PMID- 31877860 OWN - NLM STAT- MEDLINE DCOM- 20200505 LR - 20200505 IS - 1660-4601 (Electronic) IS - 1661-7827 (Print) IS - 1660-4601 (Linking) VI - 17 IP - 1 DP - 2019 Dec 22 TI - Supplier Selection and Order Allocation under a Carbon Emission Trading Scheme: A Case Study from China. LID - 10.3390/ijerph17010111 [doi] LID - 111 AB - In implementing carbon emission trading schemes (ETSs), the cost of carbon embedded in raw materials further complicates supplier selection and order allocation. Firms have to make decisions by comprehensively considering the cost and the important intangible performance of suppliers. This paper uses an analytic network process-integer programming (ANP-IP) model based on a multiple-criteria decision-making (MCDM) approach to solve the above issues by first evaluating and then optimizing them. The carbon embedded in components, which can be used to reflect the carbon competitiveness of a supplier, is integrated into the ANP-IP model. In addition, an international large-scale electronic equipment manufacturer in China is used to validate the model. Different scenarios involving different carbon prices are designed to analyze whether China's current ETS drives firms to choose more low-carbon suppliers. The results show that current carbon constraints are not stringent enough to drive firms to select low-carbon suppliers. A more stringent ETS with a higher carbon price could facilitate the creation of a low-carbon supply chain. The analysis of the firm's total cost and of the total cost composition indicates that the impact of a more stringent ETS on the firm results mainly from indirect costs instead of direct costs. The indirect cost is caused by the suppliers' transfer of part of the low-carbon investment in the product, and arises from buying carbon permits with high carbon prices. Implications revealed by the model analysis are discussed to provide guidance to suppliers regarding the balance between soft competitiveness and low-carbon production capability and to provide guidance to the firm on how to cooperate with suppliers to achieve a mutually beneficial situation. FAU - Wang, Chen AU - Wang C AD - Donlinks School of Economics and Management, University of Science and Technology Beijing, Beijing 100083, China. FAU - Yang, Qingyan AU - Yang Q AD - Donlinks School of Economics and Management, University of Science and Technology Beijing, Beijing 100083, China. FAU - Dai, Shufen AU - Dai S AD - Donlinks School of Economics and Management, University of Science and Technology Beijing, Beijing 100083, China. LA - eng PT - Journal Article PT - Research Support, Non-U.S. Gov't DEP - 20191222 PL - Switzerland TA - Int J Environ Res Public Health JT - International journal of environmental research and public health JID - 101238455 RN - 7440-44-0 (Carbon) SB - IM MH - *Carbon MH - China MH - Commerce MH - Costs and Cost Analysis MH - *Decision Making MH - Electrical Equipment and Supplies PMC - PMC6982311 OTO - NOTNLM OT - carbon emission trading scheme OT - integer programming OT - multiple-criteria decision-making OT - order allocation OT - supplier selection COIS- The authors declare no conflicts of interest. EDAT- 2019/12/28 06:00 MHDA- 2020/05/06 06:00 PMCR- 2020/01/01 CRDT- 2019/12/28 06:00 PHST- 2019/11/18 00:00 [received] PHST- 2019/12/15 00:00 [revised] PHST- 2019/12/17 00:00 [accepted] PHST- 2019/12/28 06:00 [entrez] PHST- 2019/12/28 06:00 [pubmed] PHST- 2020/05/06 06:00 [medline] PHST- 2020/01/01 00:00 [pmc-release] AID - ijerph17010111 [pii] AID - ijerph-17-00111 [pii] AID - 10.3390/ijerph17010111 [doi] PST - epublish SO - Int J Environ Res Public Health. 2019 Dec 22;17(1):111. doi: 10.3390/ijerph17010111.