1304 X.Liang et aL Journal of Cleaner Production 137 (2016)1300-1312 reduction,and transaction costs.In particular,some large-scale motivation and engagement of people even under incentive pol- companies attach significant importance to reputation and risk. icies.To determine the reasons underlying this problem,this study According to our interview,public influence and reputation limits the research scope to the owners and occupiers at the initial enhancement are assigned the highest priority in the green retrofit phase.The behaviors of these decision makers are specified in project of China Recourse Headquarter in Hong Kong,which was Sections 1 and 2. completed in 2012. Second,this study analyzes the main possible influential factors The abovementioned limitations present difficulties in under- of green retrofit decisions by conducting literature review and standing why the existing identified reasons would result in the expert interview.A series of semi-structured interviews are con- reluctance to implement green retrofit in the industry.To mitigate ducted with 19 experts from Hong Kong and Mainland China,who such deficiency.this study aims to reveal the underlying logic of have participated in green retrofit projects as project manager, industry's reluctance to conduct green retrofit by analyzing the designer,facility manager,contract manager,contractor,and third- behaviors of owners and occupiers at the initial phase.This study party consultant authorized by the government to audit projects. differs from the previous ones in that it explores the behaviors of The analysis results are discussed in Section 2. the direct decision makers under current market constraints Third,the identified problem in reality is mapped to a theoret- through game analysis,rather than identifying the willingness of ical model by game theory.Most owners and occupiers prefer to the stakeholders or retrofit-related problems through survey.The show their positive attitudes rather than reluctance towards green factors affecting the behaviors of these decision makers,including retrofit to the public.This condition explains why the major cases in economic,environmental,and social factors,in the short and long the existing studies are successful retrofit projects.Constrained by terms are systemically analyzed and selected based on the litera- such realities,we adopt game theory to investigate the research ture review.Game theory is used to model the behaviors of the question using theoretical model and logical deduction rather than owners and occupiers under different occupancy types.The results an empirical study.The data for the game analysis are primarily of this study are critical to the analysis of the feasibility of a building obtained from the existing studies and interviews about real cases. retrofit and may serve as a foundation for formulating more energy This process is useful in overcoming the shortages of limited data as efficiency strategies and policies. a relative value rather than absolute value that is needed in the game analysis.The probable decisions of the owners and occupiers 3.Methodology under the three occupancy types are discussed in Sections 4-6. Finally,the result interpretations and uncertainty discussion are 3.1.Research design presented in Section 7.The conclusions and limitations of this study are emphasized in Section 8. To fulfill the research aim,this study is conducted with four procedures,which are demonstrated in Fig.2. 3.2.Game theory First,this study identifies the research problem and research gap through the literature review.The relevant literature asserts Game theory is used to model the decision behaviors of owners that,a key problem in promoting green retrofit is the low and occupiers in green retrofit.Previous studies have determined Steps Methods/Tools Outcomes Step 1 Identifying the Research problem: research problem and Literature review Research objectives; research gap Key stakeholders Step 2 Analyzing the impact Expert interview: Occupancy types; factors Literature review Incentives and divers Barriers and resistances Step 3 Mapping the real Nash Equilibrium under problem to theoretical Game theory different occupancy model types Step 4 Discussing the Inductive Result interpretations analysis results interpretation and suggestions; Future directions Fig.2.Schematic of research process.reduction, and transaction costs. In particular, some large-scale companies attach significant importance to reputation and risk. According to our interview, public influence and reputation enhancement are assigned the highest priority in the green retrofit project of China Recourse Headquarter in Hong Kong, which was completed in 2012. The abovementioned limitations present difficulties in under￾standing why the existing identified reasons would result in the reluctance to implement green retrofit in the industry. To mitigate such deficiency, this study aims to reveal the underlying logic of industry's reluctance to conduct green retrofit by analyzing the behaviors of owners and occupiers at the initial phase. This study differs from the previous ones in that it explores the behaviors of the direct decision makers under current market constraints through game analysis, rather than identifying the willingness of the stakeholders or retrofit-related problems through survey. The factors affecting the behaviors of these decision makers, including economic, environmental, and social factors, in the short and long terms are systemically analyzed and selected based on the litera￾ture review. Game theory is used to model the behaviors of the owners and occupiers under different occupancy types. The results of this study are critical to the analysis of the feasibility of a building retrofit and may serve as a foundation for formulating more energy efficiency strategies and policies. 3. Methodology 3.1. Research design To fulfill the research aim, this study is conducted with four procedures, which are demonstrated in Fig. 2. First, this study identifies the research problem and research gap through the literature review. The relevant literature asserts that, a key problem in promoting green retrofit is the low motivation and engagement of people even under incentive pol￾icies. To determine the reasons underlying this problem, this study limits the research scope to the owners and occupiers at the initial phase. The behaviors of these decision makers are specified in Sections 1 and 2. Second, this study analyzes the main possible influential factors of green retrofit decisions by conducting literature review and expert interview. A series of semi-structured interviews are con￾ducted with 19 experts from Hong Kong and Mainland China, who have participated in green retrofit projects as project manager, designer, facility manager, contract manager, contractor, and third￾party consultant authorized by the government to audit projects. The analysis results are discussed in Section 2. Third, the identified problem in reality is mapped to a theoret￾ical model by game theory. Most owners and occupiers prefer to show their positive attitudes rather than reluctance towards green retrofit to the public. This condition explains why the major cases in the existing studies are successful retrofit projects. Constrained by such realities, we adopt game theory to investigate the research question using theoretical model and logical deduction rather than an empirical study. The data for the game analysis are primarily obtained from the existing studies and interviews about real cases. This process is useful in overcoming the shortages of limited data as a relative value rather than absolute value that is needed in the game analysis. The probable decisions of the owners and occupiers under the three occupancy types are discussed in Sections 4e6. Finally, the result interpretations and uncertainty discussion are presented in Section 7. The conclusions and limitations of this study are emphasized in Section 8. 3.2. Game theory Game theory is used to model the decision behaviors of owners and occupiers in green retrofit. Previous studies have determined Methods/Tools Research problem; Research objectives; Key stakeholders Steps Identifying the research problem and research gap Analyzing the impact factors Mapping the real problem to theoretical model Discussing the analysis results Literature review Expert interview; Literature review Game theory Inductive interpretation Outcomes Occupancy types; Incentives and divers; Barriers and resistances Nash Equilibrium under different occupancy types Result interpretations and suggestions; Future directions Step 1 Step 2 Step 3 Step 4 Fig. 2. Schematic of research process. 1304 X. Liang et al. / Journal of Cleaner Production 137 (2016) 1300e1312