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Applying Fuzzy Decision-Making Trial and Evaluation Laboratory and Analytic Network Process Approaches to Explore Green Production in the Semiconductor Industry

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  • Bi-Huei Tsai

    (Department of Management Science, National Yang Ming Chiao Tung University, 1001 Ta-Hsueh Road, Hsinchu 300093, Taiwan)

Abstract

As environmental awareness grows, society emphasizes green business. Thus, semiconductor companies encompass energy-saving processes and innovative product development. This study employs the fuzzy decision-making trial and evaluation laboratory (DEMATEL) analysis method to assess the impact of four key dimensions, externalities, market orientation, green technology, and corporate social responsibility, on semiconductor companies’ green production decisions. This study uses the DEMATEL-based analytic network process (DANP) approach to rank the criteria order in green production decision-making. The results from the DEMATEL causality diagram highlight externalities as the most critical dimension influencing other dimensions of green production decisions. This study suggests that regulatory pollution punishment and subsidies emerge as the primary drivers for green production decisions. Companies adopt environmentally friendly production practices to prevent regulatory pollution penalties or reduce carbon trading costs. Additionally, the DANP results reveal that corporate image criteria in the corporate social responsibility dimension hold the utmost priority in semiconductor firms’ green production decision-making. This implies that considerations for improving a company’s image should take precedence as semiconductor companies seek shareholder support and governmental subsidies to ensure sustainable operations. Externalities arise as the secondary priority dimension in green production decision-making, aligning with the impact of externalities identified in DEMATEL findings.

Suggested Citation

  • Bi-Huei Tsai, 2024. "Applying Fuzzy Decision-Making Trial and Evaluation Laboratory and Analytic Network Process Approaches to Explore Green Production in the Semiconductor Industry," Sustainability, MDPI, vol. 16(16), pages 1-17, August.
    • Handle: RePEc:gam:jsusta:v:16:y:2024:i:16:p:7163-:d:1460391
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    References listed on IDEAS

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    1. Md. Ismail Hossain & Md Al Amin & Roberto Baldacci & Md. Habibur Rahman, 2023. "Identification and Prioritization of Green Lean Supply Chain Management Factors Using Fuzzy DEMATEL," Sustainability, MDPI, vol. 15(13), pages 1-20, July.
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    3. Yu-Shan Chen, 2008. "The Driver of Green Innovation and Green Image – Green Core Competence," Journal of Business Ethics, Springer, vol. 81(3), pages 531-543, September.
    4. Bi-Huei Tsai & Yao-Min Huang, 2023. "Comparing the Substitution of Nuclear Energy or Renewable Energy for Fossil Fuels between the United States and Africa," Sustainability, MDPI, vol. 15(13), pages 1-16, June.
    5. Miao, Chenglin & Fang, Debin & Sun, Liyan & Luo, Qiaoling, 2017. "Natural resources utilization efficiency under the influence of green technological innovation," Resources, Conservation & Recycling, Elsevier, vol. 126(C), pages 153-161.
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    Cited by:

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    2. Bushra Mushtaq & Anthony Halog & Shahzad Hussain, 2026. "Integrating Circular Economy and Industrial Green Total Factor Productivity: a CIGTFP Model for Industrial Sustainable Development and Environmental Management," Circular Economy and Sustainability, Springer, vol. 6(2), pages 1-22, April.

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