Analysis of an inventory system under backorder correlated deterministic demand and geometric supply process

In this article we propose a single item, periodic review model that investigates the effects of changes in the demand process that occur after stockout realizations. We investigate a system where the demands in successive periods are deterministic but affected by the backorder realizations. In order to capture the effects of changes in the demand process we use a geometric type supply availability. We analytically derive the necessary components for obtaining profit related performance measures and provide computational analysis.