Optimal Pricing, Ordering, and Coordination for Prefabricated Building Supply Chain with Power Structure and Flexible Cap-and-Trade
Under the increasing pressure of global emission reduction, prefabricated buildings are becoming more and more popular. As prefabricated building manufacturers and assemblers are emerging in the market, how do they make decisions of pricing, ordering, and emission reduction? In this paper, game theo...
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| Format: | Article |
| Language: | English |
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MDPI AG
2021-09-01
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| Series: | Mathematics |
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| Online Access: | https://www.mdpi.com/2227-7390/9/19/2426 |
| _version_ | 1827680722244075520 |
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| author | Wen Jiang Menglin Liu Lu Gan Chong Wang |
| author_facet | Wen Jiang Menglin Liu Lu Gan Chong Wang |
| author_sort | Wen Jiang |
| collection | DOAJ |
| description | Under the increasing pressure of global emission reduction, prefabricated buildings are becoming more and more popular. As prefabricated building manufacturers and assemblers are emerging in the market, how do they make decisions of pricing, ordering, and emission reduction? In this paper, game theory is used to make the decisions for the prefabricated building supply chain with flexible cap-and-trade and different power structures, i.e., using prefabricated building manufacturers as the leader, using the vertical Nash equilibrium, and using prefabricated building assemblers as the leader. The two-part tariff contract is designed to coordinate the supply chain and to improve the supply chain performance. Moreover, we discuss the influence of different power structures and the two-part tariff contract on the optimal decisions and profits. Finally, numerical analysis is used to verify the conclusions. This indicates that the supply chain leaders will gain a higher profit and that the power structure has a significant influence on the two-part tariff contract, which will result in an unfair distribution of profit. High carbon trading prices benefit carbon emission reduction. Consumer low-carbon awareness has a positive effect on carbon emission reduction and supply chain performance. |
| first_indexed | 2024-03-10T06:54:37Z |
| format | Article |
| id | doaj.art-03563de7dd484fadaedd036fda4d7437 |
| institution | Directory Open Access Journal |
| issn | 2227-7390 |
| language | English |
| last_indexed | 2024-03-10T06:54:37Z |
| publishDate | 2021-09-01 |
| publisher | MDPI AG |
| record_format | Article |
| series | Mathematics |
| spelling | doaj.art-03563de7dd484fadaedd036fda4d74372023-11-22T16:30:09ZengMDPI AGMathematics2227-73902021-09-01919242610.3390/math9192426Optimal Pricing, Ordering, and Coordination for Prefabricated Building Supply Chain with Power Structure and Flexible Cap-and-TradeWen Jiang0Menglin Liu1Lu Gan2Chong Wang3College of Architecture and Urban-Rural Planning, Sichuan Agricultural University, Chengdu 611830, ChinaCollege of Architecture and Urban-Rural Planning, Sichuan Agricultural University, Chengdu 611830, ChinaCollege of Architecture and Urban-Rural Planning, Sichuan Agricultural University, Chengdu 611830, ChinaBusiness and Tourism School, Sichuan Agricultural University, Chengdu 611830, ChinaUnder the increasing pressure of global emission reduction, prefabricated buildings are becoming more and more popular. As prefabricated building manufacturers and assemblers are emerging in the market, how do they make decisions of pricing, ordering, and emission reduction? In this paper, game theory is used to make the decisions for the prefabricated building supply chain with flexible cap-and-trade and different power structures, i.e., using prefabricated building manufacturers as the leader, using the vertical Nash equilibrium, and using prefabricated building assemblers as the leader. The two-part tariff contract is designed to coordinate the supply chain and to improve the supply chain performance. Moreover, we discuss the influence of different power structures and the two-part tariff contract on the optimal decisions and profits. Finally, numerical analysis is used to verify the conclusions. This indicates that the supply chain leaders will gain a higher profit and that the power structure has a significant influence on the two-part tariff contract, which will result in an unfair distribution of profit. High carbon trading prices benefit carbon emission reduction. Consumer low-carbon awareness has a positive effect on carbon emission reduction and supply chain performance.https://www.mdpi.com/2227-7390/9/19/2426prefabricated buildingflexible cap-and-tradesupply chain coordinationpower structuretwo-part tariff contract |
| spellingShingle | Wen Jiang Menglin Liu Lu Gan Chong Wang Optimal Pricing, Ordering, and Coordination for Prefabricated Building Supply Chain with Power Structure and Flexible Cap-and-Trade Mathematics prefabricated building flexible cap-and-trade supply chain coordination power structure two-part tariff contract |
| title | Optimal Pricing, Ordering, and Coordination for Prefabricated Building Supply Chain with Power Structure and Flexible Cap-and-Trade |
| title_full | Optimal Pricing, Ordering, and Coordination for Prefabricated Building Supply Chain with Power Structure and Flexible Cap-and-Trade |
| title_fullStr | Optimal Pricing, Ordering, and Coordination for Prefabricated Building Supply Chain with Power Structure and Flexible Cap-and-Trade |
| title_full_unstemmed | Optimal Pricing, Ordering, and Coordination for Prefabricated Building Supply Chain with Power Structure and Flexible Cap-and-Trade |
| title_short | Optimal Pricing, Ordering, and Coordination for Prefabricated Building Supply Chain with Power Structure and Flexible Cap-and-Trade |
| title_sort | optimal pricing ordering and coordination for prefabricated building supply chain with power structure and flexible cap and trade |
| topic | prefabricated building flexible cap-and-trade supply chain coordination power structure two-part tariff contract |
| url | https://www.mdpi.com/2227-7390/9/19/2426 |
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