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Note on supplier-restricted order quantity under temporary price discounts

Author

Listed:
  • Peter Chu
  • Patrick Chen
  • Thomas Niu

Abstract

In this technical note, we consider the optimal replenishment strategies for a continuous review inventory model in which temporary price discounts are offered subject to supplier-obligatory restrictions on the special order quantity. We prove that the minimum inventory level during the on-sale period is the optimal replenishment time for the supplier-restricted inventory model. Copyright Springer-Verlag Heidelberg 2003

Suggested Citation

  • Peter Chu & Patrick Chen & Thomas Niu, 2003. "Note on supplier-restricted order quantity under temporary price discounts," Mathematical Methods of Operations Research, Springer;Gesellschaft für Operations Research (GOR);Nederlands Genootschap voor Besliskunde (NGB), vol. 58(1), pages 141-147, August.
    • Handle: RePEc:spr:mathme:v:58:y:2003:i:1:p:141-147
    DOI: 10.1007/s001860200272
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    Citations

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    Cited by:

    1. Yiju Wang & Hengxia Gao & Wei Xing, 2018. "Optimal replenishment and stocking strategies for inventory mechanism with a dynamically stochastic short-term price discount," Journal of Global Optimization, Springer, vol. 70(1), pages 27-53, January.
    2. Shaposhnik, Yaron & Herer, Yale T. & Naseraldin, Hussein, 2015. "Optimal ordering for a probabilistic one-time discount," European Journal of Operational Research, Elsevier, vol. 244(3), pages 803-814.
    3. Yusen Xia, 2016. "Responding to supplier temporary price discounts in a supply chain through ordering and pricing decisions," International Journal of Production Research, Taylor & Francis Journals, vol. 54(7), pages 1938-1950, April.
    4. Ramasesh, Ranga V., 2010. "Lot-sizing decisions under limited-time price incentives: A review," Omega, Elsevier, vol. 38(3-4), pages 118-135, June.

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