An Integrated Two-Echelon Supply Chain Inventory Model with Trade Credit, Product Deterioration and Carbon Emissions

This research aims to develop a sustainable supply chain framework that integrates energy-efficient practices with environmental responsibility. ‎We investigate a two-echelon green supply chain, considering factors such as carbon emissions from waste disposal, product deterioration, ‎transportation, and manufacturing processes. By implementing preservation technologies, product deterioration rates can be effectively ‎mitigated. The supply chain model incorporates a credit period offered by the manufacturer to the supplier, who in turn offers a credit period to ‎the retailer, serving as a competitive advantage to drive sales growth. This study extends the traditional two-echelon supply chain model by ‎incorporating controllable deterioration, waste, and carbon emissions. An analytical solution is derived to optimize timing and preservation ‎technology cost, yielding optimal results. A comprehensive numerical analysis and sensitivity analysis validate the proposed model, ‎demonstrating its convexity through analytical and graphical representations. The primary objectives are to minimize overall carbon emissions ‎and total cost. The proposed model offers a practical framework for optimizing supply chain integration, reducing costs, and minimizing carbon ‎footprint‎.