Influence Factors And Envolutionary Process For Green Manufacturing Strategy In SMEs

Small and medium enterprises (SMEs) have a large scale of production in China.However, for a long time these SME are using extensive manufacturing way whichnot only pollutes the environment, but also causes a lot of waste of resources. Toachieve the sustainable development of China’s economy, we must transform themode of production from extensive production into intensive production. For thispurpose, green manufacturing strategy is the production mode which can reduce thedamage to the environment and the waste of resources. In such a situation, it has avery important practical significance to lead SMEs to carry out green manufacturingstrategy. In the past literature about green manufacturing strategy, scholars mainlyfocus on how to implement the green manufacturing strategy, but ignore the influencefactors when enterprises implement the green manufacturing strategy. Therefore, thispaper analyzes the external incentive factors, internal incentive factors and barrieswhen SMEs implement the green manufacturing strategy. In addition, from the pointof view of the dynamic evolution, the paper also analyzes the enterprise how to makethe green manufacturing strategy decision considering the other competitors.Through the application of green manufacturing strategy, evolutionary gametheory and related theory knowledge, the paper analyzes the influence factors and theevolution process for SMEs carrying out green manufacturing strategy from the staticand dynamic point of view. First of all, through to the empirical analysis of more than100SMEs data, the study verify the external incentive factors, internal incentivefactors and barries on the implementation of the strategy of green manufacturingdecision tendentiousness was positively associated, and external incentive factorseffects more of internal incentive factors. In this part of the three factors that influence the green manufacturing strategy, the most influence factors were: the governmentsupport and encourage, the increased market share, cost increase. Secondly, the studymake an empirical research about the consumer market of green product recognitionand purchase situation.The research finds that consumer awareness of green product isnot high, buy low frequency, the extra cost which consumers pay for green productsof their environmental protection function is low. Finally, the research constructs andanalyzes the evolutionary game model for SMEs implementing green manufacturingstrategy. After that, the model uses the two empirical research data to analyze currentsituation—in the early evolution process, if a single product profit more than a certainextent reputation value, evolution will be to the traditional mode, otherwise, to thegreen manufacturing mode. Later, the ESS is the green manufacturing mode. In theevolution process, the government’s financial support and tax subsidies play animportant role, and exptention of the reputation value when SMEs implement greenmanufacturing strategy is the most effective way amongst all the measures.