Article ID: | iaor19951219 |
Country: | Japan |
Volume: | 36 |
Issue: | 4 |
Start Page Number: | 199 |
End Page Number: | 205 |
Publication Date: | Dec 1993 |
Journal: | Journal of the Operations Research Society of Japan |
Authors: | Ishii Hiroaki |
Keywords: | probability, programming: convex |
This paper discusses an inventory control model for a single perishable product with two types of customers and different selling prices. This model is a one period horizon model and a generalization of Nahmias model and Nose et al. model. Especially the model takes sensitive customers to freshness of commodities into consideration and treats two types of customers. Moreover, in the model there exist different selling prices according to the remaining lifetime of commodity to be sold. In the situation, an optimal ordering policy to maximize the expected profit is derived.