2018
DOI: 10.3390/math6120299
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Supply Chain with Customer-Based Two-Level Credit Policies under an Imperfect Quality Environment

Abstract: The present model develops a three-echelon supply chain, in which the manufacturer offers full permissible delay to the whole seller, while the latter, in turn, adopts distinct trade credit policies for his subsequent downstream retailers. The type of credit policy being offered to the retailers is decided on the basis of their past profiles. Hence, the whole seller puts forth full and partial permissible delays to his old and new retailers respectively. This study considers bad debts from the portion of new r… Show more

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Cited by 14 publications
(8 citation statements)
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“…The business can be spread through multiple number of retailers. Extra service facilities can be included within the study [45][46][47][48] for deteriorating products and non-zero random lead time. The quality improvement [49,50] and preservation technology [28,29] for deteriorating products can improve the study in a realistic way.…”
Section: Discussionmentioning
confidence: 99%
“…The business can be spread through multiple number of retailers. Extra service facilities can be included within the study [45][46][47][48] for deteriorating products and non-zero random lead time. The quality improvement [49,50] and preservation technology [28,29] for deteriorating products can improve the study in a realistic way.…”
Section: Discussionmentioning
confidence: 99%
“…Sarkar et al [58] studied warranty, optimal run time with inspection errors in the imperfect production system, and Kang et al [59] discussed optimal ordering policies for the imperfect production system. Recently, Khanna et al [60] considered two-level credit policies with imperfect quality, Tayyab et al [61] considered process uncertainty, and Tayyab et al [62] studied the multistage imperfect production system. The majority of the existing literature considered rework or scrap option for defective items, however, this paper considers salvage option for defective items.…”
Section: Literature Reviewmentioning
confidence: 99%
“…Cárdenas-Barrón and Sana [5], Panda et al [35], and Cárdenas-Barrón et al [6] described in their paper that for maintaining the better decision, the management always takes several strategies to earn more based on the promotional policies using the variable demand and product deterioration. Therefore, in several studies, some researchers tried to incorporate this vital matter [2,19,20,41], but none developed the combination of preservation of products where the trade-credit policy was adopted under variable demand.…”
Section: Introductionmentioning
confidence: 99%