Green Supply Chain Innovation Strategies, considering Government Subsidy and Altruistic Preference

Guangdong Liu, Jinggui Chen, Ziyang Li, Huagui Zhu and Liu Zhi

Mathematical Problems in Engineering, 2022, vol. 2022, 1-24

Abstract: To study the impact of government subsidies and altruistic preferences on green supply chain innovation, Stackelberg game theory and numerical simulation are used to analyze and verify the optimal decision-making of enterprises under different decision-making models. The results show that the two methods of government subsidies can improve product greenness, corporate profits, and overall supply chain performance. While only the unilateral altruistic preference of the manufacturer or retailer can improve product greenness, the profit of the other member, and the overall profit of the green supply chain, doing so will reduce its own profit. When the two members have the same degree of altruistic preference, the retailer’s altruistic preference is more conducive to improving product greenness. Increasing government subsidies can strengthen, to a certain extent, the effect of altruistic preference on product greenness, the profit of the other member, and the profit of the green supply chain. However, when the manufacturer implements altruistic preference, if the government subsidy exceeds a certain range, then the increase in the government subsidy will accelerate the decline of the manufacturer’s own profit.

Date: 2022
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Persistent link: https://EconPapers.repec.org/RePEc:hin:jnlmpe:5495374

DOI: 10.1155/2022/5495374

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