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Accounting for consumers’ environmental concern in supply chain contracts

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  • Yao, Fanjun
  • Parilina, Elena
  • Zaccour, Georges
  • Gao, Hongwei

Abstract

Consumers are increasingly concerned about pollution and are, at least in part, making their purchases accordingly. In this paper, we consider a supply chain where demand depends on the manufacturer’s environmental reputation, an asset that can only be built over time. We assume that this reputation depends on information emanating from the manufacturer itself about its environmental actions and on its objective environmental record when compared to an industry standard.

Suggested Citation

  • Yao, Fanjun & Parilina, Elena & Zaccour, Georges & Gao, Hongwei, 2022. "Accounting for consumers’ environmental concern in supply chain contracts," European Journal of Operational Research, Elsevier, vol. 301(3), pages 987-1006.
    • Handle: RePEc:eee:ejores:v:301:y:2022:i:3:p:987-1006
    DOI: 10.1016/j.ejor.2021.11.039
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