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Green supply chain planning considering consumer’s transportation process

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  • Gao, Jingzhe
  • Xiao, Zhongdong
  • Cao, Binbin
  • Chai, Qiangfei

Abstract

This article addresses a product delivery and store network layout strategy problem considering not only firms’ but also consumers’ cost. The study presents several mathematical programming models to minimize the cost or maximize the profit. Then, we design a two-step solution method for exact solutions and present an implementation. The results show that a carbon cap will do more good than harm for the environment. Trying to minimize the cost from both sides will not only improve the efficiency of social resource use but also enable stores to attract more consumers. Limiting emissions for firms will result in significant emissions reduction without an excessive cost increase.

Suggested Citation

  • Gao, Jingzhe & Xiao, Zhongdong & Cao, Binbin & Chai, Qiangfei, 2018. "Green supply chain planning considering consumer’s transportation process," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 109(C), pages 311-330.
    • Handle: RePEc:eee:transe:v:109:y:2018:i:c:p:311-330
    DOI: 10.1016/j.tre.2017.12.001
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    2. Zhang, Siying & Chen, Ning & Song, Xiaoming & Yang, Jia, 2019. "Optimizing decision-making of regional cold chain logistics system in view of low-carbon economy," Transportation Research Part A: Policy and Practice, Elsevier, vol. 130(C), pages 844-857.
    3. Hong, Zhaofu & Li, Mengfan & Han, Xiaoya & He, Xuhuai, 2020. "Innovative green product diffusion through word of mouth," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 134(C).
    4. Sun, Wei & Yu, Yang & Wang, Junwei, 2019. "Heterogeneous vehicle pickup and delivery problems: Formulation and exact solution," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 125(C), pages 181-202.
    5. Brojeswar Pal & Shib Sankar Sana, 2022. "Game-theoretic analysis in an environment-friendly competitive closed-loop dual-channel supply chain with recycling," Operations Management Research, Springer, vol. 15(3), pages 627-646, December.
    6. Qiangfei Chai & Yiming Li & Zhongdong Xiao & Kee-hung Lai, 2022. "Optimal Carbon Abatement Strategy for Manufacturers under Cap-and-Trade," IJERPH, MDPI, vol. 19(17), pages 1-21, September.
    7. Kumar, Anupam & Cantor, David E. & Grimm, Curtis M., 2019. "The impact of a supplier’s environmental management concerns on a buyer’s environmental reputation: The moderating role of relationship criticality and firm size," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 122(C), pages 448-462.
    8. De, Manoranjan & Giri, B.C., 2020. "Modelling a closed-loop supply chain with a heterogeneous fleet under carbon emission reduction policy," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 133(C).
    9. Govindan, Kannan & Rajeev, A. & Padhi, Sidhartha S. & Pati, Rupesh K., 2020. "Supply chain sustainability and performance of firms: A meta-analysis of the literature," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 137(C).
    10. Tao, Yi & Wu, Jianhuang & Lai, Xiaofan & Wang, Fan, 2020. "Network planning and operation of sustainable closed-loop supply chains in emerging markets: Retail market configurations and carbon policies," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 144(C).
    11. Ren, Da & Guo, Rui & Lan, Yanfei & Shang, Changjing, 2021. "Shareholding strategies for selling green products on online platforms in a two-echelon supply chain," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 149(C).
    12. Chai, Qiangfei & Xiao, Zhongdong & Lai, Kee-hung & Zhou, Guanghui, 2018. "Can carbon cap and trade mechanism be beneficial for remanufacturing?," International Journal of Production Economics, Elsevier, vol. 203(C), pages 311-321.
    13. Chávez, Marcela María Morales & Sarache, William & Costa, Yasel, 2018. "Towards a comprehensive model of a biofuel supply chain optimization from coffee crop residues," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 116(C), pages 136-162.

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