Analysis of a dual-channel green supply chain game-theoretical model under carbon policy

AbstractIn today's worldwide markets, supply chain members have to control carbon emissions for a clean environment. This study addresses a dual-channel green supply chain model by contemplating dual selling channels, carbon diminution rate and online delivery lead-time as marketing efforts to fascinate customers to buy more products. Moreover, the carbon tax protocol, green technology, carbon cap-and-trade protocol are applied to the supply chain to save the environment by reducing carbon emissions. The customers' demands for both the direct and traditional retail channels are dependent on direct selling price, retail price, carbon reduction rate, and delivery lead-time of online products. The objective of this work is to maximise the supply chain profit by minimising the amount of carbon emissions. To determine optimal outcomes, a centralised system, manufacturer-leadership Stackelberg game and retailer-leadership Stackelberg game are employed. A comparison among the centralised system and the two Stackelberg games is also carried out. The results presented that to enhance the profits of the manufacturer as well as retailer and to decline carbon emissions, manufacturer-leadership Stackelberg game is the adequate game policy. Some managerial inspirations of this proposed work are listed. The paper ends with conclusions and possible future research directions.Keywords: Green supply chaintransportation costdual-channel systemcarbon cap-and-trade policyStackelberg gameoptimisationMSC: 90B0691A6590C31 Disclosure statementThe authors declare that they have no known competing financial interests or personal relationships that could have appeared to influence the work reported in this paper.Data availability statementAll data used to support the findings of this study are included within the article.Additional informationNotes on contributorsHaripriya BarmanHaripriya Barman is a Research Scholar in the Department of Applied Mathematics with Oceanology and Computer Programming, Vidyasagar University, Midnapore-721102, West Bengal, India. She received her B.Sc (Hons.) and M. Sc. degrees in Mathematics from Tamralipta Mahavidyalaya and Vidyasagar University, West Bengal, India in 2013 and 2015, respectively. Her main research interests involve in Inventory control problem, Supply chain management problem in fuzzy, intuitionistic fuzzy, neutrosophic and Pythagorean fuzzy environments and Sustainable development.Magfura PervinMagfura Pervin is an Assistant Professor of Mathematics in the Mathematics Department of Brainware University, Barasat, Kolkata-700125, West Bengal, India. She received her B. Sc. and M. Sc. degrees in Mathematics from University of Calcutta, West Bengal, India in 2010 and 2012, respectively. She received her Ph. D degree from the Dept. of Applied Mathematics, Vidyasagar University, Midnapore-721102, WB, India. Her main research interests involve in Inventory management problem.Sankar Kumar RoySankar Kumar Roy is a Full Professor of Mathematics in the Department of Applied Mathematics with Oceanology and Computer Programming of Vidyasagar University, Midnapore-721102, West Bengal, India. He received his Ph. D. in Operations Research from the Department of Mathematics, Indian Institute of Technology, Kharagpur, India in 2003. His fields of research are Operations Research (Location Theory, Transportation Problem, Game Theory and Inventory Management), Bio-Mathematics, Lattice in Discrete Mathematics, Rough Set Theory, Soft Set Theory, Fuzzy Set Theory, Intuitionistic Fuzzy Set Theory, Stochastic Programming, and Multi-Choice Programming. He has supervised more than 16 PhD scholars successfully. He has published more than 150 research papers in different SCI/SCIE journals.Gerhard-Wilhelm WeberGerhard-Wilhelm Weber is a Full Professor at Poznan University of Technology, Poznan, Poland. He was associated with IAM, METU, Ankara, Turkey. His research in on optimization and control (continuous and discrete), OR, financial mathematics, on life, bio and human sciences, dynamical systems, data mining, statistical learning, inverse problems, environment, and development; he is involved into the organization of scientific life internationally. He received both his Diploma and Doctorate in mathematics, and economics / business administration, at Aachen University of Technology (RWTH Aachen), and his Habilitation (second doctorate) at Darmstadt University of Technology (TU Darmstadt).