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Research on Carbon Emission Reduction and Preservation Strategies for Fresh Agricultural Products Under Different Cost-Sharing Mechanisms

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  • Jianhua Wang

    (Business School, Jiangnan University, Wuxi 214122, China)

  • Xiwen Xu

    (Business School, Jiangnan University, Wuxi 214122, China)

Abstract

This study investigates the dynamic carbon emission reduction strategies in a three-tier cold chain supply system consisting of producer, third-party logistics (TPL) provider, and retailer. Using differential game theory, it explores the emission reduction and preservation strategies of supply chain members under different cost-sharing mechanisms. This study finds that when the entity with higher marginal profits shares the costs, the TPL provider increases its efforts in emission reductions and research and development (R&D) investment. The producer and retailer are more willing to enhance their emission reduction efforts when sharing emission reduction costs, which increases carbon emission reduction and decreases overall emissions. Cost-sharing for preservation enhances the TPL provider’s R&D enthusiasm but does not affect the total emission reduction. When the marginal profits of the producer and retailer reach a certain level, sharing both emission reductions and preservation costs can simultaneously improve carbon reduction and preservation quality. An emission reduction cost-sharing contract can increase corporate profits, while a preservation cost-sharing contract further enhances profitability based on emission reduction cost sharing. Furthermore, the carbon emission reduction and preservation quality of fresh products gradually increase over time and eventually stabilize.

Suggested Citation

  • Jianhua Wang & Xiwen Xu, 2025. "Research on Carbon Emission Reduction and Preservation Strategies for Fresh Agricultural Products Under Different Cost-Sharing Mechanisms," Mathematics, MDPI, vol. 13(8), pages 1-28, April.
  • Handle: RePEc:gam:jmathe:v:13:y:2025:i:8:p:1225-:d:1630530
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    References listed on IDEAS

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    1. Bai, Qingguo & Chen, Mingyuan & Xu, Lei, 2017. "Revenue and promotional cost-sharing contract versus two-part tariff contract in coordinating sustainable supply chain systems with deteriorating items," International Journal of Production Economics, Elsevier, vol. 187(C), pages 85-101.
    2. Liangjie Xia & Tingting Guo & Juanjuan Qin & Xiaohang Yue & Ning Zhu, 2018. "Carbon emission reduction and pricing policies of a supply chain considering reciprocal preferences in cap-and-trade system," Annals of Operations Research, Springer, vol. 268(1), pages 149-175, September.
    3. Wu, Qing & Mu, Yinping & Feng, Yi, 2015. "Coordinating contracts for fresh product outsourcing logistics channels with power structures," International Journal of Production Economics, Elsevier, vol. 160(C), pages 94-105.
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