Optimal ordering policies in response to a sale

Optimal ordering policies in response to a sale

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Article ID: iaor198849
Country: United States
Volume: 20
Issue: 3
Start Page Number: 292
End Page Number: 294
Publication Date: Sep 1988
Journal: IIE Transactions
Authors:
Abstract:

When a supplier reduces the price of a product temporarily a buyer might be able to improve the effectiveness of his inventory system by placing a special order during the sale period. This paper analyses the effects of a special order on inventory costs and develops optimal ordering policies in response to a sale.

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