Computers and Operations Research
Computers and Operations Research
Economic order quantity of deteriorating items under permissible delay in payments
Computers and Operations Research
Coordinating a two-level supply chain with delay in payments and profit sharing
Computers and Industrial Engineering - Special issue: Sustainability and globalization: Selected papers from the 32 nd ICC&IE
Retailer's optimal ordering and discounting policies under advance sales discount and trade credits
Computers and Industrial Engineering
Computers & Mathematics with Applications
Computers and Industrial Engineering
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A profitable decision policy between a supplier and the retailers can be characterized by an agreement on the trade credit scenario such as permissible delay in payments. In real life business, we observe that the demand is a function of both the selling price and credit period rather than the constant demand. Incorporating this demand function to the retailer of a supply chain, we develop an EPQ - based model for perishable items under two-echelon trade financing. The purpose of this paper is to maximize the profit by determining the optimal selling price, credit period and replenishment time. It is shown that the model developed by Jaggi et al. [Jaggi, J. K., Goyal, S. K., & Goel, S. K., 2008. Retailer's optimal replenishment decisions with creditlinked demand under permissible delay in payments. European Journal of Operational Research, 190, 130-135] can be treated as a special case of this paper. Finally, through numerical examples, sensitivity analysis shows the influence of key model parameters.