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A marketing-oriented production inventory model under hybrid carbon policy with carbon emission origin-based green investments

Author

Listed:
  • Srabani Shee
  • Tripti Chakrabarti

Abstract

This article studies an EPQ system for deteriorating products where demand rate is assumed to be a function of advertisement parameter and selling price under hybrid carbon regulation with green investment (GI). Here, we consider latest type of market demand which is a combination of sales-price and the rate of advertisement of the product in the news and electronic media. The proposed hybrid carbon strategy is a mix of carbon cap-trade and carbon tax (CT) regulations. Here, the carbon emission (CE) arises from three origins - setup, manufacturing, and stock carrying process. The production-house can spend money on green equipments in all CEs origin independently to decrease CE. This article helps retailers to maximise the total profit through determination of optimal production time, advertising variables and amount of GI in the three origins. The numerical illustration helps to compare the objective value under different environment. Lastly, sensitivity analysis is calculated to learn the effect of the various parameters.

Suggested Citation

  • Srabani Shee & Tripti Chakrabarti, 2024. "A marketing-oriented production inventory model under hybrid carbon policy with carbon emission origin-based green investments," International Journal of Mathematics in Operational Research, Inderscience Enterprises Ltd, vol. 28(3), pages 325-346.
    • Handle: RePEc:ids:ijmore:v:28:y:2024:i:3:p:325-346
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