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Article
A Market Analysis on Green Production Lines Penetrating into Original Equipment Manufacturers (OEMs)
Rio's International Journal on Sciences of Industrial and Systems Engineering and Management
  • Guiping Hu, Iowa State University
  • Lizhi Wang, Iowa State University
  • Bopaya Bidanda, University of Pittsburgh
Document Type
Article
Publication Version
Published Version
Publication Date
1-1-2009
Abstract

Fierce market competition has been big obstacle in the growth process of sustainable/green production industry. Sustainable production lines often come into play by penetrating into traditional Original Equipment Manufacturers (OEMs). This is due to the high setup cost and opportunity risks. In this study, we look into the scenario when traditional Original Equipment Manufacturers (OEMs) introduce green production lines into their production systems. We want to address the questions whether and how the green production lines can survive in the market competitions. Analyses are conducted between ordinary and green production sectors which produce a similar type of product with different materials and techniques. A game theoretic model is formulated to analyze the competition in the market. Sensitivity analyses and numerical examples can provide suggestions to assist policy makers, government, company executives and consumers to make better and rational decisions.

Comments

This is an article from Rio's International Journal on Sciences of Industrial and Systems Engineering and Management 3 (2009): 24. Posted with permission.

Copyright Owner
The Editors
Language
en
File Format
application/pdf
Citation Information
Guiping Hu, Lizhi Wang and Bopaya Bidanda. "A Market Analysis on Green Production Lines Penetrating into Original Equipment Manufacturers (OEMs)" Rio's International Journal on Sciences of Industrial and Systems Engineering and Management Vol. 3 Iss. 3 (2009) p. 24 - 48
Available at: http://works.bepress.com/lizhi_wang/9/