The interplay of information sharing and distribution mode choice under cap‐and‐trade policy in the ecommerce era

Abstract This paper endeavors to examine the interplay between information sharing and distribution mode in the context of low carbon, while considering the cap‐and‐trade. The findings indicate that under the non‐information sharing, the manufacturer tends to opt for the reselling mode when the carbon price is high; under the information sharing, the manufacturer is inclined towards the reselling mode when both the carbon price and investment cost coefficient are high. Interestingly, we find that the information sharing decision of the platform triggers an induced effect on the distribution mode selection of the manufacturer, and this effect is bi‐directional and conditional.