the context of GSCM practices and performance. The purpose of this study is to determine the role of moderating effects of green technology in investigating the relationship between green supply chain management (GSCM) practices and firm performance (environmental and green economic performance). By employing survey methodology using a purposive sampling technique, the data collected from 96 respondents in various manufacturing firms. The hypotheses were tested through SEM-PLS using SmartPLS. The further results show that the results of hypothesis testing indicate that GSCM practices (GSCM) have a positive and significant effect on environmental performance (EP) and green economic performance (GEP). The study also found that the role of green technology as a moderating variable can strengthen the positive relationship between GSCM Practices and environmental performance. While the moderation effect of Green technology (GT) can weaken the positive relationship between GSCM Practices and green economic performance (GEP).


2022 ◽  
Vol 9 ◽  
Author(s):  
Fuqiang Wang ◽  
Huimin Li ◽  
Yongchao Cao ◽  
Chengyi Zhang ◽  
Yunlong Ran

Knowledge sharing (KS) in the green supply chain (GSC) is jointly determined by the KS efforts of suppliers and manufacturers. This study uses the differential game method to explore the dynamic strategy of KS and the benefits of emission reduction in the process of low carbon (LC) technology in the GSC. The optimal trajectory of the knowledge stock and emission reduction benefits of suppliers and manufacturers under different strategies are obtained. The validity of the model and the results are verified by numerical simulation analysis, and the sensitivity analysis of the main parameters in the case of collaborative sharing is carried out. The results show that in the case of centralized decision-making, the KS efforts of suppliers and manufacturers are the highest, and the knowledge stock and emission reduction benefits of GSC are also the best. The cost-sharing mechanism can realize the Pareto improvement of GSC’s knowledge stock and emission reduction benefits, but the cost-sharing mechanism can only increase the supplier’s KS effort level. In addition, this study found that the price of carbon trading and the rate of knowledge decay have a significant impact on KS. The study provides a theoretical basis for promoting KS in the GSC and LC technology innovation.


2021 ◽  
Vol 9 (2) ◽  
pp. 265-276 ◽  
Author(s):  
Saad Darwish ◽  
Syed Mir Muhammad Shah ◽  
Umair Ahmed

Recently, environmental degradation has become a global issue, and a green supply chain has been considered as the appropriate solution for it. Also, this issue gets the intentions of recent researchers. Thus, the current article aims to examine the impact of green supply chain practices such as green purchase, internal environmental management, and customer environmental cooperation on environment performance in Bahrain. The goal also includes examining the moderating role of green innovation among the nexus of green purchase, internal environmental management, customer environmental cooperation, and environmental performance in Bahrain. The primary data collection method has been executed by the study and collected data by using questionnaires. The employees of the supply chain department of the hydrocarbon industry in Bahrain are the respondents. The statistical results show that green purchase, internal environmental management and customer environmental cooperation have positive relationships with environmental performance. The outcomes also exposed that green innovation has played an influential moderating role among the nexus of green purchase, internal environmental management, customer environmental cooperation, and environmental performance in Bahrain. These findings provide guidelines to the regulators that they should develop effective policies related to the implementation of supply chain practices that improve environmental performance.


Author(s):  
Fereshteh Ghahremani ◽  
Mohammad Jafar Tarokh

Managing dependencies via coordination is an effective solution for the problems that arise from these interdependencies in supply chains. This can be practical via a set of methods called coordination mechanisms. Numerous coordination mechanisms have been discussed before in literature. This paper develops a new classification of these mechanisms on the basis of information technology (IT) impact on them. This classification proves the important role of IT in better coordinating supply chains and help managers distinguish between coordination mechanisms that are created and improved by information technology and thus lead them to have the best choice based on their infrastructures and organization type.


2019 ◽  
pp. 1306-1327
Author(s):  
Sreejith Balasubramanian ◽  
Balan Sundarakani

The United Arab Emirates (UAE) construction industry has been witnessing an unprecedented growth in the last two decades. As a result, the sector is facing a major challenge of reducing the carbon footprint and thus creating major concern for the governments and the environmental agencies in the UAE. The chapter discusses the role of Green Supply Chain Management (GSCM) in achieving sustainability in the UAE construction industry. The various stages of GSCM applicable to the construction industry are critically assessed along with green performance measures in achieving environmental, economic and operational performance. Finally, the chapter provides a list of recommendations that could be used by practitioners and policy makers in implementing and measuring sustainability practices in the construction industry.


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