How Different Government Subsidy Objects Impact on Green Supply Chain Decision considering Consumer Group Complexity

Abstract

This paper fully considers the complexity characteristics of the consumer group, such as the heterogeneity of consumer environmental preferences and consumption levels and constructs a two-stage price decision model of green supply chain composed of the manufacturer and retailers. Under the four different scenarios, no government subsidies, government subsidies are given to the manufacturer, government subsidies are given to the green product retailer, and government subsidies are given to green product consumers, the impact of government subsidies on green supply chain member price decisions is analyzed, and the validity of the model is verified by an example. The results show that compared with the no government subsidies, government subsidies to the manufacturer will reduce the wholesale and sales prices of green products, and subsidies to the green product retailer will lead to higher wholesale prices and lower sales prices of green products, and subsidies to green product consumers will increase the wholesale and sales prices of green products. No matter which object is subsidized by the government, the wholesale price of general products will not change and the sales price will decrease. Government subsidies will facilitate the sales of green products, thereby expanding the market share of green products.