Akademik Məlumat İdarəetmə Sistemi
Annals of Operations Research, 2025 (SCI-Expanded, Scopus)
In the current business landscape enterprises are motivated to enhance their inventory management strategies to reduce carbon emissions from their operations due to the growing stringency of carbon regulations imposed by authorities. Due to the tremendous rivalry in the marketing sector and for effectively managing the cash flow in emerging field of modern Operational Research (OR), suppliers usually offer various advantages to their retailers for multiple product categories and under certain terms and restrictions viz. price reduction, credit duration, installment, etc. In addition to this, retailers implemented multiple marketing initiatives such as promotional efforts and service facilities to enhance product demand. Taking into account all of these aspects, this research presents a profitable approach for the retail industry by considering various factors like pricing, promotions, and service quality to influence customer demand under three different carbon regulation schemes such as cap-and-price, cap-and-trade, and carbon tax. The main objective of this study is to maximize the retailer profit by optimizing service facility investment, advertisement cost, and cycle time under different carbon regulations and forming a robust decision for which carbon emission policies are favorable for both the environment and the economy. Moreover, the proposed model and the optimal solution are validated by showcasing a novel algorithm with a numerical illustration. Additionally, to demonstrate the uniqueness of the algorithm and uncover some valuable managerial insights from the proposed model, a sensitivity analysis is conducted on the key parameters. Finally, significant managerial findings are incorporated to aid retailer and store managers in devising operational strategies that maximize profit while ensuring optimal service levels and promotional endeavors.