An inventory model with trade-credit policy and variable deterioration for fixed lifetime products

Abstract

The purpose of this study is two-fold. The first is to consider supplier's and retailer's trade-credit policy for fixed lifetime products and the second is to extend Mahata's 2012 model with time varying deterioration where Mahata (Expert Syst Appl 39(3): 3537-3550, 2012) wrote exponential deterioration but actually he considered constant deterioration. We assume that the suppliers offer full trade-credit to retailers but retailers offer partial trade-credit to their customers. Some numerical examples along with graphical representations are given to illustrate the model.

Optimal replenishment policy with variable deterioration for fixed lifetime products

“…Shortages occur during the period (t 1 ; T ), which are fully backlogged. During the replenishment cycle [0; T ], the inventory level, I(t), satis es the following di erential equations: p p p Sarkar [3] p p Sett, Sarkar, and Goswami [4] p p Sarkar, Saren, and C ardenas-Barr on [5] p p Wu, Ouyang, C ardenas-Barr on, and Goyal [6] p p Sarkar, Sarkar, and Yun [7] p p p Sarkar [8] p Ghare and Schrader [9] p Covert and Philip [10] p Philip [11] p Dave and Patel [12] p Wee [13] p p Goyal and Giri [14] p Yang and Wee [15] p Law and Wee [16] p p Chung and Wee [17] p Hsu, Wee, and Teng [18] p Sarkar and Sarkar [19] p Sarkar, Saren, and Wee [20] p Sarkar [21] p Sarkar and Sarkar [22] p Shah and C ardenas-Barr on [23] p Deb and Chaudhuri [24] p Abad [25] p Wee, Law, Yu, and Chen [26] p C ardenas-Barr on [27] p Taleizadeh, Mohammadi, Crdenas-Barrn, and Samimi [28] p p C ardenas-Barr on [29] p Sarkar and Sarkar [30] p p …”

“…Sett et al [4] discussed a two-warehouse inventory model with increasing demand and timevarying deterioration. Sarkar et al [5] formulated a trade-credit policy with variable deterioration for xedlifetime products. Wu et al [6] discussed an optimal credit-period and lot sizing problem for deteriorating items with expiration dates under two-level trade credit nancing.…”

Optimal Production and Ordering Strategies with Defective Items and Allowable Shortage under Two-part Trade Credit

“…Sarker et al [10] developed an inventory model for di erent types of time-varying demand, where di erent discount rates for di erent delay periods are considered. Sarkar et al [11] considered a deteriorating inventory model with twolevel trade credits for xed lifetime products. Recently, Lashgari et al [12] investigated an inventory control problem for deteriorating items with two-level trade credit linked to order quantity.…”

Mitigation of High-Tech Products with Probabilistic Deterioration and Inflations

“…Sarkar and Saren [12] established a partial trade-credit model for retailer with exponentially deterioration. Sarkar et al [13] considered a deteriorating inventory model with trade-credit policy for fixed lifetime products.…”