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Related Concept Videos

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Persuasion is the process of changing our attitude toward something based on some kind of communication. Much of the persuasion we experience comes from outside forces. How do people convince others to change their attitudes, beliefs, and behaviors? What communications do you receive that attempt to persuade you to change your attitudes, beliefs, and behaviors?
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Researchers have tested many persuasion strategies, including the foot-in-the door and the door-in-the-face techniques, in a variety of contexts. Ultimately, the principles are effective in selling products and changing people’s attitude, ideas, and behaviors (Cialdini & Goldstein, 2004).
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Platform Selling Mode Selection Considering Consumer Reference Effect in Carbon Emission Reduction.

Deqing Ma1, Xue Wang1, Jinsong Hu1

  • 1School of Business, Qingdao University, Qingdao 266071, China.

International Journal of Environmental Research and Public Health
|January 8, 2023
PubMed
Summary

Consumer reference effects influence platform selling mode selection for carbon emission reduction (CER). The study reveals counterintuitive manufacturer and platform preferences for reselling or agency modes based on commission rates and publicity effects.

Keywords:
differential gamelow-carbon supply chainreference effect in carbon emission reductionselling mode selection

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Area of Science:

  • Operations Research
  • Supply Chain Management
  • Environmental Economics

Background:

  • Consumer reference effects significantly impact purchasing decisions and corporate profits.
  • Understanding these effects is crucial for optimizing supply chain strategies in low-carbon markets.
  • Platform selling modes (reselling vs. agency) are key strategic choices for manufacturers and platforms.

Purpose of the Study:

  • To analyze the influence of consumer reference effects in carbon emission reduction (CER) on platform selling mode selection.
  • To investigate the impact of these effects on manufacturer-platform cooperation, consumer surplus, and social welfare.
  • To determine optimal selling strategies considering economic, environmental, and social benefits.

Main Methods:

  • Development of four differential game models analyzing reselling and agency selling modes.
  • Inclusion of consumer reference effects and low-carbon publicity within the models.
  • Investigation of long-term cooperation, consumer surplus, and social welfare under different scenarios.

Main Results:

  • The consumer reference effect's impact on selling mode choice depends on low-carbon publicity and commission rates.
  • Counterintuitive preferences for reselling modes emerge under specific conditions (e.g., low commission, high publicity).
  • Manufacturer and platform alignment on selling mode (reselling or agency) varies with commission rates and publicity effects.

Conclusions:

  • The optimal selling mode is identified in the presence of consumer reference effects, leading to triple benefits (economic, environmental, social).
  • Strategic alignment between manufacturers and platforms is achievable, though influenced by consumer psychology and market parameters.
  • This research provides insights for sustainable supply chain design in e-commerce, considering consumer behavior.