IDEAS home Printed from https://ideas.repec.org/a/hin/complx/3512142.html
   My bibliography  Save this article

Manufacturers’ Green Decision Evolution Based on Multi-Agent Modeling

Author

Listed:
  • Zhen Li
  • Hongming Zhu
  • Qingfeng Meng
  • Changzhi Wu
  • Jianguo Du

Abstract

The development of green products is gradually becoming important due to serious ecological issues. In this study, an agent-based model is developed to visualize and analyze the evolution of green decision-making in the manufacturing industry. Based on this agent-based model, the macrobehaviors of manufacturers, consumers, and products are analyzed and simulated. Our results show that, first, the manufacturing industry emerges showing a “convergence” effect. The manufacturers may overestimate the consumers’ green degree demand, but this gradually gets corrected through the mechanisms of market competition. Second, as consumer income increases, it becomes easier for manufacturers to adapt to the market’s supply and demand as impacted by the products’ green degrees, and it becomes unfavorable for them to form a monopoly in the market. Furthermore, the profit of manufacturers is mainly derived from the sales and gradually gets more influenced by the products’ green degree when the consumer income increases.

Suggested Citation

  • Zhen Li & Hongming Zhu & Qingfeng Meng & Changzhi Wu & Jianguo Du, 2019. "Manufacturers’ Green Decision Evolution Based on Multi-Agent Modeling," Complexity, Hindawi, vol. 2019, pages 1-14, April.
  • Handle: RePEc:hin:complx:3512142
    DOI: 10.1155/2019/3512142
    as

    Download full text from publisher

    File URL: http://downloads.hindawi.com/journals/8503/2019/3512142.pdf
    Download Restriction: no

    File URL: http://downloads.hindawi.com/journals/8503/2019/3512142.xml
    Download Restriction: no

    File URL: https://libkey.io/10.1155/2019/3512142?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Zhu, Wenge & He, Yuanjie, 2017. "Green product design in supply chains under competition," European Journal of Operational Research, Elsevier, vol. 258(1), pages 165-180.
    2. S Swami & J Shah, 2013. "Channel coordination in green supply chain management," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 64(3), pages 336-351, March.
    3. Dang, Ha V. & Lin, Mi, 2016. "Herd mentality in the stock market: On the role of idiosyncratic participants with heterogeneous information," International Review of Financial Analysis, Elsevier, vol. 48(C), pages 247-260.
    4. Arda Yenipazarli & Asoo J. Vakharia, 2017. "Green, greener or brown: choosing the right color of the product," Annals of Operations Research, Springer, vol. 250(2), pages 537-567, March.
    5. Yu-Shan Chen, 2008. "The Positive Effect of Green Intellectual Capital on Competitive Advantages of Firms," Journal of Business Ethics, Springer, vol. 77(3), pages 271-286, February.
    6. Bin Wu & Wanying Huang & Pengfei Liu, 2017. "Carbon Reduction Strategies Based on an NW Small-World Network with a Progressive Carbon Tax," Sustainability, MDPI, vol. 9(10), pages 1-22, September.
    7. Raza, Syed Asif & Rathinam, Sivakumar & Turiac, Mihaela & Kerbache, Laoucine, 2018. "An integrated revenue management framework for a firm’s greening, pricing and inventory decisions," International Journal of Production Economics, Elsevier, vol. 195(C), pages 373-390.
    8. Ghosh, Debabrata & Shah, Janat, 2012. "A comparative analysis of greening policies across supply chain structures," International Journal of Production Economics, Elsevier, vol. 135(2), pages 568-583.
    9. Adepetu, Adedamola & Keshav, Srinivasan & Arya, Vijay, 2016. "An agent-based electric vehicle ecosystem model: San Francisco case study," Transport Policy, Elsevier, vol. 46(C), pages 109-122.
    10. Nouira, Imen & Frein, Yannick & Hadj-Alouane, Atidel B., 2014. "Optimization of manufacturing systems under environmental considerations for a greenness-dependent demand," International Journal of Production Economics, Elsevier, vol. 150(C), pages 188-198.
    11. Kim, Byung-Do & Blattberg, Robert C & Rossi, Peter E, 1995. "Modeling the Distribution of Price Sensitivity and Implications for Optimal Retail Pricing," Journal of Business & Economic Statistics, American Statistical Association, vol. 13(3), pages 291-303, July.
    12. Eppstein, Margaret J. & Grover, David K. & Marshall, Jeffrey S. & Rizzo, Donna M., 2011. "An agent-based model to study market penetration of plug-in hybrid electric vehicles," Energy Policy, Elsevier, vol. 39(6), pages 3789-3802, June.
    13. Liu, Zugang (Leo) & Anderson, Trisha D. & Cruz, Jose M., 2012. "Consumer environmental awareness and competition in two-stage supply chains," European Journal of Operational Research, Elsevier, vol. 218(3), pages 602-613.
    14. Zhang, Tao & Zhang, David, 2007. "Agent-based simulation of consumer purchase decision-making and the decoy effect," Journal of Business Research, Elsevier, vol. 60(8), pages 912-922, August.
    15. Meng, Qingfeng & Li, Zhen & Liu, Huimin & Chen, Jingxian, 2017. "Agent-based simulation of competitive performance for supply chains based on combined contracts," International Journal of Production Economics, Elsevier, vol. 193(C), pages 663-676.
    16. Cheol Park & Heejung Lee & Jongkun Jun & Thaemin Lee, 2018. "Two-sided effects of customer participation: roles of relationships and social-interaction values in social services," Service Business, Springer;Pan-Pacific Business Association, vol. 12(3), pages 621-640, September.
    17. Zhen Li & Xiaofei Lv & Hongming Zhu & Zhaohan Sheng, 2018. "Analysis of Complexity of Unsafe Behavior in Construction Teams and a Multiagent Simulation," Complexity, Hindawi, vol. 2018, pages 1-15, August.
    18. Hong, Zhaofu & Dai, Wei & Luh, Hsing & Yang, Chenchen, 2018. "Optimal configuration of a green product supply chain with guaranteed service time and emission constraints," European Journal of Operational Research, Elsevier, vol. 266(2), pages 663-677.
    19. Ghosh, Debabrata & Shah, Janat, 2015. "Supply chain analysis under green sensitive consumer demand and cost sharing contract," International Journal of Production Economics, Elsevier, vol. 164(C), pages 319-329.
    20. Elke Moser & Andrea Seidl & Gustav Feichtinger, 2014. "History-dependence in production-pollution-trade-off models: a multi-stage approach," Annals of Operations Research, Springer, vol. 222(1), pages 457-481, November.
    21. Vasileiou, Efi & Georgantzís, Nikolaos, 2015. "An experiment on energy-saving competition with socially responsible consumers: Opening the black box," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 58(C), pages 1-10.
    22. Yu, Yugang & Han, Xiaoya & Hu, Guiping, 2016. "Optimal production for manufacturers considering consumer environmental awareness and green subsidies," International Journal of Production Economics, Elsevier, vol. 182(C), pages 397-408.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Roberto Dominguez & Salvatore Cannella, 2020. "Insights on Multi-Agent Systems Applications for Supply Chain Management," Sustainability, MDPI, vol. 12(5), pages 1-13, March.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Qingfeng Meng & Hongming Zhu & Zhen Li & Jianguo Du & Xiangyu Wang & Mi Jeong Kim, 2018. "How Green Building Product Decisions from Customers Can Be Transitioned to Manufacturers: An Agent-Based Model," Sustainability, MDPI, vol. 10(11), pages 1-16, October.
    2. Xia, Senmao & Ling, Yantao & de Main, Leanne & Lim, Ming K. & Li, Gendao & Zhang, Peter & Cao, Mengqiu, 2022. "Creating a low carbon economy through green supply chain management: investigation of willingness-to-pay for green products from a consumer’s perspective," LSE Research Online Documents on Economics 116895, London School of Economics and Political Science, LSE Library.
    3. Yang, Huixiao & Luo, Jianwen & Wang, Haijun, 2017. "The role of revenue sharing and first-mover advantage in emission abatement with carbon tax and consumer environmental awareness," International Journal of Production Economics, Elsevier, vol. 193(C), pages 691-702.
    4. Yang Tong & Yina Li, 2018. "External Intervention or Internal Coordination? Incentives to Promote Sustainable Development through Green Supply Chains," Sustainability, MDPI, vol. 10(8), pages 1-20, August.
    5. Chenbo Zhu & Juntian Yue & Jing Chen, 2022. "Green Product Development and Order Strategies for Retailers," Sustainability, MDPI, vol. 14(15), pages 1-18, August.
    6. Zhaofu Hong & Hao Wang & Yeming Gong, 2019. "Green product design considering functional-product reference," Post-Print hal-02312293, HAL.
    7. Zolfagharinia, Hossein & Zangiabadi, Maryam & Hafezi, Maryam, 2023. "How much is enough? Government subsidies in supporting green product development," European Journal of Operational Research, Elsevier, vol. 309(3), pages 1316-1333.
    8. Abhishek Srivastava & Abhishek Chakraborty & Arqum Mateen, 2022. "Role of power imbalance on channel coordination under greening investments," OPSEARCH, Springer;Operational Research Society of India, vol. 59(4), pages 1522-1554, December.
    9. Hong, Zhaofu & Wang, Hao & Gong, Yeming, 2019. "Green product design considering functional-product reference," International Journal of Production Economics, Elsevier, vol. 210(C), pages 155-168.
    10. Chen, Wenbo, 2018. "Retailer-driven carbon emission abatement with consumer environmental awareness and carbon tax: Revenue-sharing versus Cost-sharingAuthor-Name: Yang, Huixiao," Omega, Elsevier, vol. 78(C), pages 179-191.
    11. Wentao Yi & Zhongwei Feng & Chunqiao Tan & Yuzhong Yang, 2021. "Green Supply Chain Management with Nash Bargaining Loss-Averse Reference Dependence," Mathematics, MDPI, vol. 9(24), pages 1-26, December.
    12. Raza, Syed Asif & Govindaluri, Srikrishna Madhumohan, 2019. "Pricing strategies in a dual-channel green supply chain with cannibalization and risk aversion," Operations Research Perspectives, Elsevier, vol. 6(C).
    13. Zhongwei Feng & Chunqiao Tan, 2019. "Pricing, Green Degree and Coordination Decisions in a Green Supply Chain with Loss Aversion," Mathematics, MDPI, vol. 7(3), pages 1-25, March.
    14. Yenipazarli, Arda, 2017. "To collaborate or not to collaborate: Prompting upstream eco-efficient innovation in a supply chain," European Journal of Operational Research, Elsevier, vol. 260(2), pages 571-587.
    15. Jiguang Wang & Jianhong Chang & Yucai Wu, 2020. "The Optimal Production Decision of Competing Supply Chains When Considering Green Degree: A Game-Theoretic Approach," Sustainability, MDPI, vol. 12(18), pages 1-20, September.
    16. Avinadav, Tal & Levy, Priel, 2023. "The effect of an uncertain commission rate on the decisions of a capital-constrained developer," Operations Research Perspectives, Elsevier, vol. 11(C).
    17. Liming Zhao & Ling Li & Yao Song & Cong Li & Yujie Wu, 2018. "Research on Pricing and Coordination Strategy of a Sustainable Green Supply Chain with a Capital-Constrained Retailer," Complexity, Hindawi, vol. 2018, pages 1-12, January.
    18. Hui Li & Chuanxu Wang & Meng Shang & Wei Ou, 2017. "Pricing, Carbon Emission Reduction, Low-Carbon Promotion and Returning Decision in a Closed-Loop Supply Chain under Vertical and Horizontal Cooperation," IJERPH, MDPI, vol. 14(11), pages 1-26, November.
    19. Gan Wan & Gang Kou & Tie Li & Feng Xiao & Yang Chen, 2020. "Pricing Policies in a Retailer Stackelberg O2O Green Supply Chain," Sustainability, MDPI, vol. 12(8), pages 1-16, April.
    20. Gurmeet Singh & Indranil Biswas & Samir K Srivastava, 2023. "Managing supply chain with green and non‐green products: Channel coordination and information asymmetry," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 44(2), pages 1359-1372, March.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hin:complx:3512142. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Mohamed Abdelhakeem (email available below). General contact details of provider: https://www.hindawi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.