The Effect of Green Advertising, Trust, and Attitude on Green Purchase Intention: An Evidence from Jogjakarta, Indonesia

The damaged environment that has been influenced by human life is now encouraging consumer behavior changes to be more aware of the environment and interested in buying green products; and through this study, we want to determine and analyze the role of attitude as mediation and the effect of green advertising, green brand trust, and attitudes towards green purchase intention. We used a questionnaire and obtained a sample of 118 respondents using the purposive sampling technique. Then, we analyze the data using PLS-SEM analysis tool with Smart PLS 3.2.8. Our results showed that green advertising, green brand trust, and attitudes towards green products had a significant and positive effect directly on green purchase intention. Green product mediation's variable attitude was full of green advertising variables, green brand on green purchase intention

Service Operations Optimization: Recent Development in Supply Chain Management

Services are the key of success in operation management. Designing the effective strategies by optimization techniques is the fundamental and important condition for performance increase in service operations (SOs) management. In this paper, we mainly focus on investigating SOs optimization in the areas of supply chain management, which create the greatest business values. Specifically, we study the recent development of SOs optimization associated with supply chain by categorizing them into four different industries (i.e., e-commerce industry, consumer service industry, public sector, and fashion industry) and four various SOs features (i.e., advertising, channel coordination, pricing, and inventory). Moreover, we conduct the technical review on the stylish industries/topics and typical optimization models. The classical optimization approaches for SOs management in supply chain are presented. The managerial implications of SOs in supply chain are discussed

A bi-objective model for scheduling green investments in two-stage supply chains

Investing in green technologies to increase sustainability in supply chains has become a common practice for two reasons: the first is directly related to the defense of the environment and people’s health to smooth the emissions of pollutants; the second is the increasing consumer awareness of green products. Despite the higher costs of producing with green technologies and processes, there is also a higher markup on the price of products which rewards the former costs. This study proposes a mathematical model for scheduling green investments over time in a two-stage supply chain to minimize the impact of production on the environment and the economic costs deriving from the investment. The resulting bi-objective model has nonlinear constraints and is solved using a commercial solver. Given its complexity, we propose an upper-bound heuristic and a lower-bound model to reduce the optimality gap attained at a given time limit. Tests on synthetic instances have been conducted, and an example demonstrates the applicability and efficacy of the proposed model

Determining the Optimal Carbon Tax Rate based on Data Envelopment Analysis

Carbon tax policy is widely used to control greenhouse gases and how to determine a suitable carbon tax rate is very important for policy makers considering the trade-off between environmental protection and economic development. In an industry regulated by carbon tax policy, we consider two competing firms who sell ordinary products and green products respectively. In order to promote the firm who sells ordinary product to reduce carbon emissions, the government of China imposes carbon tax on the ordinary products. For the government, three objectives are considered when it makes carbon tax policy. They are increasing the government revenue, reducing the government expenditure and decreasing the carbon emissions. For the firms, it is important to explore their pricing strategies taken into account of the government tax policy. To find an optimal carbon tax rate and to achieve the three objectives simultaneously, we consider this as a multiple criteria decision-making problem. Hence, we propose to use a centralized data envelopment analysis (DEA) approach to solve it. We find that when one firm produces ordinary products and the other produces green products, the government may set a high tax rate. While when both firms sell ordinary products, the optimal tax policy for each firm is different and the government may impose a higher tax rate for one firm and a lower tax rate for the other firm

To share or not to share: the optimal advertising effort with asymmetric advertising effectiveness

In this paper, we study a two-stage model in which a manufacturer expands to a new market through a local retailer and has private information on the advertising effectiveness. The manufacturer chooses the information sharing format with the retailer, either no information sharing or mandatory information sharing. Under no information sharing format, the manufacturer and the retailer play a signaling game. We derive both separating and pooling equilibria and conduct equilibrium refinements for the signaling game. Under mandatory information sharing format, the manufacturer simply informs the retailer the advertising effectiveness. We also establish the stylized model and derive the optimal advertising effort. By comparing the manufacturer’s ex ante profit under the two information sharing formats, we find that the manufacturer always prefers mandatory information sharing, under which both the advertising effort and profit can be higher. We also observe that unlike the common case that the channel members may have different preference over the information sharing formats, the manufacturer and the retailer can actually achieve alignment. While some previous studies suggest that the manufacturer and the retailer may have different preference over the information sharing formats, we find that they can actually achieve alignment with asymmetric information on advertising effectiveness

Sustainability in Supply Chains with Behavioral Concerns

Environmental sustainability has received considerable attention in industry and academia. Many firms have begun to adopt sustainability practices, such as investing in cleaner technology and using organic or recyclable materials, to enhance sustainability in supply chains. Such sustainability practices affect corporate social responsibility and business performance. On the other hand, when consumers and supply chain managers make decisions, they may be constrained by behavioral concerns. Behavioral concerns can significantly influence optimization in supply chains. Thus, it is critical to consider the impacts of behavioral concerns on sustainability in supply chains. In this paper, we concisely examine studies in sustainability issues in supply chains with behavioral concerns and introduce the papers featured in this Special Issue

Green Finance: Recent Developments, Characteristics and Important Actors

Various so-called green investments are intended to limit the warming of the earth's climate, thus minimizing social, environmental and economic damage. The article introduces into the corresponding research field of Green Finance by providing current data, by showing historical developments, and by forecasting future tasks. Further, the article depicts the major difficulties of research on Green Finance; particularly rapid technological progress, the dependence of governmental support, high uncertainties, and, especially the interactions of so many actors. Finally, the article gives a short review on the research field of Green Finance

Low carbon decision-making model under the combined effect of corporate social responsibility and overconfidence

This paper explores the impact of retailers' corporate social responsibility (CSR) and manufacturers' overconfidence on manufacturers' carbon reduction in sustainable supply chains. We analyze the profits of manufacturers and retailers under different scenarios and explore the social welfare and environmental impacts under CSR. Our results suggest that retailers' CSR and manufacturers' overconfidence contribute positively to promoting carbon mitigation and reducing environmental impacts under certain conditions. However, with increasing CSR and manufacturer overconfidence levels, manufacturers are more likely to lead to worse environmental impacts and carbon emission reduction. In addition, we show that when the manufacturer's overconfidence level is high, manufacturers and retailers are more profitable and contribute to carbon emission reductions in the manufacturer without overconfidence (retailer without CSR) scenario. Moreover, we find that firms have the higher potential to capture optimal overall social welfare in the presence of retailers with CSR and manufacturer overconfidence

Effectiveness of environmental regulations: firm’s decisions and welfare implications

In this paper, we compare four policy instruments–tax, subsidy, binding emissions and cap-and-trade, to determine which policy is the most effective and whether they are equivalent. We also examine if a firm’s policy preference differs from that of a policymaker. Our motivation stems from the global use of a wide array of pollution instruments. Using a game theoretic approach, we analyze how carbon abatement, production quantity, profitability and welfare vary between different policy tools. We find that the tax policy is equivalent to the binding emission standards while welfare comparison shows that the highest welfare is attributed to either the tax or subsidy policy depending on the levels of environmental damage. We find that both the policymaker and the firm prefer a subsidy policy under lower thresholds of environmental damage. Exploring hybrid policies, we find that a multi-part tariff contract jointly implements the socially optimal outcomes and leads to a win-win situation for both the firm and the policymaker. Our findings offer guidance for policymakers and managers to implement appropriate policies based on the degree of environmental damage and to consider using hybrid policies that achieve higher pollution abatement and improved welfare