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The deterioration rate is a significant aspect of perishable goods. Since perishable items will always deteriorate, there are effective methods for reducing the rate of deterioration. Furthermore, in the existing inventory control literature, the deterioration rate is often viewed as an exogenous component. Keeping this problem in mind, this article develops the perishable inventory control system from the retailer's perspective in which: (i) the deterioration rate is a controllable factor and suggests a new fresh quality technology (FQT) indicator, (ii) demand is determined by the perishable product's quality, that is controlled by its rate of deterioration, (iii) the credit duration is predefined, and (iv) shortages are expected. The key goal is to demonstrate that there is an ideal quantity of the order that minimizes the retailer's overall cost in terms of cycle time and deterioration rate. Finally, theoretical results are validated by solving two numerical illustrations and conducting a sensitivity analysis of the main factors resulting from the following managerial implications: (i) if the range of deterioration is between zero and one then the retailer should invest in the preservation factor to preserve the perishable product and if greater than one the retailer should not invest in the preservation factor, (ii) credit period significantly reduces the total cost. Hence, this trade credit strategy is more beneficial to the model. [ABSTRACT FROM AUTHOR]

The current study works with an inventory management strategy under the discount cash flow approach for perishable commodities with expiry dates, price-sensitive demand, and investment in preservation technology. In addition, this study examines the probable influence of price-increase on the replenishment strategy of the retailer where specific delivery units can be purchased. Furthermore, in this model, two circumstances are deliberated: (I) when the time of the specific delivery matches with the reordering time of the retailer or (II) when the time of the specific delivery emerges within the duration of the sale. Before the price increase, the supplier provides two payment policies to the retailer from which they can choose one. The policies are either: (1) a permissible delay in payment on regular orders or (2) a discount in payment for the specific delivery. The key goal is to optimize the overall profit for the retailer with respect to the sales price, investment in preservation technology, and cycle time during the depletion time of the specific delivery. In addition, an algorithm is created to optimize the results and seven numerical illustrations are discussed to explain the results along with the special case. Finally, to display the pertinence of this model, a sensitivity analysis of the main parameters is performed with important managerial implications. The key findings of this research are (1) before the price increase, the retailer gets the maximum profit if the retailer chooses a discount in payment policy on the specific delivery; (2) how much to order from the supplier and when to place a specific delivery to generate a maximum profit; and (3) the price-sensitive demand and assumption of future price increase negatively affect the retailer's overall profit, and the retailer gets maximum benefits if the retailer initially orders the maximum number of units from the supplier before the price increase. [ABSTRACT FROM AUTHOR]

Trade credit is generally used by businesses to obtain external funds. This article demonstrates an inventory system from the retailer's point of view in which (1) the influence of trade credit on expanding small businesses and their consumers is the focus of this research, and (2) the retailer's on-hand inventory follows the non-instantaneous deterioration. (3) To maximize profit, the demand is disclosed, which is based on not just the sales price, but also on cumulative demand, which indicates saturation and diffusion. (4) The product's initial price and the permitted discount rate at the time of deterioration are considered to be time-dependent functions of the sales price. In the absence of deterioration, the item is sold at a constant rate, and whenever deterioration occurs, the sales price is assumed to be an exponential function of the discount variable. The main aim is to optimize the total profit of the retailer in terms of cycle time and sales price. The traditional algorithm of optimization is used to address the optimization problem. Finally, the theoretical results are validated by solving three numerical illustrations and conducting a sensitivity analysis of the main factors resulting from the following managerial implications: (1) credit period provides the maximum profit margin of any financing method, and (2) an increase in the initial rate of demand raises sales price while increasing overall profit significantly. [ABSTRACT FROM AUTHOR]

This study investigates an inventory model for deteriorating products with a price and stock-dependent demand pattern where the holding cost is a non-linear function of both time and stock level. Moreover, a decreased price and a higher stock level lead to a higher rate of demand. Consequently, in this article, we present a new approach, aiming at maximization of the return on investment by maximizing the profit/cost ratio. If an inventory manager has the potential to invest in a variety of projects, but disposes of only limited resources, it is logical to strategically plan towards a better return on investment. As a result, the manager's objective will be to develop an inventory policy with a possibly high return on investment. Therefore, a new strategy is considered in this article to optimize the profitability ratio in terms of replenishment time and selling price, which is determined as the proportion between the profit and the overall cost of the inventory scheme. This research demonstrates that optimizing the profitability ratio is equivalent to decreasing the average inventory cost of a product per unit. Also, the optimality is graphically checked and one numerical illustration is discussed to explain the result of the proposed model. Finally, sensitivity analysis of key parameters is performed to show the applicability of the proposed model. The profit/cost ratio is more sensitive to price elasticity markup or purchasing cost compared to the other parameters used. Also, for decision-makers, several helpful management insights are derived. [ABSTRACT FROM AUTHOR]

The inventory system has been affected by many characteristics, among which deterioration of a food product is a critical issue. Chilled foods deteriorate during storage time, and their quality reduces over time. Indian Spiced Pulled Pork Sandwiches are very observable customer goods in India that are, in fact, unpreserved. If chilled foods' original value reduces over time, consumers are not much likely to buy them. The retail price of chilled food maintained is strictly dependent on its quality. From the vendor's approach, measuring quality and leftover value should be a severe commercial issue. The model aims to study deterioration together with the quality prediction of Indian Spiced Pulled Pork Sandwiches. This model measures food quality and leftover value. Deterioration rate is considered as a function of two-parameter Weibull distribution, suitable for bacterial inactivation, microbial growth, enzymes, nutrients, and pigments dreadful environments under a non-isothermal atmosphere. The dynamic structure of demand has its importance in business. The price-storage time of product-dependent demand rate is debated in this model as demand rarely remains constant. The objective is to maximize the vendor's total profit concerning storage time and the product's selling price. A numerical example supports the model. Sensitivity analysis is carried out to derive insights for decision-makers. The graphical result, in three dimensions, is exhibited with a supervisory decision. [ABSTRACT FROM AUTHOR]

In competitive edge, the proffer of delay payment is of great consequence tool to boost the market demand by exerting influence of more customers. In opposition to, merchandiser may be asked to pay some per cent of purchasing cost before receiving products to reduce the risk of cancellation of order. In this article, optimal replenishment time for merchandiser under partial upstream prepayment and partial downstream overdue payment is presented under quadratic demand with three different models: (1) without deterioration, (2) with constant deterioration and (3) maximum fixed-lifetime deterioration as loss of utility is the real situation of products like fruits, vegetables, juices, etc., and to reduce deterioration of the product, merchandiser spends capital on preservation technology to preserve the item. Quadratic demand is suitable for the products for which demand increases initially and afterward it starts to decrease. The decision policies are analysed for the merchandiser. The objective is to minimize merchandiser’s total cost with respect to decision variables. The models are supported with numerical examples. Sensitivity analysis is carried out to derive insights for decision maker. [ABSTRACT FROM PUBLISHER]

This paper deals with a two-level supply chain comprising of single manufacturer and single retailer who sells multi-items. The units in inventory of each period are subject to deterioration at a constant rate. The manufacturer has finite production capacity and manufacturing proportional to the demand rate. The manufacturer offers credit period to the retailer. Price sensitive quadratic demand is debated here which is suitable for the items whose demand increase initially and after some time it starts to decrease. Here, comparison between independent and joint decision is studied regarding their decision variables and average profits. The classical optimization is used to optimize the total profit of the supply chain with respect to selling price and cycle time. The model is supported with numerical examples and also established best scenario and best policy of the model. Sensitivity analysis is done to deduce managerial insights. It is observed that the players are encouraged to join hand to hand to run a business by joint decisions. [ABSTRACT FROM AUTHOR]

This paper focuses on imperfect manufacturing system with remanufacturing, manufacturing and product returned cycle for a single item which deteriorates with respect to time. The product has maximum fixed lifetime. To decrease deterioration of the product, manufacturer spends capitals on preservation technology to preserve the item. In this paper, the effect of inflation is also considered. Here, time-dependent quadratic demand is debated which is suitable for the products whose demand increases initially and afterward it starts to decrease. The objective is to minimize the total cost of manufacturer with respect to cycle time and investment for preservation technology. The model is supported with numerical example. Sensitivity analysis is done to derive insights for decision makers. Graphical result, in three dimensions, is exhibited with supervisory decision. [ABSTRACT FROM AUTHOR]

In particular business transactions, the supplier usually provides an admissible delay in settlement to its vendor to encourage further sales. Additionally, the demand for the commodity is inversely proportional to the function of the sales price, which is non-linear and, in some situations, a holding cost rises over time. Moreover, many goods often deteriorate consistently and shall not be sold after their expiration dates. This study analyses a model for perishable products with a maximum life span with price-dependent demand and trade credit by assimilating these variations and under the supposition of time-varying holding cost. Furthermore, to diminish the rate of deterioration, investment for preservation technology is often taken into account beforehand. Based on real-life circumstances, shortages are admitted and backlogged partially, with an exponential rise in wait time before the new good emerges. The key ambition is to calculate the optimum investment under preservation, sales price, and cycle time using the classical optimization algorithm to maximize the vendor's net profit. Additionally, to clarify the outcomes, the numerical illustrations are addressed, and the sensitivity analysis of significant parameters is eventually implemented. [ABSTRACT FROM AUTHOR]