Optimal Decisions in Green, Low-Carbon Supply Chain Considering the Competition and Cooperation Relationships between Different Types of Manufacturers

Xiaoqing Zhang, Wantong Chen, Min Wang*, Dalin Zhang

*Corresponding author for this work

Research output: Contribution to journalJournal articleResearchpeer-review


In this study, we built a green, low-carbon supply chain including one green manufacturer, one green remanufacturer and one retailer in which the manufacturer produces new, green, low-carbon products and the remanufacturer recycles and remanufactures the green, low-carbon products. We assumed the manufacturer to be the Stackelberg leader and the remanufacturer and the retailer to be Stackelberg followers. The game model was solved using backward induction. We discuss the optimal operation strategies for green, low-carbon supply-chain members in a centralized decision-making model, decentralized decision-making model, manufacturer–remanufacturer cooperative decision-making model and manufacturer–retailer cooperative decision-making model. Furthermore, we discuss the impacts of the unit cost savings for remanufacturing, the recovery cost coefficient and the green improvement cost coefficient on the green supply-chain members’ optimal decision and profits. The results show that increased unit cost savings from remanufacturing can increase the total profit of the supply chain and promote the recycling and remanufacturing of waste products. Moreover, the total profit of the green, low-carbon supply chain is the highest in the centralized decision-making model and lowest in the manufacturer cooperative decision-making model. When there is a cooperation relationship between the manufacturer and the retailer, the optimal recycling effort level and the optimal greenness level for the new product and the remanufactured product are the highest.

Original languageEnglish
Article number15111
JournalInternational Journal of Environmental Research and Public Health
Issue number22
Publication statusPublished - 16 Nov 2022

Bibliographical note

Funding Information:
This work was supported by the 2022 General Project of Innovation and Entrepreneurship for College Students in Jiangsu Province, the Natural Science Foundation of University in Jiangsu Province (no. 22KJB630005), the Social Science Foundation in Jiangsu Province (no. 22GLC011) and the Philosophy and Social Science Research Project of University in Jiangsu Province (no. 2022SJYB1167).

Publisher Copyright:
© 2022 by the authors.


  • green low-carbon supply chain
  • level of recycling effort
  • products’ greenness level
  • recycling and remanufacturing
  • Decision Making
  • Recycling/methods
  • Costs and Cost Analysis
  • Carbon


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