題名: An EOQ model with controllable selling rate 作者: Chang, Horng-Jinh;Chen, Po-Yu
貢獻者: Department of Business Administration
關鍵詞: Distribution functions;Functions;Sales;Sensitivity analysis;Bivariate distributions;Business cycles;Decision maker (DM);Demand
rates;Economic order quantity (EOQ);EOQ models;Individual (PSS 544- 7);Inventory levels;Inventory modeling;Operational research;Optimal solutions;Selling prices;Singapore;Transaction costs;Upper bounds 日期: 2008
上傳時間: 2010-04-08T10:54:06Z 出版者: Asia University
摘要: According to the marketing principle, a decision maker may control demand rate through selling price and the unit facility cost of promoting transaction. In fact, the upper bound of willing-to-pay price and the transaction cost probably depend upon the subjective judgment of individual consumer in purchasing merchandise. This study therefore attempts to construct a bivariate distribution function to simultaneously incorporate the willing-to-pay price and the transaction cost into the classical economic order quantity (EOQ) model. Through the
manipulation of the constructed bivariate distribution function, the demand function faced by the supplier can be expressed as a concrete form. The proposed mathematical model mainly concerns how to determine the initial inventory level for each business cycle, so that the profit per unit time is maximized by means of the selling price and the unit-transaction cost to control the selling rate. Furthermore, the
sensitivity analysis of optimal solution is performed and the implication of this extended inventory model is also discussed. © World Scientific Publishing Co. & Operational Research Society of Singapore.
