Credit policy for an inventory model of a deteriorating item having variable demand considering default risk

In this study a supplier-retailer-customer supply chain of deteriorating item has been proposed where the supplier adopt full credit policy for retailer to enhance retailer's order volume. This facility influences provide period his/her customers on portion purchased amount boost market demand. These are named as partial and customers. For opportunity adopted by retailer, he/she always faces risk sell items due defaulters, which is termed default risk. paper, considered in more realistic manner, depends customers' amount. The amount, retail price an expiration time dynamic deterioration rate it. Optimal decision searched maximizing average profit from system. search process, artificial bee colony algorithm implemented, tested used. Illustration model done with some hypothetical examples.