An improved two-warehouse partial backlogging inventory model fordeteriorating items under conditionally permissible delay in payment
نویسنده
چکیده
Permissible delay in payment basically termed as “Trade credit financing” and in the present business scenario it has become a popular trend to attract the retailers by offering some interest free period by suppliers/wholesalers to increase the sales. The phenomenon of trade credit has drawn attention of many researches for last decay.In this work, for the development of model we have considered this phenomenon under some conditions with combination of constantdemand and holding cost. Shortages are permitted in the OW and partially backlogged at the next replenishmentcycle. Theobjective of modelling is to derive the retailer’s optimal replenishment policy that minimizes the total relevant inventory cost per unit of time. This model dealt with single item. Numerical example is presented to illustrate and validate the model applicability and reliability.
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