Dual-channel structure choice of an environmental responsibility supply chain with green investment

Abstract

With the rapid development of e-commerce, many green manufacturers are increasingly adopting dual-channel structure to sell their products. However, in the sustainable development social movement, environmental responsibility behavior is regarded as an important factor for the choice of the dual-channel structure. This article clearly models the environmental responsibility behaviors of both manufacturer and consumers to study the dual-channel structure strategy of a green manufacturer and further examines its environmental performance under fuzzy uncertainties. By solving game models, dual-channel structure strategy under considering behavioral characteristics is obtained. Some interesting and unique findings are generated. Specifically, a high manufacturer's environmental responsibility degree and green costs impede while the green level and consumer demand uncertainty encourage the manufacturer to open his online channel. Although improving the green level, dual channels may not be beneficial to environment protection. Moreover, when green costs are relatively low, the retailer might be benefit from the introduction of the direct channel.