Optimal replenishment, pricing and preservation technology investment policies for non-instantaneous deteriorating items under two-level trade credit policy

نویسندگان

چکیده

<p style='text-indent:20px;'>In the business world, both supplier and retailer accept credit to make their position strong, because not only strengthens relationships but also increases scale of profits. In this paper, we consider an inventory model for non-instantaneous deteriorating items with price sensitive demand, time varying deterioration rate under two-level trade policy. Besides, reduce rate, retailers invest some cost prevent product degradation/decay, known as preservation technology, is inserted. Consumption such within shelf life prevents deterioration, which can be achieved by bulk sale. order stimulate selling, trade-credit policy considered here. sequel, would offer fixed period retailer, adopt customers in promote market competition. The accumulate revenue interest after customer pays amount purchasing until end offered supplier. main objective determine optimal replenishment, pricing technology investment strategies including whether or how much maximize average profit system. It proved that replenishment exists unique any given selling cost. An algorithm presented derive solutions model. Numerous theorems lemmas have been inserted obtain solution. Finally, numerical examples managerial implications are incorporated validate proposed model.</p>

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ژورنال

عنوان ژورنال: Journal of Industrial and Management Optimization

سال: 2022

ISSN: ['1547-5816', '1553-166X']

DOI: https://doi.org/10.3934/jimo.2021123