Supply Chain Decisions And Contract Selection Under Carbon Taxation

With the rapid development and globalization of economy,the problem of carbon emission pollution based on fossil energy has become more and more prominent,and low-carbon economy has increasingly become the direction of global economic and commercial development.In order to mitigate the negative effect of environmental pollution on human survival and development,the United Nations has convened special climate conferences on related issues,and signed various agreements with countries and formulated national emission reduction targets.Subsequently,governments have introduced low-carbon policies to deal with environmental pollution,and the carbon tax policy is one of the most effective tools to reduce carbon emissions of enterprises.Although the formulation of carbon tax policy is to improve the level of carbon emission reduction of enterprises,it also brings new challenges to the decision-making of supply chain members.The decision makers of supply chain should not only consider how to improve the level of carbon emission reduction and determine the price of low-carbon products,but also consider the contract selection under the low-carbon policy.In view of the above problems,this paper studies the retailer-led supply chain decision-making and contract selection,manufacturer-led supply chain decision-making and contract selection,two products supply chain decision-making and contract selection,and both two supply chains and two products competition decision-making and contract selection under the carbon tax policy,respectively.Specific research contents are as follows.(1)Under the carbon tax policy,the supply decisions and contract choices led by retailer are studied.Based on Stackelberg game theory,the equilibrium behaviors of wholesale price contract(WC),revenue-sharing contract(RC)and revenue-sharing contract with bargaining(BRC)are studied respectively.The results reveal that when all three contracts are available,the carbon emission rate of the product increases firstly and then decreases with the rise of carbon tax.Meanwhile,compared with the three contracts,under BRC,the retail price of the product is the lowest,while the carbon emission reduction rate of the product and the profit of supply chain members are the highest,but none of them can reach the level of centralized supply chain.The research also found that in order to achieve the purpose of product carbon emission reduction,the government should set the higher carbon tax at the same level under BRC and RC,and the lower carbon tax under WC,and the carbon tax level under centralized decision-making is the same as that under BRC and RC.(2)Under the carbon tax policy,the supply decisions and contract choices led by manufacturer are studied.Considering the marginal cost-intensive product manufactured by manufacturer,wholesale price contract(WC),cost-sharing contract(CC)and improved cost-sharing contract(MC)are adopted to study the product price,the carbon emission reduction rate and the performance improvement of the supply chain members,respectively.The results reveal that among the three contracts,both WC and CC can make the carbon emissions reduction rate level reach the level of centralized supply chain,but neither of them can achieve the coordination of supply chain.Only MC can make the retail price and carbon emission reduction rate of product reach the level of centralized supply chain in the context of supply chain coordination.(3)This part studies the supply chain decision of two competing products and contract selection under the carbon tax policy.It is found that the supply chain coordination cannot be realized only by the traditional wholesale price contract and the cost-sharing contract.In order to coordinate supply chain effectively,a new improved cost-sharing contract is designed to induce the manufacturer to increase the carbon emission reduction rate of products,reduce the price of products,and improve the profit of supply chain members.Finally,the effects of carbon tax rate,initial market size and production cost of each raw material on carbon emission reduction rate and profit of supply chain members are studied through numerical analysis.(4)The supply decision and contract selection of both two supply chains and two products under the carbon tax policy are studied.Two kinds of supply chain structure are considered: vertical structure and horizontal structure.The results reveal that the carbon emission reduction rates of products increase firstly and then decreases with the augmentation of carbon tax,but the retail prices of two products increase with the rise of carbon tax.Moreover,in the two supply chains,the vertical cooperation of supply chain members can improve the total profit of the supply chain,and the products have higher carbon emission reduction rate and lower retail price than the decentralized supply chain.The horizontal cooperation between manufacturers can hurt retailers' profits compared with non-cooperative vertical structure.In order to coordinate the supply chain effectively,a two-part pricing contract is designed.It is proved that within a suitable parameter range,the contract enables all members of the supply chain to achieve a win-win result.