A backlog inventory model during restricted sale periods

A backlog inventory model during restricted sale periods

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Article ID: iaor19971253
Country: United Kingdom
Volume: 47
Issue: 9
Start Page Number: 1192
End Page Number: 1200
Publication Date: Sep 1996
Journal: Journal of the Operational Research Society
Authors:
Abstract:

Optimal purchasing policies are derived for a continuous review inventory system in which backlogs are permissible and temporary price discounts are available. This paper derives such policies assuming that the sale price is not available at the regularly-scheduled replenishment time. Results indicate that, under specific conditions, maximum positive cost savings are generated when a special order is placed at the end of the sale period.

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