基于改善易逝品仓储环境的最优定价策略.docVIP

  Optimal pricing policy for deterioration items with preservation technology investment# Bai Zhenyu, Zhang Jianxiong** 5 10 15 20 25 30 35 40 (Institute of Systems Engineering, Tianjin University, TianJin 300072) Abstract: This paper considers the problem of simultaneously determining the price and inventory control strategies for deteriorating items. It is assumed that the rate of deterioration can be reduced by means of effective capital preservation technology investment and the demand rate is a function of selling price. The objective of this study is to simultaneously determine the optimal selling price, the optimal length of replenishment cycle and the optimal preservation technology investment such that the total profit per unit time is maximized. First, for any given preservation technology investment, we prove that the optimal selling price and the optimal length of replenishment cycle exist and are unique. Next, we show that the total profit is a concave function of the preservation technology investment. Then, an effective algorithm is designed to find the optimal solution of the proposed model. Finally, numerical examples to illustrate the solution procedure and some managerial implications are provided. Keywords: Deteriorating items; Pricing; Replenishment cycle; Preservation technology investment 0 Introduction In recent years, deteriorating inventory problems have been widely studied by many researchers. As presented by Wee [1], deterioration is defined as decay, damage, spoilage, evaporation, obsolescence, pilferage, loss of utility or loss of marginal value of commodities that result in decreased usefulness. Electronic goods, food items, blood, alcohol, pharmaceutical, volatile liquids are examples of items that decrease during the normal storage period, as a result of deterioration. Hence, while formulating the inventory model of that type of items, the loss due to deterioration should not be neglected for the researchers. Shah and Jaiswal [2