An integrated production-inventory deteriorating model for pricing policy considering imperfect production, inspection planning and warranty-period and stock-level-dependent demand

An integrated production-inventory deteriorating model for pricing policy considering imperfect production, inspection planning and warranty-period and stock-level-dependent demand

0.00 Avg rating0 Votes
Article ID: iaor200973299
Volume: 39
Issue: 8
Start Page Number: 823
End Page Number: 837
Publication Date: Aug 2008
Journal: International Journal of Systems Science
Authors: ,
Keywords: deteriorating items, holistic management, pricing
Abstract:

In marketing, enterprises try all motivated selling strategies to stimulate customers to buy a product. One of these selling strategies is a warranty policy that provides a return promise of free replacement. The buyer may place more orders because of the display of the product. An increasing demand resulting from these motivated factors influences the replenishment planning. In operational process, quality level resulting in relevant activities may cause changes of operational planning. The purpose of this study is to investigate an integrated production inventory deteriorating model considering the pricing policy, the imperfect production, the inspection planning, the warranty-period and the stock-level-dependent demand with the Weibull deterioration, partial backorder and inflation. We incorporate a single-retailer single-manufacturer cooperation from the perspectives of both the manufacturer and the retailer. The classical optimisation technique and the heuristic method are used to derive the optimum solutions. A numerical example and sensitivity analysis are presented.

Reviews

Required fields are marked *. Your email address will not be published.