Open AccessPricing and incentive strategy for construction supply chain w ith carbon emission sensitive heterogeneous demand and gove rnment subsidies
Author(s) -
Wen Jiang,
Lu Wang,
Kanfeng Shi
Publication year - 2020
Publication title -
iop conference series. earth and environmental science
Language(s) - English
Resource type - Journals
eISSN - 1755-1307
pISSN - 1755-1315
DOI - 10.1088/1755-1315/619/1/012085
Subject(s) - subsidy , incentive , supply chain , business , government (linguistics) , industrial organization , microeconomics , supply and demand , environmental economics , economics , marketing , market economy , linguistics , philosophy
Based on consumers’ purchase intention, this paper obtains the utility function of carbon emission sensitive heterogeneous consumers and establishes a two-level supply chain model composed of the owner and the contractor under the government subsidy. Based on the principle of maximizing the profits of each member of the supply chain, the optimal pricing, incentive intensity and emission reduction effort level of the owners and contractors are obtained. On this basis, the influences of government subsidies, customer composition ratio and carbon sensitivity on the owner’s optimal decision are analyzed. The results show that, with the increase of government subsidies for the contractor emission reduction costs, the proportion of carbon emission-sensitive consumers and the carbon sensitivity of consumers will increase, and the market demand will be increased, which will not only improve the profits of owners and contractors, but also the contractors’ emission reduction efforts. It can provide decision-making reference for enterprise product pricing, emission reduction and government subsidies.