Consumer-Centered Collaborative Governance of Regional Business Environment

Optimizing the regional business environment plays a crucial role in improving the market supply structure, enhancing market dynamism, and boosting consumer welfare. Investigating how the government can effectively improve the business environment and promote consumer welfare through scientific and...

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Main Authors: Tingting Xiang, Hongzhi Lin
Format: Article
Language:English
Published: MDPI AG 2025-07-01
Series:Mathematics
Subjects:
Online Access:https://www.mdpi.com/2227-7390/13/15/2340
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author Tingting Xiang
Hongzhi Lin
author_facet Tingting Xiang
Hongzhi Lin
author_sort Tingting Xiang
collection DOAJ
description Optimizing the regional business environment plays a crucial role in improving the market supply structure, enhancing market dynamism, and boosting consumer welfare. Investigating how the government can effectively improve the business environment and promote consumer welfare through scientific and strategic investment allocation is a topic that warrants comprehensive and in-depth research. This paper proposes a bi-level programming model based on consumer welfare, with the upper-level model focusing on optimizing the government’s investment allocation strategy to maximize consumer welfare, and the lower-level model addressing the spatial price equilibrium problem after improving the business environment. The experimental results confirm the effectiveness and practicality of the proposed algorithm. The findings reveal that the bi-level programming model, integrating simulated annealing and projection algorithms, provides support for governments in accurately determining investment allocation strategies, enabling the simultaneous maximization of consumer welfare and optimization of the business environment. Additionally, increased government investment significantly improves both the business environment and consumer welfare, while appropriately managing the intensity of investment further enhances consumer welfare. This study offers valuable theoretical insights and practical guidance for governments to refine investment decisions, foster business environment development, and improve societal well-being.
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institution Kabale University
issn 2227-7390
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publishDate 2025-07-01
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spelling doaj-art-4b3e5dfd673c4a8089eb5dc9f91c44d62025-08-20T03:36:27ZengMDPI AGMathematics2227-73902025-07-011315234010.3390/math13152340Consumer-Centered Collaborative Governance of Regional Business EnvironmentTingting Xiang0Hongzhi Lin1School of Economics and Management, Southeast University, Nanjing 211189, ChinaSchool of Economics and Management, Southeast University, Nanjing 211189, ChinaOptimizing the regional business environment plays a crucial role in improving the market supply structure, enhancing market dynamism, and boosting consumer welfare. Investigating how the government can effectively improve the business environment and promote consumer welfare through scientific and strategic investment allocation is a topic that warrants comprehensive and in-depth research. This paper proposes a bi-level programming model based on consumer welfare, with the upper-level model focusing on optimizing the government’s investment allocation strategy to maximize consumer welfare, and the lower-level model addressing the spatial price equilibrium problem after improving the business environment. The experimental results confirm the effectiveness and practicality of the proposed algorithm. The findings reveal that the bi-level programming model, integrating simulated annealing and projection algorithms, provides support for governments in accurately determining investment allocation strategies, enabling the simultaneous maximization of consumer welfare and optimization of the business environment. Additionally, increased government investment significantly improves both the business environment and consumer welfare, while appropriately managing the intensity of investment further enhances consumer welfare. This study offers valuable theoretical insights and practical guidance for governments to refine investment decisions, foster business environment development, and improve societal well-being.https://www.mdpi.com/2227-7390/13/15/2340bi-level programmingbusiness environmentconsumer welfarespatial price equilibriumvariational inequality
spellingShingle Tingting Xiang
Hongzhi Lin
Consumer-Centered Collaborative Governance of Regional Business Environment
Mathematics
bi-level programming
business environment
consumer welfare
spatial price equilibrium
variational inequality
title Consumer-Centered Collaborative Governance of Regional Business Environment
title_full Consumer-Centered Collaborative Governance of Regional Business Environment
title_fullStr Consumer-Centered Collaborative Governance of Regional Business Environment
title_full_unstemmed Consumer-Centered Collaborative Governance of Regional Business Environment
title_short Consumer-Centered Collaborative Governance of Regional Business Environment
title_sort consumer centered collaborative governance of regional business environment
topic bi-level programming
business environment
consumer welfare
spatial price equilibrium
variational inequality
url https://www.mdpi.com/2227-7390/13/15/2340
work_keys_str_mv AT tingtingxiang consumercenteredcollaborativegovernanceofregionalbusinessenvironment
AT hongzhilin consumercenteredcollaborativegovernanceofregionalbusinessenvironment