In this study a deterministic inventory model for deteriorating items with stock dependent demand is developed. In this model the shortages are allowed and partially backlogged and the effect of inflation rate and delay in payments are discussed. This paper establishes an inventory model for the deteriorating items and stock dependent demand rate under inflation when the supplier offers a permi...

In this article we present an interesting result on consolidating several one-warehouse multiretailer systems with deterministic customer demands. We examine the inventory cost impact of decreasing the number of warehouses used (by possibly re-assigning retailers to other warehouses). We prove that (i) using only two properly selected warehouses, we can ensure that the system-wide inventory cos...

Several surveys show that a significant number of customers leave retail stores because they cannot find the products for which they are looking (e.g. Most research in operations management focuses on two factors to explain lack of product availability—poor assortment and poor inventory planning. Our research with several retailers during the last few years highlights a third factor, poor execu...

Demand data is integral to a company s overall information requirement. This is particularly true for manufacturers and retailers with regard to capacity, production, and inventory planning. Notwithstanding the implicit inaccuracies encountered, companies are predisposed to employ sales data as a primary source of information for estimating future

This paper considers a two-echelon capacitated supply chain with two non-identical retailers and information sharing. We characterize the optimal inventory policies. We also study the benefits of the optimal stock rationing policy over the first come first served (FCFS) and the modified echelon-stock rationing (MESR) policies. © 2006 Elsevier B.V. All rights reserved.

We consider a two-echelon distribution system in which a supplier distributes a product to N competing retailers. The demand rate of each retailer depends on all of the retailers’ prices, or alternatively, the price each retailer can charge for its product depends on the sales volumes targeted by all of the retailers. The supplier replenishes his inventory through orders (purchases, production ...

In a distribution system, the distribution center (DC) observes order streams from all retailers it serves while each individual retailer may only have the local demand information available. This paper investigates how the DC can exploit this informational advantage over the retailers to improve its own performance as well as the performance of the entire supply chain. Specifically, we study a...

In today’s fast marketing over the Internet or online, many retailers want to trade at the same time and change their marketing strategy to attract more customers. Some of the customers may decide to cancel their orders partially with a retailer due to various reasons such as increase in customer’s waiting time, loss of customer’s goodwill on retailer’s business, attractive promotional schemes ...

This paper is based on observations that competing retailers have the option of either agreeing in advance to transship excess inventory to each other or seeing unsatisfied customers switch to the competitor for a substitute. A transshipment game and a substitution game between competing retailers is studied. After establishing the existence and uniqueness of a pure-strategy Nash Equilibrium in...

In this paper, the stochastic location-routing-inventory problem is considered in which retailers’ demands and lead-times are stochastic. Demand quantities follow Poisson distribution and lead-times are functions of the shortage quantity. It is also assumed that both retailers and distributors hold inventory and follow (S-1, S) inventory policy. According to these assumptions, we use METRIC (i....