Decision on pricing and inventory control for perishable products with demand substitution
在竞争和合作情形下可替代易腐品的订货和定价决策研究

Most of research on inventory control focus on the complex restrictions and transforms of mathematical model, without considering the situation that the products will be perishable while kept in store and a variety of products can be substitutes for one another.Commodities such as vegetables, fruits, are subject to direct spoilage while kept in store. In this paper, we assume that the retailer faces different demand depends on his product price and the price of substitute products and the storage time.The best order quantity and the optimal price of the two Perishable products with priced-driven substitutable demand under the cooperative and competitive situations are derived.The effect of system parameters on the optimal policies and the optimal profit with substitutable demand are also discussed.