Optimal ordering and pricing policy for an inventory system with order cancellations

OR Spectrum

Volumn 29, Issue 4, 2007, Pages 661-679

  You, Peng Sheng ^a   Wu, Mon Ting ^a  

^a NATIONAL CHIAYI UNIVERSITY   (Taiwan)

Author keywords

Backorder; Cancellation; Inventory; Order; Price

Indexed keywords

EID: 34547198790     PISSN: 01716468     EISSN: 14366304     Source Type: Journal    
DOI: 10.1007/s00291-006-0067-y     Document Type: Article

References (37)

1. Abad PL (1996) Optimal pricing and lot-sizing under conditions of perishability, and partial back-ordering. Manage Sci 42(8):1093-1104
2. Abad PL (2001) Optimal price and order size for a reseller under partial backordering. Comput Oper Res 28:53-65
3. Abad PL (2003) Optimal pricing and lot-sizing under conditions of perishability, finite production and partial backordering and lost sale. Eur J Oper Res 144:677-685
4. Argon NT, Güllü R, Erkip N (2001) Analysis of an inventory system under backorder correlated deterministic demand and geometric supply process. Int J Product Econ 71:247-254
5. Baker RC, Urban TL (1988) A deterministic inventory system with an inventory-level-dependent demand rate. J Oper Res Soc 39(9):823-831
6. Barbosa LC, Friedman M (1978) Deterministic inventory lot size models - a general root law. Manage Sci 24(8):819-826
7. Bolander SF, Gooding CW, Mister WG (1999) Transfer pricing strategies and lot sizing decisions. J Manage Issues 11(2):155-165
8. Boyaci T, Gallego G (2001) Minimizing holding and ordering costs subject to a bound on backorders is as easy as solving a single backorder cost model. Oper Res Lett 29:187-192
9. Burnetas AN, Simth CE (2000) Adaptive ordering and pricing for perishable products. Oper Res 48(3):436-443
10. Chang HJ, Dye CY (1999) An EOQ model for deteriorating items with time varying demand and partial backlogging. J Oper Res Soc 50:1176-1182
11. Chen X (2003) Coordinating inventory control and pricing strategies with random demand and fixed ordering cost. Manuf Ser Oper Manage 5(1):59-62
12. Chu CW, Patuwo BE, Mehrez A, Rabinowitz G (2001) A dynamic two-segment partial backorder control of (r,Q) inventory system. Comput Oper Res 28:935-953
13. Chun YH (2003) Optimal pricing and ordering policies for perishable commodities. Eur J Oper Res 144:68-82
14. Dye CY, Ouyang LY (2005) An EOQ model for perishable items under stock-dependent selling rate and time-dependent partial backlogging. Eur J Oper Res 163:776-783
15. Gallego G, Ryzin GV (1994) Optimal dynamic pricing of inventories with stochastic demand over finite horizons. Manage Sci 40:999-1020
16. Hariga MA (1995) Effects of inflation and time-value of money on an inventory model with time-dependent demand rate and shortages. Eur J Oper Res 81:512-520
17. Hsu VN, Lowe TJ (2001) Dynamic economic lot size models with period-pair-dependent backorder and inventory costs. Oper Res 49(2):316-321
18. Kunreuther H, Richard JF (1971) Optimal pricing and inventory decisions for non-seasonal items. Econometrica 39(1):173-175
19. Kunreuther H, Schrage L (1973) Joint pricing and inventory decisions for constant priced items. Manage Sci 19(7):732-738
20. Lau AHL, Lau HS (2002) A comparison of different methods for estimating the average inventory level in a (Q;R) system with backorders. Int J Product Econ 79:303-316
21. Luo W (1998) An integrated inventory system for perishable goods with backordering, Comput Indus Eng 34(3):685-693
22. McCardle K, Rajaram K, Tang (CS2004) Advance booking discount programs under retail competition. Manage Sci 50(5):701-708
23. McGill JI, Ryzin GJV (1999) Revenue Management: Research Overview and Prospects. Transp Sci 33:233-256
24. Moe WW, Fader PS (2002) Using advance purchase orders to forecast new product sales. Manage Sci 21(3):347-364
25. Petruzzi NC, Dada M (1999) Pricing and the newsvendor problem: A review with extension. Oper Res 47:183-194
26. Resh M, Friedman M, Barbosa LC (1976) On a general solution of the deterministic lot size problem with time-proportional demand Oper Res 24(4):718-725
27. Shugan SM, Xie J (2000) Advance pricing of services and other implications of separating purchase and consumption. J Ser Res 2:227-239
28. Tang CS, Rajaram K, Alptekinoglu A, Ou J (2004) The Benefits of advance booking discount programs: model and analysis. Manage Sci 50(4):465-478
29. Teng JT Yang HL, Ouyang LY (2003) On an EOQ model for deteriorating items with time-varying demand and partial backlogging. J Oper Res Soc 54:432-436
30. Teng JT, Chang CT (2005) Economic production quantity models for deteriorating items with price-and stock-dependent demand. Comput Oper Res 32:297-308
31. Weatherford LR, Bodily SE (1992) A taxonomy and research overview of perishable-asset revenue management: yield management, overbooking, and pricing. Oper Res 40(5):831-844
32. Weatherford LR, Pfeifer P (1994) The economic value of using advance booking of orders. Omega Int J Manage Sci 22:105-111
33. Whitin TM (1955) Inventory control and price theory. Manage Sci 2:61-80
34. Xie J, Shugan SM (2001) Electronic tickets, smart cards, and online prepayments when and how to advance sell. Manage Sci 20(3)219-243
35. Yang HL, Teng JT, Chern MS (2002) A forward recursive algorithm for inventory lot-size models with power-form demand and shortages. Eur J Oper Res 137:394-400
36. You PS (1999) Dynamic pricing in airline seat management for flights with multiple flight legs. Transp Sci 33:192-206
37. You PS (2003) Dynamic Pricing of inventory with cancellation demand. J Oper Res Soc 54:1093-1101