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30 pages, 2141 KiB  
Article
Enhancing Efficiency in Sustainable IoT Enterprises: Modeling Indicators Using Pythagorean Fuzzy and Interval Grey Approaches
by Mimica R. Milošević, Miloš M. Nikolić, Dušan M. Milošević and Violeta Dimić
Sustainability 2025, 17(15), 7143; https://doi.org/10.3390/su17157143 - 6 Aug 2025
Abstract
“The Internet of Things” is a relatively new idea that refers to objects that can connect to the Internet and exchange data. The Internet of Things (IoT) enables novel interactions between objects and people by interconnecting billions of devices. While there are many [...] Read more.
“The Internet of Things” is a relatively new idea that refers to objects that can connect to the Internet and exchange data. The Internet of Things (IoT) enables novel interactions between objects and people by interconnecting billions of devices. While there are many IoT-related products, challenges pertaining to their effective implementation, particularly the lack of knowledge and confidence about security, must be addressed. To provide IoT-based enterprises with a platform for efficiency and sustainability, this study aims to identify the critical elements that influence the growth of a successful company integrated with an IoT system. This study proposes a decision support tool that evaluates the influential features of IoT using the Pythagorean Fuzzy and Interval Grey approaches within the Analytical Hierarchy Process (AHP). This study demonstrates that security, value, and connectivity are more critical than telepresence and intelligence indicators. When both strategies are used, market demand and information privacy become significant indicators. Applying the Pythagorean Fuzzy approach enables the identification of sensor networks, authorization, market demand, and data management in terms of importance. The application of the Interval Grey approach underscores the importance of data management, particularly in sensor networks. The indicators that were finally ranked are compared to obtain a good coefficient of agreement. These findings offer practical insights for promoting sustainability in enterprise operations by optimizing IoT infrastructure and decision-making processes. Full article
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19 pages, 1090 KiB  
Article
Inbound Truck Scheduling for Workload Balancing in Cross-Docking Terminals
by Younghoo Noh, Seokchan Lee, Jeongyoon Hong, Jeongeum Kim and Sung Won Cho
Mathematics 2025, 13(15), 2533; https://doi.org/10.3390/math13152533 - 6 Aug 2025
Abstract
The rapid growth of e-commerce and advances in information and communication technologies have placed increasing pressure on last-mile delivery companies to enhance operational productivity. As investments in logistics infrastructure require long-term planning, maximizing the efficiency of existing terminal operations has become a critical [...] Read more.
The rapid growth of e-commerce and advances in information and communication technologies have placed increasing pressure on last-mile delivery companies to enhance operational productivity. As investments in logistics infrastructure require long-term planning, maximizing the efficiency of existing terminal operations has become a critical priority. This study proposes a mathematical model for inbound truck scheduling that simultaneously minimizes truck waiting times and balances workload across temporary inventory storage located at outbound chutes in cross-docking terminals. The model incorporates a dynamic rescheduling strategy that updates the assignment of inbound trucks in real time, based on the latest terminal conditions. Numerical experiments, based on real operational data, demonstrate that the proposed approach significantly outperforms conventional strategies such as First-In First-Out (FIFO) and Random assignment in terms of both load balancing and truck turnaround efficiency. In particular, the proposed model improves workload balance by approximately 10% and 12% compared to the FIFO and Random strategies, respectively, and it reduces average truck waiting time by 17% and 18%, thereby contributing to more efficient workflow and alleviating bottlenecks. The findings highlight the practical potential of the proposed strategy for improving the responsiveness and efficiency of parcel distribution centers operating under fixed infrastructure constraints. Future research may extend the proposed approach by incorporating realistic operational factors, such as cargo heterogeneity, uncertain arrivals, and terminal shutdowns due to limited chute storage. Full article
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17 pages, 5929 KiB  
Article
Optimization of Operations in Bus Company Service Workshops Using Queueing Theory
by Sergej Težak and Drago Sever
Vehicles 2025, 7(3), 82; https://doi.org/10.3390/vehicles7030082 - 6 Aug 2025
Abstract
Public transport companies are aware that the success of their operations largely depends on the proper sizing and optimization of their processes. Among the key activities are the maintenance and repair of the vehicle fleet. This paper presents the application of mathematical optimization [...] Read more.
Public transport companies are aware that the success of their operations largely depends on the proper sizing and optimization of their processes. Among the key activities are the maintenance and repair of the vehicle fleet. This paper presents the application of mathematical optimization methods from the field of operations research to improve the efficiency of service workshops for bus maintenance and repair. Based on an analysis of collected data using queueing theory, the authors assessed the current system performance and found that the queueing system still has spare capacity and could be downsized, which aligns with the company’s management goals. Specifically, the company plans to reduce the number of bus repair service stations (servers in a queueing system). The main question is whether the system will continue to function effectively after this reduction. Three specific downsizing solutions were proposed and evaluated using queueing theory methods: extending the daily operating hours of the workshops, reducing the number of arriving buses, and increasing the productivity of a service station (server). The results show that, under high system load, only those solutions that increase the productivity of individual service stations (servers) in the queueing system provide optimal outcomes. Other solutions merely result in longer queues and associated losses due to buses waiting for service, preventing them from performing their intended function and causing financial loss to the company. Full article
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21 pages, 5391 KiB  
Article
Application of Computer Simulation to Evaluate Performance Parameters of the Selective Soldering Process
by Maciej Dominik and Marek Kęsek
Appl. Sci. 2025, 15(15), 8649; https://doi.org/10.3390/app15158649 - 5 Aug 2025
Viewed by 44
Abstract
The growing complexity of production systems in the technology sector demands advanced tools to ensure efficiency, flexibility, and cost-effectiveness. This study presents the development of a simulation model for a selective soldering line at a technology manufacturing company in Poland, created during an [...] Read more.
The growing complexity of production systems in the technology sector demands advanced tools to ensure efficiency, flexibility, and cost-effectiveness. This study presents the development of a simulation model for a selective soldering line at a technology manufacturing company in Poland, created during an engineering internship. Using FlexSim 24.2 software, the real production process was replicated, including input/output queues, manual insertion (MI) stations, soldering machines, and quality control points. Special emphasis was placed on implementing dynamic process logic via ProcessFlow, enabling detailed modeling of token flow and system behavior. Through experimentation, various configurations were tested to optimize process time and the number of soldering pallets in circulation. The results revealed that reducing pallets from 12 to 8 maintains process continuity while offering cost savings without impacting performance. An intuitive operator panel was also developed, allowing users to adjust parameters and monitor outcomes in real time. The project demonstrates that simulation not only supports operational decision-making and resource planning but also enhances interdisciplinary communication by visually conveying complex workflows. Ultimately, the study confirms that simulation modeling is a powerful and adaptable approach to production optimization, contributing to long-term strategic improvements and innovation in technologically advanced manufacturing environments. Full article
(This article belongs to the Special Issue Integration of Digital Simulation Models in Smart Manufacturing)
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22 pages, 3994 KiB  
Article
Analysis of Foaming Properties, Foam Stability, and Basic Physicochemical and Application Parameters of Bio-Based Car Shampoos
by Bartosz Woźniak, Agata Wawrzyńczak and Izabela Nowak
Coatings 2025, 15(8), 907; https://doi.org/10.3390/coatings15080907 - 2 Aug 2025
Viewed by 314
Abstract
Environmental protection has become one of the key challenges of our time. This has led to an increase in pro-environmental activities in the field of cosmetics and household chemicals, where manufacturers are increasingly trying to meet the expectations of consumers who are aware [...] Read more.
Environmental protection has become one of the key challenges of our time. This has led to an increase in pro-environmental activities in the field of cosmetics and household chemicals, where manufacturers are increasingly trying to meet the expectations of consumers who are aware of the potential risks associated with the production of cosmetics and household chemistry products. This is one of the most important challenges of today’s industry, given that some of the raw materials still commonly used, such as surfactants, may be toxic to aquatic organisms. Many companies are choosing to use natural raw materials that have satisfactory performance properties but are also environmentally friendly. In addition, modern products are also characterized by reduced consumption of water, resources, and energy in production processes. These measures reduce the carbon footprint and reduce the amount of plastic packaging required. In the present study, seven formulations of environmentally friendly car shampoo concentrates were developed, based entirely on mixtures of bio-based surfactants. The developed formulations were tested for application on the car body surface, allowing the selection of the two best products. For these selected formulations, an in-depth physicochemical analysis was carried out, including pH, density, and viscosity measurements. Comparison of the results with commercial products available on the market was also performed. Additionally, using the multiple light scattering method, the foamability and foam stability were determined for the car shampoos developed. The results obtained indicate the very high application potential of the products under study, which combine high performance and environmental concerns. Full article
(This article belongs to the Section Environmental Aspects in Colloid and Interface Science)
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35 pages, 10962 KiB  
Article
A Preliminary Assessment of Offshore Winds at the Potential Organized Development Areas of the Greek Seas Using CERRA Dataset
by Takvor Soukissian, Natalia-Elona Koutri, Flora Karathanasi, Kimon Kardakaris and Aristofanis Stefatos
J. Mar. Sci. Eng. 2025, 13(8), 1486; https://doi.org/10.3390/jmse13081486 - 31 Jul 2025
Viewed by 190
Abstract
Τhe Greek Seas are one of the most favorable locations for offshore wind energy development in the Mediterranean basin. In 2023, the Hellenic Hydrocarbons & Energy Resources Management Company SA published the draft National Offshore Wind Farm Development Programme (NDP-OWF), including the main [...] Read more.
Τhe Greek Seas are one of the most favorable locations for offshore wind energy development in the Mediterranean basin. In 2023, the Hellenic Hydrocarbons & Energy Resources Management Company SA published the draft National Offshore Wind Farm Development Programme (NDP-OWF), including the main pillars for the design, development, siting, installation, and exploitation of offshore wind farms, along with the Strategic Environmental Impact Assessment. The NDP-OWF is under assessment by the relevant authorities and is expected to be finally approved through a Joint Ministerial Decision. In this work, the preliminary offshore wind energy assessment of the Greek Seas is performed using the CERRA wind reanalysis data and in situ measurements from six offshore locations of the Greek Seas. The in situ measurements are used in order to assess the performance of the reanalysis datasets. The results reveal that CERRA is a reliable source for preliminary offshore wind energy assessment studies. Taking into consideration the potential offshore wind farm organized development areas (OWFODA) according to the NDP-OWF, the study of the local wind characteristics is performed. The local wind speed and wind power density are assessed, and the wind energy produced from each OWFODA is estimated based on three different capacity density settings. According to the balanced setting (capacity density of 5.0 MW/km2), the annual energy production will be 17.5 TWh, which is equivalent to 1509.1 ktoe. An analysis of the wind energy correlation, synergy, and complementarity between the OWFODA is also performed, and a high degree of wind energy synergy is identified, with a very low degree of complementarity. Full article
(This article belongs to the Section Marine Energy)
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12 pages, 1028 KiB  
Article
Clone-Specific Variation in Myzus persicae Influences Transmission of BMYV and BYV and Associated Feeding Behavior
by Grégoire Noël, Lallie Glacet, Christiane Then and Frédéric Francis
Insects 2025, 16(8), 784; https://doi.org/10.3390/insects16080784 - 30 Jul 2025
Viewed by 254
Abstract
Sugar beet (Beta vulgaris ssp. vulgaris) is a vital crop, contributing to nearly a quarter of global sugar production, but faces significant challenges from biotic stressors, particularly aphids, which transmit damaging yellowing viruses such as Beet Yellow Virus (BYV) and Beet [...] Read more.
Sugar beet (Beta vulgaris ssp. vulgaris) is a vital crop, contributing to nearly a quarter of global sugar production, but faces significant challenges from biotic stressors, particularly aphids, which transmit damaging yellowing viruses such as Beet Yellow Virus (BYV) and Beet Mild Yellowing Virus (BMYV). Following the partial ban of neonicotinoids in Europe, viral infections in sugar beet have surged, highlighting the need for a deeper understanding of aphid-mediated virus transmission mechanisms. This study aims to evaluate the transmission efficiency of BYV and BMYV through different clones of the aphid vector Myzus persicae from sugar beet seed companies across Europe, and to analyze the feeding behaviors of efficient clones to identify factors influencing virus transmission. The transmission rates of yellowing viruses by M. persicae clones ranged from 52% to 79% for BMYV (mean 65%) and 7% to 96% for BYV (mean 47%). While no significant differences in BMYV transmission efficiency were observed among clones, a significant difference was detected between two BYV-carrying clones. Moreover, the BYV-carrying clone exhibited prolonged penetration activities during its feeding phase compared to the BMYV-carrying clone, suggesting a potential behavioral influence on transmission efficiency. This study highlights the importance of considering aphid clone influence in the development of sugar beet resistance. Full article
(This article belongs to the Special Issue Protecting Field Crops from Economically Damaging Aphid Infestation)
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18 pages, 1072 KiB  
Article
Complexity of Supply Chains Using Shannon Entropy: Strategic Relationship with Competitive Priorities
by Miguel Afonso Sellitto, Ismael Cristofer Baierle and Marta Rinaldi
Appl. Syst. Innov. 2025, 8(4), 105; https://doi.org/10.3390/asi8040105 - 29 Jul 2025
Viewed by 256
Abstract
Entropy is a foundational concept across scientific domains, playing a role in understanding disorder, randomness, and uncertainty within systems. This study applies Shannon’s entropy in information theory to evaluate and manage complexity in industrial supply chain management. The purpose of the study is [...] Read more.
Entropy is a foundational concept across scientific domains, playing a role in understanding disorder, randomness, and uncertainty within systems. This study applies Shannon’s entropy in information theory to evaluate and manage complexity in industrial supply chain management. The purpose of the study is to propose a quantitative modeling method, employing Shannon’s entropy model as a proxy to assess the complexity in SCs. The underlying assumption is that information entropy serves as a proxy for the complexity of the SC. The research method is quantitative modeling, which is applied to four focal companies from the agrifood and metalworking industries in Southern Brazil. The results showed that companies prioritizing cost and quality exhibit lower complexity compared to those emphasizing flexibility and dependability. Additionally, information flows related to specially engineered products and deliveries show significant differences in average entropies, indicating that organizational complexities vary according to competitive priorities. The implications of this suggest that a focus on cost and quality in SCM may lead to lower complexity, in opposition to a focus on flexibility and dependability, influencing strategic decision making in industrial contexts. This research introduces the novel application of information entropy to assess and control complexity within industrial SCs. Future studies can explore and validate these insights, contributing to the evolving field of supply chain management. Full article
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27 pages, 910 KiB  
Article
QES Model Aggregating Quality, Environmental Impact, and Social Responsibility: Designing Product Dedicated to Renewable Energy Source
by Dominika Siwiec and Andrzej Pacana
Energies 2025, 18(15), 4029; https://doi.org/10.3390/en18154029 - 29 Jul 2025
Viewed by 213
Abstract
The complexity of assessment is a significant problem in designing renewable energy source (RES) products, especially when one wants to take into account their various aspects, e.g., technical, environmental, or social. Hence, the aim of the research is to develop a model supporting [...] Read more.
The complexity of assessment is a significant problem in designing renewable energy source (RES) products, especially when one wants to take into account their various aspects, e.g., technical, environmental, or social. Hence, the aim of the research is to develop a model supporting the decision-making process of RES product development based on meeting the criteria of quality, environmental impact, and social responsibility (QES). The model was developed in four main stages, implementing multi-criteria decision support methods such as DEMATEL (decision-making trial and evaluation laboratory) and TOPSIS (Technique for Order Preference by Similarity to an Ideal Solution), as well as criteria for social responsibility and environmental impact from the ISO 26000 standard. The model was tested and illustrated using the example of photovoltaic panels (PVs): (i) five prototypes were developed, (ii) 30 PV criteria were identified from the qualitative, environmental, and social groups, (iii) the criteria were reduced to 13 key (strongly intercorrelated) criteria according to DEMATEL, (iv) the PV prototypes were assessed taking into account the importance and fulfilment of their key criteria according to TOPSIS, and (v) a PV ranking was created, where the fifth prototype turned out to be the most advantageous (QES = 0.79). The main advantage of the model is its simple form and transparency of application through a systematic analysis and evaluation of many different criteria, after which a ranking of design solutions is obtained. QES ensures precise decision-making in terms of sustainability of new or already available products on the market, also those belonging to RES. Therefore, QES will find application in various companies, especially those looking for low-cost decision-making support techniques at early stages of product development (design and conceptualization). Full article
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19 pages, 966 KiB  
Article
Agricultural and Food Product Assessment—Methodological Choices in Sustainability Reporting Using the LCA Method
by Tinkara Ošlovnik and Matjaž Denac
Sustainability 2025, 17(15), 6837; https://doi.org/10.3390/su17156837 - 28 Jul 2025
Viewed by 323
Abstract
Consumers are increasingly exposed to environmental claims on food products. These claims often lack scientific validation and there are different methodologies that can be used for grounding these claims, which can lead to misleading results. The European Union’s (EU) Environmental Footprint methodology excludes [...] Read more.
Consumers are increasingly exposed to environmental claims on food products. These claims often lack scientific validation and there are different methodologies that can be used for grounding these claims, which can lead to misleading results. The European Union’s (EU) Environmental Footprint methodology excludes the aggregation of environmental impacts, including damage to human health. This fact reduces transparency and limits the consumers’ ability to make information-based sustainable choices. This study aims to address this issue by calculating aggregated impacts on human health via life cycle assessment (LCA) in the agriculture and food-production sectors. In the study the IMPACT World+ method was used, including trustworthy databases and proper functional unit definition. The assessment encompassed three types of vegetables, four types of fruit, and four types of ready meals. The study also attempts to assess the impact of different farming systems (organic and conventional) on human health. Two standardised functional units, i.e., the unit based on product weight and product energy value were considered for each group of products. Our findings showed significant differences in results when different functional units were used. Additionally, no conclusion could be drawn regarding which farming system is more sustainable. Therefore, it is essential that the regulator clearly defines the criteria for selecting the appropriate functional unit in LCA within the agriculture and food-production sectors. In the absence of these criteria, results should be presented for all alternatives. Although not required by EU regulation, the authors suggest that companies should nevertheless disclose information regarding the environmental impact of agriculture and food production on human health, as this is important for consumers. Full article
(This article belongs to the Section Economic and Business Aspects of Sustainability)
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16 pages, 782 KiB  
Article
Knowledge-Based Engineering in Strategic Logistics Planning
by Roman Gumzej, Tomaž Kramberger, Kristijan Brglez and Rebeka Kovačič Lukman
Sustainability 2025, 17(15), 6820; https://doi.org/10.3390/su17156820 - 27 Jul 2025
Viewed by 161
Abstract
Strategic logistics planning is used by management to define action plans that will enable organizations to always make decisions that are in the organization’s best interests. They are based on a knowledge repository of business experiences, which is usually represented by a centralized, [...] Read more.
Strategic logistics planning is used by management to define action plans that will enable organizations to always make decisions that are in the organization’s best interests. They are based on a knowledge repository of business experiences, which is usually represented by a centralized, organized, and searchable digital system where organizations store and manage critical institutional knowledge. Thus, an institutional knowledge base provides sustainability, making the experiences readily available while keeping them well organized. In this research, the experiences of logistics experts from selected scholarly designs for six-sigma business improvement projects have been collected, classified, and organized to form a logistics knowledge management system. Although originally meant to facilitate current and future decisions in strategic logistics planning of the cooperating companies, it is also used in logistics education to introduce knowledge-based engineering principles to enterprise strategic planning, based on continuous improvement of quality-related product or process performance indicators. The main goal of this article is to highlight the benefits of knowledge-based engineering over the established ontological logistics knowledge base in smart production, based on the predisposition that ontological institutional knowledge base management is more efficient, adaptable, and sustainable. Full article
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17 pages, 1307 KiB  
Review
Starch Valorisation as Biorefinery Concept Integrated by an Agro-Industry Case Study to Improve Sustainability
by Maider Gomez Palmero, Ana Carrasco, Paula de la Sen, María Dolores Mainar-Toledo, Sonia Ascaso Malo and Francisco Javier Royo Herrer
Sustainability 2025, 17(15), 6808; https://doi.org/10.3390/su17156808 - 27 Jul 2025
Viewed by 369
Abstract
The production of bio-based products for different purposes has become an increasingly common strategy over the last few decades, both in Europe and worldwide. This trend seeks to contribute to mitigating the impacts associated with climate change and to cope with the ambitious [...] Read more.
The production of bio-based products for different purposes has become an increasingly common strategy over the last few decades, both in Europe and worldwide. This trend seeks to contribute to mitigating the impacts associated with climate change and to cope with the ambitious objectives established at European level. Over recent decades, agro-industries have shown significant potential as biomass suppliers, triggering the development of robust logistical supply chains and the valorization of by-products to obtain bio-based products that can be marketed at competitive prices. However, this transformation may, in some cases, involve restructuring traditional business model to incorporate the biorefinery concept. In this sense, the first step in developing a bio-based value chain involves assessing the resource’s availability and characterizing the feedstock to select the valorization pathway and the bio-application with the greatest potential. The paper incorporates inputs from a case study on PATURPAT, a company commercializing a wide range of ready-prepared potato products, which has commissioned a starch extraction facility to process the rejected pieces of potatoes and water from the process to obtain starch that can be further valorized for different bio-applications. This study aims to comprehensively review current trends and frameworks for potatoes processing agro-industries and define the most suitable bio-applications to target, as well as identify opportunities and challenges. Full article
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16 pages, 1043 KiB  
Article
Sustainable Packaging Design: Packaging Optimization and Material Reduction for Environmental Protection and Economic Benefits to Industry and Society
by Elias D. Georgakoudis, Georgia G. Pechlivanidou and Nicoleta S. Tipi
Appl. Sci. 2025, 15(15), 8289; https://doi.org/10.3390/app15158289 - 25 Jul 2025
Viewed by 283
Abstract
This paper analyzes the concept of packaging redesign, with the primary objective of improving material utilization. It further examines the potential environmental and economic benefits that may result from effective packaging redesign for both industry and society. The research is based on a [...] Read more.
This paper analyzes the concept of packaging redesign, with the primary objective of improving material utilization. It further examines the potential environmental and economic benefits that may result from effective packaging redesign for both industry and society. The research is based on a specific case study comparing two alternative bottle designs with identical capacity, focusing on shape, material usage, and space efficiency. A detailed numerical comparison highlights the advantages and disadvantages of each option. The analysis demonstrates that an optimized bottle design can lead to substantial material savings and waste reduction. For example, an 8% reduction in bottle weight could eliminate approximately 1.6 million tons of material annually, potentially translating into economic savings exceeding 3 billion U.S. dollars per year. The study underscores how strategic packaging redesign can yield significant benefits in terms of material efficiency and cost savings for companies. It also contributes to the field of Life Cycle Analysis by linking packaging design innovation to key environmental and economic outcomes, while ensuring that packaging continues to protect products and meet the needs of the end consumer. Full article
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23 pages, 556 KiB  
Article
Study on Impact of Managerial Effectiveness and Digitalization on Green Total Factor Productivity of Enterprises: Sample of Listed Heavy-Polluting Enterprises in China
by Jun Yan and Zexia Zhao
Sustainability 2025, 17(15), 6700; https://doi.org/10.3390/su17156700 - 23 Jul 2025
Viewed by 307
Abstract
In the process of evaluating the quality of a company’s development, the issues related to production capacity and environmental pollution have emerged as significant concerns. Drawing on the methodologies employed in previous related research, this study utilizes the Data Envelopment Analysis with relaxation [...] Read more.
In the process of evaluating the quality of a company’s development, the issues related to production capacity and environmental pollution have emerged as significant concerns. Drawing on the methodologies employed in previous related research, this study utilizes the Data Envelopment Analysis with relaxation variables and the Global Malmquist–Luenberger index to measure the green total factor productivity of Chinese heavy-polluting enterprises. The main findings of this study are as follows: (1) It is clearly demonstrated that higher managerial effectiveness has a substantial positive impact on the improvement of a company’s green total factor productivity; (2) the digitalization progress within enterprises serves as a moderating factor in the relationship between managerial effectiveness and green total factor productivity; (3) the extent of financial constraints acts as a mediating variable, intervening in the relationship between managerial efficiency and green total factor productivity; and (4) a threshold effect is detected between managerial effectiveness and the debt repayment pressure faced by enterprises. When the threshold values of managerial effectiveness or the quick ratio are surpassed, the influence of managerial effectiveness on the green total factor productivity of enterprises will undergo a change. Full article
(This article belongs to the Special Issue Sustainable Corporate Governance and Firm Performance)
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23 pages, 1197 KiB  
Article
The Dark Side of the Carbon Emissions Trading System and Digital Transformation: Corporate Carbon Washing
by Yuxuan Wang and Chan Lyu
Systems 2025, 13(8), 619; https://doi.org/10.3390/systems13080619 - 22 Jul 2025
Viewed by 399
Abstract
Although carbon emissions trading systems are universally acknowledged as one of the most potent policy instruments for counteracting hazardous climate trends, and digitalization is seen as a favorable technological means to promote corporate green and low-carbon transformation, few studies have investigated the dark [...] Read more.
Although carbon emissions trading systems are universally acknowledged as one of the most potent policy instruments for counteracting hazardous climate trends, and digitalization is seen as a favorable technological means to promote corporate green and low-carbon transformation, few studies have investigated the dark side of both. Using data on Chinese listed companies from 2011 to 2020 and adopting a multi-period DID methodology, this research reveals that, in response to the carbon emissions trading system, firms often adopt low-cost, strategic environmental governance behaviors—namely, carbon washing—to reduce compliance costs and maintain their reputation and image. Furthermore, the study reveals that the information advantages of digital transformation create conditions for the opportunistic manipulation of carbon disclosure. Digitalization amplifies the positive influence of the carbon trading system on corporate carbon washing behavior. Mechanism analysis confirms that the carbon emissions trading system increases the production costs of regulated firms, thereby increasing their carbon washing behavior. Economic consequence analysis confirms that firms engage in carbon washing to gain legitimacy and maintain their reputation and image, which may allow them to obtain opportunistic benefits in the capital market. Finally, this study suggests that the government should adopt supplementary policy tools, such as environmental subsidies, enhanced use of digital technologies to strengthen regulatory capacity, and increased media oversight, to mitigate the unintended consequences of the carbon trading system on corporate behavior. Full article
(This article belongs to the Section Systems Practice in Social Science)
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