A study on the profit distribution mechanism of the resource - Based supply chain considering low-carbon constraints and ecological restoration

With the rapid development of China's economy, it has become crucial to achieve the right balance between economic development and environmental protection. Green growth is a significant approach to addressing the relationship between economic development and the environment. Low-carbon development and ecological protection are two essential aspects of green development, and they tremendously impact enterprises' resource-based supply chain. Hence, this paper seeks to explore the revenue distribution mechanism of the resource-based supply chain in the context of green development. Given a bi-level resource-based supply chain composed of resource developers and resource processors, the study examines, in the context of low-carbon development, the impacts of both emission reduction and ecological restoration levels on the expected returns of the supply chain. Using game theory, we construct a decentralized decision-making equilibrium model under the three kinds of market structures (that is, a market led either by the upper or lower level or by the balanced levels of the chain), and then establish a centralized decision-making equilibrium model. The results show that the overall profits of the supply chain are maximized through centralized decision-making.