Analysis of the Single-Period Problem under Carbon Emissions Policies

Song, Jingpu; Leng, Mingming

doi:10.1007/978-1-4614-3600-3_13

Cited by 107 publications

(75 citation statements)

References 6 publications

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“…As an extensive study concentrating on single firm low-carbon problem, Song and Leng [7] examine the newsvendor model in four low-carbon policies (including Carbon Tax) regulated settings, respectively. They compare the optimal solution in this setting with that in the traditional newsvendor models to observe the impact of low-carbon constraints on the decision-makings.…”

Section: Related Literaturementioning

confidence: 99%

“…In parallel with studies on public regulatory policies, researchers have also proposed that it is possible and feasible for practitioners to confront carbon emission constraints by adjusting their operations strategies and tactics either in single firm level or supply chain level [5][6][7]. Moreover, carbon emission policies can have substantial impact both on operations and marketing for all parties within a supply chain.…”

Section: Introductionmentioning

confidence: 99%

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Game Theoretic Analysis of Carbon Emission Abatement in Fashion Supply Chains Considering Vertical Incentives and Channel Structures

Zhao

Lei

2015

Sustainability

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Abstract:We study an emission-dependent dyadic fashion supply chain made up of a supplier and a manufacturer, both of which can reduce their own component/product emissions to serve the carbon-footprint sensitive consumers. With Carbon Tax regulation, we consider four scenarios resulting from two ways in form of adopting transfer price contract and/or introducing third-party emission-reduction service (TPERS) to enhance the efficiency of systematic emission reductions. We refine four models from these corresponding scenarios, which in turn constitute a decision-making framework composed of determining vertical incentives and choosing supply chain structures. By exploiting Stackelberg games in all models, we compare their emission reduction efficiencies and profitability for each pair of settings. Theoretic analysis and numerical studies show that adopting vertical transfer payment schemes can definitely benefit channel carbon footprint reduction and Pareto improvement of supply chain profitability, regardless of whether the emissionreduction service exists or not. However, whether introducing TPERS or not is heavily depending on systematic parameters when the transfer payment incentive is adopted there. We also provide insights on the sensitivity of carbon tax parameters with respect to the supply chain performance, overall carbon emission reduction, vertical incentive and TPERS adopting decision-makings. OPEN ACCESSSustainability 2015, 7 4281

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Section: Related Literaturementioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Game Theoretic Analysis of Carbon Emission Abatement in Fashion Supply Chains Considering Vertical Incentives and Channel Structures

Zhao

Lei

2015

Sustainability

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“…Other regulatory policies including Mandatory Cap, Cap&Trade, and Carbon offset have been proposed and applied around the world [53]. Researchers also provided operations strategies and tactics to reduce pollutant emissions (e.g., [54][55][56]). In addition, companies such as Adidas, H&M, Marks and Spencer, and Nike provide annual sustainability reports from their official websites to address the issue [57][58][59][60].…”

Section: Improvement Of Environmental Sustainability In Fashion Apparmentioning

confidence: 99%

Blockchain Enhanced Emission Trading Framework in Fashion Apparel Manufacturing Industry

2018

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Motivated by the recent blockchain technology originally built for bitcoin transactions, various industries are exploring the opportunities to redefine their existing operational systems. In this study, an innovative environmentally sustainable solution is proposed for the fashion apparel manufacturing industry (FAMI), which is energized by blockchain. Incorporating the Emission Trading Scheme (ETS), and a novel "emission link" system, the proposed framework exposes carbon emission to the public and establishes a feature to reduce the emissions for all key steps of clothing making. Fully compatible with Industry 4.0, blockchain provides decentralization, transparency, automation, and immutability characteristics to the proposed framework. Specifically, the blockchain supported ETS framework, the carbon emissions of clothing manufacturing life cycle, and the emission link powered procedures are introduced in detail. A case study is provided to demonstrate the carbon emission evaluation procedure. Finally, a multi-criteria evaluation is performed to demonstrate the benefits and drawbacks of the proposed system.

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“…A stochastic scenario of inventory greening is the subject of a study by Song and Leng (2012). The authors explored the newsvendor problem subjected to several environmental constraints, providing the optimal production quantity 150 and expected profit in each case.…”

Section: Accepted Manuscriptmentioning

confidence: 99%

Inventory management under joint product recovery and cap-and-trade constraints

García-Alvarado

Paquet

Chaabane

et al. 2017

Journal of Cleaner Production

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The influence of environmental legislation in inventory control policies is explored. Previous work on product recovery is extended using the introduction 5 of a cap-and-trade mechanism in an infinite-horizon inventory system in which demand and returns are uncertain. Demand is met through two different sources namely manufacturing and remanufacturing, which differ in cost and greenhouse gas emissions. The main contributions of this paper are 1) comparison of system operation in terms of cost and environmental performance under conventional 10 and green inventory policies, and 2) managerial insights into the structure of green inventory policies. To illustrate the impact of a cap-and-trade scheme, a numerical example is used. We solved the problem as a Markov decision process, and characterized the inventory policies based on the optimal replenishment strategy. We also conducted a sensitivity analysis to examine the effect 15 of underlying environmental parameters such as the emission cap and the allowance price in the policy structures. The results indicate that decisions are sensitive to carbon prices. The inventory policy could play an important role in compliance with environmental legislation, although there is threshold carbon price beyond which the company must focus on strategic decisions rather than 20 tactical decisions.

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Analysis of the Single-Period Problem under Carbon Emissions Policies

Cited by 107 publications

References 6 publications

Game Theoretic Analysis of Carbon Emission Abatement in Fashion Supply Chains Considering Vertical Incentives and Channel Structures

Game Theoretic Analysis of Carbon Emission Abatement in Fashion Supply Chains Considering Vertical Incentives and Channel Structures

Blockchain Enhanced Emission Trading Framework in Fashion Apparel Manufacturing Industry

Inventory management under joint product recovery and cap-and-trade constraints

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