Supply Chain Behavior Research Articles

Shirking in supply chain collaborations: do circular economy entrepreneurship and technical capability moderate impacts for circular economy performance?

PurposeSmall and medium-sized enterprises (SMEs) in emerging economies are encouraged to form supply chain collaborations (SCC) for better circular economy (CE) performance. Yet, the literature remains silent on SMEs’ susceptibility to opportunistic behaviors of supply chain (SC) partners. This study draws on the transaction cost theory (TCT) and the resource-based view (RBV) to investigate the impact of shirking on SCC and CE performance while exploring how circular economy entrepreneurship (CEE) can curb the impacts of shirking on SCC as well as drive technical capability (TC) to moderate the relationship between SCC and CE performance.Design/methodology/approachThe TCT and RBV are used as a theoretical lens to investigate the direct, mediation and moderation effects tested via partial least square structural equation modeling (PLS-SEM) using survey data from 152 managers of SMEs in Nepal.FindingsContrary to past findings, the study results show that shirking, directly and indirectly, has a positive and significant impact on SCC and CE performance, respectively. The results also show that as CEE, which positively and significantly drives TC, moves from low to high levels, the effect of shirking on SCC dampens, and as TC moves from low to high levels, the effect of SCC on CE performance intensifies.Originality/valueThis study’s contribution lies in extending the shirking debate to the CE domain and also in identifying CEE and TC as potent means for SMEs in emerging economies to mitigate shirking impacts and induce SC partner commitments in CE-driven SCC. This study provides relevant theoretical and practical insights.

Supply chain behaviour under carbon regulations: an experimental study with system dynamic simulation

Carbon tax and emission trading policies have been introduced under the Kyoto Protocol to reduce greenhouse gas emissions. This paper examines the effect of these policies on supply chain behaviour to determine an optimal strategy for improving environmental performance via system dynamics simulation. For this purpose, a supply chain is considered under the carbon tax policy, where a supplier and a producer have both green and non-green methods for transportation and production. About the carbon tax, the question is what carbon price encourages the supplier and producer to use the green methods, and how each will behave at different carbon prices. Furthermore, to analyse emission trading policy, several supply chains are considered simultaneously and a method is developed to determine the carbon trading price in the market to maximise supply chains’ profit. The supply chains’ behaviour is simulated based on system dynamics and several experiments were conducted to analyse the effect of different scenarios of carbon regulations on the supply chains. Findings emphasise the need for tailored policies, challenging the notion of a one-size-fits-all approach to emission trading. This research provides valuable insights into the dynamic interplay between environmental sustainability and economic considerations in the context of evolving carbon policies.

Firms’ shareholding behavior in green supply chains: Carbon emissions reduction, power structures, and technology spillovers

Leaders in green supply chains are increasingly focusing on improving strategic synergy with followers through shareholding strategies. By constructing Stackelberg models, we explore the operational mechanisms in two models, manufacturer-led and retailer-led, which have forward and backward shareholding strategies, respectively. Compared with non-shareholding models, we find that the retailer's pricing becomes more sensitive to changes in the market environment after applying shareholding strategies, while the manufacturer's pricing depends on its power status. Interestingly, leaders and entire supply chains prefer shareholding strategies, while followers prefer shareholding strategies in good market environment or in bad market environment with their shares held by leaders below certain thresholds. Moreover, both forward and backward shareholding strategies can effectively promote carbon emissions reduction. Improving manufacturers' technology spillover positively impacts pricing and carbon emissions reduction and profits, and a reasonable shareholding ratio can encourage manufacturers to increase the level of technology spillover. Finally, a two-part tariff contract can effectively coordinate the vertical shareholding supply chain. The results provide decision guidance for managers in applying shareholding strategies to build a strategic alliance to improve firms' economic and environmental performance.

Fostering sustainable practices in Zimbabwean tourism for firewood energy sustainability and efficiency amid costly renewables, weak policies, scarce electricity, and extensive deforestation

AbstractAgainst the backdrop of Zimbabwe's captivating tourism landscapes and cultural heritage, energy sustainability challenges loom large. The paper investigates multifaceted relationship between, three independent variables: (reforestation program and funding, invasive tree species use, efficient cookstove adoption), one mediator: (green tourism supply chain behavior) and one dependent variable: (firewood energy sustainability). A quantitative approach was employed, collecting data from 483 tourists using simple random sampling and the Krejcie and Morgan table for determining the sample size. Questionnaires were distributed via Google forms, and structural equation modeling (SEM) was utilized for data analysis. Statistical findings indicate direct and indirect significant relationship between aforementioned variables and T‐statistics values all hypotheses were all greater than the threshold of 1.96. Ranging from a minimum of 2.515 to a maximum of 15.779. The findings pinpoint the importance of an integrated approach in Zimbabwe's tourism supply chain so as to address firewood energy sustainability and efficiency challenges stemming from costly renewables, weak policies, scarce electricity, and extensive deforestation. The study recommends tourism supply chain and policymakers to implement regulations on invasive species, offer incentives for technology adoption, practice and monitor green tourism supply chain practices within Zimbabwean tourism. The study's recommendations contribute to the ongoing discourse on fostering responsible energy practices within the tourism sector, aligning with global sustainability goals and future policy considerations.

Exploring symbiotic supply chains dynamics

Symbiotic Supply Chains – where the inputs of some members belonging to one supply chain are obtained using the waste generated by other companies in a different supply chain – represent a great opportunity for companies to move towards the Circular Economy paradigm. However, the dynamic behavior of Symbiotic Supply Chains (i.e., how detrimental time-varying phenomena of supply chains, such as the bullwhip effect, impact the performance) remains largely unknown. In this work we aim to contribute to this quite unexplored research field by analyzing the dynamics of two supply chains that implement, at the manufacturer level, a symbiotic exchange of waste. We derive closed analytical equations to estimate several indicators of the bullwhip effect under different information sharing scenarios and evaluate them for different coefficients of circularity (i.e. the average proportion of the output of one supply chain that is obtained using the waste of the other supply chain). Furthermore, we extend our analysis by carrying out a simulation study, when some underlying assumptions are removed, and a full-factorial Design of Experiments to emulate and explore the behavior of Symbiotic Supply Chains under further real-life scenarios. By doing so, we identify different properties of Symbiotic Supply Chains and provide some managerial implications. Among those, we observe how the bullwhip effect of one supply chain propagates to the other, which is also greatly influenced by the variability of the demand in both supply chains. Also, we note that high coefficient of circularity does not necessary improve the dynamic performance of Symbiotic Supply Chains. Results point out to the need to carefully design symbiotic exchange in supply chains to avoid undesirable effects that may hinder the advocated advantages of Circular Economy practices.

The extrication of complex dynamics and the impact of government policies on tourism supply chain behavior for sustainable tourism in Zimbabwe

AbstractIn the global pursuit of balancing economic growth with environmental and social sustainability within the tourism sector, sustainable tourism has garnered paramount attention. This research delves into the complex interplay among government policies, tourism supply chain behavior, and sustainability dimensions within the context of Zimbabwean tourism. A quantitative approach was employed, collecting data from 721 Zimbabwean tourism supply chain representatives using stratified random sampling and the Krejcie and Morgan table a method of determining the sample size. Questionnaires were distributed via Google Forms, and structural equation modeling (SEM) was utilized for data analysis. The results provide strong empirical evidence that government policies have a significant positive effect on sustainability dimensions related to the tourism industry. The data indicates robust positive relationships between government policies and economic, environmental, and social sustainability. Furthermore, tourism supply chain behavior is shown to be a meaningful mediator between government policies and multiple sustainability outcomes. This emphasizes the significance of collaborative efforts, responsible practices, and harmonized actions within the tourism supply chain in achieving sustainable tourism. The study illuminates avenues for improving tourism sustainability, enhances policy makers and readers understanding on how policy‐driven efforts and tourism supply chain dynamics jointly impact tourism sustainability, there by emphasizing the need for coordinated actions.

Analysis of Emission Reduction Mechanism of High-Tiered Carbon Tax under Green and Low Carbon Behavior

This article studies the emission reduction mechanism of high-tiered carbon taxes under green and low-carbon behavior in single and two-stage supply chains. First, based on the Cournot game model, it explores the impact of high-tiered carbon tax policies on supply chain carbon reduction decisions in the green exchange market. By analyzing the effects of implementing a high-tiered carbon tax policy, the basic characteristics of its implementation are identified, and the advantages of a high-tiered carbon tax compared to a unified carbon tax are summarized. Second, it establishes a carbon reduction technology investment cost-sharing model and a carbon tax cost-sharing model under the high-tiered carbon tax policy. It analyzes and studies the impact of high-tiered carbon tax policies on balancing the relationship between members of the two-level supply chain through optimal decision-making of the two-level supply chain under two cost-sharing strategies, revealing the emission reduction mechanism of the two-level supply chain under high-tiered carbon tax policies. The results indicate that there are extreme points in the emission reduction rates of producers in the green exchange market under both the high-tiered carbon tax policy and the unified carbon tax policy. It shows that the two cost-sharing strategies can effectively alleviate the cost burden for producers, increase their marginal profits, and promote further improvement in emission reduction. It explores the emission reduction mechanism of high-tiered carbon taxes and future research should delve into the emission reduction mechanism of high-tiered carbon taxes in different carbon emission departments and regions.

Fractal viewpoint in supply chain price competition

This paper investigates the dynamical behaviors of the classical dual-channel supply chain from the perspective of fractal theory. First, the definition of filled Julia set in supply chain price competition model is introduced. Second, according to the periodicities of the attractors, the filled Julia set is divided into several sub basins. On this basis, the importance of mixed coexisting attraction basins’ connectivity is further illustrated. Then, the inner characteristics of filled Julia sets under different online preferences are analyzed, which indicates that online preference increase has negative influence on filled Julia sets’ structures. Finally, for the unstable cases caused by high online preference, we adopt three control strategies and analyze their control effects by quantifying the connectivity restorations. The results suggest that the fractal viewpoint is beneficial for a global observation of the prices evolutions in different initial states, and could also evaluate the market status more comprehensively.

Understanding Blockchain Technology Adoption in Operation and Supply Chain Management of Pakistan: Extending UTAUT Model With Technology Readiness, Technology Affinity and Trust

This paper aims to investigate the behavioral intention to adopt blockchain technology (BC) in Pakistan’s operation and supply chain management. A conceptual framework is developed by extending the unified theory of acceptance and use of technology (UTAUT) model, incorporating technology readiness, technology affinity, and trust. The model was empirically examined using 198 responses from an online survey directed by a Pakistan operation and supply chain professionals. The proposed model is tested using Smart PLS. The empirical results suggest that BC adoption is positively influenced by facilitating condition, social influence, effort expectancy, technology readiness, and technology affinity, while performance expectancy and trust negatively influence BC to adopt. This research contributes to the advancement and stimulation of blockchain technology acceptance behavior in supply chains and significant managerial implications that could be more meaningful for developing economies.

A Review of Research on Green Supply Chain Practice in Enterprises

This article aims to summarize and summarize the research results of existing scholars on the driving factors and obstacles of enterprise green supply chain behavior, and explore the influencing factors of enterprise green supply chain behavior. This article aims to summarize and summarize the research results of existing scholars on the driving factors and obstacles of enterprise green supply chain behavior, and explore the influencing factors of enterprise green supply chain behavior. Internal factors include the characteristics and resources of the enterprise itself, such as environmental management awareness and culture, green technology and innovation. Internal factors include the characteristics and resources of the enterprise itself, such as environmental management awareness and culture, green technology and innovation, resource investment and economic benefits, and so on. External factors involve stakeholders in various aspects of the supply chain, such as government regulatory pressure, consumer demand, and supplier pressure. In order to take a more comprehensive view of the influencing factors, we will discuss the impact of green supply chain behavior on enterprises, such as environmental impact, environmental impact, and economic impact. In order to take a more comprehensive view of the influencing factors, we will discuss the impact of green supply chain behavior on enterprises, such as environmental performance and economic performance. By conducting in-depth research on the influencing factors of green supply chain behavior in enterprises, guidance can By conducting in-depth research on the influencing factors of green supply chain behavior in enterprises, guidance can be provided to help them formulate appropriate strategies and measures to achieve sustainable development goals.

Data-driven evolutionary computation for service constrained inventory optimization in multi-echelon supply chains

Supply chain digital twin has emerged as a powerful tool in studying the behavior of an actual supply chain. However, most studies in the field of supply chain digital twin have only focused on what-if analysis that compares several different scenarios. This study proposes a data-driven evolutionary algorithm to efficiently solve the service constrained inventory optimization problem using historical data that generated by supply chain digital twins. The objective is to minimize the total costs while satisfying the required service level for a supply chain. The random forest algorithm is used to build surrogate models which can be used to estimate the total costs and service level in a supply chain. The surrogate models are optimized by an ensemble approach-based differential evolution algorithm which can adaptively use different search strategies to improve the performance during the computation process. A three-echelon supply chain digital twin on the geographic information system (GIS) map in real-time is used to examine the efficiency of the proposed method. The experimental results indicate that the data-driven evolutionary algorithm can reduce the total costs and maintain the required service level. The finding suggests that our proposed method can learn from the historical data and generate better inventory policies for a supply chain digital twin.

A viable supply chain model for managing panic-buying related challenges: lessons learned from the COVID-19 pandemic

The COVID-19 pandemic exposed the vulnerabilities of global supply chains (SCs) and highlighted the need for more resilient and viable SCs. Panic-buying, in particular, has been a major challenge for SCs as it can create sudden surges in demand that are difficult to anticipate and manage. However, the literature lacks viable SC models and strategies to address panic-buying related challenges. As such, this research aims to identify and model viable recovery strategies to increase SC’s agility, resilience, and survivability and reduce panic-buying’s impact during a large-scale disruption in critical SCs. This study contributes by developing an integrated agent-based modeling (ABM) and optimisation method to simulate the behaviour of SCs under different scenarios and evaluating the effectiveness of four proposed strategies and three recovery plans. The findings reveal that increasing production at decentralised manufacturing facilities can be achieved by increasing order frequency to multiple suppliers and by partnering with third-party transporters, which can mitigate the effects of panic-buying. This results in higher output and availability of essential goods in the market, significantly managing panic-buying related challenges. Lastly, the study recommends practical solutions for businesses to enhance their SCs’ responsiveness to sudden demand surges from panic-buying.

Multi-tier supply chain behavior with blockchain technology: evidence from a frozen fish supply chain

Relationships in multi-tier supply chains (MTSCs) are complex and require constant information sharing. For MTSCs involved in perishable product distribution, blockchain technology (BCT) is one of the most promising technologies that can ensure products’ traceability and safety. This study examines a Portuguese MTSC for frozen fish products piloting BCT adoption for its supply chain (SC) practices. The goal is therefore to explore the consequences of information availability inherent for BCT adoption pilots in the SC context. This study follows a mixed-method approach, with qualitative and quantitative data collection techniques. Three semi-structured interviews with players from a single frozen fish SC, including supplier, transporter, and retailer were conducted. MAXQDA Analytics Pro 2022 software was used for further coding and data analysis. An online survey among retail chain consumers was conducted resulting in 112 responses. Regression analysis and Pearson correlation test were further performed via IBM SPSS Statistics software. Data collection for both parts took place between December 2021 and July 2022. This study explores four layers in the SC– including supplier, transporter, retailer and final consumer. Findings revealed a current lack of extensive and detailed information from upper tiers regarding products’ characteristics. Despite being hyped as a “trust-enabling” technology, BCT was found not to eliminate the need for trustful relationships between players prior to adoption, as information input requires human intervention. Even in those cases when the traceability option is not of major interest to final consumers, findings revealed a higher probability of purchasing fish products that have traceable information available.

Zmierzyć ślad węglowy kultury. Przykład projektu teatralnego

To Measure the Carbon Footprint of a Culture. A Case Study of a Theatrical Project The article presents the results of carbon footprint measurements of a theatre project. For the purpose of the research, data from a survey and in-depth interviews with representatives of Polish theatres were used. Based on this data, a “model” was created, encompassing different variations of theatrical performances, including production, promotion, as well as online and on-site operations during guest performances. The analysis covers both direct emissions related to electricity consumption, transportation, and set design, as well as indirect emissions resulting from the supply chain and possible audience behaviour. The results clearly indicate that the greatest challenge in terms of the carbon footprint of a theatre project faced by cultural managers is mobility and the use of air travel for transporting theatre ensembles and set designs over long distances. Moreover, the transportation needs of the theatre ensembles and set designs for long distance travels pose a challenge. Additionally, the use of individual car transportation by audiences – even for short distances, is problematic – which could be addressed through the implementation of local partnerships. Getting familiar with this analysis can help producers, cultural managers, artists, and those responsible for shaping cultural policies to identify aspects with the greatest environmental impact and take appropriate adaptive actions. Although most of these actions will involve a profound change in traditional project management practices in the theatre, paying attention to relevant indicators, consciously developing new habits, and sharing resources provides an opportunity to expedite adaptation based on knowledge and organizational learning. These types of activities are necessary due to the unrelenting projectification of the field of culture and beyond, which causes organizations to operate in a kind of “projectocene”.

Consumers’ purchase behavior in short food supply chains using social commerce in Indonesia

Short food supply chain (SFSC) practice using social commerce is still in its infancy; this is also true in Indonesia. Many studies on the SFSC that uses social commerce have been carried out in developed countries; however, there is only limited research on this subject in developing countries. In this study, factors that explain purchase behavior toward social commerce SFSCs in Indonesia are explored by considering information-seeking variables as components of knowledge formation and the perceived economic and social sustainability of SFSCs as advantages over long food supply chains. Our conceptual framework was developed from the theory of planned behavior and alphabet theory, with the addition of a perceived SFSC sustainability variable. Data were collected from consumers who purchase agricultural produce from social commerce SFSCs and members of the respective SFSC chat groups. Data analysis was conducted using partial least squares structural equation modeling. The results reveal that perceived SFSC sustainability is influenced by product knowledge, which in turn has a positive association with information-seeking behavior. Perceived SFSC sustainability influences attitude and, subsequently, influences purchase intention. Consumers who have strong purchase intention are likely to purchase; subjective norm does not affect purchase intention for consumers who have received sufficient information from social media. Perceived behavioral control influences purchase intention but not behavior because purchasing agricultural produce is a regular activity. This research provides a deep understanding of consumer behavior toward SFSCs that use social commerce. Based on the factors identified as influencing purchase behavior, sellers can provide information through social media to facilitate consumers’ purchasing decisions.

Impacts of Distributive Comparison Behavior on Corporate Social Responsibility in Supply Chains: The Role of Small Firms

Problem definition: In this paper, we explore how a firm’s concern about profit distribution and the size of downstream firms in supply chains affect corporate social responsibility (CSR) investment strategy. Methodology/results: In a supply chain consisting of one supplier and one manufacturer, both players decide whether to invest to reduce CSR violations, and they negotiate over a wholesale price. Distributive comparison behavior makes the manufacturer compare the profit with his equitable payoff, which is determined by the supplier’s profit. Advantageous (resp. disadvantageous) inequality occurs when the manufacturer’s profit is higher (resp. lower) than the manufacturer’s equitable payoff. We compare this supply chain to the one without distributive comparison behavior. We find that when advantageous inequality occurs, or when neither inequality occurs and the manufacturer’s sensitivity to the supplier’s profit is low, the manufacturer’s distributive comparison behavior makes the manufacturer less (resp. supplier more) likely to invest in CSR, which we call negative (resp. positive) impacts of distributive comparison behavior; otherwise, it makes the manufacturer more (resp. supplier less) likely to invest. In most cases, the weak bargaining power of the small manufacturer leads to larger positive or smaller negative impacts of distributive comparison behavior. Also, the low efficiency of the small manufacturer to reduce CSR violations leads to smaller negative impacts of distributive comparison behavior. Managerial implications: Our results show that governments and nongovernmental organizations (NGOs) should investigate firms’ distributive comparison behavior in supply chains. When downstream firms show the aversion to lower (resp. higher) profits than ones from upstream firms, the measures to monitor and support upstream (resp. downstream) firms’ CSR investments should be taken to avoid CSR violations. In the supply chains with small downstream firms, extra efforts should be made to induce firms’ distributive comparison behavior.Funding: M. Wang was supported partially by the National Natural Science Foundation of China [Grants 71931009 and 71671023]; X. Fang is grateful for the support under a Lee Kong Chian Fellowship and Retail Centre of Excellence Research Grant; Z. Wang was supported partially by the National Natural Science Foundation of China [Grants 72010107002, 71671023, and 72171212]; and Y. Chen was supported partially by the Research Grants Council of the Hong Kong Special Administrative Region, China [HKUST C6020-21GF].Supplemental Material: The e-companion is available at https://doi.org/10.1287/msom.2022.1172 .

Modeling and analysis of a sustainable supply chain with fairness concerns and green-sensitive consumer demand

PurposeWith the global spread of environmental education, environmental awareness is becoming increasingly important in daily life and economic activities. Sustainable development, as the most effective development approach to address global climate change, has gradually become a research hotspot in countries around the world. The authors combine sustainable development with supply chain management and incorporate into the study the objective issue of corporate fairness preferences in real society to explore the pricing and product greenness decision problem of a secondary sustainable supply chain consisting of a manufacturer producing green products and a retailer selling green products. In particular, the authors explore how supply chain decisions change when both the manufacturer and the retailer focus on fairness and how this fairness behavior affects pricing and product greenness decisions in sustainable supply chains.Design/methodology/approachThe authors consider that the manufacturers' greening efforts lead to expanded demand at the retail end. Upstream and downstream firms in the supply chain have preferences for the fairness of transactions. The impact of the fairness behavior of upstream and downstream firms in the supply chain on supply chain decisions is explored by building a Stackelberg game model.FindingsThe results of this study show that the fairness concern behavior of manufacturers and retailers in the supply chain has an impact on product greenness, product pricing and corporate profits.Originality/valueThis study on the fairness concern behavior of supply chain firms integrates behavioral economics and supply chain management. First, the authors consider the equilibrium problem of supply chain members in the centralized channel when there are no fairness preferences. Second, the decision problem of firms in the decentralized channel when fairness is considered and when fairness preferences are not considered is explored. The authors compare these three cases to derive the corresponding propositions. Finally, the authors verify the previous conclusions and draw other conclusions using arithmetic analysis.

Risk Evaluation and Forecast Behavior Analysis of Supply Chain Financing Based on Blockchain

With the deepening of globalization and the improvement of the fineness of production division and cooperation, various forms of suppliers coexist, and the supply chain network becomes complex and fragmented. Traditional supply chain management mode and purchasing mechanism cannot respond to the changes of the times in time, and enterprises and suppliers cannot connect. As a new type of financial service, supply chain finance plays an important role in solving the financing difficulties and expensive problems of SMEs. However, in recent years, traditional supply chain finance has encountered many problems, and it has gradually become a trend to empower traditional supply chain finance with blockchain technology. This paper proposes a blockchain supply chain financing risk assessment and behavior prediction algorithm. By analyzing the development status of supply chain business, it puts forward corresponding preventive measures to effectively improve the efficiency of supply chain financing. Firstly, the paper puts forward the double-chain management system and constructs the double-chain management architecture and operation flow; Thirdly, the weighting method of enterprise financing risk evaluation index based on variance homogeneity test is put forward to explain; Finally, five enterprises are tested on the data set, and the performance of TPR, FPR, Precision, Recall, F-Measure, and Accuracy is compared. Different enterprises have the problem of supply chain financing risk.

Modelling Nonlinear Supply Chains Using Methods of System Dynamics

This paper treats a three level nonlinear supply chain, which consists from a manufacturer, a distributor and a retailer as a dynamical system. The dynamic behavior of supply chain is modelled by using the continuous Lorenz-like model with disturbances. The Lorenz model is known from physics in the study of dissipative hydrodynamical systems with excitation and represents a paradigmatic example of the deterministic system, which is able to exhibit chaotic motions. Very complex supply chain relationships are modelled due to the information flow distortion at the distributor, caused by disturbances, which appear at the retailer. By using the proposed nonlinear supply chain model, the steady state, the saturation and the chaotic state of the supply chain are analyzed, respectively. The range of parameter values, which are characteristic for the appearance of such states are determined. In the paper, the meaning of the regular state in which the supply chain cannot keep due to the disturbances and the risk of the saturation state are explained. In the analysis of such states, the multistage homotopic perturbation method is used. The gained results are checked analyticaly or by the help of standard numerical integration, such as the Runge-Kutta method.

Sustainable supply chain finance through digital platforms: a pathway to green entrepreneurship

This paper studies the green new product development (GNPD) problem of a risk-averse capital constrained supply chain (SC). The SC is managed by an SME entrepreneur, seeking financial support from a multi-sided FinTech platform (MSP) to develop a portfolio of green and non-green products. The MSP offers the SC a combination of equity financing (EF) and debt financing (DF) facilities and must decide on the interest rate of its DF facility. Using a benchmark model, we first characterize the SC’s production and the MSP’s financing decisions under a deregulated scenario. Focusing on an alternative case with government intervention (i.e., hybrid environmental-green entrepreneurship policy), we next develop a three-level game theoretical model and sequentially characterize the decision-making behavior of government, MSP, and SC. The model outcomes are analyzed by considering the policy approach (i.e., economic influence vs. social welfare) and the platform’s risk attitude. The results reveal that, when coupled with an appropriate government intervention policy, a regulated scenario leads to a better outcome, particularly when the MSP is risk-neutral and strikes a right balance between the EF and DF. The win–win situation may not be realized when the MSP is risk-averse and the host government is merely focused on its economic influence. To successfully promote sustainable supply chain finance (SSCF) through digital platforms, policy makers are urged to leverage their legislative power and prioritize green entrepreneurship and social welfare over their financial maximization agenda.