Shen B.Xin Y.TSAN MING CHOIZhang K.2022-05-302022-05-302022https://www.scopus.com/inward/record.uri?eid=2-s2.0-85129147132&doi=10.1080%2f00207543.2022.2051091&partnerID=40&md5=d3e41b05564aeebecf86ebd4c7e568efhttps://scholars.lib.ntu.edu.tw/handle/123456789/612123Luxury rental operations are increasingly popular nowadays. In this study, we develop game-theoretical models to examine the optimal renter? integration strategies (RISs) in a luxury supply chain with conspicuous consumers. The luxury supply chain consists of one manufacturer, one seller and one renter. Based on observed industrial practices, we compare three RISs, namely non-integration (the renter works on his own), vertical integration (the renter operates with the manufacturer) and horizontal integration (the renter co-operates with the seller).?The main findings are as follows. First, integration is not always a wise strategy for the renter. When the proportion of conspicuous consumers (PCC) is sufficiently high, the renter should work?on his own. When the PCC is lower than a threshold, the optimal RIS depends on the trade-off between the double-marginalisation and retail competition effects. Second, we evaluate the environmental impacts of RISs and uncover that the environmental effects depend on the product types??environmental impact. We further identify the conditions?how a dominating situation with respect to profitability and environmental impact can be achieved (called ?E dominating??. Third, we investigate the effects of consumer segmentation on the optimal RIS. Managerial implications are discussed. ? 2022 Informa UK Limited, trading as Taylor & Francis Group.conspicuous consumption; luxury; rental; Retailing; sharing economy; supply chain structure[SDGs]SDG12Economic and social effects; Game theory; Integration; Manufacture; Supply chains; Conspicuous consumption; Game theoretical models; Industrial practices; Integration strategy; Luxury; Rental; Retailing; Sharing economy; Supply chain structures; Vertical integration; Environmental impactjournal article10.1080/00207543.2022.20510912-s2.0-85129147132