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A Note On The Optimal Supply Cycle When The Whole Period Is Stockout

Author

Listed:
  • MIAO-SHENG CHEN

    (Graduate Institute of Management Sciences, Nanhua University, Taiwan, R.O.C.)

  • YING-CHIEH CHEN

    (Department of Accounting, Ming Chuan University, Taiwan, R.O.C.)

Abstract

The purpose of this article is to construct a stochastic-demand inventory model which assumes that the whole period is stockout and the goods supply is at the end of the period. Furthermore, it also assumes that the waiting willingness of the customer depends on the length of waiting time. Based on these assumptions, the optimal supply cycle is then found so that the profit per unit time is maximized.

Suggested Citation

  • Miao-Sheng Chen & Ying-Chieh Chen, 2010. "A Note On The Optimal Supply Cycle When The Whole Period Is Stockout," Asia-Pacific Journal of Operational Research (APJOR), World Scientific Publishing Co. Pte. Ltd., vol. 27(05), pages 611-616.
  • Handle: RePEc:wsi:apjorx:v:27:y:2010:i:05:n:s0217595910002892
    DOI: 10.1142/S0217595910002892
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