Green Innovation and Pricing Decisions in an E-commerce Closed-Loop Supply Chain Under the Subsidy Policy

doi:10.12068/j.issn.1005-3026.2023.06.015

Abstract

Abstract: An e-commerce closed-loop supply chain game model under the subsidy policy was constructed based on different cooperation models of partial authorization， full delegation and two-way competition. The key factors for manufacturers to engage in product green innovation were explored and the impact of government subsidies and innovation cost factors on product green innovation and pricing decisions was analyzed. It was shown that manufacturers make green innovation only when government subsidies or cost savings from green innovation are large enough. Government subsidies and manufacturers’ willingness to make green innovation are the highest under the partial authorization model. In contrast， government subsidies are the lowest under the two-way competition model and manufacturers’ willingness to make green innovation is the lowest under the full delegation model. Green innovation under the subsidy policy can reduce the selling price， increase the recycling price， and significantly improve manufacturers’ profit.

Key words: e-commerce; closed-loop supply chain; green innovation; subsidy policy; cooperation model; pricing

CLC Number:

F224

GUAN Zhi-min， ZHAO Ying， MOU Yu-xia， YE Tong. Green Innovation and Pricing Decisions in an E-commerce Closed-Loop Supply Chain Under the Subsidy Policy[J]. Journal of Northeastern University(Natural Science), 2023, 44(6): 871-879.

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