Retailer’s decision for ordering and credit policies for deteriorating items when a supplier offers order-linked credit period or cash discount

2015 ◽  
Vol 259 ◽  
pp. 569-578 ◽  
Author(s):  
Nita H. Shah ◽  
Leopoldo Eduardo Cárdenas-Barrón
Keyword(s):  
Deteriorating Items ◽  
Credit Period ◽  
Cash Discount

Optimal Ordering for Deteriorating Items of Fixed-Life with Quadratic Demand and Two-Level Trade Credit

2016 ◽  
pp. 1-16 ◽  
Author(s):  
Nita H. Shah ◽  
Mrudul Yogeshkumar Jani
Keyword(s):  
Sensitivity Analysis ◽  
Decision Maker ◽  
Trade Credit ◽  
Life Time ◽  
Deteriorating Items ◽  
Total Cost ◽  
Credit Period ◽  
Numerical Examples ◽  
Optimal Ordering ◽  
Purchase Quantity

This chapter studies the retailer's ordering policies when items in the stocking system has fixed life time and subject to deteriorate with time. The demand is considered to be quadratically decreasing. The supplier offers credit period to the retailer which in turn is partially passed on to customer. The retailer is the decision maker and the objective is to minimize the total cost of the system by ordering optimum purchase quantity. Numerical examples are given to find the best possible scenario for the retailer. Sensitivity analysis is carried out to derive player's insights.

Retailer’s Pricing and Lot Sizing Policy for Non Deteriorating Items with Constant Demand Rate Under the Condition of Permissible Delay in Payments

2012 ◽  
Vol 3 (1) ◽  
pp. 74-84
Author(s):  
R. P. Tripathi ◽  
S. S. Misra
Keyword(s):  
Cycle Time ◽  
Lot Sizing ◽  
Deteriorating Items ◽  
Lot Size ◽  
Credit Period ◽  
Eoq Model ◽  
Develop Algorithm ◽  
Net Profit ◽  
Demand Rate ◽  
Delay In Payments

This study develops an EOQ model for retailer’s price and lot size simultaneously when the supplier permits delay in payments for an order of a product whose demand rate is a constant price elastic function for non-deteriorating items. In this study, mathematical models have been discussed under two different situations, i.e., case I: The credit period is less than or equal to cycle time for setting the account; and case II: The credit period is greater than the cycle time for setting the account. Expressions for an inventory system’s net profit are derived for these two cases. The authors develop algorithm for a retailer to determine its optimal price and lot size simultaneously, when supplier offers a permissible in payments.

scholarly journals A Lot-Size Model for Deteriorating Items under Conditions of a One-Time Only Extended Credit Period

2010 ◽  
Vol 2010 ◽  
pp. 1-9 ◽  
Author(s):  
Nita H. Shah
Keyword(s):  
Mathematical Model ◽  
Cycle Time ◽  
Deteriorating Items ◽  
Special Period ◽  
Lot Size ◽  
Credit Period ◽  
Size Model ◽  
The Mathematical Model ◽  
Special Cycle ◽  
Theoretical Results

Now-a-days, the offer of credit period to the customer for settling the account for the units purchased by the supplier is considered to be the most beneficial policy. In this article, an attempt is made to formulate the mathematical model for a customer to determine optimal special cycle time when the supplier offers the special extended credit period for one time only during a special period. A decision policy for a retailer is developed to find optimal special cycle time. The theoretical results and effects of various parameters are studied by appropriate dataset.

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