Optimal Production Decisions of Green Supply Chain Under Random Demand in Production Manufacturing

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Yi Wang, et al.

Abstract

To investigate supply chain’s performance in production manufacturing industry, we establish a green one under random demand containing two members.In the channel, production quantity, wholesale price, and green-level are decided by the manufacturer. Retail price is decidedby theretailer. It showshow the parameters, such as the market potential, consumers' preference for green products, production cost and the green investment parameter, influence the performance of the production, pricing decision, whole channel's profit. We find that: (1) When the two members work as a team, green-level will increase, and this will also promote sustainable development of green production;(2) In the face of random demand, improvements in the manufacturer's green production technology, increased promotion of green products by the retailer, and enhanced green preferences of consumers are all conductive to improve channel's total profit.

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How to Cite
et al., Y. W. (2021). Optimal Production Decisions of Green Supply Chain Under Random Demand in Production Manufacturing. CONVERTER, 459 - 475. https://doi.org/10.17762/converter.198
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