Jamal et al. [2000. Optimal payment time for a retailer under permitted delay of payment by the wholesaler. International Journal of Production Economics 66, 59–66] study a wholesaler–retailer supply chain where the retailer is given a permissible credit period to pay back the dues without paying any interest to the wholesaler. The problem is modeled as a cost minimization problem with two deci...

This article examines consumer spending as a function of payment mode both when the modes differ in terms of payment coupling (association between purchase decision and actual parting of money) and physical form as well as when the modes differ only in terms of form. Study 1 demonstrates that consumers are willing to spend more when a credit card logo is present versus absent. Study 2 shows tha...

We propose an alternative market design to the current credit ratings industrial organization. An issuer delegates a pass-through non-monitoring trust to acquire ratings from credit ratings agencies (CRAs). The trust pays outcome contingent fees, such that truth-telling is incentive compatible for CRAs, eliminating ratings inflation. Moreover, because the trust acts as an intermediary, it elimi...

Credit scoring is a kind of binary classification problem that contains important information for manager to make a decision in particularly in banking authorities. Obtained scores provide a practical credit decision for a loan officer to classify clients to reject or accept for payment loan. For this sake, in this paper a data envelopment analysis- discriminant analysis (DEA-DA) approach is us...

This article explores a finite replenishment model with variable deterioration for fixed lifetime products. In this model, suppliers offer trade credit period to the retailers in order to increase the demand of their products. During the credit period, the retailers can earn more by selling their products. The interest on purchasing cost is charged for the delay of payment by the retailers. Som...

Trade credit has many forms in today’s business practice. The most common form of trade credit policy that is used to encourage retailers to buy larger quantities is order-size dependent. When the number of ordered units exceeds the capacity of the own warehouse, an additional rented warehouse is required to store the excess units. Therefore, to incorporate the concept of order-size dependent t...

In this research, an integrated supplier-buyer inventory system is studied when market demand is price-sensitive trapezoidal and units in inventory are subject to deterioration at a constant rate. The buyer has an option to choose between discount in unit price and delay in settling the account against the purchases made offered by the supplier. This type of trade credit is termed as ‘net credi...

In order to explain in a systematic way why certain combinations of market, financial, and legal structures may be intrinsic to certain capabilities to exchange real goods, we introduce criteria for abstracting the qualitative functions of markets. The criteria involve the number of strategic freedoms the combined institutions, considered as formalized strategic games, present to traders, the c...