Purpose

The purpose of this paper is to explore the operation strategies of a manufacturer who produces brown and green product simultaneously.

Design/methodology/approach

The authors establish three models to examine the joint decisions of pricing and advertising. Three advertising strategies are: non-advertising investment (NA), advertising investment for brown product (BA) and advertising investment for green product (GA).

Findings

The theoretical analysis shows that advertising investment can substantially increase the product greening level and manufacturer's profit. More importantly, we find that the GA strategy is more likely to be the best strategy as the advertising investment efficiency increases. The BA strategy is more likely to be preferred as the R&D cost increases. Finally, the modeling results are verified by numerical experiments, and more insights are obtained.

Research limitations/implications

This paper considers the case in which a single manufacturer produces the brown and green product simultaneously. In fact, many manufacturers in the market produce brown and green product at the same time. Furthermore, in addition to advertising investment for brown product and green product, manufacturers can also invest in advertising for brands.

Originality/value

The paper contributes to the investigations on green production and advertising decisions of a manufacturer who produces brown and green products simultaneously.

中文翻译：

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针对棕色和绿色产品的制造商的广告和定价策略

目的

本文的目的是探讨一家同时生产棕色和绿色产品的制造商的运营策略。

设计/方法/方法

作者建立了三个模型来检验定价和广告的联合决策。三种广告策略是：非广告投资（NA）、棕色产品广告投资（BA）和绿色产品广告投资（GA）。

发现

理论分析表明，广告投入可以大幅度提高产品的绿色化水平和制造商的利润。更重要的是，我们发现随着广告投资效率的提高，GA 策略更有可能成为最佳策略。随着研发成本的增加，BA 策略更有可能成为首选。最后，通过数值实验验证了建模结果，获得了更多的见解。

研究限制/影响

本文考虑单个制造商同时生产棕色和绿色产品的情况。事实上，市场上许多制造商同时生产棕色和绿色产品。此外，除了棕色产品和绿色产品的广告投资，制造商还可以投资品牌广告。

原创性/价值

该论文有助于调查同时生产棕色和绿色产品的制造商的绿色生产和广告决策。