Stochastic evolution game analysis of the strategic coalition of enterprise pollution control

Abstract

To address pollution control, cooperation among interested parties is essential. This paper examines a stochastic evolution game model involving a strategic coalition of three enterprises for pollution control. The model incorporates decision-making factors to construct a strategic coalition model of enterprise pollution control between enterprises. The study analyzes the evolution process of pollution control strategies within the coalition and determines the final stable strategy. Additionally, numerical simulations are conducted to explore the evolution paths of enterprises under various circumstances. Results from a case-based numerical example validate the theoretical findings, supporting the following insights: (1) the coalition requires an effective mechanism for incentivizing and penalizing actions, (2) the government should establish and improve coordination and management mechanisms, (3) citizens are urged to develop social oversight mechanisms for reporting environmental violation, and (4) a fair and equitable distribution mechanism should be implemented within the coalition.

Keywords

• stochastic evolution game
• strategic coalition
• pollution control