Purchasing Speculative Inventory for Price Sensitive Demand
نویسندگان
چکیده
The problem studied is one of buying and selling products cost efficiently over a number of periods in a finite horizon setting. Unit purchase costs vary across periods acording to some known distribution.and demand is deterministic but dependent on the price charged for the product. Thus, the problem becomes one of exploiting opportunities to “forward buy” and sell profitably in the face of costs for carrying product.
منابع مشابه
Speculative Oil Demand and Crude Oil Price Dynamics: A TVP-VAR Approach
Significant decline in the slope of short-term oil supply and demand curves, along with the meaningful change in the degree of risk aversion in arbitrageurs encouraged us to test the time-varying effects of speculative demand on crude oil price dynamics over the period 1985-2016. Using a time-varying parameter vector autoregressive (TVP-VAR) model – with structural shocks identified by Killian ...
متن کاملINVENTORY MODEL FOR DETERIORATING ITEMS WITH REVENUE SHARING ON PRESERVATION TECHNOLOGY INVESTMENT UNDER PRICE SENSITIVE STOCK DEPENDENT DEMAND
The objective of this research is to tackle the emerging problem of jointly determining theoptimal retail price, the replenishment cycle, and the cost of preservation technology investment from an integrated perspective among the supplier and the manufacturer. This paper deals an integrated single-manufacturer single-retailer supply chain model for deteriorating items under revenue sharing on p...
متن کاملPricing Policies for Perishable Products with Demand Substitution
This paper studies optimal pricing policies for a family of substitute perishable products with demand correlation. Potential buyers arrive according to an exogenous stochastic Poisson process. At each demand epoch, the arriving customer observes the set of substitute products for which there is still inventory available together with their corresponding prices. Based on this information, the c...
متن کاملOptimal Dynamic Joint Pricing and Inventory Control for Multiplicative Demand with Fixed Order Costs and Lost Sales
In this paper we study the optimal dynamic decision-making problem for a retailer selling a single product and facing price-sensitive, stochastic (multiplicative) demand in each period. Any leftover inventory for a period is carried over and charged a holding cost at the end of the period. Leftovers at the end of the selling horizon earn a non-negative salvage value. On the other hand, any unsa...
متن کاملA two-level discount model for coordinating a decentralized supply chain considering stochastic price-sensitive demand
In this paper, a discount model is proposed to coordinate pricing and ordering decisions in a two-echelon supply chain (SC). Demand is stochastic and price sensitive while lead times are fixed. Decentralized decision making where downstream decides on selling price and order size is investigated. Then, joint pricing and ordering decisions are extracted where both members act as a single entity ...
متن کامل