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A Retail Inventory Model with Promotional Efforts, Preservation Technology Considering Green Technology Investment

Author

Listed:
  • Sunita Yadav

    (Department of Mathematics and Statistics, Banasthali Vidyapith, Tonk 304022, India)

  • Sarla Pareek

    (Department of Mathematics and Statistics, Banasthali Vidyapith, Tonk 304022, India)

  • Mitali Sarkar

    (Department of Hospitality and Tourism Management, Sejong University, 209 Neungdong-ro (Gunja-dong), Gwangjin-gu, Seoul 05006, Republic of Korea)

  • Jin-Hee Ma

    (Small Enterprise Policy Research Center, Small Enterprise and Market Service (SEMAS), Hannuri-daero, Sejong-si 30147, Republic of Korea)

  • Young-Hyo Ahn

    (Division of International Trade, Institute of Digital Economy, Incheon National University, 119 Academy-ro, Yeonsu-gu, Incheon 22012, Republic of Korea)

Abstract

Retailing strategy can be considered as the most critical factor for the success of industries. Managing deteriorating products in retail demands a strategic approach aimed at mitigating losses while maximizing profitability. This entails a proactive stance towards identifying products nearing expiration, becoming obsolete or showing signs of deterioration. Offering discounts or promotions can stimulate consumer interest and clear out inventory. The promotion of products within the context of retail management involves a multifaceted approach aimed at increasing awareness, generating interest, and ultimately driving sales. Sustainability helps retailers to develop social as well as economic consistency. Every country and their respective governments are currently working towards sustainable development. New technologies in this direction have been introduced. The present paper introduces a retailing model considering green technology as it is becoming popular to lower environmental risks. The items considered in this study are perishable in nature. As product prices and the promotion of products highly influence demand, a demand pattern dependent on price and promotion is therefore considered. This paper presents a sustainable retail-based inventory model that considers preservation technology to lower the rate of deterioration and increase product shelf life. As carbon emissions is currently the biggest threat to the environment, enforcing a penalty may lower its emissions. Carbon emissions costs due to storage, transportation, and preservation are considered herein. This model studies the effect of various cost parameters on the model. A numerical analysis is performed to validate the result. The results of this study show that the implementation of preservation technology not only increases cycle time but also significantly reduces total cost, hence increasing profit. Sensitivity analysis is performed to show the behaviors of different cost parameters on total cost and decision variables. Mathematica 11 and Maple 18 software are used for graphical representation.

Suggested Citation

  • Sunita Yadav & Sarla Pareek & Mitali Sarkar & Jin-Hee Ma & Young-Hyo Ahn, 2025. "A Retail Inventory Model with Promotional Efforts, Preservation Technology Considering Green Technology Investment," Mathematics, MDPI, vol. 13(7), pages 1-23, March.
    • Handle: RePEc:gam:jmathe:v:13:y:2025:i:7:p:1065-:d:1620119
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    References listed on IDEAS

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