We consider a socially responsible firm that is concerned with its profit as well as consumer surplus, following the preference of pro-social executives or a government shareholder. Specifically, we study the decisions faced by a newsvendor whose objective is modeled as a weighted average of the...

This paper considers a socially responsible supply chain that consists of a manufacturer and a retailer, who concern their respective profits as well as consumer welfare. Each firm's objective is modelled as a weighted sum of its profit and consumer surplus, with the weight on consumer surplus...