Abstract: Taking consumers' environmental awareness and greening production technology into consideration, pricing mechanisms and green degree decisions of green differentiated products were discussed in the context of a covered duopoly market. Based on game theory, the influence of manufacturers' action order, consumers' environmental awareness and greening production technology on the green degree, prices, market shares and profits were analyzed. The result shows that, it is dominant for lower green manufacturer to act first, higher green manufacturer to act simultaneous. When lower green manufacturer moves first, the whole green level is highest and the ratio of price to green degree is lower, which is the best to government and consumers. With the enhancement of consumers' environmental awareness and the reduction of the greening cost, the product green degree and the difference between the two products, the price of the two products and the profit of the two manufacturers have increased.

Key words: green differentiation, green degree, environmental awareness, pricing, duopoly