Game theory in sustainable decision-making: A new acetic acid plant as a case study

• Published in: Journal of cleaner production 2021-10, Vol.321, p.128962, Article 128962
• Main Authors: Gonzalez-Ramirez, Mayra G., Rodriguez-Gonzalez, Pablo T.
• Format: Article
• Language: English
• Subjects: Acetic acid; Decision-making; Game theory; Non-cooperative games; Sustainability
• ISSN: 0959-6526; 1879-1786
• DOI: 10.1016/j.jclepro.2021.128962

The current level and future availability of natural resources are worrying, it is not only related to environmental well-being and quality of life but also the economic sector depends directly on them for the manufacture of its products and services. Therefore, it must be sought a kind of development that equally enclose social, environmental, and economic aspects, usually called sustainable development. In the industrial sector, making decisions aimed at sustainability is complicated due to that, in the first instance, an economic benefit is wanted; however, any action took in this issue also affects the social and environmental sectors. Although, in recent years, the decision-make process has increasingly involved the search of the green industry, trying to consider environmental and social aspects, the reaction of the rational entities that represent or favor the affected sectors have not been properly considered. Due to its multiobjective and non-cooperative nature, Game Theory is a tool that can be very useful in this type of situation. In this work, a case study of decision-making in the installation of a plant producing acetic acid is proposed as a non-cooperative game. There are three players: the company, which seeks its economic benefit; the government, which seeks to keep the majority of the population happy; and a Non-governmental organization (NGO), which seeks environmental well-being. Following a pure strategy methodology, a Nash Equilibrium was determined, being the rational outcome far from the global optimal. [Display omitted] •An approach based on game theory for sustainable decision-making process is presented.•An acetic acid plant is presented as case study.•Game theory is used to establish the best strategies for each player.•The solution of the game is not necessarily intuitive or the best for all the system.•The approach should encourage cooperativeness in the decision-making process.