| Article ID: | iaor20119261 |
| Volume: | 39 |
| Issue: | 5 |
| Start Page Number: | 375 |
| End Page Number: | 379 |
| Publication Date: | Sep 2011 |
| Journal: | Operations Research Letters |
| Authors: | Pang Zhan |
| Keywords: | deteriorating items, pricing |
This paper studies dynamic pricing strategies for a periodic‐review inventory system. There is a fixed cost for each replenishment order and the demand is additive. The inventory may deteriorate over time and the unmet demand may be partially backlogged. We identify two sufficient conditions under which (s,S,p) policies are optimal.