Abstract
Carbon policies and consumer environmental consciousness are effective motivators that drive enterprises to adopt sustainability technology. To provide enterprises insights into sustainable investment and inventory-transportation decision-making and governments insights into policy-making, this study investigates integrated inventory-transportation scheduling considering consumer environmental consciousness and sustainability technology under carbon cap, tax, and cap-and-trade policies. We first examined sustainability that extends the economic order quantity (EOQ) models, simultaneously taking into account the comprehensive emission model, consumer environmental consciousness, and carbon policies. We then optimized the sustainability level and EOQ using the simulation method. Furthermore, we performed a regression analysis on the carbon policy effects on sustainability level, profit, and emission. Moreover, using the regression models, we estimated and discussed the optimal policy parameters from the perspective of social welfare maximization. The results indicate that the carbon cap-and-trade policy is superior to carbon cap and tax policies. Under carbon cap and tax policies, the tougher the carbon policy, the higher the sustainability level and the lower the profit and carbon emission. Meanwhile, under the carbon cap-and-trade policy, the carbon trading price is the decisive factor that affects the sustainability level, enterprises’ profit, and carbon emission; the carbon cap has a positive regulatory effect on profit.
Highlights
In recent years, global warming and climate change have created increasing awareness of environmental issues among people [1]
Each carbon policy were programmed separately in MATLAB. e optimal sustainability level S, economic order quantity (EOQ) Q, profit Z, and carbon emission E are shown in Table 3. e computation time is less than 0.5 s in all cases, implying the feasibility of the simulation optimization method
Increasing the sustainability level reduces carbon emission, whereas increasing the cost of sustainable investment reduces the profits. e simulation results show that when the carbon cap ratio increases by 1%, the sustainability level decreases by 0.01672, the carbon emission increases by 1,318.623 kg, and the profit increases by $200.797
Summary
Global warming and climate change have created increasing awareness of environmental issues among people [1]. Erefore, enterprises need joint decisions on sustainability level and inventory-transportation solutions to satisfy the carbon emission requirements set by the governments. Toptal et al [19] and Huang et al [3] developed EOQ models with sustainable investment They did not consider consumer environmental awareness; that is, the demand in their models was constant and did not vary with the sustainability level. Inventorytransportation models that consider consumer environmental awareness and sustainable investment under carbon cap, tax, and cap-and-trade policies were investigated. (1) How do enterprises decide sustainability level and inventory-transportation scheduling simultaneously under carbon cap, tax, and cap-and-trade policies?.
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