Game Analysis And Emission Reduction Of Supply Chain Considering The Low-Carbon Policy

With the environmental problems became prominent increasingly,the technology of low-carbon production shows more significance.2013 is the first year that China implements the carbon trading,enterprises are facing with high cost,high risk and other unfavorable factors of low carbon research and development.Thereby,firms cooperation becomes more prevalent for reducing carbon emission cost and risk.Moreover,enterprises keep a certain risk aversion attitude in the supply chain production and operation,and the risk attitude impact on the decision-making of firms.In recent years,consumers' awareness of low carbon is increasing,the low carbon preference of consumers motivates firms to conduct low-carbon production and reduce the emission.In cap-and-trade system,considering the low carbon preference of consumers and the risk aversion levels of firms,it is significant to study the optimal decision of supply chain.The paper considers the risk aversion levels of channel members,studies the carbon emission and game of risk-neutral or risk-averse supply chain consisting of a manufacturer and a supplier.Furthermore,the optimal decisions are discussed with or without the constraint of low-carbon policy.Mean-variance models are established and solved by Stackelberg game,and the equilibrium results are studied by numerical analysis,the results show that the alliance carbon emission reduction of the supply chain members can achieve maximum economic and environmental performance simultaneously,it provides theoretical reference for channel members' cooperation.On the other hand,the risk aversion level of the supply chain members has different effects on the equilibrium decision-making,and the profits of chain members in risk-neutral supply chain are greater than that in risk-averse supply chain.Namely,the risk level of chain members has a negative influence on their profits.Moreover,the carbon emission reduction level and profits of chain members with the low carbon policy constraint are greater than that without low carbon policy constraint,the results imply the low-carbon policy coordinates the development of environment and economy.