In this paper, we investigate the problem of simultaneously determining the order quantity and optimal prices for deteriorating products with price and ramp-type time dependent demand. We assume that a retailer has the opportunity to adjust prices before the end of the sales season to increase demand, decrease deterioration, and improve revenues. A mathematical model is developed to jointly optimize the order quantity, time interval for any two successive price changes, and the corresponding prices. An algorithm is provided to find the optimal solution to the proposed model. Finally, we use a numerical example to verify the availability of this model.
Accepted:
DOI: 10.1051/ro/2015033
Keywords: Deterioration, dynamic pricing, inventory, ramp-type time dependent demand
@article{RO_2015__49_5_865_0, author = {Wang, Chuanxu and Jiang, Liangkui}, title = {Inventory policy for deteriorating seasonal products with price and ramp-type time dependent demand}, journal = {RAIRO - Operations Research - Recherche Op\'erationnelle}, pages = {865--878}, publisher = {EDP-Sciences}, volume = {49}, number = {5}, year = {2015}, doi = {10.1051/ro/2015033}, mrnumber = {3549617}, zbl = {1333.90013}, language = {en}, url = {http://www.numdam.org/articles/10.1051/ro/2015033/} }
TY - JOUR AU - Wang, Chuanxu AU - Jiang, Liangkui TI - Inventory policy for deteriorating seasonal products with price and ramp-type time dependent demand JO - RAIRO - Operations Research - Recherche Opérationnelle PY - 2015 SP - 865 EP - 878 VL - 49 IS - 5 PB - EDP-Sciences UR - http://www.numdam.org/articles/10.1051/ro/2015033/ DO - 10.1051/ro/2015033 LA - en ID - RO_2015__49_5_865_0 ER -
%0 Journal Article %A Wang, Chuanxu %A Jiang, Liangkui %T Inventory policy for deteriorating seasonal products with price and ramp-type time dependent demand %J RAIRO - Operations Research - Recherche Opérationnelle %D 2015 %P 865-878 %V 49 %N 5 %I EDP-Sciences %U http://www.numdam.org/articles/10.1051/ro/2015033/ %R 10.1051/ro/2015033 %G en %F RO_2015__49_5_865_0
Wang, Chuanxu; Jiang, Liangkui. Inventory policy for deteriorating seasonal products with price and ramp-type time dependent demand. RAIRO - Operations Research - Recherche Opérationnelle, Volume 49 (2015) no. 5, pp. 865-878. doi : 10.1051/ro/2015033. http://www.numdam.org/articles/10.1051/ro/2015033/
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