Pricing Strategies for Continuous Replenishment Perishable Goods PDF Download
Are you looking for read ebook online? Search for your book and save it on your Kindle device, PC, phones or tablets. Download Pricing Strategies for Continuous Replenishment Perishable Goods PDF full book. Access full book title Pricing Strategies for Continuous Replenishment Perishable Goods by William Matthew Driegert. Download full books in PDF and EPUB format.
Author: William Matthew Driegert
Publisher:
ISBN:
Category :
Languages : en
Pages : 134
Get Book Here
Book Description
This thesis investigates the application of Dynamic Pricing strategies at a manufacturer of continuous replenishment perishable goods. I begin with a discussion of Dynamic Pricing models, and select a mixed integer programming formulation as most applicable to the available systems and data of the target company. Cost formulations are built through a detailed analysis of current cost allocations within the company and actual costs when available. Revenue and price elasticity models are built from existing formulations. The continuous functions are then discretized through piece-wise approximations and input into a mixed integer program using production and pricing as the decision variables. The results were not entirely conclusive as sensitivity around the base values, particularly the price elasticity value, can create very different price path solutions. Greater stability is achieved through tightening the price ranges, but the suggested policy of always charging the maximum allowable price is not practical within the company's existing policies. For actual implementation, a much more thorough understanding of the price elasticity mechanism would be required.
Author: William Matthew Driegert
Publisher:
ISBN:
Category :
Languages : en
Pages : 134
Get Book Here
Book Description
This thesis investigates the application of Dynamic Pricing strategies at a manufacturer of continuous replenishment perishable goods. I begin with a discussion of Dynamic Pricing models, and select a mixed integer programming formulation as most applicable to the available systems and data of the target company. Cost formulations are built through a detailed analysis of current cost allocations within the company and actual costs when available. Revenue and price elasticity models are built from existing formulations. The continuous functions are then discretized through piece-wise approximations and input into a mixed integer program using production and pricing as the decision variables. The results were not entirely conclusive as sensitivity around the base values, particularly the price elasticity value, can create very different price path solutions. Greater stability is achieved through tightening the price ranges, but the suggested policy of always charging the maximum allowable price is not practical within the company's existing policies. For actual implementation, a much more thorough understanding of the price elasticity mechanism would be required.
Author: Nagihan Çömez-Dolgan
Publisher:
ISBN:
Category :
Languages : en
Pages :
Get Book Here
Book Description
Dynamic pricing may lead to better supply-demand match by approaching from the demand side in a price dependent market. When the inventory is scarce, a price change hedges for more effective use of available inventory. We study a temporary price change policy for a non-perishable product that is continuously reviewed for replenishment. While a regular competitive market price is charged under reasonable inventory levels, during the leadtime of a replenishment order, the firm may apply a temporary price increase. The aim is to increase expected profits by raising revenues from available units, while lowering the demand rate to incur lower stock-out costs for unsatisfied demand. Our interest is to gain insight about the benefits of such a temporary pricing policy and its effects on regular replenishment policy by simultaneously optimizing for regular replenishment and price change decision variables. Through extensive numerical analyses, we show that significant increases in expected profits can be obtained over a conventional single price policy. Significant improvements in profits are attainable even with more simplified policies where a sequential optimization of replenishment and price change is made instead of a computationally challenging simultaneous optimization.
Author: Biswajit Sarkar
Publisher: MDPI
ISBN: 303928522X
Category : Technology & Engineering
Languages : en
Pages : 618
Get Book Here
Book Description
The evolution of industrial development since the 18th century is now experiencing the fourth industrial revolution. The effect of the development has propagated into almost every sector of the industry. From inventory to the circular economy, the effectiveness of technology has been fruitful for industry. The recent trends in research, with new ideas and methodologies, are included in this book. Several new ideas and business strategies are developed in the area of the supply chain management, logistics, optimization, and forecasting for the improvement of the economy of the society and the environment. The proposed technologies and ideas are either novel or help modify several other new ideas. Different real life problems with different dimensions are discussed in the book so that readers may connect with the recent issues in society and industry. The collection of the articles provides a glimpse into the new research trends in technology, business, and the environment.
Author: Srikanta Routroy
Publisher:
ISBN:
Category :
Languages : en
Pages : 0
Get Book Here
Book Description
Perishable products are now becoming more perishable due to an increase in the rate of technology innovation, changing customer behavior and increase in the number of competitors. Therefore, managing perishable products in the supply chain is quite difficult, and enhancing profit in perishable supply chain is not easy. As demand for perishable products is dependent on price, developing a pricing strategy is an important issue. In this paper, a generic model is proposed for one stage of perishable supply chain in a dynamic pricing environment, for developing pricing strategy in order to maximize profit. Genetic algorithm toolbox in MATLAB 7.8 is used to solve the problem.
Author: Jeng-Shyang Pan
Publisher: Springer Science & Business Media
ISBN: 3642166954
Category : Computers
Languages : en
Pages : 487
Get Book Here
Book Description
This volume composes the proceedings of the Second International Conference on Computational Collective Intelligence––Technologies and Applications (ICCCI 2010), which was hosted by National Kaohsiung University of Applied Sciences and Wroclaw University of Technology, and was held in Kaohsiung City on November 10-12, 2010. ICCCI 2010 was technically co-sponsored by Shenzhen Graduate School of Harbin Institute of Technology, the Tainan Chapter of the IEEE Signal Processing Society, the Taiwan Association for Web Intelligence Consortium and the Taiwanese Association for Consumer Electronics. It aimed to bring together researchers, engineers and po- cymakers to discuss the related techniques, to exchange research ideas, and to make friends. ICCCI 2010 focused on the following themes: • Agent Theory and Application • Cognitive Modeling of Agent Systems • Computational Collective Intelligence • Computer Vision • Computational Intelligence • Hybrid Systems • Intelligent Image Processing • Information Hiding • Machine Learning • Social Networks • Web Intelligence and Interaction Around 500 papers were submitted to ICCCI 2010 and each paper was reviewed by at least two referees. The referees were from universities and industrial organizations. 155 papers were accepted for the final technical program. Four plenary talks were kindly offered by: Gary G. Yen (Oklahoma State University, USA), on “Population Control in Evolutionary Multi-objective Optimization Algorithm,” Chin-Chen Chang (Feng Chia University, Taiwan), on “Applying De-clustering Concept to Information Hiding,” Qinyu Zhang (Harbin Institute of Technology, China), on “Cognitive Radio Networks and Its Applications,” and Lakhmi C.
Author: Wang, John
Publisher: IGI Global
ISBN: 1609601378
Category : Business & Economics
Languages : en
Pages : 418
Get Book Here
Book Description
Our rapidly changing world has forced business practitioners, in corporation with academic researchers, to respond quickly and develop effective solution methodologies and techniques to handle new challenges in supply chain systems. Supply Chain Optimization, Management and Integration: Emerging Applications presents readers with a rich collection of ideas from researchers who are bridging the gap between the latest in information technology and supply chain management. This book includes theoretical, analytical, and empirical research, comprehensive reviews of relevant research, and case studies of effective applications in the field of SCM. The use of new technologies, methods, and techniques are emphasized by those who have worked with supply chain management across the world for those in the field of information systems.
Author: Jing-Sheng J. Song
Publisher: Edward Elgar Publishing
ISBN: 180037710X
Category : Technology & Engineering
Languages : en
Pages : 565
Get Book Here
Book Description
This comprehensive Handbook provides an overview of state-of-the-art research on quantitative models for inventory management. Despite over half a century’s progress, inventory management remains a challenge, as evidenced by the recent Covid-19 pandemic. With an expanse of world-renowned inventory scholars from major international research universities, this Handbook explores key areas including mathematical modelling, the interplay of inventory decisions and other business decisions and the unique challenges posed to multiple industries.
Author: Li-Ming Chen
Publisher:
ISBN:
Category :
Languages : en
Pages :
Get Book Here
Book Description
ABSTRACT: A perishable item is characterized by its usefulness over a limited period of time, known as \life." Once the \life" is over, these items spoil, which obviously is a loss. The bottom line of a firm can improve significantly if some of this spoilage is prevented, i.e., if the perishable nature of products is managed properly. One mechanism by which this may be achieved is demand management using price. Through an appropriate selection of price, demand can be modulated to improve profit. The modulation of demand can not only increase revenue but also reduce shortage, holding, and spoilage costs. Potential spoilage due to limited life-time of the perishable products is the main reason demand management of perishable products is even more important than for non-perishable products. Whereas for non-perishable products the only cost of unsold inventory is the cost for holding inventory, for perishable products the unsold inventory not only incurs inventory holding cost but, in addition, with increasing age of the inventory the risk of it remaining unsold by the end of its lifetime increases. Therefore, this dissertation explores joint demand and replenishment decisions on the inventory control of perishable items with random demand. The first part of the dissertation is primarily motivated by a dilemma routinely faced by food retailers: when to replace old inventory of perishable products with fresh units when economies of scale exist in order placement. On one hand, economies of scale make it more attractive to place orders for large quantities. On the other hand, the demand for perishable products declines as their age approaches their lifetime; the reduction occurs since customers prefer fresh units and/or avoid units that are close to expiry.
Author: Diptesh Ghosh
Publisher: Springer Nature
ISBN: 981165820X
Category : Business & Economics
Languages : en
Pages : 224
Get Book Here
Book Description
This edited volume is an in-depth collation of the usage of different quantitative decision making techniques in practical areas such as lean & green supply chain, reverse logistics, perishable logistics, closed loop supply chain, sustainable project management, retail management, block chain applications, optimal supplier selection problem, demand/supply modelling, forecasting under uncertainties, scheduling & sequencing, resource constraint logistics, dynamic network supply chain, risk evaluation, and so on. Additionally, the book also solves these issues in theoretical and practical context using innovative mathematical tools. Consisting of selected papers from the 23rd Annual International Conference of the Society of Operations Management, this book's highlight is not only the coverage of interesting topics, but also how these topics are dealt with, such that post-graduate students as well as researchers and industry personnel working in areas like engineering, economics, social sciences, management, mathematics, etc., can derive the maximum benefit by reading or referring to this book. Apart from the emphasis on new mathematical, operations research, operations management, and statistical techniques, the authors also ensure that all the concepts are made clear by highlighting their practical significance in different areas of applications of operations management. By using novel presentation methods, the book offers a good practical flavor of all the different topics relevant to operations management in the coming decades.
Author: Jim (Junmin) Shi
Publisher:
ISBN:
Category :
Languages : en
Pages :
Get Book Here
Book Description
This paper addresses the problem of inventory penalty pricing under the risk-neutral valuation principle. The underlying production-inventory system has a constant replenishment rate and a compound renewal demand stream (i.e., iid demand interarrival times are independent of iid demand sizes), and is subject to underage and overage penalties. Our pricing approach treats the penalties as a series of perpetual American options, and constructs auxiliary martingale processes in term of the inventory process. We provide a necessary and sufficient martingale condition for general compound renewal demands. Explicit expressions of penalty functions for underage and overage are obtained for the case where demand arrivals follow a Poisson process.
