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Optimal selling price and lot size for non-instantaneous deteriorating items with different demand rates and partial backlogging

Author

Listed:
  • Ajay S. Gor
  • Hetal R. Patel

Abstract

This study is an extension of Maihami and Kamalabadi (2012a) (Int. J. Production Economics, Vol. 136, pp.116-122) by taking the demand rate as general function of price and time and it is different in different time interval. When deterioration starts, price discount is offered. This study also considers deterioration rate as general function of time. Back order rate is also taken as general function to develop a model. Numerical examples are presented to illustrate the model. Sensitivity analysis is carried out for major parameters and some managerial insights are proposed.

Suggested Citation

  • Ajay S. Gor & Hetal R. Patel, 2018. "Optimal selling price and lot size for non-instantaneous deteriorating items with different demand rates and partial backlogging," International Journal of Procurement Management, Inderscience Enterprises Ltd, vol. 11(3), pages 295-312.
    • Handle: RePEc:ids:ijpman:v:11:y:2018:i:3:p:295-312
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