EOQ model for imperfective items under a one-time-only discount
In practice, when a supplier is confronted with extreme completion in markets, unanticipated surplus in inventory, or change in the production run of a product, he/she may offer a special price discount to motivate buyers to order a special quantity. The purpose of the present paper is to investigate an inventory model for imperfective items under a one-time-only discount, where the defectives can be screened out by a 100% screening process and then can be sold in a single batch by the end of the 100% screening process. The optimal order policies associated with three kinds of effective times of the reduced price are obtained. Finally, a numerical example is provided to illustrate the proposed model.
Year of publication: |
2009
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---|---|
Authors: | Kevin Hsu, Wen-Kai ; Yu, Hong-Fwu |
Published in: |
Omega. - Elsevier, ISSN 0305-0483. - Vol. 37.2009, 5, p. 1018-1026
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Publisher: |
Elsevier |
Keywords: | EOQ model Special price discount One-time-only discount Imperfect quality |
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