Blockchain's role in low-carbon supply chain decisions with game model insights

Abstract

As the demand for sustainable supply chain management grows, companies are increasingly adopting low-carbon transition strategies. To cater to diverse consumer needs, manufacturers offer both low-carbon and conventional products. However, consumer acceptance of low-carbon products remains limited due to a lack of trust. Many companies are now leveraging blockchain technology to bridge this trust gap, addressing information asymmetry in the supply chain and building consumer confidence in low-carbon products. This paper introduces a game model to investigate the conditions for implementing blockchain from various perspectives, considering consumer preferences for low-carbon products, product competition, and the associated costs of blockchain implementation. The findings suggest that consumer preferences for low-carbon products and the dynamics of product competition significantly influence the conditions for blockchain adoption. Additionally, as the interplay between these preferences and competition evolves, an increase in blockchain implementation costs can lead to higher prices for low-carbon products.