A vendor-buyer integrated production-inventory model with quantity discount and unequal sized shipments
B.C. Giri and
B. Roy
International Journal of Operational Research, 2013, vol. 16, issue 1, 1-13
Abstract:
This paper considers a single-vendor single-buyer integrated production-inventory model for a single product. The vendor offers a quantity discount to motivate the buyer to buy more quantities and he delivers the buyer's order quantity in a number of unequal sized shipments. The proposed model is formulated and the optimal decisions are obtained by minimising the average total cost of the integrated system. A numerical example is taken to illustrate the developed model.
Keywords: inventory modelling; vendor–buyer relationship; quantity discount; unequal shipments; production-inventory integration. (search for similar items in EconPapers)
Date: 2013
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Persistent link: https://EconPapers.repec.org/RePEc:ids:ijores:v:16:y:2013:i:1:p:1-13
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