Abstract

In the current situation, environmental pollution is one of the vital issues affecting every country. In this research paper, we have developed a production inventory model based on carbon emissions, level of greenness, and the warranty of a product. However, very little research has reported on the topics mentioned above. To set up a sustainable imperfect production inventory model, the following suppositions are made: (a) that carbon is released during the production process and that it can be mitigated by imposing technology preventing carbon release directly into the environment; (b) that manufacturers provide a price discount on the selling price of the product to attract customers; and (c) that manufacturers also give attention to the warranty on the goods. This paper assesses the effects of the greenness, warranty of an item, and technology preventing carbon release into the environment on overall profit to help decision-makers make more effective decisions about pricing and replenishment. Three decision variables will need to have their optimal values determined using an algorithm. To justify the proposed model, one numerical example is solved. Finally, a sensitivity analysis is performed to determine how various factors affect total profit.

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