Sustainable Supply Chain Decisions under E-Commerce Platform Marketplace with Competition

Junbin Wang, Xuan Gao and Zhiguo Wang
Additional contact information
Junbin Wang: School of Business, Changshu Institute of Technology, Suzhou 215500, China
Xuan Gao: Department of Literature Service, Jiangsu Information Institute of Science & Technology, Nanjing 210042, China
Zhiguo Wang: Economics and Management School, Nantong University, Nantong 226019, China

Sustainability, 2021, vol. 13, issue 8, 1-23

Abstract: Motivated by the industrial observation that the e-commerce platform marketplaces (e.g., Amazon) are increasingly launching sustainable strategies, this study aims to build an analytical framework to guide managers on making sustainable decisions. This study builds a stylized game-theoretical model in the sustainable supply chain context, where the competitive traditional product manufacturers sell their products through the platform’s marketplace, while the platform decides whether to introduce the green products and the pricing strategy. We find that, when the evaluation difference for the green product is sufficiently low, the introduction of the green product by the platform benefits the manufacturers (or third-party sellers). Interestingly, a higher platform fee makes a higher likelihood of a win-win situation between the platform and manufacturers. Moreover, when consumers value green products sufficiently higher than traditional products, the traditional products’ manufacturers can also benefit from the green product entry.

Keywords: sustainable supply chain; E-commerce platform; green product; competition; analytical model (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
https://www.mdpi.com/2071-1050/13/8/4162/pdf (application/pdf)
https://www.mdpi.com/2071-1050/13/8/4162/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:13:y:2021:i:8:p:4162-:d:532379

Access Statistics for this article

Sustainability is currently edited by Ms. Alexandra Wu

More articles in Sustainability from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().