Research On Supply Chain Pricing Decision And Coordination Considering Fairness Concern Under Carbon Tax Policy

After the Second World War,the Eastern and Western countries are accelerating the process of industrialization and improving the national economic growth,but behind the rapid economic development is facing many environmental problems.Therefore,countries have taken relevant environmental initiatives,in our country’s case,in order to achieve the goal of carbon neutrality by 2060,on the one hand,China’s carbon tax and other related policies to limit corporate carbon dioxide emissions.On the other hand,by strengthening the propaganda of green production and green consumption,people’s consumption concept gradually changes to green consumption,which produces new demand.Enterprises in the face of government pressure,consumer demand changes under the dual pressure,only innovative management concepts,enhance the environmental protection properties of products,explore a green low-carbon development in line with the enterprise’s road,in order to find a new way out in a more complex economic environment.Therefore,in a green,low-carbon,sustainable economic system to establish a low-carbon supply chain,we must consider the impact of carbon tax on supply chain decision makers.At the same time,due to behavior preference,the decision-making behavior of supply chain decision makers will change.In the factors of maintaining supply chain channel relationship,fairness is very important,especially when the position of both sides of the supply chain is not equal,the weak side is bound to care more about the fairness of channel profit distribution.Based on this,this paper incorporates the equity concern characteristics of retailers into the pricing decision-making and coordination contract research of low-carbon supply chain,and considers the impact of carbon tax and equity concern behavior on decision-makers’ pricing and emission reduction decisions.In summary,this paper builds a decentralized decision-making model in which manufacturers consider retailers’ fair concerns and does not take into account retailers’ fair concerns,and adds a centralized decision-making model to compare them to analyze how different attitudes of manufacturers affect both pricing,emission reductions,profits,and overall supply chain profits when retailers have equity concerns.Finally,based on the manufacturer’s consideration of the retailer’s fair concern characteristics,three kinds of contracts are designed,and the contract is verified and compared in coordination.The findings include:(1)Under the supervision of the government carbon tax,the impact on manufacturers is mainly reflected in the rate of emission reduction,the impact on wholesale prices is very small,while the impact on retailers is mainly reflected in retail prices,and only when manufacturers do not take into account the fair concerns of retailers,retail prices increase with the increase in tax rates.Thus,the government’s carbon tax policy will not impose an additional burden on consumers,but will encourage manufacturers to increase environmental investment in the production process,reduce carbon emissions,and provide consumers with more low-carbon environmentally friendly products.(2)Among the two pricing models of decentralized decision-making,prices show different trends due to equity concerns.If manufacturers ignore each other’s demands for a fair distribution of profits and simply blindly pursue their own profit maximization,it will bring more trouble to the cooperation between the two sides,and consumers will have to pay a greater price.Therefore,in the process of cooperation between the two sides of the supply chain,the dominant manufacturers should pay attention to the subject with the characteristics of fair concern,so as not to make actions against the supply chain,resulting in losses on both sides.(3)Under the revenue sharing contract,it is not conducive to improving the promotional services of retailers.When the retailer’s equity concern factor is small,although it can achieve the best improvement of manufacturers and retailers Pareto,but to alleviate the supply chain "double marginal effect",when the retailer’s fair concern factor is large,retailers’ profits are lower than decentralized decision-making,can not achieve Pareto optimal improvement,therefore can not achieve supply chain coordination,two pricing can significantly increase the market demand for low-carbon products,and always maintain a certain level.Although the two pricing contracts can maximize the proportion of retailers to supply chain profits,which is conducive to increasing the fair utility of retailers,the overall profits of the supply chain can not achieve the effect of centralized decision-making,and finally designed the benefit-cost-sharing contract,at this time,the demand for products rose to an unprecedented level,not only to maximize incentives for manufacturers to increase investment in emission reduction technology,but also with the reduction of manufacturers’ wholesale prices,retailers’ selling prices and publicity efforts have reached the level of centralized decision-making.And the overall profit of the supply chain is equal to the profit of centralized decision-making,which can achieve the perfect coordination of the supply chain.For consumers,not only can they enjoy the retailer’s most intimate service,but they can also buy the greenest and lowest carbon products at the cheapest price.